Investing online

Does investing online seem overwhelming to you? It did to me! Ultimately the investing online company you chose is determined by the amount of experience you have and how much money you have to invest. Let's take a quick look at investing online options.

If you are new to investing online, all roads lead to ShareBuilder. ShareBuilder devotes a lot of web space to education, including primers and tutorials. It requires no minimum balance. ShareBuilder offers automatic investing for a $4.00 commission rate. However, automatic investments are made only once a week. Regular market orders cost $15.95. ShareBuilder charges no monthly or inactivity fees for its basic account. Other accounts incur lower commission fees but require a monthly fee. For the newbie to investing online, this is a good place to start.

If you are looking for low commission in investing online and don't need a lot of help, Scottrade, is the choice for you. Scottrade boasts excellent customer service, but scores low in the research department. Thay have a $500.00 minimum opening balance and only charge a $7.00 commission. There are no account inactivity or maintenance fees. On the plus side, Scottrade has opened 300 branch offices around the country. This allows you to speak to a broker in person, a service most investing online brokers don't offer.

E*Trade is another discount broker offering investing online. Be aware that E*Trade has low customer service scores, but if you don't require a lot of service, it has a lot to offer. There is no minumim required investment to open an account. E*Trade offers banking services, mutual funds and stock trading. It has branches in 13 states, allowing for personable service. Commissions range from $6.99 to $12.99. There is a $40.00 maintenance per quarter based on inactivity. (If you make one trade per quarter you can avoid the fee.)

OptionsXpress offers beginners the chance to trade with a "virtual account" of $5000.00. There is no minimum to open an account. It offers some research help. Initially trades cost $14.95 but after the first eight(per quarter) the fee drops to $9.95. OptionsXpress is often billed as the "best discount broker".

Investing online can seem overwhelming, but a good start is just a few clicks away.