In this Zions Direct review, you’ll learn they weren’t named after the last human city on Earth from The Matrix, which would have been pretty cool. Instead, you’ll learn how this discount brokerage can save you time and money. Zions Direct is a discount broker that can trade stocks, ETFs, options, and mutual funds. It is a nice combination of low commissions and an advanced trading platform, and Zions Direct delivers.
In 2017, Zions Direct chose Interactive Brokers as its clearing firm. In addition, the firm switched over to Interactive Brokers’ TWS platform and technology.
While the previous platform was mediocre, now Zions Direct offers a fast, state-of-the-art one. Our trading service wants to ensure you have the best trading companies for your trading style.
Not only that, we also provide you with online trading courses so that you can use your broker to make money. Our Zions Direct review looks at the different platforms they offer you.
Table of Contents
Zions Direct Review Introduction
Zions Direct offers individual and joint accounts. Also, the brokerage accepts traditional, rollover, and Roth IRAs.
Additionally, Zions Direct offers trust, UGMA (Uniform Gifts to Minors Act), and UTMA (Uniform Transfers to Minors Act) accounts. As for institutions, partnerships, corporations, limited liability corporations, and unincorporated business accounts are available.
Zions Direct offers you the choice of single or multiple funds accounts if you invest in funds. There is no account minimum. Although, the minimum for margin accounts is $2,000. Also, day trading accounts require a $25,000 minimum. Fund your account via check, ACH, wire transfer, online bill payment, or direct deposit.
The brokerage is a FINRA (Financial Industry Regulatory Authority, Inc.) member and the SIPC (Securities Investor Protection Corporation) member. Check out our live trading room so you can see us in action.
Platform
The downloadable TWS platform provides live quotes, advanced charting, technical research, and analysis tools. It also includes sophisticated scanners, multiple watch lists, and streaming news.
The platform is customizable and supports over 60 order types. It also provides algorithms, risk management tools, and simulated trading capabilities.
TWS is an advanced platform robust enough for active and experienced traders. For the details on Trader Workstation, read our Interactive Brokers Review.
In addition to TWS, Zions Direct offers Interactive Brokers’ WebTrader. It’s a more streamlined web-based version of the platform and easy for newbies to use.
The brokerage also offers MobileTrader for mobile devices, including Apple and Android. It delivers fast streaming data and provides the core functionality necessary to trade while out and about.
SERVICES |  |  |  |
|---|---|---|---|
| DESCRIPTION | Bullish Bears offer trade rooms in our Discord. Our chat rooms include penny stocks, large caps, options, and futures | We offer stock signals and trade alerts through our watch lists and Discord bots using Tradytics | Swing trade and day trade watch lists with hand-picked symbols that have the best chance of breakouts. These are stocks to watch |
| INCLUDED | Trading courses • Live streaming • Discord • Real Time Teaching • Scanners & Bots Trade Rooms | Watch lists • Symbols • Support and resistance levels • Discord bots and scanners Trade Alerts | Swing trade watchlist • Day trade watchlist • Alert levels mapped out • Watch lists updated daily Watch Lists |
Zion Direct Fees and Commissions (Pricing Review)
- Here are Zion Direct’s fees and commissions:
- Rates for stocks and ETFs are $0.005 per share with a $5.00 minimum.
- Conversely, the maximum is 0.5% of the trade value.
- Option rates are $1.00 per contract with a $5.00 minimum.
- For mutual funds, the rate is $19.95.
- However, for No Transaction Fee funds, the rate is $0.
- Commissions for bonds are tiered.
- Corporate and municipal bonds cost 0.1% of Face Value (10 basis points) for trades of $10,000 or less.
Zions Direct is a discount brokerage that charges low commission rates. The company also enables you to reduce account fees by deducting commission rates.
Also, the minimum is $5.00, and the maximum is 0.5% of the trade value. If the trade is over $10,000, the rate is 0.05% of Face Value (5 basis points).
Additionally, for this amount, no minimum or maximum applies. For Treasuries, the rate is 0.05% of Face Value. That’s two basis points for trades of $1,000,000 or less or 0.2 basis points for trades of over $1,000,000. Also, the minimum for Treasuries is $5.00 with no maximum.
Depending on the loan amount, Zions Direct charges tiered margin rates ranging from 4.9% to 3.7%; note that the brokerage offers blended margin rates.
In other words, if you borrow $1,000,000, the first $100,000 costs 4.9%, and the next $900,000 costs 4.4%. There are four tiers: 4.9% is the tier I price, 4.4% is the tier II price, etc.
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Account Activity
Regarding account activity fees, the fee is waived if you spend at least $10 in commissions monthly. If your commissions are less than $10, then the fee is $10 minus the amount of your commissions.
However, there are two exceptions. First, for UGMA or UTMA accounts, the commissions are not subtracted. If your commissions are less than $10, the fee is $3.
Second, for traders age 25 or less, the account fee is $3 minus commissions. Therefore, you only need to accrue $3 in commissions to avoid the fee.
The fee is waived regardless of commissions for account balances of $100,000 or more. Additionally, if you spend $30 in commissions, US non-professional real-time market data is free.
Final Thoughts: Zions Direct Review
At the beginning of this Zions Direct review, I mentioned that Zion is the city’s name in Matrix. You may wonder what that has to do with trading unless you read the book by Van K. Tharp: Trading Beyond the Matrix.
The Red Pill for Traders and Investors. Tharp says that trading is similar to the plot of the Matrix movies to the extent that we are all programmed by our beliefs.
Moreover, he said that most of those beliefs are not conducive to becoming a super trader. So, as Neo did in the movie, you have to reprogram yourself and function with a different set of rules with the most powerful tool at your disposal: your mind.
According to Van Tharp, super traders think differently. He says this paradigm shift happens when you work on removing non-useful beliefs.
However, you must first be aware of what those beliefs are. Awareness is the key or, as those ancient Greek sages would have said: “Know Thyself.”
Frequently Asked Questions
Investors cannot purchase shares of Zions Direct because the company is privately held.
