Firstrade Review: Zero-Fee Trading Since 1985
Key Takeaways
- Firstrade offers $0 commissions on stocks, ETFs, options (including $0 per contract), and mutual funds — one of the most aggressive fee structures in the industry.
- The broker provides access to 11,000+ mutual funds and overnight trading on 1,200+ securities, features rarely found together at zero cost.
- FINRA-regulated and SIPC-protected since 1985, with additional insurance coverage up to $37.5 million.
- Missing crypto, fractional shares, and robo-advisor services — best suited for cost-conscious options traders and mutual fund investors rather than all-in-one users.
Firstrade has been quietly operating since 1985, long before Robinhood made zero commissions trendy. Based in Flushing, New York, this broker offers $0 commissions on stocks, ETFs, options, and mutual funds — yes, even $0 per options contract, which undercuts most of the industry.
So why haven't you heard more about it? Firstrade lacks the flashy app and social features of newer platforms. It doesn't have crypto. The interface feels functional rather than exciting. But if you want genuinely free trading with access to 11,000+ mutual funds and overnight trading sessions, Firstrade punches well above its weight.
The broker is FINRA-regulated and SIPC-protected with additional insurance coverage up to $37.5 million. It's a real, established brokerage — not a fintech experiment.
Fees
This is where Firstrade genuinely stands out. The fee structure is simple and aggressive:
- Stocks and ETFs: $0 per trade
- Options: $0 per trade, $0 per contract
- Mutual funds: $0 for load, no-load, and NTF funds
- Fixed income: Net yield basis (markup built into the price)
- Account fees: None — no minimums, no maintenance, no inactivity fees
- IRA fees: $0 setup, $0 maintenance
The $0 options contract fee is the headline here. Most brokers charge $0.50-$0.65 per contract — Schwab, Fidelity, E*TRADE, and Vanguard all do. Firstrade doesn't. For active options traders doing 100+ contracts a month, that adds up fast.
The catches: Broker-assisted trades cost $19.95. Short-term mutual fund redemptions (held under 90 days) carry a $19.95 fee. There's a small Options Regulatory Fee of $0.02375 per contract, which is an industry pass-through. Margin rates aren't published on their website, which is a transparency gap.
Accounts and Trading
Firstrade offers the core account types most investors need:
- Individual brokerage and joint accounts
- Traditional IRA
- Roth IRA
- Rollover IRA
You can trade stocks and ETFs on NYSE, AMEX, Nasdaq, and OTC markets. Options are available with account approval. The mutual fund library includes 11,000+ funds — larger than what many competitors offer.
Extended and overnight trading is a standout feature. Regular extended hours run 8 AM to 8 PM ET on weekdays. Overnight sessions cover 8 PM to 4 AM ET, Sunday through Friday, on 1,200+ securities. That's useful if you're reacting to overseas market moves or after-hours earnings reports.
What's missing: no crypto trading, no fractional shares, and no robo-advisor service. If you want those, Robinhood or SoFi Invest are better fits.
Tools and Research
Firstrade provides solid research tools for a zero-fee broker:
- Morningstar research reports and ratings
- Briefing.com market commentary and analysis
- Zacks investment research
- OptionsWizard — a professional-grade options analytics tool for scanning strategies and analyzing risk
The OptionsWizard tool is particularly notable. It's the kind of feature you'd expect from a broker like tastytrade or Interactive Brokers, not a smaller player like Firstrade.
The mobile apps for iOS and Android are functional but won't win design awards. Two-factor authentication is supported for account security. The overall experience is more substance than style — you get real tools, just not a polished UI.
Who It's For
Firstrade is ideal for:
- Options traders who want truly zero per-contract fees. If you trade options frequently, this is the cheapest game in town
- Mutual fund investors who want access to 11,000+ funds at $0 commission
- IRA savers looking for a no-fee retirement account with a current 3% match on contributions
- Night owls who want overnight trading access on 1,200+ securities
- Cost-conscious investors who prioritize low fees over flashy features
Firstrade is NOT for:
- Crypto enthusiasts — no digital asset trading at all
- Beginners wanting hand-holding — the interface is functional, not welcoming
- Fractional share buyers — you need to buy whole shares
- Investors wanting a full ecosystem — no banking, no credit cards, no robo-advisor. Fidelity or Schwab do that better
How It Compares
Against the big names, Firstrade's value proposition is narrow but sharp:
vs. Schwab/Fidelity: Both charge $0 for stocks and ETFs but $0.65 per options contract. Firstrade wins on options cost, loses on breadth of services, banking integration, and platform polish.
vs. Robinhood/Webull: Similar zero-commission structure. Robinhood offers crypto and fractional shares. Webull charges $0 per contract too but has limited mutual fund access. Firstrade wins on mutual fund selection and research tools.
vs. tastytrade: Both target options traders. Tastytrade caps options at $10/leg and has superior options-specific tools. Firstrade is cheaper on options but less specialized.
Firstrade's secret weapon is the combination: $0 options contracts PLUS 11,000+ mutual funds PLUS overnight trading. No other broker bundles all three at zero cost.
Conclusion
Firstrade is the unglamorous broker that quietly does the important things right. Zero commissions across the board — including $0 per options contract — is genuinely rare. The mutual fund library is massive. Overnight trading is a real differentiator. And it's been around since 1985, which counts for something in an industry full of startups.
The trade-offs are real: no crypto, no fractional shares, no robo-advisor, and an interface that prioritizes function over form. The lack of published margin rates is frustrating. But if your priority is minimizing trading costs — especially on options — Firstrade deserves serious consideration.
Would I use it? For an options-focused account or a mutual fund IRA, absolutely. For a primary all-in-one brokerage, I'd still lean toward Fidelity or Schwab. Firstrade is a specialist, and specialists tend to excel at what they do.
Frequently Asked Questions
Sources & References
www.firstrade.com
www.firstrade.com
www.firstrade.com
Disclaimer: This content is for informational purposes only and does not constitute financial advice. Consult qualified professionals before making investment decisions.