Zacks Trade-Overview of Minimum Deposit, Spreads & Leverage

What is Zacks Trade？

Zacks Trade is an unregulated online trading platform that offers a variety of financial services to investors. It provides a diverse range of trading instruments, including stocks, ETFs, options, mutual funds, corporate bonds, and government bonds. The platform also offers competitive margin rates and low-cost trading options, along with Zacks Trade Pro, Client Portal, and Zacks Trade app trading platforms.

Pros & Cons

Pros:

• Diverse Range of Trading Instruments: Zacks Trade offers a diverse array of trading instruments, including stocks, ETFs, options, mutual funds, corporate bonds, and government bonds.

• Comprehensive Trading Platforms: Zacks Trade offers a diverse range of trading platforms tailored to suit various preferences and trading styles, including Zacks Trade Pro, Client Portal, and the Zacks Trade app.

Cons:

• No Regulation: The lack of valid regulation raises significant safety and trust concerns, as regulatory oversight is crucial for ensuring customer protection and platform transparency.

Is Zacks Trade Legit or a Scam？

Zacks Trade prioritizes the security of its users' accounts through several robust measures.

Firstly, the platform employs SSL encryption, a standard security protocol utilized by reputable financial institutions and online services to ensure the confidentiality and integrity of data transmitted between users' devices and the Zacks Trade servers. This encryption technology helps safeguard sensitive information such as login credentials, personal details, and financial transactions from unauthorized access or interception by malicious actors.

Additionally, Zacks Trade implements an automatic account timeout feature, which automatically logs users out of their accounts after a period of inactivity. This proactive measure helps mitigate the risk of unauthorized access to users' accounts in case they inadvertently leave their sessions unattended.

Furthermore, Zacks Trade monitors and limits failed login attempts, providing an additional layer of protection against potential brute-force attacks or unauthorized access attempts.

Zacks Trade also ensures a robust secure login system to protect its clients' accounts and assets. In addition to creating a unique username and password, all clients are required to use a security code device or mobile application for multi-factor authentication. This additional layer of security adds an extra step to the login process, enhancing account protection against unauthorized access attempts.

However, Zacks Trade currently lacks valid regulation, which raises significant concerns about its safety and legitimacy. Without proper regulation, there is an increased risk of fraudulent activities, scams, and inadequate consumer protection.

Market Instruments

Zacks Trade provides a diverse array of trading instruments.

Among these offerings are stocks, enabling investors to buy and sell shares in individual companies listed on major stock exchanges worldwide. Additionally, clients have access to exchange-traded funds (ETFs), which provide exposure to a basket of assets such as stocks, bonds, or commodities, offering diversification within a single investment vehicle. Options trading is also available, allowing investors to trade contracts that grant the right to buy or sell an underlying asset at a specified price within a predetermined timeframe.

For those seeking broader exposure to the market, Zacks Trade offers mutual funds, which pool money from multiple investors to invest in a diversified portfolio of stocks, bonds, or other securities. Moreover, clients can trade corporate bonds and government bonds, providing opportunities to invest in fixed-income securities issued by corporations or governmental entities, respectively.

How to Open an Account？

• Step 1: Click the button ''OPEN AN ACCOUNT'' on the homepage.

• Step 2: Enter your email address, first name, and last name in the provided fields.

• Step 3: Enter your phone number in the designated field.

• Step 4: Agree to Zacks Trades Privacy Policy by checking the box.

• Step 5: Click on the ''Submit'' button.

Margin Rates

Zacks Trade provides competitive margin rates starting at 8.83%, offering clients the opportunity to leverage their investments and amplify returns. With this margin rate, investors can borrow funds from Zacks Trade to increase their buying power and take advantage of trading opportunities beyond their available cash balance.

Additionally, Zacks Trade offers stock and ETF trades from as low as $1, ensuring cost-effective access to the market for investors of all levels. This combination of competitive margin rates and low-cost trading makes Zacks Trade a compelling choice for investors looking to optimize their trading strategies while minimizing costs.

Note: Their Pricing Guide is currently being updated. Please contact them for more information.

Commissions

Stocks, ETFs, Options

Zacks Trade offers competitive commission rates for U.S. market trading. For stocks and ETFs priced over $1 per share, the commission is $0.01 per share with a $1 minimum charge. For stocks and ETFs under $1 per share, it's 1% of the trade value with a $1 minimum charge. Options trading costs $1 for the first contract plus $0.75 for each additional contract. Options exercise/assignment is free, and there are no extra charges for broker-assisted trades.

Mutual Funds

For mutual fund trades priced over $1 per share, Zacks Trade charges $27.50 per trade. Broker-assisted trades incur no additional charges.

Corp Bonds

For corporate bond trades with a face value of up to $10,000, Zacks Trade applies a commission of 0.1% of the face value plus $3 per bond. For the remaining face value beyond $10,000, the commission is 0.025% of the face value plus $3 per bond. Broker-assisted trades do not incur any additional charges.

Gov Bonds

For government bond trades, Zacks Trade applies a commission based on the face value of the bonds. For bonds with a face value of up to $10,000, the commission is 0.1% of the face value plus $3 per bond. Beyond $10,000 face value, the commission is 0.025% of the face value plus $3 per bond. Broker-assisted trades do not have any additional charges.

Note: Their Pricing Guide is currently being updated. Please contact them for more information.

Fees

Zacks Trade imposes a required minimum deposit of $2,500, ensuring that investors have a sufficient initial capital base to engage in trading activities. Additionally, for accounts with balances falling below $25,000, an inactivity fee of $15 per month is applied, incentivizing consistent engagement within the platform and discouraging dormant accounts.

Moreover, the platform facilitates automated customer account transfers, both incoming and outgoing, at no additional cost. This streamlined process enhances convenience for clients who may need to transfer funds or securities between accounts. Corporate actions such as stock splits or dividends are also managed free of charge, ensuring that clients can navigate these events without incurring extra fees.

Withdrawals are similarly accommodated, with one free withdrawal permitted per month. However, subsequent withdrawals within the same month incur nominal fees, with ACH withdrawals costing $1, checks $4, and wires $10. Despite these minor fees, Zacks Trade remains committed to providing cost-effective solutions for investors. Order cancellations are free of charge, offering clients the flexibility to adjust their trading strategies as needed.

Additionally, IRA custodial fees are waived, reflecting the platform's dedication to supporting retirement savings without imposing unnecessary costs on investors.

Trading Platforms

Zacks Trade provides its clients with a diverse range of trading platforms tailored to suit various preferences and trading styles. Among these options are Zacks Trade Pro, Client Portal, and the Zacks Trade app.

Zacks Trade Pro stands out as a robust desktop-based platform equipped with advanced features and tools designed to meet the needs of experienced traders. With customizable interfaces, real-time market data, and sophisticated charting capabilities, Zacks Trade Pro empowers traders to execute strategies with precision and efficiency.

The Client Portal offers a user-friendly web-based platform that provides access to essential trading functionalities, enabling clients to manage their accounts, place trades, and access research resources conveniently.

Additionally, the Zacks Trade app offers flexibility and mobility, allowing clients to trade on-the-go using their mobile devices. With intuitive interfaces and seamless synchronization with other platforms, Zacks Trade's suite of trading platforms ensures that clients can engage in the financial markets with confidence and convenience.

Customer Service

Zacks Trade provides a comprehensive and accessible customer support network. Their support team can be reached through different channels for ultimate convenience.

• Phone: US: 312-265-9406, International: 888-979-2257

• Email:support@zackstrade.com

• Address: 10 S. Riverside Plaza, Suite 1600, Chicago, IL 60606

• Monday – Friday 9 a.m. – 6 p.m. ET (Closed for exchange holidays)

Conclusion

In conclusion, Zacks Trade offers an extensive range of trading instruments, competitive margin rates, low-cost trading options, multiple trading platforms, and a comprehensive and accessible customer support network, making it an advantageous platform for various investors with varying investment styles and goals. However, the lack of valid regulation raises significant concerns about the safety and trustworthiness of the platform.

Frequently Asked Questions (FAQs)

Risk Warning

Online trading involves significant risk, and you may lose all of your invested capital. It is not suitable for all traders or investors. Please ensure that you understand the risks involved and note that the information provided in this review may be subject to change due to the constant updating of the company's services and policies.