10 Best ETF Platforms and Brokers of January 2025
ETFs can help you create a well-diversified portfolio. The brokers below all offer a large selection of ETFs with no trade commission.
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Our deep, independent analysis of online brokers sorts through key account details to find and evaluate the information investors want when choosing an account. To see our full methodology and learn more about our process, read our criteria for evaluating brokers.
Over 60 investment account providers reviewed and rated by our expert Nerds.
More than 50 years of combined experience writing about finance and investing.
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It's rare for a broker to not offer access to exchange-traded funds, which have become popular investments — they trade like individual stocks but provide the diversification of mutual funds. They also tend to be tax-efficient and many charge low fees.
Because of their similarities to individual stocks, many of the features sought by investors in a stock-trading account are also relevant to ETF investors. Like stocks, many brokers now offer ETFs commission-free. Besides commissions, it’s also important to consider other criteria, including a broker’s fund selection and tools for creating a well-diversified portfolio.
Here are all of NerdWallet’s picks for the best online brokers for every kind of ETF investor, whether you’re looking for a broker with free commissions, the broadest range of ETFs or the best platform to help you build and manage a portfolio.
Nerdy Tip
Looking for Bitcoin or Ethereum ETFs? Most of the brokers below offer them — the exception is Vanguard, which has declined to offer them on its platform.
Best ETF Platforms and Brokers
| Broker | NerdWallet rating | Fees | Account minimum | Promotion | Learn more |
|---|---|---|---|---|---|
4.5/5 | $0 per trade | $0 | 1 Free Stock after linking your bank account (stock value range $5.00-$200) | Learn moreLearn more on Robinhood's website | |
4.3/5 | $0 per trade. Other fees apply. | $0 | Get up to $1,000 when you open and fund an E*TRADE account | Learn moreLearn more on E*TRADE's website | |
4.8/5 | $0 per online equity trade | $0 | None no promotion available at this time | Learn moreLearn more on Charles Schwab's website | |
4.4/5 | $0 per trade | $0 | None no promotion available at this time | Learn moreLearn more on Vanguard's website | |
5.0/5 | $0 per trade | $0 | None no promotion available at this time | Learn moreLearn more on Interactive Brokers' website |
Fees
$0
per trade
Account minimum
$0
Promotion
1 Free Stock
after linking your bank account (stock value range $5.00-$200)
Fees
$0
per online equity trade
Account minimum
$0
Promotion
None
no promotion available at this time
Fees
$0
per trade
Account minimum
$0
Promotion
None
no promotion available at this time
Fees
$0
per trade
Account minimum
$0
Promotion
None
no promotion available at this time
Fees
$0
per trade
Account minimum
$0
Promotion
Get up to $700
when you open and fund a J.P. Morgan Self-Directed Investing account with qualifying new money.
Fees
$0
per trade for online U.S. stocks and ETFs
Account minimum
$0
Promotion
None
no promotion available at this time
Want to compare more options? Here are our other top picks:
Last updated on January 3, 2025
Methodology
NerdWallet’s comprehensive review process evaluates and ranks the largest U.S. brokers. Our aim is to provide an independent assessment of providers to help arm you with information to make sound, informed judgements on which ones will best meet your needs. We adhere to strict guidelines for editorial integrity.
We collect data directly from providers through detailed questionnaires, and conduct first-hand testing and observation through provider demonstrations. The questionnaire answers, combined with demonstrations, interviews of personnel at the providers and our specialists’ hands-on research, fuel our proprietary assessment process that scores each provider’s performance across more than 20 factors. The final output produces star ratings from poor (one star) to excellent (five stars).
For more details about the categories considered when rating providers and our processes, read our full broker ratings methodology.
NerdWallet's Best ETF Platforms and Brokers of January 2025
Frequently asked questions
ETFs allow investors to invest in a diversified selection of stocks, bonds or other investments in a single transaction. Like mutual funds, ETFs pool investor money to purchase shares of a number of different investments.
Those investments generally mimic a benchmark, like the S&P 500. ETF investors don’t own the underlying assets in the fund — the ETF provider maintains ownership. Instead, ETF shareholders own a portion of the ETF itself.
ETFs are traded on an exchange, much like an individual stock, which means they can be bought and sold throughout the day. You can read more about ETFs in this explainer: What is an ETF?
All investments carry risk, and ETFs are no exception. But, since ETFs have built-in diversification, similar to mutual funds, risk is generally lower than it is in trading any one company stock or bond. Still, most ETFs mirror an underlying asset or index, which can rise and fall in value depending on market conditions.
Other risks include the liquidity of the fund (that is, how easily you can buy or sell the ETF) and the potential for the fund to close down.
Like any investment, that varies. As with mutual funds, ETF costs come from a couple of different directions.
Because ETFs trade on an exchange, they can be subject to broker stock commissions. However, many brokers allow you to buy or sell ETFs with no commission.
As with any fund, ETFs charge an expense ratio to pass the cost of administering the fund on to investors. The expense ratio is an annual fee, expressed as a percentage of your investment: a 1% expense ratio costs $10 a year for every $1,000 you invest in the fund. In general, because ETFs passively track a benchmark, their expenses tend to be lower than what you’d pay for an actively managed mutual fund. Take a look at average fund expense ratios so you know where your ETF stands.
To trade ETFs, you’ll need an account with an online broker. If you don’t have one, you can open one with one of the companies listed above in about 15 minutes — the whole process can typically be done online. Here's the step-by-step of how to open a brokerage account.
Once the account is funded, you can purchase ETFs using their ticker symbol, very similar to the way you buy stocks. You’ll place an order on your broker’s website or online trading platform with the ETF’s ticker, the order type and the number of shares you’d like to purchase. Read our step-by-step guide to buying an ETF.
ETFs combine the flexibility of stock trading with the instant diversification of mutual funds. As most ETFs are passively managed — tracking a benchmark index rather than trying to beat market returns — management fees are on average about one-third lower than that of actively traded mutual funds. Costs are transparent, and the value of the fund’s holdings are reported at the end of each day (as opposed to monthly or quarterly for mutual funds).
ETFs often are more tax-efficient than mutual funds because they typically draw lower capital gains taxes. Investors might pay only upon the sale of the ETF, whereas mutual fund investors can incur capital gains taxes throughout the life of the investment.
The main difference is in how these funds invest, and how they’re bought and sold. As we noted above, ETFs can be traded throughout the day, leading to the kind of price fluctuations you might see with individual stocks. Mutual funds are typically purchased from fund companies rather than other investors and are priced once a day after the market has closed.
Though ETFs can be actively managed, most are passive, tracking an index. Many mutual funds are actively managed and employ a professional to pick and choose investments, which can result in higher fees.
Here’s our full comparison of ETFs and mutual funds.
Like stocks, ETFs are traded on exchanges like the New York Stock Exchange (hence the name, exchange-traded funds). But unlike a stock, which buys assets in one publicly traded company, an ETF tracks an index, a basket of securities, bonds or other assets.
Because they are traded for a share price, you don’t run into the typical mutual fund minimums, which can be $1,000 or more. You can purchase an ETF share for as little as $10 or $20 in some cases. Robo-advisors that use ETFs in their portfolios may even allow you to buy fractional shares — portions of a fund smaller than a single share.
That said, some brokers have account minimums, though there are quite a few options above that do not.
Yes — if the portfolio owned by the ETF includes equities such dividend-paying stocks. These can be paid monthly or on some other time frame, depending on the ETF. If you're interested in this type of income, view our list of the best dividend ETFs.
Yes, you can use dividends to acquire more shares in the same ETF, but there may be commissions for reinvesting dividends. Check with your brokerage to learn more.