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Fidelity Investments vs. TD Ameritrade

Constancy and TD Ameritrade are amongst our top-ranked brokers for 2021. Each have web sites filled with useful options, information feeds, analysis, and academic instruments. The 2 brokers additionally supply intuitive web-based, cell, and desktop platforms to deal with the wants of each informal traders and frequent merchants.

Constancy, based in 1943, constructed a fame on its mutual fund enterprise. As we speak, it is an {industry} big with a strong buying and selling platform, glorious analysis and asset screeners, and distinctive commerce executions. TD Ameritrade can be a big pressure within the {industry}. Based in 1975, it gives best-in-class instructional content material, stay occasions, and strong buying and selling platforms.

Whereas Constancy and TDA have rather a lot in frequent, we’ll have a look at among the key variations that will help you determine which is best in your funding and buying and selling wants.

  • Account Minimal: $0
  • Charges: $0 for inventory/ETF trades, $0 plus $0.65/contract for choices commerce
  • Account Minimal: $0
  • Charges: Free inventory, ETF, and per-leg choices buying and selling commissions. $0.65 per choices contract.


We discovered Constancy to be fairly user-friendly total. It gives three platforms: an internet model, the downloadable Lively Dealer Professional, and Constancy Cellular App. Opening an account is easy, particularly if you have already got one other sort of Constancy account (e.g., an IRA). Like many brokers, that you must fill out extra paperwork to allow margin and choices buying and selling. Total, Constancy.com is straightforward to navigate as soon as you discover the quite a few sub-menus. If in case you have hassle discovering what you are in search of, there is a useful search bar on the prime of most pages.

TD Ameritrade helps 4 platforms: an internet model, thinkorswim (its superior platform for lively merchants), and two cell apps—TD Ameritrade Cellular Dealer and thinkorswim Cellular. It is easy to get began, and you may open and fund an account on-line or by way of the cell app. Like most brokers, TD Ameritrade has quite a few account varieties, making it difficult to choose the correct one. Nonetheless, there is a “Most Widespread” accounts record which will assist slim it down, or you’ll be able to strive the useful “Discover an Account” characteristic. TDA’s web site is recent, well-organized, and straightforward to navigate, and you will find an excellent number of instructional content material, together with articles, movies, webinars, and a glossary.

Each brokers have put effort into creating well-designed cell apps with good performance. On Constancy, you’ll be able to commerce the identical asset courses on cell as you’ll be able to on its normal platforms, aside from bonds. TD Ameritrade helps the identical asset courses throughout all platforms. Quotes at each brokers are delayed by default, but it surely’s straightforward to allow real-time quotes, so you do not miss any market strikes.

Total, Constancy and TDA scored carefully throughout a lot of our metrics, and most traders would do advantageous with both dealer. The selection might come all the way down to your most popular buying and selling devices: Constancy has the sting for worldwide buying and selling, however solely TDA gives entry to futures, futures choices, and cryptocurrencies (Bitcoin futures solely).

Commerce Expertise

Desktop Commerce Expertise

Constancy’s net platform within reason straightforward to make use of. You’ll be able to set a number of defaults, similar to whether or not you need to use a market or restrict order, however you make most decisions once you place a commerce. Lively Dealer Professional is, not surprisingly, extra highly effective and customizable. It gives filters, charting instruments, outlined alerts, and quite a lot of order entry instruments. There are 3 ways to stage orders for later entry: normal, time-delayed, and conditional staging.

With TDA’s net platform, you customise the order sort, amount, dimension, and tax-lot methodology. In fact, the thinkorswim platform is extra strong, simpler to navigate, and you may create customized evaluation instruments utilizing thinkScript (TDA’s proprietary programming language). It is easy to enter commerce orders, stage orders, ship a number of orders, and commerce instantly from charts. Streaming real-time quotes are normal throughout all platforms, and also you additionally get free Level II quotes when you’re a non-professional—a characteristic you will not see with many brokers.

Total, Constancy’s Lively Dealer Professional is extra user-friendly and takes much less time to study than TDA’s thinkorswim platform, which has a steep studying curve. Nonetheless, thinkorswim gives a extra strong and customizable buying and selling expertise that ought to enchantment to lively merchants.

Cellular Commerce Expertise

Constancy’s cell app is straightforward to make use of. You’ll be able to handle your orders, examine pending transactions, and place trades. The app falls brief in its analysis and charting, that are very restricted. Total, it appears the app is designed for traders, not merchants. Cellular watchlists sync throughout desktop and net purposes. Aside from conditional orders, the order varieties you need to use on the net or desktop are additionally obtainable on the app.

TD Ameritrade helps two cell apps: the beginner-friendly TD Ameritrade Cellular and thinkorswim Cellular, designed for lively merchants. Each are strong and supply quite a lot of performance, together with charting and watchlists. Streaming real-time information is included, and you may commerce the identical asset courses on cell as on the opposite platforms.

Based on person rankings on the App Retailer, Constancy has a 4.8-star ranking from some 1.7 million opinions.

On the identical time, TD Ameritrade Cellular has 4.5 stars from 91,000+ opinions, and thinkorswim has a 4.7-star ranking from some 242,000 opinions. Total, we discovered informal traders could be advantageous utilizing both dealer’s app, however lively merchants will possible discover the thinkorswim app gives probably the most performance.

Vary of Choices

Constancy and TDA supply all the standard buying and selling merchandise, together with shares, ETFs, bonds, and mutual funds. Nonetheless, solely TDA offers entry to futures, futures choices, and cryptocurrencies (restricted to Bitcoin futures). 

Constancy Investments vs. TD Ameritrade Vary of Choices
Asset Constancy TD Ameritrade
Brief Gross sales  Sure Sure
No-Load, No-Charge Mutual Funds  3,457 4,259
Bonds  Sure Sure
Futures/Commodities  No Sure
Futures Choices  No Sure
Advanced Choices  4 legs 5 legs
Robo Advisory Sure Sure
Cryptocurrency  No Sure (Bitcoin futures solely)
Worldwide Exchanges 25 international locations 1 (Canada)
Foreign exchange  Sure Sure
Fractional Shares  Sure No
OTCBB and Penny Shares Sure Sure

Order Varieties

Constancy and TDA assist the standard order varieties (e.g., market, restrict, cease restrict) plus conditional orders like one-cancels-the-other (OCO) and one-triggers-the-other (OTO). Nonetheless, TDA has a slight benefit right here because it helps conditional orders on cell—one thing Constancy would not supply. Each brokers let you stage orders for later.

Buying and selling Know-how

Constancy’s sensible order routing expertise seeks the most effective value obtainable and might entry all forms of market venues, together with darkish swimming pools, exchanges, and market makers. The corporate experiences a internet value enchancment of $2.64 per 100-share fairness commerce—effectively above the $0.48 {industry} common. Constancy has a median execution pace of 0.04 seconds, and it doesn’t settle for fee for order circulation for shares or ETFs (it does gather a median of $0.2514 per choices contract).

TDA’s order routing algorithm seems to be for quick execution and value enchancment. Third-party statistics present execution speeds of 0.05 seconds and a median internet value enchancment of $1.75 per 100 shares. TDA receives $0.0012 per fairness share and $0.55 per choices contract in fee for order circulation.

Solely TDA helps backtesting and automatic buying and selling, options which might be enticing to lively merchants. Nonetheless, Constancy takes a slight lead right here on account of higher value enchancment and execution speeds, and its lack of fee for order circulation on fairness trades.


Constancy and TDA each have $0 commissions for on-line fairness, choices (each have a per-contract charge of $0.65), and ETF trades. Solely TDA helps futures, which you’ll commerce for $2.25 per contract. You will pay about $50 at both dealer to purchase mutual funds exterior the no-fee record, and neither dealer expenses a platform charge.

Nonetheless, there are a number of notable price variations between the 2 brokers:

  • OTCBB trades are $0 at Constancy and a $6.95 flat charge with TDA
  • Dealer-assisted trades are $25 at TDA and $32.95 at Constancy
  • Margin rates of interest throughout all balances are decrease at Constancy

Total, Constancy wins with regards to low prices and margin charges.

Account and Analysis Facilities

Constancy and TDA are comparable by way of analysis facilities. Each have versatile inventory, ETF, mutual fund, fixed-income, and choices screeners that will help you search for commerce and funding alternatives. Each brokers additionally supply the instruments, calculators, thought mills, information choices, {and professional} analysis you’ll count on from a big brokerage. Total, each brokers have related choices, however TDA has the sting on account of its strong charting, backtesting, and commerce automation capabilities. Should you prioritize these options, TDA stands out as the better option.

Portfolio Evaluation

Constancy and TDA supply entry to real-time shopping for energy and margin info, inner charge of return, and unrealized and realized good points. Each present tax experiences, and you may mix holdings from exterior your account to get an total view. Total, merchants and traders will discover Constancy and TDA supply related portfolio evaluation instruments, so this class is simply too near name.


Constancy’s on-line Studying Heart has articles, movies, webinars, and infographics that cowl numerous investing matters. There are common webinars and on-line teaching classes for extra superior matters, plus studying applications for starting traders on the app.

TDA units a excessive bar for buying and selling and investing instruction. Along with a strong library, the dealer gives near 100 webinars a month and in-person workshops and department seminars. The web site makes use of synthetic intelligence to counsel content material and provides purchasers a personalised expertise. Total, TDA is the higher dealer for instructional content material because it has extra assets designed for a broader vary of investor varieties and expertise ranges.

Buyer Service

Constancy and TDA supply versatile customer support, with stay chat, 24/7 cellphone line assist, and entry to stay brokers and brick-and-mortar department places of work for in-person assist. You’ll be able to rely on dependable customer support from both dealer.


Constancy and TDA’s safety are as much as {industry} requirements. You’ll be able to log into the apps utilizing biometric (face or fingerprint) recognition, and each brokers shield in opposition to account losses on account of unauthorized or fraudulent exercise.

Constancy carries extra Securities Investor Safety Company (SIPC) insurance coverage with a per-customer restrict of $1.9 million on money awaiting funding. There is not any per-customer greenback restrict on protection of securities, however the complete combination extra coverage is $1 billion. TDA’s extra SIPC insurance coverage offers every consumer with $149.5 million price of safety for securities and $2 million of safety for money, with an combination restrict of $500 million.

By way of 2021, neither brokerage had any important information breaches reported by the Id Theft Analysis Heart. Total, traders can have faith within the safety requirements at both of those brokers.

Our Verdict

Constancy and TD Ameritrade are well-respected {industry} powerhouses and neither is a transparent winner for all traders, simply as neither is a foul alternative irrespective of your type. Each supply low prices, strong buying and selling platforms, and cell apps with good performance. Constancy gives glorious worth to traders of all expertise ranges, and it might be an excellent match for some lively merchants (bear in mind, it would not assist futures buying and selling). As a consequence of its complete instructional choices, stay occasions, and intuitive platforms, TD Ameritrade is an efficient alternative for extra skilled traders focused on taking an lively strategy to their investments. Total, these two brokers supply comparable experiences, and the selection might come all the way down to your most popular buying and selling devices or preferences for backtesting and automatic buying and selling.

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The gives that seem on this desk are from partnerships from which Investopedia receives compensation. This compensation might impression how and the place listings seem. Investopedia doesn’t embrace all gives obtainable within the market.


Investopedia is devoted to offering traders with unbiased, complete opinions and rankings of on-line brokers. Our opinions are the results of months of evaluating all features of a web based dealer’s platform, together with the person expertise, the standard of commerce executions, the merchandise obtainable on its platforms, prices and costs, safety, the cell expertise and customer support. We established a ranking scale based mostly on our standards, gathering 1000’s of information factors that we weighed into our star-scoring system.

As well as, each dealer we surveyed was required to fill out an in depth survey about all features of its platform that we utilized in our testing. Most of the on-line brokers we evaluated supplied us with in-person demonstrations of its platforms at our places of work.

Our staff of {industry} consultants, led by Theresa W. Carey, performed our opinions and developed this best-in-industry methodology for rating on-line investing platforms for customers in any respect ranges. Click here to read our full methodology.

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