Complete Analysis of US Brokerage Rankings: A Comparison Guide of 7 Overseas Account Opening Platforms

Many Taiwanese investors want to enter the US stock market but find themselves in a dilemma when choosing how to open an account. Should they opt for domestic brokers acting as agents, or open accounts directly with overseas brokers? What exactly are the differences between the two? This article will provide an in-depth analysis of seven popular overseas account opening platforms on the market to help you find the most suitable US broker ranking plan.

The Great Account Opening Showdown: Domestic Replication vs. Overseas Direct Opening

Logic of Domestic Replication

The so-called replication, or “Futu” (or “Futu-style”) service, means domestic brokers act as intermediaries, placing orders on behalf of investors in overseas markets. Investors do not need to exchange currency themselves; they just use their local bank accounts, and the broker assists with all procedures. Major brokers like Richart, E.SUN, and Yuanta offer this service.

Core features of replication:

• Settlement based on T+1 for buys, T+3 for sells
• Commission fee around 0.5%, relatively high
• US stock cash dividends are taxed at 30% (tax refund possible)
• Order placement includes electronic and manual options
• Suitable for investors with ample funds but low trading frequency

Advantages of Overseas Direct Account Opening

In contrast, opening an account directly with an overseas broker allows investors to trade in real-time across global markets. The minimum trading unit for US stocks is 1 share, with a T+1 settlement cycle, offering higher trading efficiency.

Features of overseas account opening:

• Most brokers have eliminated trading commissions
• Only need to bear currency conversion and international transfer costs
• Support margin trading, CFDs, and other derivatives
• Wide range of trading products (stocks, ETFs, futures, bonds, etc.)
• Suitable for short-term trading, high-frequency operations, or risk-tolerant investors

How to determine which method suits you?

If you have a large capital and trade less than 10 times a year, the convenience of replication can save you a lot of hassle. If you want frequent trading, flexible leverage, or aim to reduce trading costs, direct overseas opening is a better choice.

Ranking and Analysis of 7 US Brokers Available to Taiwanese Investors

1. Charles Schwab—A comprehensive powerhouse among large physical brokers

Founded in 1971, Charles Schwab is one of the largest physical stock brokers in the US. With assets exceeding $3.8 trillion, listed on NASDAQ (ticker: SCHW), and a market cap of $57.5 billion. After acquiring TD Ameritrade, its market position has become even more solid.

Schwab’s core advantages:

• Fully regulated (FINRA, SIPC certified)
• Offers a Visa card with global withdrawal capabilities
• Wide range of products including US stocks, ETFs, bonds
• Zero commission on stock and ETF trades
• Withdrawal fee of $25, relatively reasonable

Points to note:

• Account minimum of $25,000 USD
• Options trading at $0.65 per contract
• Website not fully localized in Chinese

Suitable for: Investors with sufficient funds seeking a one-stop service for large investments

2. Interactive Brokers—A professional tool for global trading

Founded in 1978, Interactive Brokers (IBKR) is a leading international broker. Handles nearly 2 million trades daily, manages over $296 billion in client assets, and provides trading services across 135 markets worldwide. Listed on NASDAQ (ticker: IBKR).

IBKR’s distinctive features:

• Clients can trade across 33 countries
• Offers over 60 order types
• IBKR Lite accounts offer free stock and ETF trading
• Fees as low as $0.005 per share, with no minimum deposit$1
• account opening with no minimum (from $0)

Platform review:

• Powerful features, ideal for professional traders
• Supports futures, forex, options, and more
• Withdrawal fees$10

Suitable for: Professional traders, high-frequency operators, advanced investors seeking international diversification

3. TD Ameritrade—A platform with the richest product variety

Founded in 1975, TD Ameritrade has over 24 million clients. Although acquired by Schwab, it continues to operate independently as a sub-brand. Its Thinkorswim platform is popular among US stock investors.

TD Ameritrade’s strengths:

• Largest product variety (stocks, ETFs, mutual funds, futures, options, bonds, forex)
• Over 100 no-commission mutual funds (conditions apply)
• Zero commission on stock and options trading
• No minimum deposit required
• Outgoing transfer fee$25

Investor feedback:

• Ideal for long-term, low-frequency investors
• Short-term, high-frequency traders may face higher costs
• Comprehensive trading tools

Suitable for: Mid- to long-term investors seeking product diversity, mainly in stocks and funds

4. Firstrade—A pioneer in Chinese-language services

Founded in 1985, Firstrade was among the first overseas brokers to offer Chinese-language services for Chinese investors, enjoying high recognition in the Chinese investment community in North America.

Why choose Firstrade:

• Very quick and easy online account opening
• Extremely low trading fees; stocks, ETFs, options all commission-free
• No minimum account balance
• Fully online operation, low setup costs
• Excellent Chinese-language support

Points to consider:

• Higher withdrawal fees, wire transfer at $35 per transaction
• Recently removed online customer service, which may affect issue resolution
• Trading platform features are relatively simplified

Suitable for: Investors valuing Chinese-language support and low costs

5. Fidelity—A fund investment expert

Founded in 1946, Fidelity is the largest 401(k) provider in the US, with a rich history. Offers comprehensive financial services, especially renowned for mutual funds and ETFs.

Fidelity’s highlights:

• Zero commission on stock trading
• Extensive fund options
• Regulated by SEC, FINRA, SIPC
• Supports wire transfer and PayPal deposits/withdrawals
• Outgoing transfer fees( Important restrictions:
• Taiwanese investors can only purchase overseas funds via Fidelity Taiwan’s website
• Cannot open direct stock accounts
• Mainly suitable for fund investing, not active stock trading

Suitable for: Conservative investors focused on funds and long-term stable returns

) 6. eToro—An innovative social trading platform

Founded in 2007, eToro is a global social trading network broker. Its biggest feature is integrating social functions, allowing investors to copy others’ strategies.

eToro’s innovations:

• Copy trading feature, observing others’ investment decisions
• Regulated by FCA and ASIC
• Trading costs mainly via spreads of 0-0.09%
• Minimum deposit of $50, accessible for many
• Outgoing transfer fees$10

Risk warning:

• Copy trading involves higher risk; timing and accuracy are not guaranteed
• Mainly offers CFDs, not actual stock holdings
• Suitable for experienced investors willing to engage in social trading

Suitable for: Active traders seeking social interaction and copy strategies

7. Mitrade—A simple, easy-to-use CFD platform

Founded in 2011, Mitrade is registered in Australia with headquarters there, focusing on CFD trading. CFDs track the spot price but do not involve actual ownership.

Mitrade’s advantages:

• User-friendly, straightforward platform design

• Supports US stocks, Hong Kong stocks, forex, indices, commodities, cryptocurrencies

• Regulated by CIMA and ASIC (regulation number 398528)

• Zero commission, trading costs 0.01-0.015%

• No withdrawal fee, minimum deposit$5

• Built-in Tradingview charts, economic calendar, sentiment index

Platform features:

• Supports limit and stop-loss orders
• Demo account available for practice
• Multiple deposit and withdrawal options

Suitable for: Beginners, traders seeking simple, intuitive interfaces

Key Comparison Dimensions of US Broker Rankings

Common Investor Questions and Answers

$50 Which US broker has the lowest fees?

Fee structures are complex, including commissions, withdrawal fees, spreads, etc. Overall, pure online brokers tend to have lower rates than hybrid physical + online brokers. Most mainstream brokers now offer zero-commission trading.

$0 Among US brokers, which offers the most comprehensive product range?

TD Ameritrade, as the largest US broker, provides the widest variety of trading products, including stocks, ETFs, mutual funds, futures, options, bonds, and forex.

How to evaluate platform usability?

Platforms of TD Ameritrade and Firstrade are widely praised for their design, order types, and trading tools. For a very simple user experience, Mitrade’s interface is relatively friendly.

Risks to Watch Out for When Choosing Overseas Brokers

Capital Security Risks

While large companies generally have lower risks, there have been cases of capital chain failures in history (e.g., Lehman Brothers). It’s recommended to choose well-capitalized, strictly regulated institutions.

Language and Regulatory Barriers

Investors lacking foreign language skills and knowledge of international laws may be misled by false information. It’s advisable to study relevant knowledge thoroughly and verify information carefully.

Difficulties in Handling Account Incidents

With domestic replication, even in cases like death, heirs can handle subsequent procedures with the broker. Overseas brokers often require investors to provide extensive documentation, making procedures more cumbersome.

Tax Compliance Requirements

Domestic replication involves domestic brokers as intermediaries, simplifying tax issues. Overseas investors need to understand each country’s tax regulations and ensure proper reporting.

Start Your Overseas Investment Journey

No matter which platform you choose from the US broker rankings, it’s crucial to fully understand your own needs, risk tolerance, and trading strategies before investing. It’s recommended to start with a demo account to practice and confirm whether the platform suits your investment style before committing real funds.

The US stock market offers abundant opportunities, but there is no perfect broker—only the one most suitable for you. We hope this article helps you find the ideal account opening platform and start a new chapter in US stock investing.