Firstrade Review

By | February 23, 2021

 A trader is required to do a thorough fact check about the broker before investing with them. Here in our Firstrade review we have provided a quick glance at Firstrade‚Äôs working and trustworthiness. 

What is Firstrade?

Firstrade is a US based stock broker, regulated by the SEC and FINRA. It was founded under the name First Flushing Securities in the year 1985. 

Firstrade offers free stock, ETF, mutual fund, and options trading. It covers only the US market. 

Firstrade

Account Opening :

Firstrade is available for clients all over the world. Any one from any part of the world can open a Firstrade account. Account opening is fully digital and user friendly. But, it takes almost 3-4 days to verify an account. 

What is the minimum deposit at Firstrade?

The minimum deposit is $0 for both U.S. and international clients. However, it can be more, if you trade on margin or prefer investing in portfolios.

Firstrade account types

Business accounts
Retirement accounts (Traditional IRA, Roth IRA, etc.)
Education Savings Account
Firstrade Cash Management account
Regular Investing account (Individual & Joint)
International Accounts
Custodial account
Firstrade

Firstrade Fees

Firstrade has low fees. It offers free stock, ETF, funds, and options trading with low non-trading fees. However, margin rates are high.

Firstrade – annual margin rate tiers

Debit balanceRate%Base rate + / –
Under $10,0008.75%Base rate + 2.00%
$10,000 – $24,9998.50%Base rate + 1.75%
$25,000 – $49,9998.25%Base rate + 1.50%
$50,000 – $99,9997.75%Base rate + 1.00%
$100,000 – $249,9997.25%Base rate + 0.50%
$250,000 – $499,9997.00%Base rate + 0.25%
$500,000 – $999,9995.10%Base rate  – 1.65%
$1,000,000 or more4.50%Base rate – 2.25%
Firstrade

Deposit and Withdrawal:

Firstrade has a user friendly deposit and withdrawal process. It charges no deposit and withdrawal charges. But you can use only bank transfer, it does not support credit/debit card and eWallet transactions. And it charges a high fee for wire withdrawal.

It only has a currency as a base for opening an account i.e, USD.

US domestic wire transfers cost $30, while international withdrawals cost $35.

Trading Platform:

Firstrade offers two types of trading platforms: Mobile based and web based. Both the platforms have the same functionality and a great search function.  Mobile applications are available for both IOS and Android.

Both the platforms are available in three different languages: English, Mandarian and Cantonese. You can trade only stocks, ETFs and options on mobile platform, which is limited compared to web trading platform.

Firstrade

Products:

Firstrade offers trade in stock, ETF, fund, bond and options. Whereas, it does not provide access to forex, futures, CFD and crypto. 

Asset Portfolio 

Stock markets (#)5
ETFs (#)2300
Fund providers (#)420
Bonds (#)38,500
Options
Firstrade

Customer Support :

You can contact Firstrade via:

  • email
  • chatbot (intelligent FAQ)
  • Phone

You can contact customer support from 8:30 am to 5:30 pm EST, between Monday and Friday.

Firstrade

Education :

Firstrade is clearly a beginner friendly platform. It provides a great amount of educational tools, webinars and live tutorials. However, it does not provide any demo account for practise. It also provides access to podcasts and ebooks for education purposes. 

Safety :

Firstrade is considered safe, first, because it is regulated by top tier US financial institutions. And second, then customers come under consumer protection act (SIPC). The limit of SIPC protection is $500,000, which includes a $250,000 limit for cash. It also has a long financial history which also makes it a more reliable and genuine broker to trade with.

Firstrade
ProsCons
Free stock, ETF, fund and options tradingNo credit/debit cards and electronic wallets
for money transfer
Solid research toolsHigh margin rates
Low non-trading feesHigh outgoing wire transfer fee
Fully digitalPhone support didn’t connect anyone
Good search functionNo demo account
Firstrade

The verdict:

Firstrade offers free stock, ETF, mutual funds, and options trading. It doesn’t charge inactivity and account fees, and there are lots of quality research and educational tools you can use.

There are some drawbacks, though. Firstrade doesn’t accept credit/debit cards and electronic wallets for money transfer. The product portfolio covers only the US market. Customer service is only available 24/5 and it is difficult to contact them via phone at once. 

As it has low fees and no inactivity fee is charged, feel free to try Firstrade.

Firstrade

Firstrade Review

9.3

Flexible

9.4/10

Account Type

9.1/10

Products

9.2/10

Secure

9.4/10

Pros

  • Free stock, ETF, fund and options trading
  • Solid research tools

Cons

  • High margin rates
  • High outgoing wire transfer fee

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