Tastyworks is a privately owned brokerage company that offers trades mainly in the options and stocks market. It is based in Chicago and was established in 2017. It was founded by the same experts who built Thinkorswim in 1999. It provides stock, options on futures, options on stock, and futures.
The pricing of Tastyworks is low, and it offers a large discount brokerage with the best referral program. It is primarily built for active traders who work online. According to Tastyworks review, this platform is considered as one of the fastest, most secure, and most reliable trading platforms in the world. The whole point of the platform is user engagement to get more people involved in the market. It wants to improve the trading experience among its customers. They have a unique design and brand characteristics, and hence, it is very effective with the Millenials.
Pros of Tastyworks Platform:
- Research tools are great
- Quick response time
- Price alerts and simple fee report
- Amazing educational materials
- ETF and stock fees are low
- No inactivity fee
- Trading fees are very low
Tastyworks is regulated by the Financial Industry Regulatory Authority (FINRA), National Futures Association, and the Securities and Exchange Commission (SEC). Tastyworks has a high degree of investor protection, and its financial information is available at its platform for the public. But, it does not give negative balance protection.
Account Opening at Tastyworks
It offers the account opening services to its customers digitally. It is fully user-friendly. One of the benefits for the customers is that there is no or low minimum deposit. Tastyworks procedure to open a new account is very fast and smooth, and customers don’t need to go through any problem or issue. It provides the facilities to open two types of accounts: cash and margin accounts.
- Business Accounts: These accounts are used to track the money, balance, and cash owed to the business, creditors, and also payroll paid to employees.
- Joint Brokerage Account: These accounts have two or more account holders listed on them and allow multiple people to have control over the investment account.
- Trust Account: A trust account is an arrangement where funds are held by third-party legally for the benefit of another party.
- IRA/Retirement Account: It is a type of individual retirement plan that provides tax benefits for retirement savings.
You need to provide the following information in order to open an account with Tastyworks.
- Primary bank name
- Account type
- Personal information
- Identity proof & address proof
The platform provides a web trading platform for its customers. It is primarily focused on futures and options traders, while stock trading is not a favorite among customers. It provides a unique experience for professional traders as it takes some time to get used to the platform and its function due to limited customizability. Learn more about the different trading platforms from the broker comparison. It is not advised for beginners, but they can definitely learn a lot from the platform. It also doesn’t have a two-step safer login and sometimes becomes a little bit complex with the traders. As per the Tastyworks review, we get to know that the platform gives an easy setup to fix price alerts and various trading notifications. Also, the portfolio and fee report that it provides is also simple.
Products of Tastyworks
It gives access to different services and products from stocks to futures. At Tastyworks, you can trade:
- Stocks: A share that gives a fixed dividend to the holder. Its payment takes priority over the ordinary share dividends.
- ETF: An exchange-traded fund is a group of securities that trade on an exchange. It is bought and sold all day, unlike a mutual fund that only trades once a day.
- Option: An option is an instrument that gives the buyer the right, but not the obligation to buy or sell an underlying instrument at a specified price.
- Futures: Futures are financial instruments that put the obligation on buyers to purchase an asset or the seller to sell an asset at a predetermined future date and price.
Tastyworks gives access to the US market only. It provides a social trading service. As well, it has less coverage of its products than that of its competitors.
Tastyworks customer service is very effective as it resolves the problems of customers with relevant answers. The customer can contact the platform either through telephone or e-mail and get answers by their skillful employees. The live chat on the website or platform is missing. They are also not accessible 24/7. They have quick response-time both from telephone and e-mail.
Fees at Tastyworks
It doesn’t charge an inactive fee and also has a very low trading fee. Stock and ETF fees are also very less as compared to other platforms. It charges $2.50 per contract for options on futures and $1 per contract for stock options. But no commission is incurred on stock trading. Also, when you take stocks or money from your broker to trade, then you have to give a margin rate, also called a financing rate. This is basically an interest that the users need to pay to the broker. The financing rates are linked with the volume of the contract and are set by the freewill of the Tastyworks.
Tastyworks is user-friendly and gives high-quality trading ideas. According to the Fidelity vs Tastyworks 2020, It provides an amazing interactive charting tool on the web platform. It also provides various useful data for options to help traders make various choices.
Education of Tastyworks
It has fantastic production quality and provides education videos for its customers. It also provides tutorials, webinars, and quality educational articles. The educational material is offered through Tastytrade, its educational platform. It is free to use and gives beneficial market insights and content. General educational videos are of great quality, and the Tastyworks user can learn a lot from them.
As per the Tastyworks review, this platform is a superb broker service for options trading, but a little bit complicated for stock trading. Account opening is easy and quick. It has an amazing collection of educational articles, videos, tutorials, webinars for the users so that they can make intelligent trade choices. It covers only US markets and is fully digital. It also offers brilliant trading ideas and has an interactive charting tool. By comparing the brokers we get to know that It also offers brilliant trading ideas and has an interactive charting tool. Moreover, It provides a unique experience to its users.
1: What is Tastyworks?
Ans: Tastyworks is a Chicago based privately owned brokerage company that offers trades mainly in the options & stocks market.
2: How to withdraw money from Tastyworks?
Ans: Withdrawing money can be done by the wire transfer for non-US citizens and ACH & check for US citizens.
3: Is Tastyworks safe?
Ans: Yes, it is safe as the platform is regulated by the Financial Industry Regulatory Authority, National Futures Association, and the Securities and Exchange Commission.
4: Does Tastyworks have paper trading?
Ans: No, but they offer better alternatives than paper trading.
5: How to trade futures on Tastyworks?
Ans: To trade futures, the commissions are $1.25 to open one contract, $1.25 to close it.