The StockBrokers.com annual broker review assesses more than a dozen different brokers over six months, surfacing the best online stock brokers. This review compares E*TRADE vs Robinhood. Is E*TRADE or Robinhood a better online broker?
First, we will make a comparison of the stock and option trading fees for trading with both brokers. E*TRADE and Robinhood have equal fees for trading stocks (equities), $0 per trade. Looking at options, the base fees charged are the same for both brokers, $0. Option contracts are pricier at E*TRADE, costing $0.65 versus $0 at Robinhood. Note that some brokers charge a per-share fee instead of a flat-fee commission. For a full breakdown of commissions, read our online broker reviews.
For our next comparison of these two brokers, being able to trade the way you want is a must. Robinhood offers clients Stock Trading and Options Trading while E*TRADE offers Stock Trading, Options Trading, Mutual Funds and Futures Trading. When it comes to mutual funds, Robinhood trails E*TRADE by 9,291 total mutual funds, with E*TRADE offering 9291 and Robinhood offering 0.
Last but not least, by breaking down important features, tools, etc that each broker offers, we can really help to separate the two. E*TRADE offers virtual trading while Robinhood does not. For mobile trading, E*TRADE along with Robinhood both support the iPhone App, iPad App and Android App. Furthermore, some investors like to bank online, and multiple brokerages provide these services to clients. Checking Accounts, Savings Accounts and Debit Cards are offered by E*TRADE while Robinhood offers none of these.
Overall, between E*TRADE and Robinhood, E*TRADE is the winner.