TradeZero is a global broker that offers stock, ETF, and options trading to its clients. It was founded in 2014. The brokerage’s international arm is based in the Bahamas and licensed by the Bahamas Securities Commission. FINRA regulates this American trading broker, which is based in New York.
Trading platforms are one of the broker’s specialties. Traders can manage their assets and accounts, as well as open and close positions, on several specialized trading platforms. The broker attempts to provide a platform for every style of trader, from mobile-optimized ZeroMobile to advanced trading capabilities in ZeroPro.
ZeroFree, as the name implies, is a free platform that uses the HTML5 browser to provide real-time trading features. Although it is the least advanced of the three desktop platforms, it offers all of the tools that many beginner or intermediate traders want. ZeroFree can be enhanced for an additional cost to incorporate features such as options trading and Tier 2 channel windows, as well as different order types, charting tools with indicators, and full NYSE, AMEX, and NASDAQ Tier 1 channels.
Zeroweb and ZeroPro
Customers can use the advanced ZeroWeb and ZeroPro trading platforms for $59 per month. The first is a web-based platform that includes all of ZeroFree’s capabilities, as well as powerful and adjustable hotkeys, up to six chart and indicator data panes and fully customizable layouts. With comprehensive options trading, immediate price alerts, and up to 10 chart panes, ZeroPro software takes trading to the next level.
Assets and Markets
The broker provides clients with access to over 100 stocks and ETFs as a completely focused trading broker rather than an investing broker. For eligible traders, the firm offers complex option contracts, including short selling, as well as leverage up to 1:6. The portal, however, exclusively offers equities from the United States. Furthermore, the broker does not allow traders to trade crypto assets like bitcoin, commodities, or currency. The broker, on the other hand, has lately announced the establishment of a cryptocurrency trading platform.
The firm offers free trades on all orders for assets listed on the NYSE or NASDAQ on its US platform. Brokerage fees for equities trading below $1, which are $0.003 per share, may dissuade traders interested in penny stocks. There is a $0.003 per share cost for trading outside of business hours, however, options contracts are commission-free.
The cost structure for international clients is a little more convoluted. Trading limit orders incur no commission, while market orders or transactions that are executed promptly incur a $0.005 per share commission. Furthermore, trades with fewer than 200 shares are charged a $0.99 flat price, while option contracts pay $0.59 per contract.
Margin and leverage
The amount of capital deposited and the timing of the trade determine the leverage rate. Customers with accounts between $500 and $2,499 can place bets up to 1:4, while those with accounts over $2,500 can place bets up to 1:6. At night and beyond business hours, leverage rates are regulated at 1:2.
For the first night, one-day loans are charged 4x the average fee, while additional days are charged 1x the average fee. The annual margin rate is set at 8%, which is fairly high for little increases in purchasing power supplied.
Customers can get a free personalized mobile experience called ZeroMobile from the company. Clients can use the app to stay up with market news, check their watchlists and portfolios, and track open trades. The restricted capability compared to desktop systems may irritate experienced traders, but it is a useful tool for reviewing deals and market news. Existing users can get the app for free on both Android (APK) and Apple (iOS) smartphones.
The account’s lack of deposit alternatives is perhaps one of its most restrictive features. Only bank transfers between banks with payments from a loan are permitted by the broker.
Deposits are charged a $25 fee, while withdrawals are charged a $50 cost. For deposits of $500 or more, there are no deposit fees, however, future deposits of any size are subject to a flat fee of $25. The minimum amount you can deposit is $200.
Regulation and licensing
The Bahamas Securities Commission has registered the global brokerage for worldwide operations, while the US division has local FINRA and SIPC licenses. The broker is also a member of the Securities Investor Protection Corporation, which protects clients if the broker goes bankrupt.
Clients must subscribe to the platform or pay $25 per month to activate options on the platform to trade options. Clients can choose from several levels of leverage based on their total deposited money and assets, and traders must have at least $500 in their accounts to remove day trading limits.
For traders with more than $50,000 in assets and capital in the United States, TradeZero offers a platinum level account. Platinum account holders are immune from platform fees, get short-selling discounts, and have access to a personal account where they may talk about their trades.