Are Commission-free Trading Apps Actually Feeless?

by | Dec 18, 2021 | Stock Market News Featured

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Currently, commission-free trading apps are increasing at a higher rate. Commission-free apps may look attractive as they lower your overall trading costs as an investor or trader.

Undoubtedly, most people sign up to these commission-free platforms, and trading using these apps has gone high compared to the other traditional media. The majority of commission-free trading platforms offer fractional trading, attracting new investors who have little money to invest.

So are commission-free trading apps feeless? At, we explain the following reasons that show that these apps are not feeless.

Limited stocks

Commission-free apps provide fewer stocks than traditional apps, and they dont give funds. However, the number of securities of these apps is growing.

Less research

Unlike established apps, commission-free apps offer fewer research materials and investment data to their users. Plus, their customer service support is not well established. So before deciding to trade with commission-free platforms, check their level of service.

Unsuitable for long-term investments

Commission-free apps are not suitable for long-term investment. Trading at the wrong time can result in losing more money than holding securities. As a new investor, you should be aware of this risk to avoid trading exotic financial instruments like CFDs better suited to seasoned investors.

Let’s have a look at some of the commission-free trading apps.

Commission-free trading apps

M1 Finance

M1 is one of the best commission-free investing apps. It’s an excellent app that allows you to invest in fractional shares and performs automatic deposits.

With M1 Finance, you can design and maintain stocks and ETFs diversified portfolios for free. This app has powerful tools to help you create a portfolio and invest in it without any charges.

If you don’t know how to create a portfolio, M1 Finance has ready-designed portfolios that you can use. Investing in this app is free.


TradeStation is a great free stock trading app with fantastic analytic tools vital for beginners and seasoned professional traders. This app comes with a wealth of educational materials and brokerage services.

TradeStation charges zero commissions for ETF trades and stock. However, the app charges low fees on futures contracts and options. This trading app is best for seasoned traders as it presents powerful screeners and technical tools essential in helping traders discover new opportunities.

You can analyze ETFs, options, stock, futures, and cryptocurrency markets using TradeStation. CCompany’sbrokerage professionals offer support to advanced TradeStation users.


Fidelity app is a robust app that is easy to use. You can build a balanced portfolio using zero-commission ETFs. Option, stock, and ETF trades are also commission-free.

If you restart your investment journey with low dollar amounts, you can venture into fractional share investments. This app is free and doesn’t require any minimum account deposit, and it doesn’t charge an account maintenance fee.


The Vanguard app supports low-cost investing through index funds. Buying and selling Vanguard ETFs is commission-free. This app does not charge you any service fees when you sign up to electronically access your account documents. Additionally, Vanguard doesn’t charge commission on many competitors’ funds.

This app does not require a minimum account balance and minimum purchase requirements for mutual funds. is an excellent app for young investors. It’s commission-free and aligns your investment with your social needs while allowing you to interact and learn from other people.

This app allows fractional investing to millennial investors who may not afford higher-cost shares. focuses on creating an inclusive, educational investment stock market. It achieves this by allowing you to invest alongside your friends and other reputable investors.

If you wish to start trading on, you will receive a free $10 sign-up bonus, but you have to pay the initial deposit. As well as offering free fractional shares, this platform allows you to share your unique link with others.


Robinhood is a fantastic app that allows you to trade stock-free and comes with a powerful interface and essential research tools. You can buy and sell stocks at the current market price, create limit orders, and stop-loss orders.

For serious investors, it is advisable to combine this app with one or two research tools. This pairing helps you in developing a more systematic investing strategy. This app allows limited fractional shares, options, and cryptocurrency investing.

Bottom line

There is no doubt that commission-free trading apps’ popularity is growing fast. You can comfortably start your investment journey without paying any charges and with little cash using your smartphone. That said, it’s good to note that commission-free trading apps don’t necessarily mean that they are feeless. Some will require a minimum deposit, and some may charge for premium services such as paper statements and wire transfers.

However, there are a variety of trading apps that you can choose from, whether you’re a beginner or a trade expert. You only need to pick options that best meet your goals.

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