Vanguard promotion offers, bonuses, incentives for opening new brokerage or IRA accounts. Vanguard promo codes for free trades.

Vanguard Promotion

Vanguard does not offer promotions for opening new account. See Top Brokerage Promotions for all broker incentives.

Top Brokerage Offers

Brokerage Rating Pricing Offer Min
Firstrade Firstrade rating $0

$0 commissions + up to $200 in transfer fee rebates.

$0+
Ally Invest Ally Invest rating $4.95

Up to $3,500 cash bonus + commission free trades for new accounts.

$0+
TD Ameritrade 4.5-star brokerage firm rating $6.95

Trade free for 60 days + get up to $600.

$3,000


Vanguard Overview

Investors looking to open a brokerage account should check out Vanguard. Most commonly known for its own mutual funds and ETF's, the firm also provides trading in stocks and options. Let's take a more detailed look at the broker and see how it compares to some of its rivals.

Mutual and Exchange-traded Funds

Vanguard manages 127 mutual funds that can be bought and sold on its website. These funds are famous for having very low expense ratios. They range from 0.05% to 0.93%. Most are below 0.30%, very low by any standard. Several investment goals are covered by these funds, including retirement, money market, Pacific stock, small-cap growth, and an S&P 500 strategy, to name a few. There are also 55 Vanguard ETF's. Like the mutual funds, the firm's ETF offerings also have very low expense ratios, ranging from 0.05% to 0.34%.

Vanguard ETF's and mutual funds are free to trade in a Vanguard account. The great majority of them have no loads. There are 5 Vanguard mutual funds that have purchase fees and/or redemption fees. These range from 0.25% to 1.00%. All 5 of them have corresponding ETF's that don't have the fees.

Vanguard's Fees and Commissions

A brokerage account with Vanguard carries an annual fee of $20. Moreover, the broker charges another $20 for every Vanguard mutual fund with a balance under $10,000. These fees are waived for accounts that have balances above $50,000. Accounts with balances under this level can avoid the fees by electing to receive account communications in electronic format. The broker maintains no account minimum requirement, and there is no opening deposit minimum.

Vanguard's commission schedule for stock and option trades is based on the size of the account in which the trade is placed. An account with a balance under $50,000 is classified as a standard account. Here, the first 25 trades in a year are $7. All trades thereafter are $20. Option trades in a standard account cost $20 plus $1 per contract.

An account with a balance above $50,000 but below $500,000 is a Voyager account. Stock and non-Vanguard ETF trades cost $7 year-round. Options cost $7 plus $1 for each contract.

Voyager Select accounts have a balance under $1,000,000. Equity trades are only $2 in this account. Options cost an extra $1 per contract.

Accounts with balances less than $10,000,000 are classified as Flagship accounts. The first 25 stock trades per year are free. After the first 25 in a year, the same trade costs only $2. Options are $1 per contract plus a $2 base charge.

The final category is Flagship Select, which is defined as $10,000,000 and above. Flagship Select accounts receive 500 equity trades per year for free. After the first 500, trades are only $2. Option trades in a Flagship Select account are the same as Voyager Select and Flagship.

Vanguard Trading Tools Review

The Vanguard website is fairly basic. It does provide good information on a variety of investment topics, such as retirement planning and saving for education. One section contains articles, podcasts, and videos on a variety of investment and economic subjects.

Trades on the website take place within the browser because Vanguard does not have a trading platform. The trade pages are simple but easy to understand and use. Helpful information about how to place a trade appears on an order page along with Vanguard's phone number for customers who have any questions.

Mobile App

Traders who don't want to use Vanguard's 20th-century website can use the broker's 21st-century mobile app. Vanguard offers a platform for Android, iPhone, iPad, and Kindle Fire. Account information is displayed after logging in. Also available is trading capability for stocks, ETF's, and Vanguard mutual funds. Confirmations and account statements can be downloaded in pdf format, a nice feature.

Customer Service

Phone representatives can be reached at 877-662-7447 during the week from 8 am till 10 pm (EST). The broker has an international phone number for investors who travel outside the United States. Furthermore, an internal messaging system is available after logging into the website so that customers can reach the firm by e-mail.

Vanguard Incentive Disclosure

Vanguard promotions for 2018 can change at any time. Current Vanguard incentive offers for opening new account brokerage or IRA account apply only to US citizens or legal residents.

Continue Reading