Zacks Trade Review

Active traders seeking research tools

SEC FINRA SIPC

Founded 2013 · United States · LBMZ Securities Inc.

Why investors choose this broker

Regulated by SEC and FINRA; SIPC member
Access to 90+ international exchanges across 33 countries
Competitive margin rates starting at 8.83%
Free broker-assisted trades at standard commission rates

Review summary

Zacks Trade is a US broker offering stocks, ETFs, options, bonds and mutual funds with per-share commissions, low margin rates and access to 90+ international exchanges.

Pros

Regulated by SEC and FINRA; SIPC member
Access to 90+ international exchanges across 33 countries
Competitive margin rates starting at 8.83%
Free broker-assisted trades at standard commission rates
Zacks Rank and 20+ free research subscriptions included
Paper trading demo account available
No account transfer fee (ACAT)

Cons

Stock and ETF trades carry per-share commissions; not commission-free
$15/month inactivity fee for smaller accounts
No forex, crypto, futures, or commodities trading
Account opening process can take more than a week
No educational resources or retirement planning tools
Customer support limited to phone and email, Monday to Friday 9am-6pm ET
Mutual fund trades cost $27.50 each

Company background

Zacks Trade is an online brokerage launched in 2013 as a division of LBMZ Securities Inc., part of the Zacks Investment Research group founded in 1978 by Len Zacks. The brokerage operates as a fully disclosed introducing broker to Interactive Brokers LLC, which handles trade execution and clearing. It is headquartered in Chicago, Illinois, and targets self-directed active traders seeking research tools alongside brokerage services.

The broker provides access to stocks, ETFs, options, mutual funds, bonds, and fractional shares across 90+ international exchanges in 33 countries. It does not offer forex, crypto, futures, or commodities. The Zacks Rank research tool and 20+ research subscriptions are included at no extra charge.

Fees and pricing

Stock and ETF trades cost $0.01 per share with a $1 minimum. For instruments priced below $1 per share, a 1% of trade value commission applies. Options cost $1 for the first contract and $0.75 for each additional; exercise and assignment are free. Mutual fund trades cost $27.50 each. The account minimum is $250. Margin rates start at 8.83%. Broker-assisted trades by phone carry no surcharge beyond standard commissions.

An inactivity fee of $15 per month applies to accounts under $25,000 that generate fewer than $15 in monthly commissions. The first withdrawal each month is free; subsequent withdrawals cost $1 (ACH), $4 (check), or $10 (wire).

Regulation and safety

Zacks Trade operates through LBMZ Securities Inc., a broker-dealer registered with the SEC and a member of FINRA and SIPC. SIPC covers accounts up to $500,000, including up to $250,000 in cash. Excess SIPC coverage through certain underwriters at Lloyd's of London provides up to an additional $30 million per account with a $900,000 cash sub-limit, subject to an aggregate cap of $150 million.

Platform experience

Zacks Trade Pro is a downloadable desktop application for Windows, Mac, and Linux with 120+ technical indicators. Zacks Trader is a browser-based platform and Client Portal handles account management and basic trading. iOS and Android apps are also available. Extended trading hours run from 8am to 8pm ET on weekdays. A paper trading demo account with $1 million in virtual funds is available by email request for up to 90 days.

Pros and cons

Zacks Trade's main strengths are access to international exchanges, competitive margin rates, bundled research including the Zacks Rank system, and free broker-assisted trades. The main drawbacks are per-share commissions when many US brokers offer zero-commission trading, a monthly inactivity fee for smaller accounts, and no forex, crypto, futures, or commodities. Account opening can take more than a week and educational resources are limited.

Ready to open an account at Zacks Trade?

Open an account directly with the broker. Confirm current fees and account eligibility on the broker's website before depositing.

Open Account

Your capital is at risk. Other fees apply.

Trading fees & commissions

Stock and ETF trades cost $0.01 per share with a $1 minimum; options cost $1 for the first contract and $0.75 for each additional. An inactivity fee of $15 per month applies to accounts under $25,000 that do not generate at least $15 in monthly commissions.

Fees

Item	Fee
Bonds	Corporate bonds up to $10K face value: 0.1% of face value plus $3 per bond; government bonds: 0.0025% of face value plus $3 per bond
Funds	$27.50 per mutual fund trade
Margin	Margin rates start at 8.83% depending on account balance
Account	Minimum deposit: $250; IRA custodial fee: Free
Deposit	No deposit fee
Options	$1 for first contract, $0.75 per additional contract; exercise and assignment: Free
Inactivity	$15/month for accounts under $25,000 with less than $15 in monthly commissions
Withdrawal	First withdrawal per month: Free; subsequent withdrawals: $1 (ACH), $4 (check), $10 (wire)

Trading platform & features

Platforms

Zacks Trade Pro
Zacks Trader
Client Portal
iOS app
Android app

Regulation and investor protection

Zacks Trade operates as a division of LBMZ Securities Inc., a broker-dealer registered with the SEC and a member of FINRA and SIPC. LBMZ Securities is a fully disclosed introducing broker to Interactive Brokers LLC, which handles trade execution and clearing.

Broker FAQs

Is Zacks Trade safe?

Zacks Trade operates through LBMZ Securities Inc., which is registered with the SEC and is a member of FINRA and SIPC. Client accounts are covered by SIPC up to $500,000, including up to $250,000 in cash, with additional excess SIPC coverage available.

Is Zacks Trade a scam?

No. Zacks Trade is a division of LBMZ Securities Inc., a regulated US broker-dealer registered with the SEC and a member of FINRA and SIPC since 2013.

Is Zacks Trade regulated and by whom?

Yes. LBMZ Securities Inc., which operates as Zacks Trade, is registered with the SEC and is a member of FINRA. The firm is also a SIPC member, providing investor protection on client accounts.

Does Zacks Trade keep client funds in segregated accounts?

Zacks Trade operates as a fully disclosed introducing broker to Interactive Brokers LLC, which handles custody and clearing. SIPC membership covers client securities and cash up to defined limits in the event of broker insolvency.

What happens to my money if Zacks Trade goes bankrupt?

SIPC covers up to $500,000 per account, including up to $250,000 in cash. LBMZ Securities also carries excess SIPC coverage through certain underwriters at Lloyd's of London, providing up to an additional $30 million per account subject to an aggregate cap.

What products does Zacks Trade offer?

Zacks Trade offers stocks, ETFs, options, mutual funds, bonds, fractional shares, and margin accounts. It does not offer forex, cryptocurrency, futures, or commodities.

Does Zacks Trade offer ETFs?

Yes. ETFs are available and trade at $0.01 per share with a $1 minimum, or 1% of trade value for ETFs priced below $1 per share.

Does Zacks Trade offer options?

Yes. Options are available at $1 for the first contract and $0.75 per additional contract. Exercise and assignment are free.

Does Zacks Trade offer bonds?

Yes. Zacks Trade offers corporate bonds, government bonds, and municipal bonds. Bond commissions vary by issue type and face value.

Does Zacks Trade offer fractional shares?

Yes. Fractional shares are listed as an available product.

What does Zacks Trade charge for stock trades?

Stock trades cost $0.01 per share with a $1 minimum per order. For stocks priced below $1 per share, the commission is 1% of trade value.

Is there a withdrawal fee at Zacks Trade?

The first withdrawal each calendar month is free. Subsequent withdrawals in the same month cost $1 via ACH, $4 by check, or $10 by wire transfer.

Does Zacks Trade charge an inactivity fee?

Yes. An inactivity fee of $15 per month applies to accounts with a balance under $25,000 that generate fewer than $15 in commissions in that month.

Does Zacks Trade have a demo account?

Yes. A paper trading account providing $1 million in virtual funds is available for up to 90 days. It is requested by email and typically takes one to two business days to activate.

Does Zacks Trade have a mobile app?

Yes. Zacks Trade offers mobile apps for iOS and Android in addition to its desktop and web platforms.

Is Zacks Trade good for beginners?

Zacks Trade is aimed at active and self-directed traders. It lacks dedicated educational resources and has a per-share commission structure. The paper trading demo account and research tools may help users who are already familiar with investing.

Is Zacks Trade good for long-term investing?

Zacks Trade offers stocks, ETFs, bonds, and mutual funds suitable for long-term portfolios. However, the inactivity fee for smaller accounts and per-share commissions may be a consideration for infrequent investors.

Bottom line

Zacks Trade suits users who want access to international exchanges, low margin rates, bundled research tools, and free broker-assisted trades alongside a conventional per-share commission structure. It may not suit users who expect zero-commission stock or ETF trades, require forex, crypto, or futures, or prefer a broker with broad educational resources.

Zacks Trade

Active traders seeking research tools

Open Account

Your capital is at risk. Other fees apply.