Platform Comparison

E*TRADE vs WellsTrade

Compare E*TRADE and WellsTrade on fees, DRIP, fractional shares and research for dividend investing.

Updated August 3, 2026

E*TRADE from Morgan Stanley and WellsTrade both charge $0 commissions and offer free per-security dividend reinvestment with fractional shares, but the similarities end there. E*TRADE (4.6/5) is a research powerhouse with free Morgan Stanley, Morningstar, and MarketEdge reports, five trading platforms, and 5,000+ no-transaction-fee mutual funds. WellsTrade (3.8/5) is Wells Fargo’s basic brokerage, built for customers who want banking and investing in one login.

For dividend investors, both cover the essentials — free DRIP with fractional reinvestment you can enable per security. WellsTrade’s Stock Fractions program is the more established fractional option, letting you buy partial shares from $10, while E*TRADE only began rolling out direct fractional purchases in Q2 2026 and doesn’t support dollar-based orders yet. Everywhere else, E*TRADE is ahead.

Higher Rated
ET

E*TRADE

4.6

Morgan Stanley's full-service brokerage pairs $0 commissions and free dividend reinvestment with institutional-grade research—and in 2026 it finally added direct fractional shares and crypto trading.

WF

WellsTrade

3.8

WellsTrade is Wells Fargo's self-directed brokerage (not the advisor-led Wells Fargo Advisors) for existing customers who want banking and investing under one roof—basic but functional.

E*TRADE vs WellsTrade: Fees, Minimums & DRIP Compared

FeatureE*TRADEWellsTrade
Our Rating4.6/53.8/5
Trading Commissions$0$0
Account Minimum$0$0
Fractional SharesYes (phased rollout)Yes (min $10)
DRIPFreeFree
Research ToolsExcellentBasic
Best ForResearch-Driven Dividend InvestorsWells Fargo Banking Customers

E*TRADE vs WellsTrade: Pros and Cons

E*TRADE

Pros

  • + Commission-free trading on stocks and ETFs
  • + Free dividend reinvestment (DRIP) with fractional shares, enrollable per security
  • + Industry-leading research from Morgan Stanley, Morningstar, and MarketEdge
  • + Direct fractional-share purchases now rolling out (started Q2 2026)
  • + Crypto trading live at a 0.50% fee—cheaper than Coinbase, Schwab, and Fidelity

Cons

  • - Fractional-share purchases are still in a phased rollout—not every stock is eligible yet
  • - No dollar-based orders yet; fractional buys are share-quantity only
  • - Low interest rate on uninvested cash
  • - Website navigation can be confusing

WellsTrade

Pros

  • + Commission-free online stock and ETF trades
  • + Free dividend reinvestment with per-security selection
  • + Fractional shares through Stock Fractions program (min $10)
  • + Integration with Wells Fargo banking accounts
  • + No management fees for self-directed accounts

Cons

  • - Very basic investing platform with limited tools
  • - High margin rates (8.5%-12.5%)
  • - No pre-market trading available
  • - Limited after-hours trading (mobile only, until 6:30 PM)

Which Is Better for Dividend Investors: E*TRADE or WellsTrade?

Choose E*TRADE if you...

  • Are in E*TRADE's core audience: research-driven dividend investors
  • Prefer a higher-rated overall platform

Choose WellsTrade if you...

  • Are in WellsTrade's core audience: wells fargo banking customers

Want the full breakdown of fees, DRIP, and research tools? Read our E*TRADE review and WellsTrade review.

Our Verdict: E*TRADE or WellsTrade?

E*TRADE for most dividend investors — the dividend screeners, free institutional research, and huge no-fee fund lineup support serious portfolio building, and its new direct fractional-share purchases are closing the one gap WellsTrade could point to. Choose WellsTrade only if you bank with Wells Fargo and value one-login convenience above tools; its platform covers the buy-and-hold basics but little more. E*TRADE rates 4.6/5 in our reviews against WellsTrade’s 3.8/5.

Frequently Asked Questions

Is E*TRADE or WellsTrade better for dividend investing?

E*TRADE. Both offer $0 commissions and free per-security DRIP with fractional reinvestment, but E*TRADE adds a screener that filters by dividend yield, payout ratio, and dividend growth, plus free Morgan Stanley and Morningstar research. WellsTrade’s tools are thin — its case is Wells Fargo integration, not capability.

Do E*TRADE and WellsTrade both offer fractional shares?

Yes, differently. WellsTrade’s Stock Fractions program lets you buy partial shares of hundreds of stocks and ETFs with as little as $10. E*TRADE began direct fractional purchases in Q2 2026, starting with S&P 100 stocks — but orders are share-quantity only, with no dollar-based buys yet. Both reinvest dividends into fractional shares for free.

What are the fees for E*TRADE vs WellsTrade in 2026?

Stock and ETF trades are $0 online at both, and options cost $0.65 per contract at both. WellsTrade charges $25 for phone trades, $35 for transaction-fee mutual funds, and 8.5–12.5% margin rates, with a $49.95 transfer-out fee. E*TRADE charges $25 for broker-assisted trades, $9.95 for transaction-fee funds, and $75 for transfers out — but offers 5,000+ mutual funds with no transaction fee at all.

Why would anyone pick WellsTrade over E*TRADE?

Wells Fargo integration. If your banking already lives at Wells Fargo, WellsTrade puts your investments in the same app and login, and US Treasury trades are fee-free. On feature comparisons — research, trading platforms, fund selection — E*TRADE wins.

Investment Disclaimer

Investing involves risk, including possible loss of principal. Past performance does not guarantee future results. This content is for informational purposes only and should not be considered investment advice.