Online brokerage services have existed for over 20 years. Trading investments today has never been cheaper. So while the race towards cheap trades (in some cases free) is happening, other functionality is becoming more important when selecting a stock broker.
For this review, I compare Fidelity Investments and Merrill Edge. Which one is better depends on your needs? So let's examine the major features first.
We've determined with online brokerages the most critical feature customers care about is the
cost per trade. The second most important feature is the minimum deposit, and the last is if the broker
offers mutual funds. Let's look at how Fidelity Investments and Merrill Edge
stack up against each other on these points.
To start, we will consider the minimum investment required for both applications. In
other words,
how much does one need to invest to use the service?
Both Fidelity Investments and Merrill Edge have the same minimum of $0. So they are equal in this requirement.
Next I'll consider cost per trade for both brokers.
Out of the two, Fidelity Investments is cheaper per trade at $4.95 than Merrill Edge at $6.95/trade.
Both Fidelity Investments and Merrill Edge offer mutual funds. So this feature isn't a clear difference between the stock brokers.
Overall, Fidelity Investments rates 9.5 out of 10, while Merrill Edge ranks 8 out of 10. For more information on either, you can read our full reviews on Fidelity Investments and Merrill Edge.
Stock Brokers | Recommended | |
|---|---|---|
| Review | Fidelity Investments Review | Merrill Edge Review |
| Overall rating as by Investor Junkie. Rating | 9.5/10 | 8/10 |
| Commissions & Fees | 9.5/10 | 8.5/10 |
| Customer Service | 9/10 | 7/10 |
| Ease of Use | 8.5/10 | 8/10 |
| Tools & Resources | 9/10 | 7.5/10 |
| Amount of Deals | 9/10 | 8.5/10 |
| Account Options | 8.5/10 | 8.5/10 |
| Promotions | None | Get up to $600 when you invest in a new Merrill Edge™ account |
| Minimum Investment | $0 | $0 |
| Stock Trades | $4.95/trade | $6.95/trade |
| Options Trades | $4.95/trade + $0.65/contract | $6.95/trade + $0.75/contract |
| Mutual Funds |  | |
| Investment Types | Stocks, ETFs, Mutual Funds, Bonds | Stocks, Penny Stocks, ETFs, Mutual Funds, Bonds |
| Accounts |
|
|
| Access | Website, iOS App, Apple Watch, Android App | Website, iOS App, Apple Watch, Android App |
| Broker Assisted Trade | | |
| Virtual Trades | |  |
| No Fee ETFs | | |
| Customer Service | | |
| Autotrading | | |
Sign Up | Sign Up | Sign Up |
About Fidelity Investments
Fidelity is a full-featured discount brokerage service that includes virtually every investment and banking service you need. The mobile app is also one of the best for trading on the go. However, the service is slow to roll out new features.
About Merrill Edge
Merrill Edge offers helpful online tools to help investors simplify their financial goals and gain better control over their investments. However, the fees to use the service can be steep, and users have complained about poor customer service and slow updates on trades.
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