Robinhood vs ETRADE: Which Broker is Right for You In 2025?

Robinhood vs Fidelity: Which brokerage will grow your money better? Our side-by-side analysis breaks down account offerings, investment products, trading tools, and pricing to guide your decision between these two major players.

Are you stuck choosing between Robinhood vs E*TRADE? As a beginner, if you pick the wrong investing app, you will battle hidden fees, clunky tools, or worse—lose sleep over security. Robinhood’s simplicity tempts beginners, but does it leave you unprepared? E*TRADE’s power intimidates newbies, yet might it unlock smarter growth? In this ETrade vs Robinhood comparison, we dissect fees, features, and risks so you invest confidently. Your money deserves the right platform—not just the easiest or flashiest.

Let’s begin with a quick overview of both platforms!

Table of Contents

Robinhood vs ETrade: Quick Overview


Year Founded	2013	1982
Founders/CEO	Vlad Tenev, Baiju Bhatt	Morgan Stanley (founded as subsidiary), Michael Pizzi (CEO)
Headquarters	Menlo Park, California	Arlington, Virginia
Company Type	Financial Technology Startup	Online Brokerage Firm
Regulated By	FINRA, SEC	FINRA, SEC
Account Minimum	$0	$500 for brokerage accounts
Key Features	Commission-free trades, fractional shares, user-friendly app	Wide range of investment products, advanced trading tools, advisory services

What Is Robinhood?

Robinhood started in 2013 with one big promise: to make investing easy and accessible for everyone. And it delivered. Robinhood is best known for its sleek, user-friendly app that lets you trade stocks, ETFs, options, and even cryptocurrencies without paying a single cent in commissions. Yes, zero fees for trades. It’s perfect if you’re just starting out and don’t want to deal with complicated platforms or high costs.

One of Robinhood’s standout features is fractional shares. This means you can invest in expensive stocks like Amazon, Nvidia, or Tesla with just a few dollars instead of needing hundreds or thousands to buy a full share. Plus, there’s no minimum balance required to open an account, so you can start small and grow at your own pace. The app is designed to be simple and intuitive, making it a favorite among millennials and first-time investors.

But here’s the catch: Robinhood keeps things really simple. While that’s great for beginners, it might feel limiting if you’re looking for advanced tools or in-depth research. It’s like the training wheels of investing—perfect to get you started, but you might outgrow it as you gain more experience.

**What Is E*TRADE?**

Now, let’s talk about ETRADE—the seasoned pro of online brokerages. Unlike Robinhood, ETRADE has been around since 1982, and it’s built a reputation for being a one-stop shop for all kinds of investors. Whether you’re a beginner, an active trader, or someone planning for retirement, E*TRADE has something for you.

Like Robinhood, ETRADE offers commission-free trading for stocks, ETFs, and options. But where it really shines is in its wide range of investment options. Think mutual funds, bonds, futures, and even managed portfolios. If you’re someone who likes to diversify, ETRADE gives you the tools to do that. It also offers multiple account types, including IRAs and custodial accounts, making it a solid choice for long-term planning.

ETRADE’s platform is packed with features, but it’s not as simple as Robinhood’s. It has two main platforms: the basic ETRADE website and the more advanced Power E*TRADE, which includes customizable charts, technical analysis tools, and real-time data. This makes it a great fit for experienced traders who want more control over their investments. Plus, E*TRADE offers excellent research and educational resources, so you can make informed decisions without feeling lost.

The downside? All these features can feel overwhelming if you’re new to investing. It’s like stepping into a fully stocked kitchen when you just wanted to make toast. But if you’re willing to learn, E*TRADE has everything you need to grow as an investor.

Robinhood vs Etrade: Key Comparison Criteria

When choosing between Robinhood and E*TRADE, the devil is in the details. Let’s dive into the specifics to see how these two platforms stack up in areas that matter most to investors.

Fees and Commissions

Let’s start with the big one: fees. After all, no one wants to lose money before they even start investing.

Robinhood is a champion of commission-free trading. Whether you’re buying stocks, ETFs, or options, you won’t pay a dime in trading fees. That’s a huge win for beginners and casual investors who want to keep costs low. However, if you want access to premium features like bigger instant deposits or professional research, you’ll need to subscribe to Robinhood Gold, which starts at $5 a month. It’s not a dealbreaker, but it’s something to keep in mind.
E*TRADE also offers commission-free trading for stocks, ETFs, and options, so it’s on par with Robinhood in that regard. But here’s where it gets a little tricky: ETRADE charges fees for certain transactions, like buying or selling mutual funds. These fees aren’t huge, but they can add up if you’re a frequent trader. On the flip side, ETRADE doesn’t nickel-and-dime you for access to advanced tools or research—it’s all included.

The Bottom Line: If you’re looking for a truly no-frills, no-fee experience, Robinhood has the edge. But if you’re okay with occasional fees for a more robust platform, E*TRADE is worth considering.

Robinhood	E*TRADE
Visit Robinhood →	Visit E*TRADE →

Investment Options

Now, let’s talk about what you can actually invest in. After all, a platform is only as good as the opportunities it gives you.

Robinhood keeps it simple with a focus on the basics: stocks, ETFs, options, and cryptocurrencies. It also offers fractional shares, which is a game-changer if you’re working with a smaller budget. Want to own a piece of Google or Apple without breaking the bank? Robinhood lets you do that. However, if you’re looking for more variety—like mutual funds or bonds—you’ll be out of luck. Robinhood is great for straightforward investing, but it’s not the place for building a highly diversified portfolio.
E*TRADE, on the other hand, is like the all-you-can-eat buffet of investing. In addition to stocks, ETFs, and options, you can trade mutual funds, bonds, futures, and even managed portfolios. This makes it a fantastic choice if you’re looking to spread your investments across different asset classes. E*TRADE also offers fractional shares, though it’s not as prominently featured as on Robinhood. The sheer variety of options means you can tailor your portfolio to match your goals, whether you’re saving for retirement or dabbling in active trading.

The Bottom Line: Robinhood is perfect if you’re sticking to the basics, but E*TRADE is the clear winner if you want more options to diversify your investments.

Trading Platforms and Tools

Robinhood is built for speed, simplicity, and your smartphone. Its app is stripped down to the basics: a clean interface where you can buy or sell stocks, ETFs, options, or crypto in a few taps. There’s no clutter—just price charts, a watchlist, and a news feed. But that’s also its weakness. You won’t find advanced tools like technical indicators, customizable screens, or futures trading. It’s perfect for casual investors who want to trade quickly, but seasoned traders will feel boxed in.

E*TRADE, however, rolls out a toolbox for every type of trader:

ETrade vs Robinhood

Power E*TRADE (Web): The heavyweight champion. Dive into 100+ technical studies (like RSI or MACD), interactive charts with drawing tools, and preset scans to spot trading opportunities. It’s built for serious traders who live for real-time data and precision.
Power E*TRADE (App): All the muscle of the web platform, condensed into your phone. Trade stocks, ETFs, options, or futures in one place, with the same advanced charts and risk analysis tools.
E*TRADE App: A simpler, award-winning mobile app for managing accounts, trading, or tracking markets on the go. Sync it with Apple Watch or tablets for updates anywhere.
E*TRADE Web: The classic platform for everything from saving to retirement planning. It’s less flashy than Power E*TRADE but still packed with research, portfolio tracking, and educational guides.

Robinhood’s “less is more” approach works for beginners, but E*TRADE’s platforms are where strategy gets built.

Robinhood	E*TRADE
Visit Robinhood →	Visit E*TRADE →

Research and Education

Robinhood gives you the bare minimum. You’ll see basic price charts, earnings calendars, and headlines from outlets like Reuters or CNBC. Their “Learn” section has short articles explaining terms like “ETF” or “dividend,” but it’s more of a glossary than a classroom. If you’re trying to master options strategies or analyze market trends, you’ll need to look elsewhere.

E*TRADE treats research like a superpower:

Third-party analyst reports from firms like Morningstar and CFRA.
Customizable screeners to filter stocks, ETFs, or mutual funds by performance, sector, or risk level.
Live TV feeds from CNBC and Benzinga for real-time market news.
Advanced charting tools with over 100 technical indicators.
Educational Hub: Free courses, video tutorials, and webinars on topics ranging from “How to Read a Balance Sheet” to “Advanced Options Trading.” They even offer retirement planning guides and tax strategies.

Robinhood hands you a flashlight; E*TRADE gives you a spotlight. If you want to understand the market, not just trade in it, E*TRADE’s resources are unmatched.

Robinhood vs Etrade: Account Types

ETrade vs Robinhood - Account Types — Trade or invest in your future with ETrade most popular accounts.

Robinhood keeps it simple, but here’s the full list of what’s on the menu:

Individual Brokerage Account:
Trade stocks, ETFs, options, and crypto with no minimum balance. Everything’s commission-free.
Robinhood Cash Account:
No margin trading here—trades use only settled funds. Good if you want to avoid debt, but slower fund settlement.
Robinhood Instant (Margin) Account:
The default option. Get instant access to deposits (up to $1,000), margin trading, and extended-hours trading.
Robinhood Gold:
A premium subscription ($5/month) for bigger instant deposits, Level II market data, professional research, and lower margin rates.
Retirement Accounts (IRA):
Choose between a Traditional IRA or Roth IRA. Robinhood even throws in a 1% match on contributions.

E*TRADE, meanwhile, feels like a financial buffet:

Brokerage Account:
Trade stocks, ETFs, mutual funds, options, bonds—you name it. No surprises here.
Core Portfolios:
A robo-advisor service (0.30% annual fee) that builds and manages a diversified portfolio for you. Minimum $500 to start.
Premium Savings Account:
A juicy 4.00% APY on savings (FDIC-insured up to $500k). Great for parking cash you’re not ready to invest.
Traditional IRA:
Tax-deductible contributions and tax-deferred growth for retirement savings.
Roth IRA:
Pay taxes upfront, then enjoy tax-free withdrawals in retirement (if you qualify).
Rollover IRA:
Move old 401(k)s or employer plans here to consolidate and control your retirement funds.

User Experience

Robinhood is like your favorite pair of jeans—simple, comfortable, and no breaking-in required. The app’s design is dead easy: big buttons, minimal menus, and instant trades. Everything’s color-coded (green for gains, red for losses), and you can set up recurring investments in seconds. But this simplicity comes at a cost. There’s no customization—no way to rearrange your dashboard or add widgets. It’s built for people who hate clutter, but if you want deeper control, you’ll feel stuck.

E*TRADE is more like a customizable workspace. The interface can feel overwhelming at first, with menus, charts, and tools everywhere. But once you learn the ropes, you can tweak it to fit your style. Want to pin your watchlist to the top? Done. Need a sidebar with real-time news? Easy. The trade-off? Beginners might need a tutorial (luckily, E*TRADE provides those). It’s not as “plug-and-play” as Robinhood, but it rewards patience with flexibility.

Robinhood	E*TRADE
Visit Robinhood →	Visit E*TRADE →

Customer Support

Robinhood has stepped up its support game, but it’s still a mixed bag. Here’s how it works:

Phone & Chat: You can now call or chat with a live agent. For general questions (investing, retirement, crypto), dial 650-761-7789 or request a callback through the app. They’re available 7 AM–9 PM ET on weekdays (24/7 for chat).
Specialized Lines: Got a Crypto or Spending account issue? Call 888-275-8523. Need help with your Gold Card? Use the in-app Help Center.
Limitations: Agents are siloed—if you call the crypto line, they can’t help with brokerage issues. You’ll also wait in a virtual queue for callbacks (they’ll notify you when it’s your turn).
Self-Help: Past chats are saved in the app under Support → Your Support Chats.

E*TRADE treats support like a 24/7 diner—always open, always stocked:

Phone Support:
- Brokerage/Bank Accounts: Call 800-387-2331 (anytime, any day).
- Employee Stock Plans: 800-838-0908 (24/5, Mon–Fri).
- International Clients: Dedicated numbers for outside the U.S.
Mail Support: Send documents to their Jersey City address (separate P.O. boxes for brokerage vs. bank accounts).
No Silos: Unlike Robinhood, one call covers all account types—no bouncing between departments.
Bonus: Priority routing for high-net-worth clients and in-person help at physical branches.

Bottom Line: Robinhood’s support works if you’re patient and tech-savvy. E*TRADE? It’s the “press 0 to talk to a human” reliability that older investors love. Imagine your account gets frozen—Robinhood’s chat might leave you sweating; E*TRADE’s 24/7 phone line lets you fix it now.

Mobile App

Robinhood’s app is where it shines. Swipe left to see your portfolio, swipe right to browse stocks. The layout is so intuitive, you could use it half-asleep. Features like dark mode and haptic feedback make it feel polished, and crypto trades take seconds. But again, simplicity rules: no advanced order types (like trailing stops) or detailed analytics. It’s built for speed, not strategy.

E*TRADE gives you two apps:

E*TRADE Mobile: The “everyday” app for checking balances, placing trades, or watching CNBC clips. It’s functional but not as sleek as Robinhood.
Power E*TRADE Mobile: The turbocharged version. You get advanced charts, options chains, and futures trading—all optimized for phones. It’s powerful but cluttered; new users might drown in buttons.

Robinhood wins for ease of use, but E*TRADE’s apps do more heavy lifting.

Robinhood vs ETRADE: Security and Regulation

When it comes to protecting your money and data, both Robinhood and E*TRADE take security seriously—but they approach it differently.

Security Measures

Robinhood uses industry-standard encryption (AES-256) to safeguard your data, along with two-factor authentication (2FA) to block unauthorized logins. They also offer biometric login (fingerprint or face ID) on mobile. However, Robinhood has faced criticism in the past for outages during volatile markets, which sparked concerns about reliability.
E*TRADE (now under Morgan Stanley) layers on extra defenses, including 24/7 account monitoring, physical security keys for high-risk transactions, and AI-driven fraud detection. They also let you freeze your account instantly via the app if you suspect foul play.

Regulatory Compliance

Both platforms are registered with the SEC and FINRA, and they follow strict rules around transparency and fair trading. However, Robinhood’s history includes fines for misleading customers ($65 million in 2020) and failing to supervise trades, while E*TRADE’s long-standing reputation (backed by Morgan Stanley’s oversight) leans more conservative and compliance-focused.

Investor Protection

SIPC Insurance: Both brokers are SIPC members, covering up to cash) if the firm goes bankrupt.
Beyond SIPC:
- E*TRADE adds excess SIPC coverage (up to 600 million total $600 mi ll i o n t o t a l) t h ro ug h L l oy d ’ s o f L o n d o n . C a s h in t h e i r P re mi u m S a v in g s A cco u n t i s F D I C - in s u re d u p t o$ 500,000.
- Robinhood’s uninvested cash is swept into partner banks, FDIC-insured up to $1.5 million (via multiple banks).

The Bottom Line: E*TRADE’s Morgan Stanley backing and multi-layered protections inspire more confidence for risk-averse investors. Robinhood meets basic safeguards but has a spotty track record—fine for small portfolios, but heavy traders might sleep better with E*TRADE’s fortress-like security.

Pros and Cons: Robinhood vs ETrade

Robinhood

✅ Pros:

Zero commissions: Trade stocks, ETFs, options, and crypto without fees.
Dead-simple app: Clean, intuitive design perfect for beginners. Swipe, tap, done.
Fractional shares: Invest in pricey stocks like Amazon with just $1.
No minimums: Start investing with $1 and no account fees.
Robinhood Gold: Upgrade for bigger instant deposits, Level II data, and 3% IRA match.
24/7 chat support: Get help anytime (phone support limited to 7 AM–9 PM ET).

❌ Cons:

Limited tools: No advanced charts, screeners, or futures trading.
Basic research: Just headlines and price charts—no analyst reports or deep dives.
Siloed support: Crypto and brokerage teams don’t mix; phone waits can be long.
Few account types: No trusts, custodial accounts, or managed portfolios.

**E*TRADE**

✅ Pros:

Powerhouse platforms: Power E*TRADE (web and mobile) offers 100+ technical studies, real-time data, and futures trading.
Research buffet: Morningstar reports, live CNBC feeds, customizable screeners, and free courses.
Account variety: IRAs, trusts, custodial accounts, Core Portfolios (robo-advisor), and a 4% APY savings account.
24/7 phone support: Call, chat, or visit a branch—no department runaround.
Retirement focus: Rollover IRAs, SEP IRAs, and Solo 401(k)s for long-term planning.

❌ Cons:

Overwhelming for newbies: Menus, charts, and tools can feel like information overload.
Fees: $25 f ee f or b ro k er - a ss i s t e d t r a d es; m u t u a l f u n d s cos t$ 19.99.
Clunky mobile apps: The E*TRADE app works but lacks Robinhood’s polish.

Robinhood vs ETrade – Which Broker Should You Choose?

Robinhood is your go-to if you’re dipping your toes into investing for the first time. Think of it as the training wheels of trading platforms—simple, fast, and no-frills. Choose Robinhood if:

🚀 You’re a beginner who wants to start small with no minimum balance or confusing jargon.
📱 You live on your phone: The app is slick, intuitive, and perfect for quick trades while commuting or scrolling.
💸 You want fractional shares: Invest in pricy stocks like Amazon with just $5.
₿ You’re curious about crypto: Trade Bitcoin, Dogecoin, and others alongside stocks.
🕒 You hate fees: $0 commissions on trades, period.
🧘 You don’t need hand-holding: Basic tools are fine; you’re okay Googling your own research.

Skip Robinhood if: You trade futures, need tax-advantaged accounts beyond IRAs, or crave detailed analytics.

Pick E*TRADE if:

📈 You’re serious about trading: Advanced platforms like Power E*TRADE offer charts, technical studies, and futures trading.
🧠 You want to learn: Free courses, webinars, and live CNBC feeds turn you into a smarter investor.
🏦 You’re planning long-term: IRAs, 401(k) rollovers, custodial accounts, and managed portfolios (for a 0.30% fee) cover retirement, college savings, and more.
☎️ You value support: 24/7 phone help, live chat, and even in-person branches mean you’re never stranded.
💰 You’re a high-balance investor: Priority routing and premium savings (4.00% APY) reward bigger portfolios.
🛠️ You love customization: Tailor your dashboard, screen stocks with 100+ filters, or dabble in bonds and mutual funds.

Skip E*TRADE if: You want crypto trading, prefer a minimalist app, or get overwhelmed by too many options.

Still torn? Ask yourself: Are you trading for fun (Robinhood) or investing for the future (E*TRADE)? Your answer decides the winner.

Robinhood	E*TRADE
Visit Robinhood →	Visit E*TRADE →

**Final Verdict: E*TRADE vs Robinhood**

There’s no “best” platform—only what’s best for you. Robinhood shines for frictionless, mobile-first investing, letting beginners dive in with zero fees and crypto perks. But growth has its price: limited tools and shaky reliability. E*TRADE demands more effort upfront but rewards you with retirement planning, research, and institutional-grade security. Your choice hinges on one question: Are you trading for today or building for tomorrow? Whichever you pick, this E*TRADE vs Robinhood comparison arms you with clarity—so your money grows smarter, not harder. Now, go make it happen.

**FAQs: Robinhood vs. E*TRADE**

**1. Which is better: Robinhood or E*TRADE?**

It depends! Robinhood is better for beginners who want simplicity, zero fees, and crypto trading. E*TRADE is better for experienced investors who need advanced tools, research, and retirement planning.

2. Are there hidden fees?

With Robinhood, there are no commissions on stocks, ETFs, or crypto. Fees apply for Robinhood Gold ($5/month) and margin trading. With E*TRADE, there are no commissions on stocks/ETFs, but charges $0.50-$ 1.00 per options contract and $19.95 for mutual funds not in their no-transaction-fee list.

3. Which offers more account types?

E*TRADE wins. It supports IRAs, 401(k) rollovers, trusts, custodial accounts, and managed portfolios. Robinhood only offers taxable brokerage accounts and IRAs.

4. Can I trade cryptocurrencies?

Yes! You can trade Bitcoin, Dogecoin, and 15+ cryptos on Robinhood. On the other hand, E*TRADE does not offer crypto trading—only stocks, ETFs, options, and bonds.

5. Which has better research tools?

E*TRADE dominates with third-party analyst reports, live CNBC streams, and advanced charting. Robinhood has basic charts and news headlines.

6. Which app is easier to use?

Robinhood: Sleek, intuitive, and perfect for quick trades.
E*TRADE: More complex but offers Power E*TRADE for serious traders.

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