TradeKing Review

The Good:

In my opinion, one of the best features of TradeKing is their incredibly low commission structure. Trades cost a flat fee of $4.95 per trade, with no minimum amount of trades. They also offer broker-assisted trades for the same price. This pricing is among, if not *the* lowest to be found anywhere online, so if you plan to be a high-frequency trader, this could save you a lot of money over the long run. TradeKing also does not require a minimum balance, making it easier than ever for people with lower income levels to get into the stock market. Click here for a complete rundown of TradeKing's commission structure.

TradeKing boasts an extensive online trading community known as their Trader Network. In fact, they were the first company to establish a place where traders can connect with one another and share strategies, experiences, tips and ideas. This is a very valuable and useful tool for those who like to absorb as much information as possible, and lets face it: this is your money on the line here, it makes sense to learn as much as humanly possible in an effort to lower risk. Click here to visit TradeKing's Trader Network and see for yourself just how much information is at your disposal.

In a world in which customer service is becoming less and less important to big companies, TradeKing is certainly bucking the trend. Their customer service is, in a word, outstanding. Friendly, helpful, knowledgeable, and quick to respond, you will almost assuredly get whatever issue you have resolved in a very timely and professional manner. They were named the #1 rated customer service in the business by Smart Money, giving prospective clients tremendous piece of mind.




The Could-Be-Better:

tradeking logoTradeKing FAQ Snippet

Q: Is there an account minimum?
A: No, at TradeKing there are no account minimums.

Q: What fees apply to IRAs?
A: TradeKing does not charge an annual fee for maintaining an IRA account. However, the account may be subject to...continue reading.

Like with most good things in life, there tends to be a catch. TradeKing’s $4.95 trade commission is fantastic, however it does not apply to all stocks. For stocks that are under $1, TradeKing charges an additional $0.01 per share, per transaction, with a maximum commission rate set at 5% of the total order value. This is definitely a bummer for those who like to play the penny stocks, as these fees will add up fast. However, if you don’t plan on buying the cheap stocks, this is of no concern to you.

The platform is not bad, especially for a discount broker. Ultimately, this sort of thing is going to come down to personal preference, and while I don't have any big issues with TradeKing's platform, I can't honestly rank it among the better ones out there.

TradeKing does have a couple of annoying fees that it can hit you with if you’re not careful. For example, there is a $50 account inactivity fee that will come into affect if your account has been inactive for 12 months along with having a balance below $2500. Again, not something that will apply to everyone so you have to decide for yourself if this matters to you. Click here for a complete rundown of TradeKing's fee structure.


Summary:

Depending on how you plan to trade in the stock market, TradeKing might just be your best option. If you plan to be an active trader who sticks to stocks that are above $1 per share, then you will benefit greatly from TradeKing’s low commission rate and will not get hit with an activity fee. If you’re planning on trading penny stocks, however, you might want to continue reading other reviews to find a brokerage more suitable for your needs.




Not sure if TradeKing is right for you?
   Check out more BestOnlineTrader reviewed sites:
                   OptionsHouse
                   tradeMONSTER
                   E*Trade
                   Questrade




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