Comparing brokers side by side is no easy task. For our 2017 Broker Review
, we factored in 308 different variables to assess 16 different brokers. So when taking a look at E*TRADE vs Scottrade, there is a huge database of information available to us.
To start this comparison, first we will take a look at the broker commission rates for placing regular stock and options trades. E*TRADE and Scottrade both cost $6.95 per trade. For options trading, both E*TRADE and Scottrade charge the same base fee of $6.95. At a difference of $0.05 per contract, Scottrade's per contract rate of $0.70 is less than E*TRADE which charges $0.75. Not all brokers charge a flat rate fee per trade though, so it is important to read the full commission notes to know the complete breakdown (go to any online broker review
page, then scroll to the "Commissions Notes" section).
Next to commission rates, being able to trade the instrument you want is important. Scottrade offers clients Stock Trading, Options Trading and Mutual Funds while E*TRADE offers Stock Trading, Options Trading, Mutual Funds and Futures Trading. Looking at mutual funds, E*TRADE trails Scottrade by 4,947.00 total funds, with Scottrade offering 13599 and E*TRADE offering 8652. Commission free ETFs also should not be forgotten, E*TRADE offers 133 versus Scottrade's total of 0.
Lastly, taking a look at popular features and functionality, we can go a bit deeper to really break down the difference of both brokers. Scottrade has virtual trading, E*TRADE doesn't. Taking a look at mobile trading, E*TRADE along with Scottrade both support the iPhone App, iPad App and Android App. Not to be left out, online banking is also a nice benefit for many investors, and some brokerages provide these services to clients. Clients can have Checking Accounts and Debit Cards at E*TRADE while clients at Scottrade can have Checking Accounts, Savings Accounts and Debit Cards. On the whole, when it comes to tools, research, and trading on the go, E*TRADE finished with awards for Best in Class - Research and Best in Class - Mobile Trading in 2014, while Scottrade came up with none of these.
Overall, both E*TRADE and Scottrade hold a 4.00 star rating.