- Trade options, futures, options on futures, stocks, ETFs
- $0 commission to close options
- Pro-grade platform and risk analysis tools
We’ve compiled a list of the best brokerage accounts for index investing, highlighting their features, fees and the unique benefits they offer to help you make an informed decision and maximize your investment potential.
Choosing the right brokerage account can significantly enhance your investment experience and returns.
So here are our picks for the best brokerage accounts for index funds.
Our top picks for brokerage accounts
- Trade stocks, options, ETFs, mutual funds, alternative asset funds
- $0 commission on stocks, ETFs and options, with no options contract fees
- Complimentary access to a financial planner and automated investing
- Earn 4.5% interest on uninvested cash with Gold
- Get up to $50,000 in instant deposits with Gold
- Easy, user-friendly trading
Best brokerage accounts for index funds
The following are our top picks of the best brokerage accounts for index funds, each highlighted for certain unique strengths.
While we’ve categorized each broker based on a specific standout feature, many excel in multiple areas. For example, while Charles Schwab is noted as one of the best for teens, it also serves as an excellent option for beginners due to its user-friendly platform and comprehensive educational resources.
Best for beginners
Best app for analysis tools
Best for teens
Best for proprietary index funds
Why trust Finder
- 15+ online brokers reviewed and rated by our team of experts
- Evaluated under our unbiased rating system covering eight categories
- 20+ years of combined experience covering financial topics
We're big on editorial independence. That means our content, reviews and ratings are fair, accurate and trustworthy. We don't let advertisers or partners sway our opinions. Our financial experts put in the hard work, spending hours researching and analyzing hundreds of products based on data-driven methodologies to find the best accounts and providers for you. Explore our editorial guidelines to see how we work.
Best for beginners
SoFi Invest®
Finder score
SoFi Invest offers one of the most user-friendly trading experiences among the brokers we review, providing easy market access with a no-cost robo-advisor option for automated investing.
Trade commission-free SoFi exchange-traded funds (ETFs) and third-party index funds with as little as $5. Additionally, SoFi is one of the few brokers in the industry to provide unlimited, complimentary access to certified financial planners, a service that can cost several hundred dollars per session with other providers.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get up to $1,000 in stock |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get up to $1,000 in stock |
Robinhood
Finder score
Robinhood simplifies investing with its innovative, beginner-friendly mobile app featuring an intuitive design and agile interface.
Trade commission-free index funds with as little as $1, enjoy 24/5 market access and benefit from an IRA that pays up to 3% in matching contributions. Additionally, earn 4.5% APY on your uninvested cash with Robinhood Gold.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get a free stock |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get a free stock |
Cash App
Finder score
Cash App's commission-free trades, ease of use and fractional share trading make it an excellent choice for beginners investing in index funds.
Start investing with as little as $1, and seamlessly send and receive shares with just a few taps.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | N/A |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | N/A |
Public.com
Finder score
Public emphasizes transparency and stands out as one of the few brokers in the industry that doesn't use payment for order flow (PFOF).
Trade commission-free index ETFs with as little as $5 on Public's intuitive and user-friendly platform and earn 4.6% APY on your uninvested cash.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get up to $10,000 and transfer fees covered |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get up to $10,000 and transfer fees covered |
M1 Finance
Finder score
Trade commission-free index ETFs with as little as $1, automate your investing and rebalance your portfolio with a single click.
Choose from M1's expertly crafted model portfolios or build custom pies of index ETFs tailored to your preferences.
Stock trade fee | $0 |
---|---|
Minimum deposit | $100 |
Signup bonus | N/A |
M1 is not a bank. M1 Spend is a wholly-owned operating subsidiary of M1 Holdings Inc.. M1 High –Yield Savings Accounts are furnished by B2 Bank, NA, Member FDIC.
Obtaining stated APY (annual percentage yield) with the M1 High-Yield Savings Account does not require a minimum account balance. Stated APY is accrued on account balance. APY is solely determined by M1 Spend LLC and its partner banks, and will include account fees that will reduce earnings. Rates are subject to change without notice. M1 High-Yield Savings Account is a separate offering from, and not linked to, the M1 High-Yield Cash Account offered by M1 Finance, LLC. M1 is not a bank.
Stock trade fee | $0 |
---|---|
Minimum deposit | $100 |
Signup bonus | N/A |
Best app for trading tools
eToro
Finder score
eToro offers a user-friendly mobile app featuring advanced charts and a community of over 25 million social investors.
Trade commission-free index ETFs with as little as $10.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | FINDER EXCLUSIVE: Get a guaranteed $15 bonus |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | FINDER EXCLUSIVE: Get a guaranteed $15 bonus |
Moomoo
Finder score
Moomoo offers advanced, customizable charting and free access to professional-grade tools, such as Morningstar ratings, comprehensive fund information, data indicators, real-time Level 2 market data and short sale analysis.
Track market capital flow to optimize transaction timing, view position cost distribution and other technical indicators and use Moomoo's Sentiment Indicator for a quick overview of the overall status of all technical indicators.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get up to 15 free stocks |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get up to 15 free stocks |
Webull
Finder score
Webull offers a user-friendly trading platform featuring advanced charts, order flow distribution, short interest data, institutional ownership and holdings data and comprehensive fund information.
Trade commission-free index ETFs with as little as $5, or automate your index investing with Webull's robo-advisor, Smart Advisor.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Earn up to 75 fractional shares and an extra 2% APY for 30 days |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Earn up to 75 fractional shares and an extra 2% APY for 30 days |
Best for teens
Interactive Brokers
Finder score
Interactive Brokers offers a variety of commission-free index ETFs and mutual funds, along with several feature-rich trading platforms and UGMA/UTMA accounts for minors.
Trade fractional shares of index funds with as little as $1, or choose an automated portfolio of actively managed funds with Interactive Advisors.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | N/A |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | N/A |
E*TRADE from Morgan Stanley
Finder score
Minors and parents with children looking to start investing will find E*TRADE an excellent choice. As a pioneer of online trading, E*TRADE offers a diverse lineup of account types, including custodial brokerage accounts, IRAs for minors and Coverdell Education Savings Accounts.
Trade commission-free index ETFs and mutual funds, with 24/5 trading on select ETFs. Additionally, E*TRADE's robo-advisor, Core Portfolios, provides a straightforward, automated portfolio management option.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get up to $1,000 terms apply |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get up to $1,000 terms apply |
Best for proprietary index funds
Charles Schwab
Finder score
Schwab provides access to over 3,000 index mutual funds and ETFs, along with trading in 33 of its proprietary index mutual funds and ETFs that span US equity, international equity and US fixed-income markets. All index ETFs are commission-free.
Additionally, benefit from a robo-advisor, personalized financial advisory services and the renowned thinkorswim trading platform.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get a $101 bonus |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | Get a $101 bonus |
Fidelity Investments
Finder score
Trade 28 Fidelity index mutual funds, including equity, fixed income and hybrid options, along with 13 Fidelity Freedom Index Funds and 21 Fidelity index ETFs. Additionally, access over 370 third-party index mutual funds and more than 1,840 third-party index ETFs.
Invest with as little as $1, or automate your investments with Fidelity's robo-advisor.
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | N/A |
Stock trade fee | $0 |
---|---|
Minimum deposit | $0 |
Signup bonus | N/A |
Vanguard Brokerage
Finder score
Trade a wide variety of commission-free Vanguard index mutual funds and ETFs, including options in stock, bond, balanced, international, ESG and target-date funds.
Trade index ETFs with as little as $1, and access both Vanguard's human and automated advisory services.
Stock trade fee | $0 |
---|---|
Minimum deposit | $50,000 |
Signup bonus | N/A |
Stock trade fee | $0 |
---|---|
Minimum deposit | $50,000 |
Signup bonus | N/A |
Paid non-client promotion. Finder does not invest money with providers on this page. If a brand is a referral partner, we're paid when you click or tap through to, open an account with or provide your contact information to the provider. Partnerships are not a recommendation for you to invest with any one company. Learn more about how we make money.
Finder is not an advisor or brokerage service. Information on this page is for educational purposes only and not a recommendation to invest with any one company, trade specific stocks or fund specific investments. All editorial opinions are our own.
Methodology: How we choose the best brokerage account for index funds
Finder’s investments experts reviewed 18 brokers to identify the best brokerage accounts for investing in index funds.
Our analysis is based on 147 key metrics collected directly from brokers, evaluating each platform across eight categories, including investment options, trading costs, account types and more.
Since most brokers offer access to index funds, we highlight the unique characteristics that make these brokers stand out for index fund investing.
We regularly update our best picks as products evolve, ensuring our recommendations reflect the most competitive options available in the market.
How do I open a brokerage account?
Complete the account opening process online in minutes with most investing platforms available today.
Choose an investing platform and complete a brief application by providing personal information such as your name, address, date of birth and Social Security number.
Completed applications are typically approved instantly, though the broker may take a couple of days to verify your information.
Then, connect a bank account to fund your account.
What to look for when choosing the best brokerage account
Finder’s picks for the best brokerage accounts provide a starting point for finding the right broker for your investing style and goals.
Consider the following factors when comparing your options:
- Fees. From trading fees to miscellaneous fees, it’s important to understand the cost of trading and investing. Consider which investment products you plan to trade and the fees that apply, but also be mindful of any back-end fees, such as inactivity or transfer fees, that can also eat into your profit.
- Tradable assets. Not every broker offers the same investment options. Stocks, options and ETFs are standard, but some brokers offer mutual funds, bonds, futures, forex, crypto and more. If you’re looking for the best broker for S&P 500 investing and other index funds, all brokers on our list offer access to these options.
- Account types. What other account types, in addition to a brokerage account, does the broker offer? If you’re interested in saving for retirement, compare brokers offering IRAs. Consider your other investment needs and how important it is to maintain all your accounts under one roof.
- Research and data tools. In-house research and tools simplify investing, as you don’t have to venture elsewhere to make an informed decision about an investment. If you’re a passive index investor, extensive research and analysis tools may not matter much. Active stock pickers may feel otherwise.
- Mobile app reviews. Mobile trading is more popular than ever, allowing you to trade and invest from anywhere. Check out what current or previous customers say about the platform’s functionality.
- Signup bonus. While it may not make sense to choose a broker solely based on whether it offers a signup bonus, a new customer incentive such as a free stock may be enough to help you choose one over another if all else is equal.
Compare and find the broker that's right for you
Match your experience level with your trading and investing goals to find the right broker for you.If you're a | And want to | Consider this |
---|---|---|
Beginner investor | Do most or all of your trading on your mobile device | Best stock trading apps |
Beginner investor | Trade and invest with as few fees as possible | Best discount stock brokers |
Beginner investor | Outsource portfolio management automatically and at a low cost | Best robo-advisors |
Beginner investor | Gain exposure to multiple assets like stocks, bonds or gold through a single fund | Best ETF brokers |
Experienced investor | Get an overall idea of providers on the market and what they're best for | Best brokerage accounts |
Experienced investor | Invest internationally in stocks, ETFs and other assets | Best international stock brokers |
Retirement saver of any experience level | Save for retirement with upfront tax benefits | Best (traditional) IRA |
Retirement saver of any experience level | Save for retirement and enjoy tax-free withdrawals | Best Roth IRA |
Investor of any experience level | Diversify with low-cost index funds | Best brokerage accounts for index funds 2024 |
Frequently asked questions
What type of account do you need to invest in index funds?
Invest in index funds through various account types, including taxable brokerage accounts, IRAs and workplace retirement plans such as 401(k)s. The specific index funds available for trading depend on each broker’s offerings.
What are the downsides of investing in index funds?
Investing in index funds has some downsides, including limited flexibility, as they passively track a market index and cannot capitalize on market opportunities. They also offer no protection against market downturns since they reflect the overall market performance. Additionally, index funds may include underperforming stocks.
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