E-Trade, Schwab Get High Net Rankings
Apparently, Web-site glitches aren’t enough to keep a good online broker down.
On Thursday, the electronic-commerce research firm Gomez Advisors updated its “Internet Broker Scorecard” and named E-Trade the best online broker overall. Charles Schwab finished third.
Yet, relative to some peers, both are considered expensive. E-Trade charges $19.95 for a basic Nasdaq trade, Schwab $29.95. By comparison, SureTrade charges $7.95.
Like most online brokers, E-Trade and Schwab have suffered embarrassing outages this year.
Still, improved research tools and good service have propelled both to the top three, said Alex Stein, a principal with the Gomez Advisors, an e-commerce research firm based in Concord, Mass.
Gomez Advisors’ quarterly rankings are considered among the most influential, along with lists put out annually by Barron’s and Smart Money magazine. Each rely on a different formula.
Recently, Barron’s named DLJ Direct the best online broker overall. Smart Money chose QuickWay Net.
Joining E-Trade and Schwab in the Gomez Advisors’ top three was National Discount Brokers, an often-overlooked broker that was ranked 19th by Gomez Advisors earlier this year.
