How to Open a Brokerage Account: Types, Fees, and Step-by-Step Setup Guide
Most major brokers approve a new brokerage account in 15 minutes and require zero deposit to start. The biggest mistake new investors make isn't picking the wrong broker — it's picking the wrong account type, and there are six to choose from. With the Fed funds rate sitting at 3.64% (down from 4.33% a year ago), cash that used to earn nothing in checking now earns close to 3.64% in a brokerage money market fund — but only if you understand which sweep account your broker uses. Meanwhile the Vanguard S&P 500 ETF (VOO) closed at $687.73 on May 14 — up 27.33% over the past year. Sitting on the sidelines waiting for the "right time" has been the single most expensive form of inaction in 2026. This guide walks the full setup in order of decision-weight: account-type triage first (where most beginners make the wrong move), then broker selection, then the 15-minute application, then the fees that actually matter at $10K and $100K balances. Read it through once and you should be able to open the right account in under an hour.