For example, you'll find the top 20 brokers for winter 1999 ranked by overall score. The Gomez Advisors Scorecards evaluate firms based on 100 or more objective criteria. They suggest which firms fit best with each category of investor characteristics. It compares costs and features of online and discount brokers. The biggest challenge to online investors is themselves.
Online trading can become so seductive it is actually gambling rather than investing.
Unfortunately, the allure of quick riches is usually unobtainable. Another pitfall is getting good service when you have a problem, such as canceling an order or getting a trade corrected. Also, frequent traders may find that they are paying tax rates as high as 39.6 percent on their gains, compared to 20 percent on stocks that are held for a year. For more information, contact your local Colorado State University Cooperative Extension office . Go to top of this page.