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FirstTrade offering free trades?

Anything related to investing, including crypto

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Oct 13, 2013
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So whats the deal with FirstTrade offering completely free trades?
There has to be a catch here, does anyone know anything about them? I searched their pricing page and its very vague. How could they make money then?
 
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lludwig

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Yes it appears legit.

How can they make money? A number of ways:
  • Sell order info (like Robinhood does)
  • Margin interest
  • Fees paid to them when an individual uses an ETF/Mutual fund
  • Managed services (I don't think they have this though)
 

Traction

New Contributor
User Power
Value/Post Ratio
23%
Oct 13, 2013
43
10
Yes it appears legit.

How can they make money? A number of ways:
  • Sell order info (like Robinhood does)
  • Margin interest
  • Fees paid to them when an individual uses an ETF/Mutual fund
  • Managed services (I don't think they have this though)
Im with Interactive Brokers which I think is supposed to be the cheapest and my fees were $6k for the year.

Im pretty small fish but image them dropping me + every other investors trading fees in the hope of making it back in others ways as above, which I do not utilise.

Could this company be doing this to get people on their books and then they suddenly go bust?
 

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