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Best Brokers for Long-term Investing

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Maya Chidiac
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Franklin Silva
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Fact checked by: Franklin SilvaUpdated on Nov 5, 2024

In the dynamic world of finance, long-term investing stands as a reliable strategy for accumulating wealth and securing one’s financial future. To start this path with confidence, you must choose the best broker to be a financial partner that acts as a solid link between your financial objectives and the wide range of market prospects.

In this article, we will take you on a thorough search to identify the best broker for long-term investing. We will explore the key features of brokerage services, such as fees, tools, trading platforms, reliability, and other factors you must consider when trying to find a broker who can help you build a prosperous future.

Regardless of your level of experience or where you are in your financial journey, keep on reading this article as we present and compare the five best brokers for long-term investing for 2024.

Best Brokers for Long-term Investing

  1. Interactive Brokers: Best for international investors
  2. Fidelity: Best for beginner investors
  3. E*TRADE: Best for low-cost trading
  4. Saxo Bank: Best for forex trading

Award Winner

Interactive Brokers logo
#1 Best for international investors
No minimum deposit
$0 for stocks and some ETFs (US users only)
Demo account
See broker summary
Visit BrokerRead review
Broker summary
Supported countriesWorldwide
Fractional sharesYes
RegulatorsSEC, FCA, ASIC, IIROC, CSSF, CBI, CBH, HKSFC, MAS
Interest on uninvested cash0% below $10,000
Up to 4.830% for USD above $10,000
Products offeredStocks, Options, ETFs, Futures, Forex, Cryptocurrencies, Commodities, Bonds, and Funds
Visit BrokerRead review

Award Winner

Best Brokers for Long-term Investing 1
#2 Best for beginner investors
No minimum deposit
$0 for stocks and ETFs
Demo account
See broker summary
Visit Broker
Broker summary
Supported countriesUS
Fractional sharesYes
RegulatorsSEC
Interest on uninvested cash4.98% on uninvested cash automatically put in a money market fund
Products offeredStocks, Mutual Funds, ETFs, Options, Bonds, CDs, Commodities
Visit Broker
Best Brokers for Long-term Investing 2
#3 Best for low-cost trading
No minimum deposit
$0 for stocks and some ETFs
Demo account
See broker summary
Visit Broker
Broker summary
Supported countriesMainly US and some European Countries upon request
Fractional sharesNo
RegulatorsSEC, FINRA
Interest on uninvested cashUp to 0.15% on cash balances
Products offeredStocks, ETFs, Mutual Funds, Options, Bonds, Future and Crypto
Visit Broker

Award Winner

Saxo Bank logo
#4 Best for Forex Trading
Not available in the US
€/$2,000 minimum deposit
Demo account
See broker summary
Visit BrokerRead review
Broker summary
Supported countriesWorldwide, exceptions include the US
Fractional sharesNo
RegulatorsASIC, FSA, FCA, SFC, MAS, FINMA, DFSA.
Interest on uninvested cashUSD: Up to 3.60%; EUR: Up to 2.15%; GBP: Up to 3.70% (as of October 2024)
Products offeredStocks, Forex, ETFs, Bonds, Mutual Funds, Options, Futures, CFDs, and Crypto
Visit BrokerRead review

62% of retail CFD accounts lose money.

Comparison of Best Brokers for long-term investing

Broker Minimum Deposit Products US stocks fees Regulators
Interactive Brokers $0 Stocks, Options, ETFs, Futures, Forex, Cryptocurrencies, Commodities, Bonds, and Funds Free for US investors; International investors: Tiered plan: $0.0035/ share; Min: $0.35 Max: 1% of trade value. SEC, FCA, ASIC, IIROC, CSSF, CBI, CBH, HKSFC, MAS
Fidelity $0 Stocks, Mutual Funds, ETFs, Options, Bonds, CDs, Commodities $0 SEC
E*TRADE $0 Stocks, ETFs, Mutual Funds, Options, Bonds, Future and Crypto $0 SEC, FINRA
Saxo Bank €/$2,000 Stocks, Forex, ETFs, Bonds, Mutual Funds, Options, Futures, CFDs, and Crypto Classic Acc: 0.08% (min. $1); Platinum Acc: 0.05% (min. $1); VIP Acc: 0.03% (min. $1) FSA, FCA, FSMA, NBB, MAS, HKSFC, FINMA, ASIC, ACPR, AMF, DNB

#1 Interactive Brokers

Interactive Brokers logo
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Interactive Brokers at a glance

Products availableStocks, Options, ETFs, Futures, Forex, Cryptocurrencies, Commodities, Bonds, and Funds
Minimum depositNo minimum amount is required
FeesFree for US investors; International investors: $0.0035 per US stock (min. $0.35 per trade)
RegulatorsSEC, FCA, ASIC, IIROC, CSSF, CBI, CBH, HKSFC, MAS
Demo account
Visit Interactive BrokersRead review

Interactive Brokers is one of the best brokers globally with its Trader Workstation (TWS) that caters to more professional investors (beginners will be suited with IBKR GlobalTrader). It provides a wide range of global assets and advanced technical and fundamental trading tools. The company is a well-capitalized and publicly traded broker that offers access to 150 markets and is available in more than 200 countries. 

Interactive Brokers is one of the top options available for long-term investors aiming to build a diversified investment portfolio with the vast array of products available that include Stocks, Options, ETFs, Futures, Forex, Cryptocurrencies, Commodities, Bonds, and Funds. In addition, with its $0 inactivity fee, this company is ideal for buy-and-hold investors.

Pros

  • No minimum amount is required to open a trading account
  • Low stock and ETF commission structure
  • Global market access and diversified instruments that include futures, forex and mutual funds
  • Wide range of no transaction-fee funds
  • Powerful trading platform with advanced features such as the volatility lab that provides an overview of a stock’s past and future volatility parameters
  • Advanced technical analysis tools with more than 120 indicators
  • Strong research and education tools
  • No inactivity fee

Cons

  • The trading platform is complex and not 100% user-friendly
  • The trader workstation (TWS) can be hard to learn
  • Long and a bit complicated account opening process
  • Slow customer support

#2 Fidelity

Best Brokers for Long-term Investing 1
Visit broker

Fidelity at a glance

Products availableStocks, Mutual Funds, ETFs, Options, Bonds, CDs, Commodities
Minimum deposit$0
Fees$0 on US equity trades and ETFs, $0.65 per contract on Options Trades
RegulatorsSEC
Demo account
Visit Fidelity

Fidelity allows you to create a diversified portfolio by mixing various financial instruments such as mutual funds, exchange-traded funds (ETFs), stocks, bonds, and more. 

In addition, the actively managed mutual funds offered by Fidelity are well-known in the market. A wide range of Fidelity funds with various investment goals and approaches are available to long-term investors who prefer professional management.

As for retired investors, Fidelity offers a range of retirement accounts, including IRAs and 401(k)s, and places a heavy emphasis on retirement planning. They offer resources and calculators to aid in retirement planning, which is crucial for long-term investors.

Fidelity has low trading fees, including $0 commission on US Stock trading. You can trade Index funds, ETFs and Bonds with minimal costs, and no inactivity fee is charged to your account.

Pros

  • No minimum amount is required to open an investment account
  • $0 commission on US Equity and ETFs
  • No inactivity fee
  • Top-rated mobile application that includes real-time quotes, accounts management tools, articles and research offerings, and multi-leg Options trading
  • Customizable trading platform with “Active Trader Pro” option that has intuitive shortcuts and advanced tools
  • Strong customer support with over 200 branches and 24/7 phone and chat support
  • Online learning centre to provide customers with learning and educational tools

Cons

  • No Futures trading
  • Crypto trading is limited to Bitcoins and Ethereum with a 1% spread markup
  • Relatively high fee of USD 32.95 for Rep-Assisted trades
  • Available only in the US

#3 E*TRADE

Best Brokers for Long-term Investing 2
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E*TRADE at a glance

Products availableStocks, ETFs, Mutual Funds, Options, Bonds, Future and Crypto
Minimum deposit$0
Fees$0 on US equity trades and ETFs, $0.65 per contract on Options Trades
RegulatorsSEC, FINRA
Demo account Available on Power E*TRADE platform
Visit E*TRADE

E*TRADE is one of the largest US brokers that offers a wide range of financial products, including stock, options, funds, futures, and more. The company is renowned for its competitive pricing and straightforward fee structure. It charges $0 commission on stocks and ETFs, $0.65 per option contract. Some Mutual Funds and Bonds are also free. There is no account or inactivity fee allowing you to buy and hold assets. Deposits and withdrawals are also free of charge.

The company also offers good education and research materials, including educational video tutorials, articles, webinars, and more. As for the trading platform, Power E*TRADE is an intuitive and easy-to-use platform that includes sophisticated tools and features. It is available on web, desktop, and mobile apps.

Pros

  • No minimum amount is required to open an account
  • Low trading fees and $0 fees on stock and ETF trading
  • User-friendly trading platform that offers a good variety of order types
  • No inactivity fee and no deposit and withdrawal fee
  • Good research tools (Interactive charts, fundamental analysis, etc)
  • Fully digital and easy account opening process

Cons

  • No Forex
  • No Fractional Shares
  • Limited customizability for the trading platform

#4 Saxo Bank

Saxo Bank logo
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Saxo Bank at a glance

Products availableStocks, Forex, ETFs, Bonds, Mutual Funds, Options, Futures, CFDs, and Crypto
Minimum deposit€/$2,000
FeesUp to 0.08% (min. $1) for US stocks
RegulatorsFSA, FCA, FSMA, NBB, MAS, HKSFC, FINMA, ASIC, ACPR, AMF, DNB
Demo account
Visit Saxo BankRead review

62% of retail CFD accounts lose money.

A wide selection of investment products, including equities, bonds, ETFs, mutual funds, and more, are available through Saxo Bank. Thanks to this diversification, long-term investors can create well-rounded portfolios customised to their financial objectives and risk tolerance. The bank provides access to International Financial Markets, helping investors seize opportunities in various sectors. In addition, Saxo Bank provides research reports, analysis, and educational materials for traders trying to make well-informed long-term investing decisions.

Saxo Bank has a track record of innovation in the financial sector. They keep developing their platforms and services, which might be advantageous for long-term investors who desire access to the newest equipment and machinery. Finally, by providing low  Forex and Fund fees, Saxo Bank is great for Forex traders, with around 200 currency pairs available and the MetaTrader 4 platform.

Pros

  • Low Forex and Fund Fees
  • Fast and user-friendly account opening process
  • High-quality trading platform with advanced yet easy-to-use features
  • Global market access and diversified instruments that include futures, forex, and mutual funds
  • Good research services for technical and fundamental analysis
  • Specifically-tailored services to institutional clients, including banks, brokers, and asset managers
  • Free deposit and withdrawal

Cons

  • Relatively high Inactivity fee ( charged when your account is inactive for 6 months or more) and Bonds fee ( 0.15% p.a.)
  • 0.15% p.a. custody fee charged on accounts with stock, ETFs or Bond positions
  • Customer Service is not available 24/7
  • Not available in the US

Bottom line

Choosing the ideal broker for long-term investment is a decision that will have a significant impact on your financial destiny. You must know that the choice is not just about fees and features but a careful examination of one’s specific goals, risk tolerance, and personal preferences.  

We hope we have helped you search for the best broker for long-term investing. Take the time to assess the available options and open a demo account to test the platform’s features before opening an account.

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Maya Chidiac
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Forex and Money Market Senior dealer. Financial Markets, Banking and Finance Expert.

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