Investing in IPOs: Best Brokers That Offer IPO Access
To invest in a company's IPO, you'll need a brokerage account. The below brokers offer some form of IPO access to retail investors.
Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.
The investing information provided on this page is for educational purposes only. NerdWallet, Inc. does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks, securities or other investments.
Why trust NerdWallet
The initial public offering market cooled substantially in recent years, but lately it's been showing signs of a comeback.
How do you invest in an IPO?
IPOs have historically been accessible only to select investors — generally, institutions, company insiders or investors who meet certain trade or investment requirements. But in recent years, brokerage firms have started bringing IPOs to their platforms, offering regular retail investors unprecedented access.
Prior to the offering, the company will set a price range and an IPO date. The brokers below offer some level of access to IPO shares before they're widely available to the general public — if you don’t already have a brokerage account, you will need to open one. Keep in mind that some brokers may have additional requirements, including a mandatory investor assessment, trade minimums or account minimums.
As far as the process: Generally speaking, you'll make a request for the number of shares you'd like to purchase. Most brokers warn that you may not be allocated the number of shares you request; in fact, in some high-demand scenarios, you may not be allocated any shares at all. It's wise to be realistic about the number of shares you'd like to purchase, and do your research beforehand to ensure the stock is a good long-term fit for your portfolio.
What if you miss out on investing in an IPO?
You can still purchase shares of the stock on the open market following the IPO. In fact, this is a common scenario — for most investors, investing in an IPO means buying the stock once it begins trading, not before. That means the price you pay will reflect the demand for the stock on the day you purchase it, and that price could differ — sometimes dramatically — from the offering price.
Once the stock is public, the mechanics of purchasing shares are pretty straightforward. Here’s a brief guide on how to buy stocks, including information on how to navigate your broker’s website and place an order. All of the brokers on this list are good choices for stock trading, in addition to the IPO access they provide.
Why trust NerdWallet
The initial public offering market cooled substantially in recent years, but lately it's been showing signs of a comeback.
How do you invest in an IPO?
IPOs have historically been accessible only to select investors — generally, institutions, company insiders or investors who meet certain trade or investment requirements. But in recent years, brokerage firms have started bringing IPOs to their platforms, offering regular retail investors unprecedented access.
Prior to the offering, the company will set a price range and an IPO date. The brokers below offer some level of access to IPO shares before they're widely available to the general public — if you don’t already have a brokerage account, you will need to open one. Keep in mind that some brokers may have additional requirements, including a mandatory investor assessment, trade minimums or account minimums.
As far as the process: Generally speaking, you'll make a request for the number of shares you'd like to purchase. Most brokers warn that you may not be allocated the number of shares you request; in fact, in some high-demand scenarios, you may not be allocated any shares at all. It's wise to be realistic about the number of shares you'd like to purchase, and do your research beforehand to ensure the stock is a good long-term fit for your portfolio.
What if you miss out on investing in an IPO?
You can still purchase shares of the stock on the open market following the IPO. In fact, this is a common scenario — for most investors, investing in an IPO means buying the stock once it begins trading, not before. That means the price you pay will reflect the demand for the stock on the day you purchase it, and that price could differ — sometimes dramatically — from the offering price.
Once the stock is public, the mechanics of purchasing shares are pretty straightforward. Here’s a brief guide on how to buy stocks, including information on how to navigate your broker’s website and place an order. All of the brokers on this list are good choices for stock trading, in addition to the IPO access they provide.
Investing in IPOs: Best Brokers That Offer IPO Access
| Broker | NerdWallet rating | Fees | Account minimum | Promotion | Learn more |
|---|---|---|---|---|---|
 Robinhood Learn more on Robinhood's website | $0 per trade | $0 | 1 Free Stock after linking your bank account (stock value range $5.00-$200) | Learn more on Robinhood's website | |
 Webull Learn more on Webull's website | $0 per trade | $0 | Get up to 40 free fractional shares ( each valued up to $3,000) when you open and fund an account with Webull. | Learn more on Webull's website | |
 Charles Schwab Learn more on Charles Schwab's website | $0 per online equity trade | $0 | None no promotion available at this time | Learn more on Charles Schwab's website | |
 Public Learn more on Public's website | $0 | $0 | Earn up to $10,000 when you transfer your investment portfolio to Public. | Learn more on Public's website | |
 E*TRADE Learn more on E*TRADE's website | $0 per trade. Other fees apply. | $0 | Get up to $1,000 when you open and fund an E*TRADE account | Learn more on E*TRADE's website |
$0
per trade
$0
1 Free Stock
after linking your bank account (stock value range $5.00-$200)
Pros
Commission-free stock, options and ETF trades.
Streamlined interface.
Cryptocurrency trading.
IRA with 1% match (3% for Gold members).
High interest rate on uninvested cash.
Cons
No mutual funds.
Little third-party research.
Why We Like It
Robinhood provides free stock, options, ETF and cryptocurrency trades (but no bonds or mutual funds), and its account minimum is $0, too. Robinhood Gold offers a high interest rate on uninvested cash and low margin rates.
$0
per trade
$0
Get up to 40 free fractional shares ( each valued up to $3,000)
when you open and fund an account with Webull.
Pros
Commission-free stock, options and ETF trades.
Easy-to-use platform.
Advanced tools.
High interest rate on uninvested cash.
High order execution quality.
Cons
No mutual funds.
Separate app required to trade crypto.
Why We Like It
Webull will appeal to the mobile-first generation of casual investors with its slick interface for desktop and mobile apps. The brokerage also delivers an impressive array of tools for active traders and a wide investment selection, including stocks (plus fractional shares), options, ETFs, crypto, commodities and futures. However, it lacks access to mutual funds.
$0
per online equity trade
$0
None
no promotion available at this time
Pros
Commission-free stock, options and ETF trades.
Large selection of no-transaction-fee mutual funds.
Strong retirement planning tools.
Cons
Low interest rate on uninvested cash.
High fee for transaction-fee funds.
Why We Like It
Charles Schwab is one of the best overall IRA providers, with high-quality customer service, no account minimum and low fees. The company offers a large selection of no-transaction-fee funds, gives users access to extensive research and charges no commission for stock, options and ETF trades.
$0
$0
Earn up to $10,000
when you transfer your investment portfolio to Public.
Pros
Commission-free stock, options and ETF trades.
Rebates for trading options.
Impressive selection of alternative assets.
Easy-to-use signup and trading interface.
High interest rate on uninvested cash.
Cons
No mutual funds.
Lack of tools (e.g. customizable investment screeners).
No IRA accounts.
Why We Like It
Public provides free stock and ETF trades, pays you to trade options, and gives traders access to crypto, alternative assets and bonds, as well as a high-yield savings account. The platform will appeal to traders looking for a low-cost options broker and access to many types of assets.
$0
per trade. Other fees apply.
$0
Get up to $1,000
when you open and fund an E*TRADE account
Pros
Commission-free stock, options and ETF trades.
Easy-to-use tools.
Strong customer support.
Volume discount on options contract fees.
Cons
Website can be difficult to navigate.
Low interest rate on uninvested cash.
No fractional shares.
Why We Like It
E*TRADE has long been one of the most popular online brokers. The company's $0 commissions and strong trading platforms appeal to active traders, while intermediate investors benefit from a large library of educational resources.
$0
per trade
$500
Qualify for up to $5,000
when you open and fund a new TradeStation account. Offer Code: NERDAFJO.
Pros
Commission-free stock, options and ETF trades.
High-quality trading platforms.
Comprehensive research.
Advanced tools.
Active trader community.
Cons
No transaction-fee-free mutual funds.
High account fees.
Low interest rate on uninvested cash.
Why We Like It
TradeStation is a strong choice for active stock, options and futures investors who rely on high-octane trading platforms, reams of research and sophisticated analytical tools. Trades are commission-free.
$0
per trade
$0
Get up to $1,000
in stock when you fund a new account.
Pros
No commissions on stock, options and ETF trades
Complimentary access to financial planners.
IPO access.
IRA match.
Cons
Low interest rate on uninvested cash.
Why We Like It
SoFi Active Investing's $0 trading commission, complimentary access to financial advisors, fractional shares and $0 account minimum are attractive to new investors. More advanced investors will appreciate the company's wide mutual fund selection and IPO access.
$0
per trade for online U.S. stocks and ETFs
$0
None
no promotion available at this time
Pros
Commission-free stock, options and ETF trades.
Large selection of research providers.
Strong customer service.
Expense-ratio-free index funds.
Highly rated mobile app.
High interest rate on uninvested cash.
Cons
Relatively high broker-assisted trade fee.
Why We Like It
Fidelity is one of the largest and most well-established brokerages, and it shows. Fidelity charges no trading commissions, offers an extensive set of no-fee, no-minimum index funds. It also stands out for its top-notch research tools, a renowned trading platform and very strong customer service.
$0
$0
None
no promotion available at this time
Pros
Commission-free stock, ETF and options trades.
No contract fee on equity options.
Popular, easy-to-use app.
High yield on uninvested cash.
Low margin rates.
Cons
No mutual funds or bonds.
Lower than average execution quality.
Why We Like It
Moomoo offers free stock and option trades in an easy-to-use trading platform that charges low margin rates. It's not built for passive retirement investors — IRAs aren't supported, nor are mutual funds — but there's a lot to like about Moomoo for more active traders.
Last updated on December 3, 2024
Methodology
NerdWallet’s comprehensive review process evaluates and ranks the largest U.S. brokerage firms by assets under management, along with emerging industry players. Our aim is to provide an independent assessment of providers to help arm you with information to make sound, informed judgements on which ones will best meet your needs. We adhere to strict guidelines for editorial integrity.
We collect data directly from providers through detailed questionnaires, and conduct first-hand testing and observation through provider demonstrations. The questionnaire answers, combined with demonstrations, interviews of personnel at the providers and our specialists’ hands-on research, fuel our proprietary assessment process that scores each provider’s performance across more than 20 factors. The final output produces star ratings from poor (one star) to excellent (five stars).
For more details about the categories considered when rating brokers and our process, read our full methodology.
To recap our selections...
