Zacks Trade: Platform Profile

Overview

Zacks Trade is a division of LBMZ Securities that combines Interactive Brokers clearing infrastructure with Zacks-branded research and trading tools.

Its current pricing differs sharply from the mainstream $0-commission model.

Current headline economics include:

• stock and ETF trades from $1;
• $0.01-per-share pricing above $1;
• options priced at $1 for the first contract plus $0.75 for each additional contract;
• mutual-fund transaction fees;
• bond commissions;
• tiered margin rates;
• a $250 new-account minimum;
• free platform access.

The firm is better understood as a research-oriented active brokerage than a free-trading app.

May fit better for

• investors who use Zacks research;
• active stock traders who accept explicit commissions;
• options traders;
• margin users;
• investors who trade bonds or mutual funds;
• users who value broker-assisted service without an extra trade surcharge.

May fit less well for

• investors who expect $0 stock commissions;
• low-activity accounts under $25,000;
• users who only want a simple mobile brokerage;
• investors seeking direct crypto;
• traders who want no monthly inactivity condition.

---

Legal identity and clearing

Current regulatory structure:

• Brand: Zacks Trade
• Legal broker: LBMZ Securities, Inc.
• FINRA CRD: 7874
• SEC number: 8-23266
• FINRA member: Yes
• SIPC member: Yes
• Clearing firm: Interactive Brokers LLC
• Fully disclosed introducing relationship: Yes

Interactive Brokers executes, clears, and carries the brokerage accounts under the current relationship.

---

Stocks and ETFs

Current commission page:

• Stocks ETFs over 1:
• Commission: $0.01 per share
• Minimum: $1
• Stocks ETFs under 1:
• Commission: 1% of trade value
• Minimum: $1

The current site explicitly states that the pricing guide is being updated and customers should contact Zacks Trade for more information.

Keep every commission field updateable.

---

Stock commission example

500 shares of a stock above $1:

500 × $0.01 = $5

current commission.

A 50-share trade computes to:

50 × $0.01 = $0.50

but the current $1 minimum makes the commission:

$1

---

Options

Current pricing:

• Options:
• First contract: $1
• Each additional contract: $0.75
• Exercise assignment: $0
• Broker assisted extra charge: $0

This is not a flat $0.75 rate for the entire order.

---

Options example

10 contracts:

First contract:

$1

Remaining nine:

9 × $0.75 = $6.75

Total base commission:

$7.75

before applicable regulatory/exchange charges.

---

Mutual funds

Current pricing:

• Mutual fund trade over 1: $27.50
• Broker assisted extra: $0

Underlying fund expenses remain separate.

---

Corporate bonds

Current pricing:

• Corporate bonds:
• Up to 10000 face: 0.1% of face value + $3 per bond
• Remaining face: 0.025% of face value + $3 per bond

---

Government bonds

Current schedule:

• Government bonds:
• Up to 1 million face: 0.0025% of face value + $3 per bond
• Remaining face: 0.005% of face value + $3 per bond

Bond-market spreads and issuer/security characteristics can also affect economics.

---

Current account minimum

Current fee page:

• New account minimum: $250
• Zacks Rank Trading Tool free balance: $250
• All platforms software fee: $0

Older Zacks Trade documents can show a substantially higher historical minimum.

---

Inactivity fee

Current pricing:

• Inactivity fee:
• Monthly: $15
• Applies when account below: $25,000
• Waived when monthly commissions at least: $15

This is a major consideration for low-activity accounts.

A $250 opening minimum does not mean a $250 dormant account is costless to maintain.

---

Transfers and withdrawals

Current fee page states:

• ACAT incoming: $0
• ACAT outgoing: $0
• Withdrawals:
• First per month: $0
• Subsequent same month:
• ACH: $1
• Check: $4
• Wire: $10
• IRA custodial fee: $0

Older PDFs can show different historical fee structures.

Use the current HTML pricing page.

---

Margin

Current Zacks Trade USD margin tiers:

• Margin:
• Up to 100000: 8.83%
• Up to 1000000: 8.33%
• Up to 50000000: 8.08%
• Over 50000000: 7.83%

The page states Zacks uses blended tiered pricing.

The competitor comparison date is December 15, 2025.

Rates can change.

---

Margin example

A simple $50,000 debit entirely within the first tier at 8.83%:

$50,000 × 8.83% = $4,415

annual simple-interest reference.

Actual interest is calculated under the broker's blended daily methodology.

---

Limited margin in IRAs

Current Zacks Trade margin page states:

• Limited margin IRA available: Yes

This does not turn the IRA into an alternative-asset self-directed IRA.

---

Platforms

Current Zacks Trade platform stack includes:

• Zacks Trade Pro;
• Client Portal;
• mobile app;
• Zacks Rank Trading Tool.

The current fee page states platform access is free.

---

Zacks Trade Pro

Current platform features include:

• stock trading;
• options;
• bonds;
• funds;
• advanced charting;
• 120+ technical indicators;
• scanners;
• algorithmic order tools including TWAP/VWAP;
• portfolio and rebalancing tools.

---

Zacks research is not personalized brokerage advice

Zacks Rank Trading Tool and other research integrate content/data from Zacks Investment Research.

That research is a distinct function from the customer's self-directed brokerage decision.

---

International access

Zacks Trade materials support international/global-market functionality through the Interactive Brokers infrastructure.

---

Protection

Current brokerage protection:

• SIPC:
• Total limit: $500,000
• Cash sublimit: $250,000
• Market loss protection: No

SIPC does not insure investment performance or margin losses.

Assessment

Zacks Trade is a better fit for investors who actually use its research and active-trading capabilities than for someone searching for the cheapest occasional stock trade.

A 500-share stock order costs $5 under the current per-share schedule.

A 10-contract option order costs $7.75 in base commissions.

A mutual-fund transaction costs $27.50.

The platform becomes more compelling where the investor values:

• research;
• broker support;
• margin;
• bonds;
• international access;
• professional trading tools.

The current $250 opening minimum is low, but the $15 inactivity fee for qualifying smaller accounts makes inactivity a real cost.