E*TRADE vs Fidelity Investments (2026) — Which Is Better?
Compare E*TRADE and Fidelity Investments — features, pricing, pros and cons.
Quick Verdict
Higher Rated
Fidelity Investments (4.7)
More Affordable
E*TRADE (Free)
E*TRADE
Morgan Stanley's online brokerage with Power E*TRADE for options trading, commission-free stocks, and comprehensive banking integration.
Fidelity Investments
Top-rated full-service brokerage with zero-commission trading, Active Trader Pro, and industry-leading research and retirement tools.
Our Analysis
E*TRADE and Fidelity both offer commission-free trading and mobile access, but target different trader profiles. E*TRADE's Power E*TRADE platform excels for options traders seeking advanced tools and Morgan Stanley research integration, while Fidelity positions itself as the comprehensive, all-in-one platform with industry-leading research capabilities and retail investor focus. Both platforms share core features—AI analysis, backtesting, paper trading, and alerts—yet diverge significantly in execution and specialty.
Fidelity's 4.7/5 rating edges out E*TRADE's 4.3/5, primarily due to superior research tools, best-in-class customer service, and zero-fee index fund offerings with no expense ratios. E*TRADE counters with Power E*TRADE's specialized options trading capabilities and volume-based commission discounts, making it the clear choice for sophisticated options strategies. Neither platform supports cryptocurrency trading or advanced futures products, limiting both for diversified traders.
Choose E*TRADE if options trading dominates your strategy and you value Power E*TRADE's advanced features plus Morgan Stanley research access. Fidelity suits buy-and-hold investors, index fund allocators, and those prioritizing comprehensive research and legendary customer support. For active traders seeking both stocks and options with educational resources, Fidelity's breadth wins; for dedicated options traders needing specialized tools, E*TRADE delivers.
Feature Comparison
| Feature | E*TRADE | Fidelity Investments |
|---|---|---|
| Rating | ★ 4.3 | ★ 4.7 |
| Starting Price | Free | Free |
| Free Tier | Yes | Yes |
| Markets | stocks, options, futures | stocks, options, futures |
| AI Analysis | ✗ | ✗ |
| Backtesting | ✗ | ✗ |
| Paper Trading | ✓ | ✗ |
| Price Alerts | ✓ | ✓ |
| Mobile App | ✓ | ✓ |
| API Access | ✗ | ✗ |
| Social Features | ✗ | ✗ |
| Broker Integration | ✓ | ✓ |
| Custom Indicators | ✗ | ✓ |
| Automated Trading | ✗ | ✗ |
| Trade Journaling | ✗ | ✗ |
| Performance Analytics | ✓ | ✓ |
| Risk Management | ✓ | ✓ |
| News Feed | ✓ | ✓ |
| Education Content | ✓ | ✓ |
E*TRADE: Pros & Cons
Pros
- + Power E*TRADE is excellent for options trading
- + Morgan Stanley research integration
- + Volume discounts on options commissions
- + Strong mobile app experience
Cons
- - No cryptocurrency trading
- - Futures offerings are limited
- - Banking features less robust than Schwab
- - Platform can feel dated outside Power E*TRADE
Fidelity Investments: Pros & Cons
Pros
- + Best-in-class research and analysis tools
- + Zero-fee index funds with no expense ratio
- + Excellent customer service consistently rated #1
- + Comprehensive retirement and financial planning
Cons
- - Active Trader Pro not as powerful as ThinkorSwim
- - No cryptocurrency trading
- - Futures trading options are limited
- - International market access is limited