Shreve, K.(2013, 12 2). Best online brokers: which fits your investing style?. Investors Business Daily.

A diverse number of online stock brokers continue to innovate to gather new potential
customers and maintain the existing users. It also mentions that regular innovations in online brokerage
have helped brokers attract more customers and retain their existing users. Customers assess and
evaluate their broker. The assessment will be a vital information to the potential investors who would
be looking for new broker and give the perception on how the firms was being conveyed by their
current clients. Investors can consider the capability of each top performing firm to find out whether it
would suit their needs or it could pave way into investment of stocks and other securities. Interactive
Brokers such as TradeKing, Vanguard Brokerage, Scottrade and Merrill Edge ranked highest on some
categories, mainly: low cost, as the primary concern and broker responsiveness. Salomon Sredni, CEO of
TradeStation emphasized that customers wanted a turnkey solution, and it was the best way to
monetize the platform they had. When they first started out, a lot of competitors were already there
and it was hard to establish a new platform since they are just new in the field. TradeStation scored high
in seven categories, including trade reliability, equity trading tools, research tools and educational
resources . Subramaniam pointed out that customers want value and access when they need it. This was
evidenced by the recent data which showed mobile trades at Fidelity rose 46% from a year ago
(Subramaniam, as cited in Shreve, 2013).

Huang, N., Pitsker, K., Tan, A. (2012, 11). The Best of the online brokers (cover story). Kiplingers
Personal Finance. 66(11), 38-41.
Huangs, Pitskers, & Tans (2012) article presents the following:
an evaluation and ranking of online discount

stock brokerage companies in the U.S. as of

2012, conducted by the publication. It discusses the evaluation criteria used, which include
the level of fees and other charges, the scope of information and research available to

users,

and quality of customer service via phone, e-mail, and online. (pp. 38-41)
Huang, Pitsker, & Tan (2012) found that fees and commissions, range of investment options, research
and tools accessible to client, and banking services are the six broad areas to be looked into each firm.
It has been proved that the firm was really concentrating on the improvement of their customer service.
According to Huang, Pitsker, & Tan (2012), it helps to be tied to an actual bank, but it's not required.
(pp. 38-41)

Rahim, A. (2013). Problems and prospects of online share trading practices in India. International
Journal of Journal of Marketing, Financial Services & Management Research, 2.
Rahims (2012) study stated the following:
The democracy of online trading is the key factor why the retail investors prefer to transact
over the internet to their broker. The use of online brokerage services automates the
of buying and

process

selling and hence allows a reduction of commission charges. Also the

commodity being traded is intangible; the ownership of stocks and shares can be
recorded electronically so that there

is no requirement for physical delivery. It is inferred

that the major problem faced by online share traders is inadequate availability of technology.
Second and third problems are poor communication network, and more chances of fraud.
Risk of system failure and lack of transparency are the fourth and fifth problems and the
least problem is lack of professional management and lack of sufficient information. With a
view to increasing the effectiveness of online share trading, particular attention should be paid
to the long term strategy. The following suggestions can be a guided in this regard.

Since

the online share trading business depends upon customer service, technological
knowhow, new innovations, and efficient management etc., the following measures in these
areas have to be taken on priority basis to achieve success in online share trading
business. Inadequate

technology is the major problem faced by online share traders. These

engines will obviate the need for a broker to develop his own engine and thus, result in capital
investment saving. However, a user can log on to these engines, use the website of the broker
and trade electronically. These developments are, therefore, expected to give a strong fillip to
the electronic brokerage industry in India. Application of superior technology to clients will be a
key determinant of success. New trading mechanism can be formed to allow the trading of
stocks in the worlds global companies. Lack of professional management is the second major
problem faced by the

investors. The online share trading industries must develop new

strategies for what the customers pursue. There is an urgent need for firms to place a new
emphasis on customer relationship that combines selling with personal financial consultations
to meet clients specific needs.

Rossignoli, C., Zardini, A., Cantoni, F. (2013, 8). When Customer Behaviours Change, Should Banks'
Approaches to Online Trading Stay the Same?. Journal of Internet Banking & Commerce. 18(2), 1-16.
This study implied that banks can achieve a strategic management in using online trading services,
outsourcing and new managerial practices recognized with the lack of specific competencies by pursuing
an appropriate sourcing of online services to decrease expenses and obtain competitive advantages.
According to Rossignoli, Zardini, & Cantoni (2013) : this article provides an in-depth analysis of
online trading services offered in the Italian banking system. It represents a response to
understand which are the e-trading services offered by the Italian banks. Hence, its purpose is to
analyse the state of art of the Italian banks.
Developing adequate information systems to support customers' changing behaviour gives
Italian banks an important opportunity to retain customers and develop their loyalty. In
particular, multichannel strategies can help banks combine in- and outsourcing solutions, lower
their costs, and substantially increase business process excellence and innovation through
collaborative partnerships.
Online stock brokers tied with the banks which offers are said to be an edge because it reduces costs,
raises reliability and guarantees credibility.

Wang, Y. (2013, 8). Does online trading affect investors trading intention?. International Journal of
Business & Finance Research. 8(5), 71-79.
The main intention of this article is to know the connection and probable results of online trading, the
illusion of knowledge and control, information processing cost, trading intention, and expected
performance. Investors trading goals may be further enhanced with the following factors: low cost,
execution speed, usefulness and ease of use. Online platforms nowadays are important vehicles in
presenting background knowledge associated with the updated stocks relevant information. With the
fast paced technology today, online investors are expecting more advanced platforms that would be
easily accessible and would be a greater help in their decision making. According to Wang (2013),
investors should also strengthen their professional financial knowledge as best as they can, because
doing so can enhance their analytical ability to find the correct online information, decrease the illusion
of knowledge and information processing cost, reduce their decision errors in the decision making
process and helps improve their actual investment performance.