Affiliate disclosure: We may earn a commission if you open an account or sign up through links on this page. This does not cost you extra. Our rankings are based on our published methodology, not on commission amount.
E*TRADE Review
A veteran US broker (now part of Morgan Stanley) with strong platforms, research and a well-regarded options tool in Power E*TRADE.
581 reviews · checked Jul 2026
Trustpilot skews negative for large platforms that don't invite reviews.
Best for
- US investors
- Options traders (Power E*TRADE)
- Research-minded traders
Not best for
- You need non-US markets
- You want the simplest possible app
Our verdict & scoring
E*TRADE is a long-established US broker offering commission-free stock/ETF trading, solid research, and the capable Power E*TRADE platform favoured by options traders. Now owned by Morgan Stanley, it's a dependable all-rounder for US investors and active traders alike.
Scores are based on our review methodology. Affiliate relationships do not buy higher ratings.
Who should actually use E*TRADE
E*TRADE suits US investors who want a dependable all-rounder and, especially, options traders drawn to the Power E*TRADE platform. Research-minded traders get solid tools backed by Morgan Stanley's resources. It's not the right pick if you need access to non-US markets or you want the single simplest possible app.
What we'd change
E*TRADE serves US residents only, so there's no route for UK/EU clients. And running two platforms — the standard E*TRADE experience plus Power E*TRADE — can confuse newcomers who aren't sure which one to start in.
How it compares to Fidelity
E*TRADE and Fidelity are both large, institution-backed US brokers (Morgan Stanley and Fidelity respectively) with $0 US stock/ETF commissions, $0.65-per-contract options and SIPC coverage. E*TRADE's Power E*TRADE platform is the stronger draw for active options traders; Fidelity leans toward low-cost, buy-and-hold and retirement investing. Both are US-only.
Pros
- Power E*TRADE is great for options
- Strong research and education
- Backed by Morgan Stanley
Cons
- US-only focus
- Two platforms can confuse newcomers
Fees & hidden costs explained
$0 US stock/ETF commissions; $0.65 per options contract (discounts for active traders); futures fees apply.
Safety, regulation & availability
US: E*TRADE Securities LLC is an SEC-registered broker-dealer and FINRA/SIPC member (CRD# 29106), an indirect subsidiary of Morgan Stanley (acquired 2020). Serves US residents.
Account protection: SIPC coverage up to $500,000 (including $250,000 cash); Morgan Stanley carries additional excess-of-SIPC insurance.
Available to retail traders in:
Verify this platform yourself:
Frequently asked questions
Who owns E*TRADE?
E*TRADE is an indirect subsidiary of Morgan Stanley, which acquired it in 2020.
Is E*TRADE safe?
E*TRADE Securities LLC is an SEC-registered broker-dealer and FINRA/SIPC member. Accounts have SIPC coverage up to $500,000 (including $250,000 cash), plus Morgan Stanley's additional excess-of-SIPC insurance.
What does it cost to trade on E*TRADE?
US stock and ETF commissions are $0, options are $0.65 per contract (with discounts for active traders), and futures carry per-contract fees.
Does E*TRADE offer paper trading?
Yes — E*TRADE provides a paper-trading environment for practising without real money.
Can non-US residents use E*TRADE?
E*TRADE serves US residents; UK and EU retail clients are restricted.
Official sources
Risk warning: Trading stocks, options, futures, forex, crypto, CFDs and funded accounts involves risk. You can lose money. This website is educational only and does not provide financial, investment, tax or legal advice.
Leverage, volatility, fees, spreads, liquidity and platform rules can increase losses.
Affiliate disclosure: We may earn a commission when you click some links on our site. This does not cost you extra. Our comparisons are educational and transparent, and our rankings are not affected by commissions.