What is the best brokerage account?

Fidelity is the best overall for most investors—$0 commissions, no minimums, excellent research, fractional shares, and a broad fund selection. Schwab is a close second with strong banking integration. Vanguard is best for long-term index fund investors.

How much does a brokerage account cost?

Most major brokerages now charge $0 for stock and ETF trades, no account minimums, and no annual fees. The main costs are fund expense ratios (0.03-0.20% for index funds) and any margin interest or options contract fees.

What is the difference between a brokerage account and a retirement account?

A brokerage account (taxable) has no contribution limits, no withdrawal restrictions, and no tax advantages. Retirement accounts (401k, IRA) have contribution limits but offer tax-deferred or tax-free growth. Most people should max retirement accounts before funding a taxable brokerage account.

Best Brokerage Accounts of 2026: Fidelity, Schwab, and Vanguard Compared

Choosing the right brokerage account can save you thousands in fees over a lifetime of investing. The good news: competition has driven most major brokerages to offer $0 commissions and no minimums.

Top Brokerage Accounts Compared

Feature	Fidelity	Charles Schwab	Vanguard	E*TRADE	Interactive Brokers
Stock/ETF commissions	$0	$0	$0	$0	$0
Account minimum	$0	$0	$0	$0	$0
Mutual fund selection	10,000+ (3,400+ no-load, no-fee)	4,200+ no-load, no-fee	200+ Vanguard + others	4,400+ no-fee	40,000+
Fractional shares	Yes (stocks + ETFs)	Yes (Schwab Stock Slices)	No	No	Yes
Options (per contract)	$0.65	$0.65	$1.00	$0.50-$0.65	$0.65
Research/tools	Excellent	Excellent	Basic	Good	Advanced
Mobile app	Excellent	Good	Basic-Good	Good	Complex
Banking services	Yes (cash management)	Yes (checking, savings)	Limited	Limited	Limited
Customer service	Excellent	Excellent	Good	Good	Limited
Best for	Most investors	Banking + investing	Long-term index investing	Options traders	Advanced/international

Fee Comparison: What You Actually Pay

Fee Type	Fidelity	Schwab	Vanguard
Stock/ETF trades	$0	$0	$0
Mutual fund trades (non-NTF)	$49.95	$49.95	$0-$20
Options base	$0	$0	$0
Options per contract	$0.65	$0.65	$1.00
Account transfer (ACAT)	$0	$0	$0
Wire transfer	$0-$10	$0-$25	$0-$10
Paper statements	$0	$0	$0
Annual fee	$0	$0	$0 ($20/fund if under $50K for some)

Lowest-Cost Index Funds by Brokerage

Index	Fidelity Fund (Expense Ratio)	Schwab Fund	Vanguard Fund
S&P 500	FXAIX (0.015%)	SWPPX (0.02%)	VFIAX (0.04%)
Total US Stock Market	FSKAX (0.015%)	SWTSX (0.03%)	VTSAX (0.04%)
International Stock	FTIHX (0.06%)	SWISX (0.06%)	VTIAX (0.12%)
US Bond Market	FXNAX (0.025%)	SWAGX (0.04%)	VBTLX (0.05%)
S&P 500 ETF	—	SCHB (0.03%)	VOO (0.03%)

Fidelity has a slight edge on expense ratios for index funds, but the differences are negligible at these levels.

Choosing the Right Brokerage

Your Priority	Best Choice	Why
All-around best	Fidelity	Best research, fractional shares, lowest index fund fees
Banking + investing	Schwab	Best checking account, ATM fee reimbursement
Simple index investing	Vanguard	Investor-owned, invented index funds
Options trading	E*TRADE or Interactive Brokers	Better options tools and pricing
International investing	Interactive Brokers	Best international market access
Beginner investor	Fidelity	Simple interface, fractional shares, no minimums
Retirement accounts	All three are excellent	Any of the big three work great for IRAs/401k rollovers

Account Types Available

Account Type	Fidelity	Schwab	Vanguard
Individual taxable	Yes	Yes	Yes
Joint taxable	Yes	Yes	Yes
Traditional IRA	Yes	Yes	Yes
Roth IRA	Yes	Yes	Yes
SEP IRA	Yes	Yes	Yes
529 Plan	Yes	Yes (certain states)	Yes
HSA	Yes	Yes	No (indirectly)
Trust account	Yes	Yes	Yes
Custodial (UTMA/UGMA)	Yes	Yes	Yes
Solo 401(k)	Yes	Yes	Yes (limited)

The Bottom Line

Fidelity, Schwab, and Vanguard are all excellent choices—you can’t go wrong with any of them. Fidelity edges ahead for most people with its combination of zero-expense-ratio funds, fractional shares, excellent research tools, and strong customer service. Schwab wins if you want integrated banking. Vanguard is ideal for buy-and-hold index investors who want the simplest approach. The most important decision isn’t which brokerage to pick—it’s starting to invest.