Where to Invest: TD Ameritrade vs. MB Trading

In this article, we'll compare the differences and benefits of two stock trading sites: TD Ameritrade and MB Trading. Currently in our 10th and 11th spots respectively, these two firms offer a wide array of investing options.

Fees

Keeping trading costs low is the holy grail of investing. TD Ameritrade offers stock trades for a relatively steep commission of $9.99 per trade, but its zero-dollar account minimum makes it an enticing choice for many investors. On the other hand, MB Trading provides stock trades for a $4.95 flat rate, yet cash accounts require an opening deposit of $1,000. TD Ameritrade offers broker-assisted trades, but it's a high cost at $44.99.

These firms are most similar in their options fee structures. Options run $9.99 plus $0.75 per contract at TD Ameritrade and $9.50 plus $0.95 per contract at MB Trading. TD Ameritrade is better for mutual funds; for fund types with no transaction fees, TD Ameritrade doesn't charge a commission. MB Trading, on the other hand, charges $12.95. While its trading commissions are a bit high, TD Ameritrade is looking good with its overall fee structure.

Tools and Resources

TD Ameritrade offers some of the best trading tools available. Its Trade Architect platform allows you to customize an outstanding set of apps to focus on the tools you want to use. Live streaming CNBC is available, as well as advanced charting and analysis tools. MB Trading also offers a variety of tools, including its powerful MBT Desktop Pro, a similarly customizable platform with dozens of apps and more than a hundred indicators.

Both firms provide mobile access through phone internet browsers, but only MB Trading has a full-feature app available for iOS and Android devices. (TD Ameritrade's app is for the iPad only). The educational resources at TD Ameritrade are much better, though, with analyst reports, news feeds and webcasts making a strong showing in this competition.

Investments Offered

Stocks, options, futures and Forex are available at both firms, but TD Ameritrade has a more robust selection. Exchange Traded Funds (ETFs) and fixed-income investments like bonds aren't available at MB Trading. ETFs administered by TD Ameritrade are a great way to diversify your portfolio. TD Ameritrade also has a variety of bonds, such as Treasuries and Certificates of Deposits (CDs). With its basic array of investing options, MB Trading falls behind.

Customer Service

You can contact these firms by telephone, email or online chat. Support is available at TD Ameritrade Monday through Friday, between 7 a.m. and 8 p.m., and at MB Trading on the same days between 8:30 a.m. and 6 p.m. Multilingual services are available through TD Ameritrade, and it has hundreds of physical branches around the country, which MB Trading lacks.

Although TD Ameritrade may have higher commission rates, it turns out to be a case of you get what you pay for. TD Ameritrade's tools and resources blow MB Trading out of the water, and the dearth of fixed-income investments at MB Trading leaves a bit to be desired. In the end, MB Trading appears to be a basic stock trading platform for seasoned investors who know what they're doing. For the average investor, or someone just starting out, TD Ameritrade is the better bet.

At TopTenREVIEWS We Do the Research So You Don't Have To.™