March 12, 2001
Here's a brief list of some of the features of the 23 online brokers Barron's tested. For full details, check their respective Websites.
| Broker / Web address | Market | Limit | Round Trips * | Stocks | Mutual Funds | Bonds+ | Options Simple | Wireless Trading Support | Live Broker Trades | Margin Rate $25,000 Balance | Trading 10 Opt Contracts at $5 Premium | Pluses | Minuses |
| AB Watley 'Watley Trader' http://www.abwatley.com/1 | $ 9.95 | $ 9.95 | $59.70 | Long, Short | Yes | Offline only | Yes | Yes | Add $14 | 8.50% | $47.50 | Quick trades, can use direct access software with the same account | Light on research amenities and portfolio analysis |
| American Express Brokerage www.americanexpress.com/trade2 | 0 | 19.95 | 59.85 | Long, Short | Yes | Offline only | Offline | No | $75 | 9.13 | 60.00 | 10 free market orders per month | Site is disorganized. only RT quote at order entry |
| Ameritrade http://www.ameritrade.com/3 | 8.00 | 13.00 | 63.00 | Long, Short | Yes | Offline only | Yes | Yes | Add $10 | 9.25 | 25.50 | Stock and mutual fund screeners, low costs | Light on portfolio analysis and tax reporting |
| CSFBdirect http://www.csfbdirect.com/4 | 20.00 | 20.00 | 120.00 | Long, Short | Yes | Yes | Yes | Yes | $20 | 9.00 | 52.50 | Easy to use, flexible trading, good research for high account balance holders | Options commissions are high |
| Datek Online http://www.datek.com/5 | 9.99 | 9.99 | 59.94 | Long, Short | Yes | N/A | Yes | No | $25 | 8.75 | 27.49 | Great trading screens, fast executions | Disorganized site difficult to navigate |
| E*Trade http://www.etrade.com/6 | 14.95 | 19.95 | 104.70 | Long, Short | Yes | Yes | Yes | Yes | Add $35 | 9.25 | 37.50 | Loads of third-party research available | Phones are not answered quickly |
| Dreyfus Brokerage http://www.edreyfus.com/7 | 15.00 | 15.00 | 90.00 | Long, Short | Yes | Yes | Yes | Yes | $25 | 8.25 | 17.50 | Good range of offerings access to live broker | Site layout needs a major overhaul |
| Fidelity Investments http://www.fidelity.com/8 | 25.00 | 30.00 | 165.00 | Long, Short | Yes | Treas & Muni: | Yes | Yes | $60 | 8.55 | 37.50 | Spiffed up research offerings, extensive wireless access | Trading screens need a facelift |
| JP Morgan Securities http://www.jpmorganonline.com/9 | 30.00 | 30.00 | 180.00 | Long, Short | Yes | Offline only | Yes | No | Yes | 10.00 | 55.00 | Fantastic portfolio analysis and rebalancing advice | Expen$ive |
| Merrill Lynch Direct http://www.mldirect.ml.com/10 | 29.95 | 29.95 | 179.70 | Long, Short | Yes | Yes | Yes | Yes | Available | 9.60 | 64.00 | High quality research and reports | Trading screens need to be streamlined |
| Morgan Stanley Dean Witter http://www.msdwonline.com/11 | 29.95 | 29.95 | 179.70 | Long, Short | Yes | Offline only | Yes | Yes | $39.95 | 8.50 | 54.75 | Muni bond search, good stock screener | Need a RT quote on the trading screen |
| Mr. Stock http://www.mrstock.com/12 | 9.95 | 12.00 | 65.85 | Long, Short | N/A | N/A | Yes | No | Add $12 | 8.00 | 29.00 | Great resources for options traders | Not the broker for fans of one-stop shopping |
| SiebertNet http://www.siebertnet.com/13 | 14.95 | 14.95 | 89.70 | Long, Short | Yes | Offline only | Yes | Yes | $37.50 | 8.00 | 75.00 | Good order entry, fast executions | Research seems disconnected |
| Mydiscountbroker.com http://www.mydiscountbroker.com/14 | 12.00 | 12.00 | 72.00 | Long Short | Yes | Offline only | Yes | No | Add $25-45 | 9.15 | 32.00 | Good help online, fast fills | Limited range of offerings |
| National Discount Brokers http://www.ndb.com/15 | 14.75 | 19.75 | 103.50 | Long Short | Yes | Offline only | Yes | Yes | Add $10 | 8.75 | 37.50 | Info-packed trading screens, ECN routing | Site is cluttered and difficult to navigate |
| Quick & Reilly http://www.quickandreilly.com/16 | 14.95 | 19.95 | 104.70 | Long, Short | Yes | Yes | Yes | No | $42.50 | 8.00 | 42.50 | Well-designed order entry screens, good reports | Light on portfolio analysis and tax reporting |
| RJT.com http://www.rjt.com/17 | 5.00 | 5.00 | 30.00 | Long, Short | N/A | Offline only | Yes | Yes | $15 | 7.75 | 40.00 | Low cost, good trading screens | Light on research, portfolio analysis and tax reporting |
| Charles Schwab http://www.schwab.com/18 | 29.95 | 29.95 | 179.70 | Long, Short | Yes | Yes | Yes | Yes | Yes | 9.25 | 49.95 | Wide range of tradable equities, including futures | Overnight updates of portfolio analysis reports |
| Scottrade http://www.scottrade.com/19 | 7.00 | 7.00 | 42.00 | Long, Short | Yes | Yes | Yes | No | Add $10 | 7.75 | 22.00 | Good range of offerings, plus low fees and access to live broker | Will have to do research offsite |
| TD Waterhouse http://www.tdwaterhouse.com/20 | 9.95 | 12.95 | 68.70 | Long, Short | Yes | Yes | Yes | Yes | $45 | 8.50 | 57.15 | Easy to navigate, three years of statements online | Light on research, portfolio analysis and tax reporting |
| Wall Street Access http://www.wsaccess.com/21 | 25.00 | 25.00 | 150.00 | Long, Short | N/A | N/A | Yes | Yes | $45 | 9.38 | 25.00 | Great for heavy options traders; good phone support | Limited range of offerings |
| Wall Street Electronica http://www.wallstreete.com/22 | 24.95 | 29.95 | 164.70 | Long, Short | Yes | Yes | Yes | Yes | Available | 7.25 | 50.00 | Options trading nicely automated | Can be expensive |
| Web Street Securities http://www.webstreetsecurities.com/23 | 14.95 | 14.95 | 89.70 | Long, Short | Yes | Yes | Yes | Yes | $24.95 | 7.75 | 32.45 | Good range of offerings, trading screen always open | Site suffers from muddled design |
*Fees shown are for an account valued at $100,000 making 3 round-trip trades per month (72 transactions/year). Equity trades are for a block of 500 shares.Source:Company data
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