Free Online Stock Trading & Broker Promotions

I’d like to share some ongoing promotions that are available to new investors who are seeking to open a new account with an online stock broker. With the stock market recovering somewhat, more brokers are introducing some interesting offers to new customers. And for those interested in switching brokers, you won’t have to worry about transfer fees as these brokerages will cover any fees incurred.

Many of these promotions are limited time offers, so they may be worth reviewing now, before they expire. Check them out!

Free Online Trading & Broker Promotions

1. optionsXpress

This stock and options broker is currently offering $100 cash for new investors who decide to open an account with them. The terms are pretty good: just sign up with optionsXpress through this link, then deposit $500 into your new account before the end of the year in 2011. Perform a minimum of 3 trades within one year of opening your new account and you’ll be eligible for the free money. After you perform these requirements, $100 will be deposited into your account.

optionsXpress has fees that range from $9.95 to $14.95 a trade which are based on shares traded per transaction. While they are known for their advanced trading tools, virtual trading environment, and support for futures and options trading, they are also a good discount broker for regular stock investors.

2. TradeKing

TradeKing is a great choice for your trading needs because they are one of the cheapest brokers around; their flat commission rates are at $4.95 a stock trade. They’ve also received top awards for usability, investing tools selection, community features and excellent customer service. If you move your funds to them, they’ll reimburse your transfer fees up to $150. Their latest promotion just expired but please check this space for the latest on TradeKing.

3. OptionsHouse

Another popular stock and options broker, OptionsHouse must be one of the cheapest brokerages I’ve come across, with their pricing of $2.95 per stock trade. The good news is that they are offering 100 free trades to new customers who open new accounts with them within the next few weeks. The 100 free trades offer will expire on December 31, 2009. Also, this broker has been honored by some media publications including an award from Barron’s in the latest Online Broker Survey, where the broker was cited for their excellent trading environment and tools.

If you switch your account over to OptionsHouse, your transfer fees will be refunded up to $100, but check to see if this promotion can be used together with the 100 free trades offer.

4. Zecco

You can get free stock trades per month on a regular basis regardless of whether you’re a new or existing customer if you happen to have a Zecco account. Zecco is the only online broker that has this permanent offer: you’ll receive 10 free trades monthly if you maintain $25,000 in your broker account or if you make frequent trades (at least 25 monthly). By fulfilling just one of these requirements, you’ll be eligible for monthly zero commission trades.

Besides the free trades, regular commissions at Zecco are actually quite low, where the pricing is just $4.50 a trade. Also, there are some extra features that are unique to this broker, such as an active investment community where you can learn about trading and investing, a virtual trading platform where you can participate in the stock market without risk, and a Forex trading environment.

5. E*Trade

This online stock broker has an ongoing offer for 100 free trades for anyone who signs up for an IRA account or a Power E*Trade account. You’ll need to fund your new account with $1,000 in order to qualify for this offer. This deal works a little differently from other promotions because you’ll be paying a commission of $9.99 for your trades but will be reimbursed later by E*Trade for 100 of those trades. I would encourage you to read the terms carefully as you consider E*Trade as your broker of choice.

This well-known stock broker has commission rates that go from $7.99 to $12.99 a stock trade depending on how many trades you perform over the span of 3 months. As for quality of platform and investment environment, they are tops in the industry as acknowledged by financial publications like Smart Money and Money Magazine. I consider them one of the better options for beginning and small investors.

These brokerages are solid options for those who are interested in entering the stock market. And the online stock trading promotions offered by these brokers are a great bonus and incentive to those thinking about learning how to invest.