Choicetrade.com Review Is Choice Trade Legit Or Scam

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Contents

ChoiceTrade Review

ChoiceTrade lands near the bottom of our rankings due to feature limitations

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  • AccountMinimum: $100
  • Fees: $0 Commission per stock and ETF trades, 40 cents per options contract

ChoiceTrade has primarily focused on active traders placing large orders as its core customer base in the past, but the firm has been repositioning itself the last couple of years. Unfortunately, ChoiceTrade still appears to be searching for its niche while its rivals have gotten bigger in size, broader in their offerings, and more competitive in their pricing. We’ll look at how ChoiceTrade stacks up in this new online brokerage landscape to help you decide if it is a fit for your trading needs.

Key Takeaways

  • ChoiceTrade’s range of offerings is limited to U.S. equities (stocks and ETFs) and options. There is no fixed income, mutual fund, futures, or international trading.
  • ChoiceTrade clients can subscribe to newsletters that generate trading recommendations. Those recommended trades are stored on a staged orders page, but they are not sent to market until the client hits the TradeNow button. This gives you some control over executing newsletter recommendations, which is a fairly unique feature.
  • ChoiceTrade has been in business for 20 years, and it has a clean regulatory record.

Who ChoiceTrade Is For

Despite some attempts to change its core appeal, ChoiceTrade is still best suited for options traders who place large transactions. This is mostly because of the $50 cap per month for options commissions. Once you’ve traded 125 contracts, any other transactions within that month take place at no additional charge.

ChoiceTrade offers great value for frequent options traders

Customizing the HTML5 browser-based ChoiceTrade Elite platform is relatively easy

ChoiceTrade newsletter subscribers can have orders based on trading alerts staged for easy execution

You can only trade U.S. equities and options with ChoiceTrade

ChoiceTrade’s news feeds and research capabilities are limited

The standard ChoiceTrade web platform is outdated

Pros Explained

  • Options commissions are capped at $50 per month, so frequent high-volume traders can control their costs. If you trade 125 contracts per month, you’ll hit the $50 cap and the rest of your trades won’t incur a commission.
  • The ChoiceTrade Elite platform, which is a browser-based streaming site, can be customized by dragging and dropping widgets around to your specifications. You can also customize the options chains displays.
  • ChoiceTrade’s Auto Staging tool (also called ChoiceTrade Convenience Tool) gives you control over your newsletter subscription trade triggers without having to enter them manually. Trades recommended by newsletters are set up in the tool so you can review them and choose which ones to send to market.

Cons Explained

  • The asset classes you can trade with ChoiceTrade are limited to U.S. equities and options. Their clearing firm, Electronic Transaction Clearing LLC, does not handle mutual funds, fixed income, or international assets.
  • ChoiceTrade’s only news feeds come from Yahoo Finance. Clicking on a headline spawns a new browser tab, which gets messy quickly.
  • The only platform a client can access for free is the ChoiceTrade standard web platform, which is outdated and stale looking. To use the Elite platform, you must have at least $30,000 in your account or pay a $29.95 per month access fee.

Usability

ChoiceTrade is not as streamlined as some of its competitors when it comes to getting up and running. You can open an account on the web or on the mobile website; the mobile apps will redirect you to the mobile web. It takes about two days to get the account fully opened once you’ve set up a funding source. Setting layout defaults for the website and Elite platforms is fairly easy. Unfortunately, the standard website is easy to set-up because there are few defaults or customizations. The Elite platform is more dynamic and allows you to drag and drop widgets and define your options data setup. On the Elite platform, you can also design your own trading workflow.

All of the order types accessible on the web platforms can also be used on mobile apps. Watchlists on all platforms are basic but effective. You can create your own watchlists, name them, and sort them by your own criteria. Mobile charting is also simplistic and you can only add a few indicators. Data seems to update in real-time but there were often lags during our testing.

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On mobile, the research tab brings you to information about the stock that you last viewed. The available information is bare-bones, consisting mostly of fundamental data and the earnings calendar. The News tab has recent news about specific stocks from Yahoo Finance, but does not cover general market news.

Trade Experience

ChoiceTrade offers third-party platforms that clients can use, but these come with added fees in addition to a more robust trading experience. For the purposes of this review, we are looking at the standard ChoiceTrade web experience and the cheapest third-party platform branded ChoiceTrade Elite (provided by iVest).

ChoiceTrade’s standard web platform is clunky and difficult to navigate. The widget-based Elite platform is considerably more elegant and easier to use, with automatically updating data and a workflow that you can design to your own specifications. The Auto Staging tool (also called ChoiceTrade Convenience Tool) sets up trades recommended by newsletters to which you subscribe that you can verify and enter, but you can’t stage your own orders there. This tool is only on the standard web platform.

You can set your default order type to limit or market for both stocks and options and also set your default number of shares or contracts. The trading defaults set on ChoiceTrade’s web platform extend to Elite and mobile platforms.

Mobile Trade Experience

ChoiceTrade’s mobile app is sufficient for basic trading needs while you are away from a larger screen. The process of finding a stock and getting all the way through to placing and managing a trade is straightforward. That said, there is nothing exceptional about the mobile trade experience. Experienced traders who have used more robust and full-featured apps from some of ChoiceTrade’s rivals will be disappointed.

Range of Offerings

Clients of ChoiceTrade can only trade U.S. equities and options. There are no mutual funds, fixed income, futures, futures options, international assets, currencies, or cryptocurrencies. Again, the main reason to become a ChoiceTrade customer is to trade options in large quantities, so the limited offering is understandable – but it is still a limitation. With ChoiceTrade, you can trade:

  • Stocks long and short (approximately 3,000 on the easy-to-borrow list for short sales—slightly below average)
  • OTCBB (penny stocks)
  • Simple and multi-leg options

Order Types

You can enter stop limits and trailing stops on all of ChoiceTrade’s platforms, but no conditional orders. The order types are more restricted on the mobile app. You cannot select a tax lot when closing a position and the default is first-in-first-out.

Trading Technology

ChoiceTrade’s order router prioritizes speed of execution rather than price improvement. The firm does not report price improvement on your orders, and they do accept payment for order flow. For stocks, the payment for order flow accepted is on the high side—almost $0.01 per share. ChoiceTrade accepts an average rate of payment for order flow for options trades of about $0.37 per contract.

You cannot set up a trading system on ChoiceTrade though you can use their trading simulator to test strategies.

Costs

ChoiceTrade has lowered its equity trading commissions to $0 and also eliminated the per-leg fee for options trades to remain competitive. The brokerage’s options commission cap provides additional cost savings for heavy traders. It is worth noting that ChoiceTrade’s penny stock trades do incur a commission.

  • No commission to trade equities, ETFs
  • OTCBB/penny stocks are $7 per transaction
  • Options base commission is $0 per leg
  • Options per contract fee is $0.40
  • Monthly options commissions are capped at $50 (125 contracts)
  • Fee for 50 or contracts (single leg) is $20
  • Covered call trade of 500 shares plus 5 contracts is $2
  • Margin interest 7.75% for all loans. Discounts can be negotiated
  • Inactivity fee of $35 a quarter if client trades less than 5 times per calendar quarter
  • Account closure fee is $0
  • Account transfer fee is $75 for a full transfer, $0 for partial
  • Exercise and assignment fee is $5
  • Voluntary reorganization fee is $50
  • Wire fees are $35 for outgoing domestic wires, $60 for international
  • ChoiceTrade does not issue paper checks, so there are no fees
  • Paper trade confirmations are $5 per month
  • Paper statements are $5 per statement
  • Clearing and exchange fees, typically a fraction of a penny per share, are passed through to customers.
  • Software access fee depends on the platform chosen. ChoiceTrade Elite is $24.99 per month for accounts smaller than $30,000. Two other platforms that we did not review are described on ChoiceTrade’s software page. 
  • Live broker fee is an additional $25 per transaction

How This Broker Makes Money From You and for You

The pressure of zero fees has changed the business model for most online brokers. In lieu of fees, the way brokers make money from you is less obvious—as are some of the subtle ways they make money for you. Unfortunately, ChoiceTrade does not offer any ways to enhance your returns through lending stocks or an uninvested cash sweep.

  • Interest on uninvested cash: Like many brokerages, ChoiceTrade makes money in the form of short-term lending interest using customers’ uninvested cash balances. Unlike most firms, however, ChoiceTrade pays no interest to customers at all on uninvested cash. The information about interest on cash on ChoiceTrade’s website is confusing; there is some text indicating they pay interest, but there are no details. When we asked management directly, they said they paid no interest.
  • Stock loan programs: ChoiceTrade earns revenue loaning stocks in your account for short sales and does not share any portion of that revenue with you.
  • Payment for order flow: ChoiceTrade receives payment for order flow (PFOF) for equity and option trades. This is the practice where a broker accepts payment from a market maker for letting that market maker execute the order. There is no price improvement for trades executed by ChoiceTrade.
  • Price Improvement: ChoiceTrade’s order router does not seek out price improvement.
  • Portfolio margining: ChoiceTrade clients cannot apply for portfolio margining, which can lower the amount of margin needed based on the overall risk calculated. Typically, portfolio margining works best for customers who trade derivatives that offset the risk inherent in their equity positions. Since ChoiceTrade is an options-focused broker, it’s surprising that portfolio margining is not available.

Account Amenities

  • ChoiceTrade clients cannot apply for portfolio margining
  • ChoiceTrade does not have a stock loan program
  • ChoiceTrade pays no interest on idle balances
  • Dividend reinvestment is unavailable

Research Amenities

ChoiceTrade offers clients a limited suite of research tools. There is no ETF-specific screener, but ETFs can show up in the stock screener results.

Stock Screener

There is a basic screener on the web platform while the Elite screener displays streaming real-time data and some customization options. You can add screener results to your existing watchlists or create a new one.

Options Screener

There are several tools for generating options trading ideas available in the Elite platform under the Find tab. Candidates for trades are identified based on your market outlook.

Tools and Calculators

On each stock’s research page, you click on the Options tab to get a trade ticket and conduct some analysis of the trade. You can also add a note to the trade for a journal entry. There is a well-designed heatmap under the Research heading on the Elite platform.

Trading Idea Generators

You can find some options idea generators on the Elite platform, including covered calls, bullish options strategies, and others, but they take you to a stock information page. From there, click on the Options tab to get a pre-loaded trade ticket. You can do some light analysis on the suggested trade and use a slider to change the order price.

The built-in QuoteMedia news feeds are very limited. There is a news feed for individual stocks on each stock information page plus StockTwits posts on the Elite platform.

Third-Party Research

There are some Hammerstone market reports, which include price targets available on a few stocks.

Charting

The charting on ChoiceTrade’s standard web platform is extremely basic. The Elite platform has a much more robust charting feature, which includes numerous options studies and ways to evaluate the probability of profit on a particular strategy.

Portfolio Analysis

The ChoiceTrade Elite platform has an intriguing portfolio analysis tool called Trade Journal, where you can examine your trading results, including inspecting them visually on charts. Buying power and margin calculations are shown in real-time. The portfolio analysis feature calculates a time value index, which is a time-weighted rate of return figure.

Education

ChoiceTrade’s education offerings are light. There are videos for platform walkthroughs on the Elite offering and there is a “How to use this page” link on most pages. Beyond that, there is little that is trading-specific, although you will find links on the Help & Learning page to Options Industry Council features. ChoiceTrade does offer a trading simulator for its customers to practice on.

Customer Service

  • Phone line available Monday-Friday, 9 a.m.–5 p.m. Eastern time. Phones are answered very quickly.
  • No online chat for current and prospective clients.
  • Live broker available while phone lines are open.
  • Non-U.S. customers can open accounts though there are no details provided on countries allowed.

Security

ChoiceTrade needs to make improvements in this area to offer their clients more security.

  • No two-factor authentication
  • No biometric entry for the mobile app
  • No excess SIPC insurance
  • No significant breaches reported in 2020. 

Our Verdict

ChoiceTrade has found itself in a hard place with its competitors growing and investing more in the features and capabilities of their platforms. ChoiceTrade has a limited range of offerings, no interest on idle cash, and nominal educational/research content. Although the firm can still be attractive to the right type of options trader, there is little here for almost every other type of investor.

Given the strengths of other brokers covered in this series of reviews, we find it very difficult to recommend opening an account with ChoiceTrade at present. The three types of traders who might find an account useful are non-U.S. customers who cannot open an account at another broker, options traders who can make use of the $50 monthly cap on options commissions, or newsletter subscribers who want to take advantage of the ability to stage recommended trades. If ChoiceTrade wants to expand outside of that limited market, it is going to have to invest heavily in improving its platform for a wider customer base.

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Methodology

Investopedia is dedicated to providing investors with unbiased, comprehensive reviews and ratings of online brokers. Our reviews are the result of months of evaluating all aspects of an online broker’s platform, including the user experience, the quality of trade executions, the products available on its platforms, costs and fees, security, the mobile experience and customer service. We established a rating scale based on our criteria, collecting thousands of data points that we weighed into our star-scoring system.

In addition, every broker we surveyed was required to fill out an extensive survey about all aspects of its platform that we used in our testing. Many of the online brokers we evaluated provided us with in-person demonstrations of its platforms at our offices.

Our team of industry experts, led by Theresa W. Carey, conducted our reviews and developed this best-in-industry methodology for ranking online investing platforms for users at all levels. Click here to read our full methodology.

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Award Winning

ChoiceTrade has consistently ranked high in the annual Barron’s surveys as one of the best online brokers for stocks and internet options trading.

Power Tools for Active Traders

Beyond our online trading platform, ChoiceTrader Direct Pro offers streaming quotes, dynamic charts and more, in your browser or desktop.

Trade from Anywhere

Can’t get to your computer for online stock and option trading? Use your phone or tablet to trade stocks and options at m.choicetrade.com.

ChoiceTrade is rated

The Online Broker for Stocks and Options

ChoiceTrade has consistently ranked high in the annual Barron’s surveys as one of the best online brokers for stocks and options trading.

Beyond our online trading platform, ChoiceTrader Direct Pro offers streaming quotes, dynamic charts and more, in your browser or desktop.

Can’t get to your computer for online stock and option trading? Use your phone or tablet to trade stocks and options at m.choicetrade.com.

Copyright © 2000-2020 ChoiceTrade. All rights reserved. Member FINRA and SIPC

Accounts

Copyright © 2000- ChoiceTrade. All rights reserved. System response, access times and reporting times may vary due to market conditions, system performance, trading volumes, and other factors. Securities products and services offered through ChoiceTrade, Member SIPC.

ChoiceTrade

Overview

ChoiceTrade has a consumer rating of 3.75 stars from 6 reviews indicating that most consumers are generally satisfied with their purchases. ChoiceTrade also ranks 23rd among Option Trading sites.

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“Choice trade bad business”

I have been a Choice trade customer for over 10years When they switched to Vision from Apex clearing house they told us it was a better move for traders My experience shows this was a lie Today it prevents me from selling a number of my equities I have asked them to tell me which equities I can trade but they have not responded As result of their negligence I stand to lose over US$4500 I suggest any trader who trade small and sub penny stocks or foreign stocks keep away from Choice trade

ChoiceTrade Review 2020

ChoiceTrade Guide

ChoiceTrade are an online broker founded in 2009 offering Forex trading trading, CFD trading trading, Spread Betting trading, Social trading trading, and Share Dealing trading.

ChoiceTrade are a global broker and have a head office in United States.

ChoiceTrade have a listed stock symbol. This means that ChoiceTrade have publically listed and you can officially buy shares in ChoiceTrade on one of the worlds global market exchanges.

When trading in the financial markets it can be very time consuming to find a broker that meets your needs.

Often you have to visit and read many broker websites all of which have different uses of language. The wording can be very confusing. In our review of ChoiceTrade we break down the pros and cons. What ChoiceTrade are able to offer, what countries ChoiceTrade are available in. Who ChoiceTrade are regulated by and more.

Having a reliable and capable broker is crucial to your success in online trading. Make sure that your broker is not fake or unreliable to avoid losing your investment. Ensure that your needs fit the profile of your broker as well, in order for you to have a good working profitable relationship.

Benefits of trading with ChoiceTrade

Your capital is at risk

At the bottom of this review you can also learn about some pretty good alternatives to ChoiceTrade

With this review we hope to help you see if ChoiceTrade is a good fit for you.

It is a common myth that online trading is confusing. It is only difficult for people who have not done the research. In this article, you will learn important information regarding ChoiceTrade that will help you get off to a good start in the world of online trading.

ChoiceTrade Review Table of Contents

ChoiceTrade what you should know

ChoiceTrade offer five ways to trade: Forex trading, CFD trading, Spread Betting, Social trading, Share Dealing.

With ChoiceTrade you will need a minimum deposit of $250. You can sign up for a demo account to acquaint yourself with ChoiceTrade platform.

ChoiceTrade are able to accommodate various levels of traders whether you are experienced or a beginner.

Are ChoiceTrade safe?

When choosing a broker like ChoiceTrade the administrative body and regulatory status of the broker is very important. Brokers who conduct trades without supervision of a regulatory body do so at their own discretion. Any capital you invest is at risk.

Established in 2009, and in operation for 11 years ChoiceTrade have a head office in United States.

ChoiceTrade is regulated. This means ChoiceTrade are supervised by and is checked for conduct by the Unregulated regulatory bodies.

Regulated brokers will not manipulate market prices. When you send in a withdrawal request to ChoiceTrade, this will be honored. If ChoiceTrade violate any regulatory rules their regulated status could be stripped.

Any payments funded to ChoiceTrade accounts by traders are held in a segregated bank account.

For added security ChoiceTrade use tier-1 banks for this. Tier 1 is the official measure of a banks financial health and strength.

Try creating two accounts when you are working with ChoiceTrade. One is the real account, with your real money and the other is your demo account. The demo account is your experimental account.

Full disclosure: We may receive a commission if you sign up with a broker using one of our links.

Broker choicetrade eToro XTB IC Markets
Year Established 2009 2006 2002 2007
Head Office United States Cyprus, UK Poland Australia
Regulation Unregulated Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC) Financial Conduct Authority (FCA), FCA number FRN 522157, Cyprus Securities and Exchange Commission (CySEC), CySEC Licence Number: 169/12, Comisión Nacional del Mercado de Valores, Komisja Nadzoru Finansowego Australian Securities and Investment Commission (ASIC), Financial Services Authority (FSA), Cyprus Securities and Exchange Commission (CySEC)
Used By 10,000+ 12,000,000+ 250,000+ 60,000+
Negative balance protection No Yes Yes
Guaranteed Stop Loss No Yes No
Learn More Visit ChoiceTrade Visit eToro Visit XTB Visit IC Markets
Risk Warning Your capital is at risk 62% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Your capital is at risk Losses can exceed deposits

ChoiceTrade Pros and Cons

What we like about ChoiceTrade

  • Used by over 10,000 traders
  • Established in 2009
  • Regulated by Unregulated
  • Min. deposit from $250

What we don’t like about ChoiceTrade

  • Doesn’t allow scalping (See alternatives)
  • Not FCA Regulated (See alternatives)

ChoiceTrade Financial Regulation and Supervision in more detail

ChoiceTrade are not supervised or regulated by any well known regulatory bodies. Its normal to find online brokers like ChoiceTrade that are not regulated yet appear to be legitimate.

ChoiceTrade maybe relatively new. Some brokers provide their service under offshore licenses to save operational costs. Regulatory licensing can be very costly. We recommend only trading with regulated brokers. Should anything go wrong with ChoiceTrade you are not guarenteed help in a difficult situation.

ChoiceTrade General Fees

  • ChoiceTrade withdrawal fees varies on payment method
  • ChoiceTrade does charge inactivity fees
  • ChoiceTrade does charge deposit fees
Broker choicetrade eToro XTB IC Markets
Min Deposit 250 200 0 200
Withdrawl Fees $2.5 Yes varies No
Inactivity Fees Yes No No
Deposit Fees No No Varies
CFD Commission Fees No Yes Yes

ChoiceTrade Commissions

  • ChoiceTrade does charge commission on CFD instruments.

What can you trade with ChoiceTrade?

You can trade a wide variety of instruments with ChoiceTrade over 73 instruments infact.

If you are looking at trading currency pairs ChoiceTrade offer over currency pairs.

Compare ChoiceTrade with eToro and XTB below.

Broker choicetrade eToro XTB IC Markets
Instruments Available 73 100 1,500 232
Platforms cTrader, SocialTrading, copyTrading, webPlatform, DesktopPlatform, Proprietary . Web Trader, Tablet & Mobile apps MT4, Mirror Trader, Web Trader, Tablet & Mobile apps MT4, MT5, Mirror Trader, ZuluTrade, Web Trader, cTrader, Mac
FX / Currencies Visit ChoiceTrade Visit eToro Visit XTB Visit IC Markets
Forex pairs offered 50 50 65
Major forex pairs No Yes Yes Yes
Minor forex pairs No Yes Yes Yes
Exotic forex pairs No Yes Yes Yes
Cryptocurrencies No Yes Yes Yes
Commodity CFDs Visit ChoiceTrade Visit eToro Visit XTB Visit IC Markets
Commodities Offered 0 0 21 19
Metals No Yes Yes Yes
Energies No Yes Yes Yes
Agricultural NO Yes Yes Yes
Indiced & Stock CFDs Visit ChoiceTrade Visit eToro Visit XTB Visit IC Markets
Stocks Offered 957 1696 100
UK Shares No Yes Yes No
US Shares NO Yes Yes Yes
German Shares No Yes Yes Yes
Japanese Shares No Yes Yes Yes

Trading on ChoiceTrade web platforms and other applications

ChoiceTrade offer the popular MT4 forex trading platform. To see a list of the top MT4 brokers, see our comparison of MT4 brokers.

ChoiceTrade is one of a handful of brokers that offer the cTrader platform developed for traders. For a list of forex brokers that offer the cTrader platform, check out our comparison of MT4 brokers.

ChoiceTrade also offer mobile apps for Android and iOS, making it easier to keep an eye on and execute your trades while you’re on the move.

ChoiceTrade Trading benefits :

  • Low min deposit

ChoiceTrade Trading Accounts Offered :

  • Demo account
  • Mini account

Can I try ChoiceTrade before I buy?

ChoiceTrade offer a demo account so you can try before putting down funding payments. Open a practice account & learn to trade

ChoiceTrade withdrawl and funding methods.

ChoiceTrade offer the below funding payment methods. learn more about ChoiceTrade

Broker choicetrade eToro XTB IC Markets
Bank transfer No Yes Yes Yes
Credit Cards Yes Yes Yes Yes
Paypal No Yes Yes Yes
Skrill No Yes Yes Yes
Payoneer No Yes Yes
Neteller No Yes Yes Yes

How can I start trading with ChoiceTrade?

When opening a trading account with ChoiceTrade, you will need to sign up here. Once you have received your login details by email, submitted your identification documents for account validation, and made a deposit; the next step is to download the trading platform of your choice. You can find detailed guidance on ChoiceTrade trading platforms here.

Performing trades with ChoiceTrade

ChoiceTrade allow you to execute a minimum of trade of $5. This may vary depending on the account you open. ChoiceTrade allow you to execute a maxium trade of varies.

As a market maker, ChoiceTrade may have lower entry requirements compared to an ECN broker who benefits from a higher volume of trades and typically have larger capital and minimum trade requirements. Market makers typically have lower minimum deposit, smaller minimum trades requirements and no commission on trades.

As with most brokers, margin requirements do vary depending on the instruments.

ChoiceTrade Leverage and ChoiceTrade CFDs Explained

let’s take a look at some of the basics of using ChoiceTrade leverage.

ChoiceTrade offer CFD are a leveraged product for this example we describe ten times leverage.

So you have a ten thousand dollar position but you only tie up a thousand dollars a tenth of the value on your account. You have a situation where a small sum of money is controlling a much bigger financial position. This is your leverage.

So what effect does leverage have on your profits and losses well put simply it magnifies them in both directions.

ChoiceTrade leverage magnifies both profits and losses when trading.

Let’s say for example you buy ten thousand dollars worth of General Electric (GE) using contracts for difference ( CFDs ) using the ChoiceTrade trading platform.

let’s say General Electric (GE) rises 10% because its results are positive your position which was worth ten thousand dollars is now worth $11,000.

It’s grown by $1000 10% in value this represents a hundred percent increase on the funds initially committed on your leverage CFD trade.

Our initital investment of ten thousand dollars for the trade and has made a thousand dollars in profit because the price is up ten percent.

The ChoiceTrade leverage goes both ways. If General Electric (GE) Falls 10% on week results your position which was worth ten thousand dollars is now worth only nine thousand dollars. It has fallen by a thousand dollars.

ChoiceTrade CFDs are typically used for short to medium term trades. For example ChoiceTrade intraday trading.

Education resources at ChoiceTrade

To trade effectively with ChoiceTrade, it’s important to get a have a good understanding of the ChoiceTrade trading tools and the markets.

ChoiceTrade offer a good selection of educational resources. Spend some time reading up on how the markets and trading works, making active trades, active trading times, and managing risk.

Having an analytical approach may be a good way to approach trading with ChoiceTrade.

Take time to look around the ChoiceTrade platforms and train yourself to think more systematically and logically about the markets. It’s a new skill-set for many, but it is what the market requires of you.

Customer Support at ChoiceTrade

ChoiceTrade support a wide range of languages including English, Spanish, Czech, Chinese, German, French, Italian, Polish, Portuguese, Romanian, Slovenian,Hindi, Hebrew, Arabic, Russian

ChoiceTrade have a D grade support rating because because sometimes the response was slow or our query wasnt answered. ChoiceTrade less customer support features compared to other brokers like live chat, phone and email support. email support and supports a limited amount of Languages. Live chat support supports a limited amount of Languages. Phone support supports a limited amount of Languages.

Livechat Support at ChoiceTrade

We tested the ChoiceTrade live chat and it works well. We sent messages to ChoiceTrade livechat through their app and website and recieved a response within 20 minutes. Sometimes there was no response.

We tested communicating with ChoiceTrade support in multiple languages in multiple countries. ChoiceTrade where able to resolve our customer issues.

Email Support at ChoiceTrade

We sent several emails to ChoiceTrade and answer times overall were excellent. The fastest response from ChoiceTrade was 4 hours and the slowest response was 5 days. Sometimes there was no response. Support response times may vary for you with ChoiceTrade, but this was our experience sending 10 emails at varying times.

The team resolved and answered our queries. Overall average email support from ChoiceTrade.

Phone Support at ChoiceTrade

We called ChoiceTrade and the call was answered very quickly. The call was answered in less than 5-10 minutes.

The ChoiceTrade phone support team were able to successfuly answer our questions and issues over the phone. We tested the multilingual ChoiceTrade team by calling in varying languages. ChoiceTrade made an effort to make sure our queries were answered.

Overall the phone support from ChoiceTrade was okay.

See how ChoiceTrade Support Compares Against Other Brokers

Broker choicetrade eToro XTB IC Markets
Support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
Languages English, Spanish, Czech, Chinese, German, French, Italian, Polish, Portuguese, Romanian, Slovenian,Hindi, Hebrew, Arabic, Russian English, German, Spanish, French, and Italian English, Spanish, Czech, Chinese, German, French, Italian, Polish, Portuguese, Romanian, Slovenian, and Turkish English, Japanese, Chinese, Polish, Afrikans, Danish, Dutch, German and more
Learn More Visit ChoiceTrade Visit eToro Visit XTB Visit IC Markets
Risk Warning Your capital is at risk 62% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Your capital is at risk Losses can exceed deposits

What you will need to open an account with ChoiceTrade

As ChoiceTrade is regulated by Unregulated, every new client must pass a few basic compliance checks to ensure that you understand the risks of trading and are allowed to trade. When you open an account, you’ll likely be asked for the following, so it’s good to have these handy:

  • A scanned colour copy of your passport, driving license or national ID
  • A utility bill or bank statement from the past three months showing your address

You’ll also need to answer a few basic compliance questions to confirm how much trading experience you have, so it’s best to put aside at least 10 minutes or so to complete the account opening process.

While you might be able to explore ChoiceTrade’s platform straight away, it’s important to note that you won’t be able to make any trades until you pass compliance, which can take up to several days, depending on your situation.

To start the process of opening an account with ChoiceTrade you can visit their website here.

CFDs are leveraged products and can result in the loss of your capital. All trading involves risk. Only risk capital you’re prepared to lose. Past performance does not guarantee future results.
This post is for educational purposes and should not be considered as investment advice. All information collected from https://www.choicetrade.com/ on 12th August 2020.

Is ChoiceTrade A Good Broker?

We spent over 3 months examining ChoiceTrade in depth. Although we found some very useful aspects of the ChoiceTrade platform that would be useful to some traders. Overall our feeling is that you would be better served with an alternative ChoiceTrade broker.

  • ChoiceTrade have a good track record of offering Forex trading, CFD trading, Spread Betting, Social trading, Share Dealing.
  • ChoiceTrade has a history of over 11 years.
  • ChoiceTrade has a reasonable sized customer support of at least 10.
  • ChoiceTrade are regulated by Unregulated. This means ChoiceTrade fall under regulation from a jurisdiction that can hold a broker responsible for its misgivings; or at best play an arbitration role in case of bigger disputes.
  • ChoiceTrade have regulation from a Tier 1 reputable country.
  • ChoiceTrade has the ability to get deposits and withdrawals processed within 2 to 3 days. This is important when withdrawing funds.
  • ChoiceTrade have an international presence in multiple countries. This includes local ChoiceTrade seminars and training.
  • ChoiceTrade are able to hire people from various locations in the world who can better communicate in your local language.

ChoiceTrade Risk Disclaimer

Your capital is at risk

ChoiceTrade not quite right?

Check out these ChoiceTrade Alternatives

We have spent years researching the best alternatives to ChoiceTrade. Click the links below to learn more.

If you feel some of the above ChoiceTrade are not quiet what you are looking for or perhaps you would just like to see some alternatives. See our highly rated list of ChoiceTrade alternatives below.

If you would like to see how ChoiceTrade stands up against other brokers you can read some of our ChoiceTrade comparisons below. We compare side by side some of our top rated ChoiceTrade versus comparisons. Read some indepth ChoiceTrade VS pages below.

CHOICETRADE Frequently Asked Questions

Can I try ChoiceTrade before I buy?

ChoiceTrade offer a demo account so you can try before you put down and payment. Learn more here

What funding methods do ChoiceTrade accept?

ChoiceTrade offer the following funding payment methods accept Credit cards, among other payment methods.
Learn more here

Is ChoiceTrade safe?

While ChoiceTrade may not be considered unsafe, they are not regulated or supervised by any major regulatory body. Depending on your trading style this may be okay. We recommend you trade with a regulated broker.Any payments funded to ChoiceTrade accounts by traders are held in a segregated bank account. For added security ChoiceTrade use tier-1 banks for this. Tier 1 is the official measure of a banks financial health and strength.

Is ChoiceTrade trading good?

While ChoiceTrade may not necessarily be considered bad, they are not regulated. We would recommend trading with only regulated brokers.ChoiceTrade is used by over ChoiceTrade active traders. ChoiceTrade offers Forex trading trading, CFD trading trading, Spread Betting trading, Social trading trading, and Share Dealing trading. Minimum deposit with ChoiceTrade is mindeposit.

Is ChoiceTrade trading Legit?

ChoiceTrade was founded in United States in 2009. ChoiceTrade has been facilitating trade on the financial markets for over 11 years. ChoiceTrade offers clients Forex trading trading, CFD trading trading, Spread Betting trading, Social trading trading, and Share Dealing trading. All funds deposited to ChoiceTrade are held in segregated tier 1 bank accounts for security. ChoiceTrade is not regulated. Although this doesnt mean ChoiceTrade are awful, we recommend trading with regulated brokers.

Is ChoiceTrade a good broker?

ChoiceTrade is not regulated by a top tier financial regulator. While many traders may still find trading with ChoiceTrade useful, we recommend only trading with a broker that has regulation.ChoiceTrade allows Forex trading trading, CFD trading trading, Spread Betting trading, Social trading trading, and Share Dealing trading.

Is ChoiceTrade trustworthy broker?

While having many plus points because ChoiceTrade is not regulated we personally would not trade with them. Make any broker you trade with is regulated and places any funded money into segregated tier 1 bank accounts. If your money is in a segregated bank account the broker has no direct access to your funds so cannot misappropriate your money.

What is the minimum deposit for ChoiceTrade?

The minimum deposit to trade with ChoiceTrade is 250.

How long do ChoiceTrade withdrawals take?

Withdrawing money from ChoiceTrade processing time varies but averages 2-5 days.

Is ChoiceTrade regulated?

ChoiceTrade is not regulated by a top tier financial regulator.

Is ChoiceTrade a market maker?

ChoiceTrade is a not a market maker. A market maker speeds up trading as a market maker will purchase your stocks and commodities even is a buyer is not lined up.

How can I start trading with ChoiceTrade?

When opening a trading account with ChoiceTrade, you will need to sign up here. Once you have received your login details by email, submitted your identification documents for account validation, and made a deposit; the next step is to download the trading platform of your choice. You can find detailed guidance on ChoiceTrade trading platforms here.

Is my money safe with ChoiceTrade?

ChoiceTrade is regulated by Unregulated. One of the most important criteria for traders when choosing a broker like ChoiceTrade is the regulatory body and regulatory status of the broker. Brokers who conduct business without regulation do so at their own discretion and pose a direct risk to the security of their clients money.

Regulated brokers will not manipulate market prices. When you send in a withdrawal request to ChoiceTrade, this will be honored. If they violate any regulatory rules their regulated status can be stripped.

Is ChoiceTrade a con?

While we would noy say that ChoiceTrade is a con. Because they are not regulated by a top tier financial regulator we would not trade with them.

Can you make money with ChoiceTrade?

Although traders have had great success with ChoiceTrade. Trading on the financial markets with ChoiceTrade is not a get rich scheme. If you educate yourself, practise with a demo account and carefully plan your trading your chance of success will greatly increase. Never trade with money you cannot afford to lose. Your capital is at risk.

Does ChoiceTrade have fees?

ChoiceTrade withdrawal fees varies on payment method. ChoiceTrade does charge inactivity fees. ChoiceTrade does charge deposit fees.

When was ChoiceTrade founded?

ChoiceTrade was founded in 2009.

How many people use ChoiceTrade?

ChoiceTrade is used by over 10000 registered traders.

What is ChoiceTrade Headquarters country?

ChoiceTrade has its head quarters office in United States.

Does ChoiceTrade offer negative balance protection?

ChoiceTrade does not offer negative balance protection. With Negative balance protection means traders cannot lose more money than they have deposited.

Does ChoiceTrade offer guaranteed stop loss?

ChoiceTrade does not offer guaranteed stop loss. With guaranteed stop loss protection risk is managed. Traders are guarenteed to close your trade at your specified price. Stop Loss orders are guaranteed only during market hours and under normal trading conditions.

Does ChoiceTrade allow scalping?

ChoiceTrade does not offer scalping.

Does ChoiceTrade allow hedging?

ChoiceTrade does not offer hedging.

Does ChoiceTrade offer CFD trading?

ChoiceTrade offers CFD trading.

Does ChoiceTrade offer STP?

ChoiceTrade does not offer STP trading.

How many people use ChoiceTrade?

ChoiceTrade is used by over 10000 traders.

Is ChoiceTrade an ECN broker?

ChoiceTrade does not offer ECN trading.

Does ChoiceTrade offer a demo account?

ChoiceTrade offers a demo account.

Does ChoiceTrade offer an Islamic account?

ChoiceTrade does not offer Islamic accounts.

What are the funding methods for ChoiceTrade?

ChoiceTrade accept the following funding methods : Credit cards,

ChoiceTrade review written by Andrew Blumer and Mark Hansen

We hope you found our review of the ChoiceTrade brokerage firm useful.

This article was written by our financial editor Mark Hansen and Andrew Blumer.

Mark was previously of the Kiel Insitute and has worked with financial organisations across Europe, Australia, South East Asia, South Africa and the Middle East. Mark has over 15 years experience in financial analysis, forecasting, financial modeling idenifying new market opportunities in Stocks, CFD’s, Forex and Commodities.

Andrew has a well-established career in fintech and came up with comparebrokers.co to make trading on financial markets more transparent and accessible.

Whether you want to trade Forex, Stocks, Commodities or Indices we will help you find the best online broker for you from 400+ brokers for clients based in the UK, Europe, Asia, South Africa and Australia.

Read some of our Broker Reviews

COPYRIGHT © 2020. ALL RIGHTS RESERVED. Compare Brokers

Please note that Comparebrokers.co may have financial relationships with some of the merchants mentioned here and may be compensated if consumers choose to click the links located throughout the content on this site.

RISK WARNING: Your capital is at risk. Trade with caution, these products might not be suitable for everyone so make sure you understand the risks involved.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Some of the links on this websites articles and comparison tables are affiliate links, which means we receive a commission should open an active account. This does not increase the cost to you for using a broker and is how the site is funded and covers the costs of running this website. The information contained in this website is for informational purposes only and does not constitute financial advice. The material does not contain (and should not be construed as containing) investment advice or an investment recommendation, or, an offer of or solicitation for, a transaction in any financial instrument.

ChoiceTrade Review

While ChoiceTrade advertises free stock trades, unfortunately, monthly costs add up, and, overall, ChoiceTrade provides customers an online investing experience not worth the hassle.

Top Takeaways for 2020

After spending five months testing 15 of the best online brokers for our 10th Annual Review, here are our top findings on ChoiceTrade:

  • In our testing, we found that ChoiceTrade underperforms in nearly every aspect of the trading experience, from platform options to research, customer service, and ease of use. Needless to say, we do not recommend ChoiceTrade for beginners.
  • While the Choice ELITE desktop-based platform surprised us with depth, including an okay mobile app, overall usability severely underperformed. As a result, the platform is a poor choice for day trading.
  • While ChoiceTrade markets free trading, the bottom line is that there is fine print, including monthly platform fees and inactivity fees, which customers should be aware of. Details aside, given the ultra-competitive $0 trades market, we do not recommend ChoiceTrade for discount trading or penny stocks.

Overall Summary

Feature ChoiceTrade
Overall 3 Stars
Commissions & Fees 4.5 Stars
Offering of Investments 2.5 Stars
Platforms & Tools 3 Stars
Research 2 Stars
Education 1.5 Stars
Mobile Trading 3.5 Stars
Customer Service 3.5 Stars
Ease of Use 2.5 Stars

Commissions & Fees

ChoiceTrade offers $0 stock trades for US customers and options trades for $.40 per contract ($50 per month cap).

Fine print: Specifically, traders get unlimited free stock trades if the stock is over $1 per share, traded on the NASDAQ or NYSE, a market or limit order is used, and you are not trading after hours. After-hours trades cost an additional $.005 per share and miscellaneous account fees are far higher than the industry average. Stocks under $1 cost $7 per trade.

Platform fee: While ChoiceTrade offers three third-party platform options, we focused our testing on the ChoiceTrade Elite Trader platform, which runs $29.95 per month. The only way to waive the monthly fee is to maintain a $30,000+ account balance.

Inactivity fee: ChoiceTrade also assesses a $35 quarterly inactivity fee for any account that does not place at least five trades during the current calendar quarter.

ChoiceTrade pricing summary:

Feature ChoiceTrade
Minimum Deposit $0.00
Stock Trade Fee (per trade) $0.00
ETF Trade Fee $0.00
Options Base Fee $0.00
Options Per Contract Fee $0.40
Mutual Fund Trade Fee N/A
Broker Assisted Trades Fee $30.00
Commission-Free ETFs All

Platforms & Tools

ChoiceTrade offers three third-party platforms: QuoteStream (marketed as QuoteStream Trader), DAS Trader Pro (marketed as Direct ProTrader), and iVest Plus (marketed as ChoiceTrade Elite Trader). I focused my testing on ChoiceTrade Elite Trader, which runs $29.95 per month.

Trading tools: ChoiceTrade Elite Trader surprised me by checking off a number of advanced features that I wouldn’t have expected. The platform is also widely supported, offering both web and desktop-download options. Unfortunately, the design is terrible. To compete with industry powerhouses like TD Ameritrade and TradeStation, which both offer excellent (and free) trading platforms, iVest Plus will need to hire a designer to work some magic.

Research

Beyond pulling basic stock quotes and conducting elementary research such as viewing a balance sheet or income statement, ChoiceTrade has little to offer. Yes, there are fundamental metrics for stocks such as Price/Book ratio and insider analysis, but the data is presented in such an awkward fashion, with no disclosure of where the data comes from, that it’s mostly worthless. Additionally, no ETFs research is offered beyond basic quotes, no mutual funds research is provided, and traditional screeners are nowhere to be found.

Customer Service

To score Customer Service, StockBrokers.com partners with customer experience research group Confero to conduct phone tests from locations throughout the United States. For our 2020 Broker Review, 280 customer service tests were conducted over ten weeks.

Results

  • Average Connection Time: th (14 brokers)

Mobile Trading

ChoiceTrade offers a mobile app for its customers that supports the basics for trading on the go. Both iOS and Android apps are offered, and there is real-time streaming market data alongside decent charting, which includes after-hours visibility.

Unfortunately, compared to the best stock trading apps, ChoiceTrade struggles to compete, as functionality like basic price alerts is not supported.

Offering of Investments

Beyond providing a platform on which to trade stocks and options online, ChoiceTrade has little to offer. Worse yet, there is no two-factor authentication login option for secure logins.

Final Thoughts

Unfortunately, time has not been friendly to ChoiceTrade. Today’s world of online trading is hyper-competitive, with all the biggest names in the industry now offering $0 trades.

The 2020 price war brought household names such as TD Ameritrade, E*TRADE, and TradeStation down to $0 for regular stock trades. No matter how you slice the pie, ChoiceTrade just doesn’t have the size and resources to compete for a piece of the market.

2020 Review Methodology

For the StockBrokers.com tenth annual best online brokers review published in January 2020, a total of 3,540 data points were collected over six months and used to score brokers. This makes StockBrokers.com home to the largest independent database on the web covering the online broker industry.

Participation is required to be included. Each broker completed an in-depth data profile and provided executive time (live in person or over the web) for an annual update meeting. Our rigorous data validation process yields an error rate of less than .001% each year, providing site visitors quality data they can trust. Learn more about how we test.

About the author: Blain Reinkensmeyer As Head of Research at StockBrokers.com, Blain Reinkensmeyer has 18 years of trading experience with over 1,000 trades placed during that time. Referenced as a leading expert on the US online brokerage industry, Blain has been quoted in the Wall Street Journal, The New York Times, Forbes, and the Chicago Tribune, among others.

Compare ChoiceTrade

Find out how ChoiceTrade stacks up against other brokers.

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All pricing data was obtained from a published web site as of 01/20/2020 and is believed to be accurate, but is not guaranteed. For stock trade rates, advertised pricing is for a standard order size of 500 shares of stock priced at $30 per share. For options orders, an options regulatory fee per contract may apply.

Advertiser Disclosure: StockBrokers.com helps investors across the globe by spending over 1,000 hours each year testing and researching online brokers. How do we make money? Our partners compensate us through paid advertising. While partners may pay to provide offers or be featured, e.g. exclusive offers, they cannot pay to alter our recommendations, advice, ratings, or any other content throughout the site. Furthermore, our content and research teams do not participate in any advertising planning nor are they permitted access to advertising campaign data. Here is a list of our partners.

Disclaimer: It is our organization’s primary mission to provide reviews, commentary, and analysis that are unbiased and objective. While StockBrokers.com has all data verified by industry participants, it can vary from time to time. Operating as an online business, this site may be compensated through third party advertisers. Our receipt of such compensation shall not be construed as an endorsement or recommendation by StockBrokers.com, nor shall it bias our reviews, analysis, and opinions. Please see our General Disclaimers for more information.

© 2020 Reink Media Group LLC.
All rights reserved.

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