Best Brokers For Fractional Shares 2025
After extensive hands-on testing, we’ve curated a list of the best brokers that allow fractional shares, giving you the flexibility to invest in top stocks without needing a full share – perfect for any budget.
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1eToro is a platform for social investing that provides options for both short and long-term trading on stocks, ETFs, options, and crypto. The platform is recognized for its easy-to-use, community-oriented interface and reasonable fees. With oversight from FINRA and SIPC, and used by millions globally, eToro is a reputed name in the industry. Trading on eToro is facilitated by eToro USA Securities, Inc.
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Trust Platform Assets Fees Accounts Research Education Mobile Support 4.3 Interactive Brokers (IBKR) is a top brokerage firm offering access to 150 markets in 33 countries and a range of investment services. With 40 years in the field, this company listed on Nasdaq strictly follows the rules set by authorities such as the SEC, FCA, CIRO, and SFC. It's recognized as one of the most reliable brokers for global trading. -
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Trust Platform Assets Fees Accounts Research Education Mobile Support 4.0 Firstrade is a US-based discount broker-dealer authorized by the SEC and a member of FINRA/SIPC. It offers welcome bonuses, advanced tools and apps, and commission-free trading. Firstrade Securities is a popular top online brokerage, and opening a new account is fast and simple. -
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Trust Platform Assets Fees Accounts Research Education Mobile Support 4.6 XM is a well-known forex and CFD broker with over 10 million clients in more than 190 countries. Since 2009, this reliable broker has provided low trading fees on over 1000 instruments. It is highly regulated by bodies such as ASIC and CySEC and offers a complete MetaTrader experience. -
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Trust Platform Assets Fees Accounts Research Education Mobile Support 3.5 eToro is a highly regarded platform offering trading in thousands of CFDs, stocks, and cryptoassets. Since 2007, it has gained millions of traders worldwide and is regulated by top authorities like the FCA and CySEC. The platform is especially known for its extensive social trading features. Crypto Trading is available through eToro USA LLC; Investments have market risks, including potential principal loss. CFDs are unavailable in the US Crypto investments are risky and highly volatile. Taxes may apply. Check the risks on the eToro website. 51% of retail CFD accounts lose money.
Top Brokers For Fractional Stocks Comparison
Broker Details Comparison
Safety Comparison
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Mobile Trading Comparison
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Comparison for Beginners
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Comparison for Advanced Traders
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Accounts Comparison
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Detailed Rating Comparison
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Fee and Cost Comparison
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Broker Popularity
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Broker | Popularity |
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eToro |
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XM |
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Interactive Brokers |
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eToro USA |
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Why Trade With eToro USA?
eToro is a top choice for traders due to its top-notch social investing and copy trading services. The broker caters well to new traders with its low deposit requirement, commission-free trading, and user-friendly platform.
Pros
- A free demo account enables new users and potential traders to test the broker without risk.
- eToro USA Securities is a reliable broker that's regulated by the SEC, part of FINRA, and a member of SIPC.
- The low minimum deposit and simple account setup allow beginners to start trading quickly.
Cons
- There are fewer trading options available, including only stocks, ETFs, and cryptos, compared to competitors.
- Traders used to third-party charting tools won't find MetaTrader 4 platform integration.
- The exclusive terminal does not accommodate trading bots and lacks extra equity market analysis tools.
Why Trade With Interactive Brokers?
Interactive Brokers is ideal for seasoned traders due to its robust charting platforms, updated data, and adaptability, especially with the IBKR Desktop application. Its exceptional pricing and advanced order features appeal to traders, and its variety of stocks remains unmatched in the market.
Pros
- There's a large selection of free or paid research subscriptions available to all traders. If you subscribe to Toggle AI, you will also receive commission refunds from IBKR.
- The new IBKR Desktop platform combines the advantages of TWS and adds unique tools like Option Lattice and Screeners with MultiSort to make trading accessible and impressive for traders of all levels.
- IBKR, primarily designed for skilled traders, has expanded its appeal recently by eliminating its initial $10,000 deposit requirement.
Cons
- Customer service may take time to respond, and there may be delays in fixing problems based on tests. It could be difficult to reach the customer service promptly.
- TWS's platform may be difficult for beginners to grasp because of its complexity. Plus500's web platform, on the other hand, is more appropriate for those new to trading.
- IBKR offers many research tools. However, the tools are not uniformly distributed across trading platforms and the web-based 'Account Management' page, causing confusion for the users.
Why Trade With Firstrade?
Firstrade is ideal for beginners wanting to trade US stocks without commission fees. It offers plenty of free educational resources and high-quality research, including its new FirstradeGPT tool. Users also get trading ideas from Morningstar, Briefing.com, Zacks, and Benzinga.
Pros
- FirstradeGPT ranks among the initial brokers to offer AI-powered analysis.
- Trusted US-regulated broker, member of SIPC
- Improved stock trading features now include overnight trading and fractional shares.
Cons
- Firstrade emphasizes stocks and lacks forex options, reducing diversification opportunities.
- Customer support needs improvement after testing, with no 24/7 help available.
- Over 90% of the evaluated options lack a demo or paper trading account.
Why Trade With XM?
With a $5 minimum deposit, advanced charting on MT4 and MT5, a growing range of markets, and a Zero account with spreads from 0.0, XM offers what traders need. They have even won our 'Best MT4/MT5 Broker' award recently.
Pros
- XM excels in trader education by providing well-organized resources like webinars, tutorials, and live trading sessions via XM Live.
- XM offers over 1,000 instruments, giving traders various short-term opportunities, including turbo stocks, fractional shares, and thematic indices.
- XM’s Zero account is ideal for trading with spreads from 0.0 pips, 99.35% of orders executed in <1 second, without requotes or rejections.
Cons
- XM is lagging because it doesn’t offer cTrader and TradingView, which are now preferred over MetaTrader for their better user interface and charting tools.
- The XM global entity is generally reliable and well-regulated but is registered with the less robust IFSC regulator. It no longer accepts UK clients, limiting its market reach.
- The XM app is user-friendly and offers unique copy trading products, but its technical analysis tools need enhancement for advanced traders.
Why Trade With eToro?
eToro's social trading platform ranks highly due to its excellent user experience and active community chat, useful for beginners seeking trading opportunities. The platform also offers competitive fees on a vast selection of CFDs and actual stocks, alongside beneficial rewards for skilled strategy contributors.
Pros
- There is a complete online training academy offering easily accessible resources, including short articles and detailed courses.
- Investment portfolios are available, focusing on traditional markets, tech, crypto, and more.
- The web platform and mobile app receive higher user reviews and app rankings than leading competitors, including AvaTrade.
Cons
- There are no guaranteed stop-loss orders, which would be a helpful risk management feature for beginners.
- Contact options are limited, except for the in-platform live chat.
- The minimum withdrawal amount is $30 with a $5 fee, impacting beginners with little capital.
Filters
How We Chose The Top Brokers Offering Fractional Shares
To bring you the best brokers offering fractional shares, we first verified that each platform truly provides access to fractional stock investing.
Then, we ranked these brokers based on their overall ratings, blending insights from over 200 data points – ranging from pricing and ease of use to advanced trading tools.
We also put each broker through extensive hands-on platform testing to ensure their interface, customer service, and transaction reliability stand up to real-world demands.
What To Look For In A Broker Allowing Fractional Stocks
When choosing a broker to invest in fractional shares, it’s important to focus on the features that make fractional investing as smooth and accessible as possible. Here are the key factors to consider:
Low or Zero Commission Fees
Look for brokers that offer commission-free trades for fractional shares, especially since you’re likely investing smaller amounts. Some platforms charge fees per trade, which can eat into your profits when you’re buying smaller fractions.
Wide Selection Of Stocks
Ensure the broker allows fractional shares in a broad range of stocks. Top platforms should offer the opportunity to invest in blue-chip stocks like Apple, Amazon, or Tesla, as well as up-and-coming stocks and ETFs.
Low Minimum Investment
A good fractional share broker should allow you to invest with as little as $1 or even less. This enables you to start investing in high-value stocks without having to meet high minimum deposit requirements.
Ease Of Use
The platform should be intuitive and user-friendly. Look for brokers that offer easy-to-navigate interfaces, simple order placement, and clear account management features, especially if you’re new to investing.
Real-Time Purchasing
It’s important that you can buy fractional shares in real-time based on current market prices, not with a delay. This gives you the ability to react quickly to market changes and take advantage of price movements.
Diversification Options
Fractional shares allow for easy diversification, so ensure the broker offers a variety of stocks and ETFs that let you spread your risk across different sectors and industries. This is especially important for long-term growth.
Fractional Share Availability In ETFs
Some brokers allow you to buy fractional shares not just in individual stocks, but in ETFs as well. This is ideal if you want to diversify across entire industries or sectors with smaller amounts.
Dividend Reinvestment Options
Some brokers allow you to automatically reinvest dividends into more fractional shares, which is a great way to compound your returns over time.
FAQ
What Is A Fractional Share?
A fractional share is a portion of a full share of a stock. This allows you to invest in companies with high stock prices, such as Meta or Tesla, without needing to purchase an entire share.
Fractional shares are ideal for small investors or those who want to diversify without a hefty upfront cost.
What Are The Pros Of Fractional Shares?
- Affordable: You don’t need to spend hundreds or thousands of dollars on one share.
- Diversification: Fractional shares let you spread your investment across multiple stocks, reducing risk.
- Flexibility: Invest any amount, no matter how small, and still own a piece of high-value stocks.
- Accessibility: Allows even beginner investors to enter markets that may have previously seemed out of reach.
What Are The Cons Of Fractional Shares?
- Limited Availability: Not all brokers offer fractional shares, and those that do might limit the stocks you can buy fractionally.
- Potential for Lower Liquidity: Fractional shares might be harder to sell compared to full shares, especially if there’s less market interest.
- Fees: Some brokers charge additional fees for fractional share transactions, which can eat into profits if you’re trading small amounts.