What is a brokerage account?

A brokerage account is an investment account used to trade assets such as stocks, bonds, mutual funds and ETFs. There are two brokerage account options that meet the needs of most investors: online brokers and robo-advisors. Setting up a brokerage account is simple. You can typically complete an application online in under 15 minutes.

What is a brokerage account minimum?

An account minimum is an amount you would need to deposit into the brokerage account just to open it. An investment minimum might be found in an index fund, in which you would have to buy, say, $1,000 in shares to take part in the fund. Should I open an IRA or a brokerage account?

What happens when you open a brokerage account with a firm?

When you open a brokerage account with a brokerage firm, the firm buys and sells investing assets in the market on your behalf. The firm is also the custodian for the securities you own in your brokerage account. There are two types of brokerage accounts: Taxable investment accounts and retirement accounts.

How do I set up a brokerage account?

There are two brokerage account options that meet the needs of most investors: online brokers and robo-advisors. Setting up a brokerage account is simple. You can typically complete an application online in under 15 minutes. Brokerage accounts are good for saving for short-term goals, while tax-advantaged accounts are better for retirement savings.