The Motley Fool and Zacks are two popular investment services, both used by thousands of investors around the country. However, what the two services offer is quite different and caters to different types of investors.
At the most basic level, the difference between the two is that The Motley Fool is an investment advisory firm, while Zacks is a trading platform best suited for advanced traders. Zacks also publishes stock analysis, but an important difference is that Zacks is also a broker with its own trading platform.
This may give the impression that Zacks has more to offer, but it’s not that simple. The Motley Fool, for its part, has a range of investment advisory services tailored to specific investment styles. Zacks, on the other hand, publishes more general investment analysis.
So how do you decide which one is right for you?
Variegated Fool Overview
The Motley Fool is an investment advisory firm that has been around since 1993. It was founded by brothers Tom and David Gardner as a conflicting investment service, or one that went against the general advice.
In other words, The Motley Fool would be different. Nor would it take itself too seriously, and it has stuck to that philosophy.
As discussed in our Motley Fool review, the company has several services these days, all of which give you stock recommendations based on a particular investment style. However, Fool’s most popular service, Stock Advisor, is also its oldest; it was first launched in 2002.
Investors like Stock Advisor and other services from The Motley Fool because they get great results. They are also fully transparent and many of them are an incredible value. As long as you have a preferred broker to make your trades, it’s hard to go wrong with everything The Motley Fool has to offer.
Variegated Fool Details
Stock recommendations, stock analysis, webinars, watch list, stock screens
The Motley Fools most popular service, Stock Advisor, costs only $ 99 for the first year. Thereafter, a Motley Fool Stock Advisor subscription will cost $ 199.
The Motley Fool provides telephone support Monday – Friday from 9.00 to kl. 17.00 Eastern. You can also email them at any time.
For Stock Advisor only, you can sign up at a price of $ 79 / year for your first year. That’s $ 120 off!
The Motley Fool’s services have generally been aimed at those who want to buy shares in individual companies. While it now has a section for exchange traded funds (ETFs), the focus has mostly been on individual companies over the years. The Motley Fool’s Stock Advisor delivers stock recommendations to your inbox twice a month.
However, TMF stock recommendations are not for people who want to get rich quick. It focuses on high-quality companies that it believes will be good investments for many years to come.
Basically, this approach is like investing in a mutual fund, but some people would rather avoid the “losers”. They may not have time to do in-depth analyzes; Fool’s services do it for you.
If a stock falls into adversity, it will be removed from the company’s recommendations. It has been done many times over the years, but Fool is not pale for the choices it went wrong. All of its stock recommendations are available to subscribers dating back to the beginning of Stock Advisor.
Many of its services either have upgrades or can be combined. For example, new members can sign up for both Stock Advisor and Rule Breakers for $ 199. Overall, The Motley Fool has a lot to offer and is perfect for buy-and-hold investors who do not have time to do their own analysis.
Variegated Fool Fees
The Motley Fool has expanded its services over the years, but the most popular include:
However, the fees you pay for The Motley Fool depend not only on the service but also on the promotions and bundling. For example, the normal price for new members of Stock Advisor is $ 99 for the first year, then $ 199. However, our link with 60% off will make it only $ 79 for the first year.
However, the prices vary a lot depending on all the things mentioned above. You can spend as little as $ 79 for your first year all the way up to the Motley Fool One. The latter gives you access to all of their services, but it is not cheap: the price is $ 13,999 / year.
Of course, most people do not have much to spend, and that’s all right. Typically, you would buy one or two Fool services and pay the prices you see in the bullet list above.
Motley Fool Pros
Broget Fool Cons
To find out more about how The Motley Fool works, check out our in-depth review of The Motley Fool.
Zacks Trade is an online broker based in Chicago, Illinois, first launched in 1976. Zacks comes with relatively low fees (although it does charge fees for stock and ETF trades).
Nevertheless, Zacks uses Interactive Brokers (IBKR) for its clearing services. As a result, it has many of the same features as IBKR, making it a great option for serious traders looking to do their own research. If you are an active trader or a day trader, Zacks is a better choice for you.
Therefore, Zacks are a great choice for those who want to do their own in-depth research. However, as described below, it has a high account minimum and charges trading commissions.
Zacks has two desktop trading platforms, its Client Portal in addition to Zacks Trade Pro. Both are available without a subscription, but the client portal has a simplified, user-friendly interface, while Zacks Trade Pro is much more robust.
There is also a mobile trading platform called Handy Trader that is both mobile friendly and tablet friendly.
One of the striking features of Zacks Trade is that broker-assisted trading is free on the platform. In addition, you can use Zacks Trade in 218 countries on 90 different exchanges.
Zacks also has a subscription-based product called Zacks Premium. It costs $ 249 / year, making it comparable to the price of some of The Motley Fool’s products. With a Zacks Premium subscription, you get access to several valuable features such as Zacks # 1 Rank List and Equity Research Reports.
Zack’s # 1 Rank List is similar to Stock Advisor recommendations, but the difference lies in how they are delivered and maintained. Fool delivers two stock recommendations to your email each month and also sends you sales alerts if and when needed. With Zacks, you must log in to the system to check the # 1 ranking.
Zacks does not charge any annual fees for using its platform. However, there are some trading fees as described in the table above.
Zacks also has premium subscription services, including:
Motley Fool Vs. Zacks: Which one is right for you?
The Motley Fool and Zacks are both quality services, but they tend to have different audiences. Motley Fool is ideal for those who want stock recommendations delivered monthly. Zacks, on the other hand, are best suited for active traders and day traders who mostly prefer to do their own research.
The result is that we recommend The Motley Fools services to most investors. We say this simply because most of us do not have the time to spend researching dozens of advanced measurements.
Plus, while Stock Advisor’s full price is not much lower than the price of Zacks Premium, it’s still 25% less. And more importantly, our 60% discount link gives it $ 79 for your first year, making the entry barrier much lower.
Even if you can not go wrong with either, we think Motley Fool is a better value for most people. As you develop more, you may want to consider trying Zacks Trade Pro, but it is not necessary for the average investor.