E*TRADE vs Firstrade (2026) — Which Is Better?
Compare E*TRADE and Firstrade — features, pricing, pros and cons.
Quick Verdict
Higher Rated
E*TRADE (4.3)
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.
Firstrade
Commission-free US broker with $0 stock, ETF, and options trades and no per-contract fees — a standout for cost-conscious options traders.
Our Analysis
E*TRADE and Firstrade serve distinct trader profiles. E*TRADE, backed by Morgan Stanley, emphasizes institutional-grade tools through Power E*TRADE, with robust research integration and professional charting—built for active options traders. Firstrade prioritizes cost transparency with $0 per-contract options trades and no hidden fees, plus bilingual support, targeting budget-conscious retail traders.
The core differentiator is options cost structure. E*TRADE offers volume discounts and premium analysis tools within Power E*TRADE, justifying its 4.3 rating. Firstrade's competitive edge: genuinely zero per-contract fees—statistically cheaper for high-frequency options traders despite basic charting. One provides premium features; the other provides cost certainty.
Choose E*TRADE if you need institutional research, paper trading for backtesting strategies, or API access for algorithmic trading. Select Firstrade if you trade frequently, want to eliminate commission surprises, don't require advanced charting tools, or need bilingual support. E*TRADE rewards active traders who value depth; Firstrade rewards traders who value simplicity and cost predictability.
Feature Comparison
| Feature | E*TRADE | Firstrade |
|---|---|---|
| Rating | ★ 4.3 | ★ 4.0 |
| Starting Price | Free | Free |
| Free Tier | Yes | Yes |
| Markets | stocks, options, futures | stocks, options, etfs, mutual-funds, fixed-income |
| 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
Firstrade: Pros & Cons
Pros
- + $0 options trades with no per-contract fee — rare among US brokers
- + Truly commission-free on stocks, ETFs, and mutual funds
- + Wide range of account types including multiple IRA varieties
- + Bilingual support in English and Chinese
- + Long-established broker with 35+ years of operating history
Cons
- - No paper trading or simulated account for practice
- - Platform and charting tools are basic compared to TD Ameritrade or IBKR
- - No futures or forex trading
- - No API access for algorithmic or automated trading