You’ll only be the best trader you can possibly be if you find the most suitable trading partner for your style. Otherwise, you could miss big gains in the financial markets. To help you out, we’ve thoroughly reviewed two of the top trading providers. Our review compares the professional cutting-edge technology of Interactive Brokers to Merrill Edge’s casual trading platform.
Interactive Brokers vs. Merrill Edge: Overview
Who’s Interactive Brokers for?
If you’re a hardcore trading professional, you’ll enjoy Interactive Brokers. Its ultra-professional trading platform brims with a special dose of sophistication, which has all but gradually disappeared these days. Interactive Brokers also offers forex trading.
Its progressive fees also make this trading provider one of the best options if you’re an active trader.
Read Benzinga's full Interactive Brokers Review
Who’s Merrill Edge for?
Merrill Edge is a classic investment provider. Its friendly service appeals to beginners, but at the same time, it’s well-supported for more advanced traders.
You’ll find Merrill Edge convenient if you are a Bank of America client, as can link to your bank account for an easy way to monitor everything in one place.
Read Benzinga's full Merill Edge Review
Interactive Brokers vs. Merrill Edge: Platform and Tools
What Interactive Brokers Offers
Interactive Brokers’ trading platforms are suitable for all device types.
You’ll find the mobile platform of Interactive Brokers limited. But this is normal, as a mobile device can’t do the job of a four-monitor trading station. Interactive Brokers’ mobile app will give you access to a news feed and provide notifications in real-time. If you are a brand-new trader, you may like Interactive Brokers’ web-based platform. Its welcome interface makes it easy to navigate. Although the platform is basic, it still includes screeners and customizable charts.
Trader Workstation, or TWS, is Interactive Brokers’ full-package advanced trading solution and is where they showcase their potential. It is a good fit for full-stack trading professionals who like multitasking on multiple monitor trading screens.
Some of the available features under TWS are market alerts, risk management tools, market watch, historical data, advanced charting tools and many screeners.
What Merrill Edge Offers
The big trading solution of Merrill Edge is its MarketPro trading platform. It’s a web-based platform that contains a rich set of trading tools, including:
- Streaming data
- Custom charts
- Market analysis in real time
- Custom dashboard
- Technical analysis streams
If you manage an account above $25,000 or you conduct more than 15 trades per quarter, MarketPro will unlock extra perks to facilitate your trading experience. Merrill Edge offers its clients a mobile application, too. This app is aimed at on-the-go traders and shares market information and notifications in real time.
Of course, the app is not as comprehensive as MarketPro, but it still includes heat maps and dashboards. The app runs on both Android and Apple devices. The app also runs on a smartwatch, where you can implement very basic trading operations.
Bottom Line
Trader Workstation is definitely the more comprehensive trading solution of the two, but MarketPro works well for traders of any level. Merrill Edge doesn’t offer a desktop platform, a big disadvantage.
Unfortunately, a web-based platform can hinder your order execution time. In our personalized Merrill Edge review, we noted MarketPro’s sluggishness.
Interactive Brokers vs. Merrill Edge: Research Offerings
What Interactive Brokers Offers
Market research is not Interactive Brokers’ greatest strength. It streams main market insights in real time from providers like Thomson Reuters and Dow Jones. Many traders might consider the basic Interactive Brokers’ research to be minimal. Interactive Brokers allows traders to integrate third-party research sources. Some of these are free and others charge a subscription fee.
What Merrill Edge Offers
A big part of Merrill Edge’s market research comes from Bank of America. In addition, its clients also get access to many market insights, recommendations and reports from sources like CFRA, Recognia, Morningstar, S&P Capital IQ.
Bottom Line
Merrill Edge has a more extensive research section than Interactive Brokers. The main reason for this is that it contains data from Bank of America.
Interactive Brokers’ research power comes with the third-party integrations, which sometimes cost money but these integrations allow you to customize your market research.
Interactive Brokers vs. Merrill Edge: Commission and Fees
| Financial instrument | Interactive Brokers | Merrill Edge |
| Stocks | $0.005 per share | $6.95 per trade |
| Options | $0.15 - $0.70 per contract | $6.95 + $0.75 per trade |
| Mutual Funds | 3% trade volume or $14.95 per trade | $19.95 |
Bottom Line
The better cost here strongly depends on the traded amount. Interactive Brokers charges its clients based on the size of each trade, while Merrill Edge charges flat fees.
As for margin rates, Interactive Brokers holds more than twice the lower rate than Merrill Edge. Interactive Brokers is one of the best online brokerage agencies with regard to low margin rates.
Interactive Brokers vs. Merrill Edge: Security
What Interactive Brokers Offers
Interactive Brokers complies with U.S. regulations. Interactive Brokers is a member of FINRA, SIPC and FDIC. Under SIPC, Interactive Brokers maintains insurance, which secures amounts up to $250,000. Under FDIC, Interactive Brokers offers additional insurance up to $2.5 million. In addition, Interactive Brokers is listed and publicly traded on a stock exchange.
What Merrill Edge Offers
Merrill Edge is also a U.S.-based company. It also maintains memberships with SIPC, FDIC and FINRA. SIPC insures up to $250,000 per client for Merrill Edge, and FDIC insures up to $250,000 per client per bank.
Bottom Line
Though Merrill Edge is not publicly traded, this does not mean it’s an insecure company. The guarantees under SIPC and FDIC are enough proof of responsibility and high security.
Interactive Brokers vs. Merrill Edge: Customer Support
What Interactive Brokers Offers
Interactive Brokers provides decent customer support. Its email support is available 24/7 and phone support is available around the clock Monday through Friday.
What Merrill Edge Offers
Merrill Edge offers 24/7 phone support, which is one of its best features. In addition, Merrill Edge also offers customer support via email.
Bottom Line
Merrill Edge’s constant phone support beats the competition.
Interactive Brokers vs. Merrill Edge: Tradable Asset Classes
What Interactive Brokers Offers
- Stocks
- ETFs
- Options contracts
- Forex
- Cryptocurrency
- Metals
- Mutual funds
- Bonds
- Futures
What Merrill Edge Offers
- Stocks
- ETFs
- Options
- Mutual funds
- Bonds
Bottom Line
Interactive Brokers is the winner here, as its database of tradable assets is way more extensive. Note that Interactive Brokers also offers forex, cryptocurrency, commodities and futures, which are missing from Merrill Edge’s list of offerings.
Interactive Brokers vs. Merrill Edge: Ease of Use
What Interactive Brokers Offers
We definitely can’t say that Interactive Brokers is an easy-to-use service. Its Trader Workstation platform is far away from easy to use. Its web and mobile platforms are more user-friendly, but many traders will find these insufficient in terms of tools and research.
What Merrill Edge Offers
Merrill Edge is a straightforward trading solution. Its MarketPro platform is well-structured and at the same time, is rich on market research and trading tools. It’s no surprise that beginners and advanced traders use MarketPro.
Bottom Line
Merrill is the most welcoming trading solution of the two, although sometimes, it’s a bit slow. If you’re looking for a highly professional multi-module platform, then the MarketPro platform will not make you happy. This is where TWS comes in handy.
Final Thoughts
- Best For:Active and Global TradersVIEW PROS & CONS:Securely through Interactive Brokers’ website
- Best For:Bank of America CustomersVIEW PROS & CONS:securely through Merrill Edge's website
If you are a beginner trader, you may not like Interactive Brokers. On the other hand, if you look for a forex broker or want to trade metals, crypto and futures, then you’d better turn to Interactive Brokers, as Merrill Edge doesn’t offer these.
Another big difference is the commission structure of the two companies. If you trade a large number of shares per trade, then Merrill is probably the cheapest solution for you, as Interactive Brokers charges per share.