tastytrade vs. Schwab
Highlights:
- tastytrade and Charles Schwab offer self-directed trading in futures and securities.
- Schwab, but not tastytrade, has investment advice and financial planning.
- Both firms have advanced software for high-level trading.
If you’re looking for a new investment account, check out tastytrade and Charles Schwab. They share some features, but there are key differences.
Comparison Table
|
|
|
| Rating |
|
|
| Stocks |
$0 |
$0 |
| Options (per contract) |
$0.50 |
$0.65 |
| Mutual Funds |
n/a |
up to $75 |
| Initial Funding Requirement |
$0 |
$0 |
| Inactivity Fee |
$0 |
$0 |
| IRA Annual Fee |
$0 |
$0 |
| Full Account Transfer |
$75 |
$50 |
| Partial Account Transfer |
$75 |
$25 |
| Account Closing Fee |
$0 |
$0 |
| Trading Experience & Technology |
|
|
| Mobile |
|
|
| Research Amenities |
|
|
| Portfolio & Analysis Reports |
|
|
| Customer Service and Education |
|
|
Trading Services
In self-directed accounts, tastytrade customers can trade:
- Futures
- U.S.-listed stocks
- ETFs
- Closed-end funds
- Options (equity, futures, and index)
- Cryptocurrencies
Schwab doesn’t offer cryptocurrencies, but it does have mutual funds, OTC stocks, foreign stocks, bonds, and forex.
Schwab also provides portfolio management with robo and human advisors. With either choice, you can get a financial plan from a human advisor. Traditional advisory accounts can include alternative assets.
Winner: Schwab
Promotions
Charles Schwab: Satisfaction guarantee, ACAT reimbursement, and $0-fee trades at Charles Schwab.
Tastytrade:
Get $250 for each person you refer with this referral link.
Computer Tech
Schwab’s website has a trade ticket with eleven order types. The thinkorswim web platform adds more, like blast all and 1st triggers sequential.
Charts on the website and thinkorswim include drawing tools and technical studies. Trade buttons sit above charts, and there’s no right-click menu.
tastytrade’s website has three tabs: Dashboard, Trading, and Manage. The Trading tab delivers charts with many tools. The order ticket has four types, which is a drawback, although bracket orders are available.
The Follow Feed shows recent trades by tasty insiders.
tastytrade’s desktop platform is similar to its web version. thinkorswim desktop is more advanced with right-click trading and a demo mode.
Winner: Schwab
Mobile Apps
thinkorswim’s mobile app has advanced charting (hundreds of indicators) and a pro-level order ticket. It also includes a built-in simulator.
Schwab’s general app adds tools like bill pay, Zelle transfers, and mutual fund trading.
tastytrade’s app has option chains for spreads and a visual tool to adjust orders. Charts rotate horizontally, but there are no chart tools.
Winner: Schwab
Trading on Margin
Both brokers offer cash and margin accounts. At Schwab, a cash account can upgrade to margin on the website or app. tastytrade requires a separate margin account.
Both allow shorting, buying on margin, and trading option spreads. On Schwab’s platforms, you can see maintenance margin requirements for individual stocks; tastytrade does not show this.
Schwab’s margin rates range from 12.325% to 10.575%, depending on the amount borrowed. tastytrade’s rates range from 10.5% to 7.5%.
Winner: Open to dispute
Complementary Features
DRIP Service: Available at both brokers.
Fractional Shares: Offered by both; tastytrade also supports ETFs.
Periodic Mutual Fund Investing: Available at Schwab.
IRA Lineups: Both offer IRAs; tastytrade has an IRA termination fee.
Fully-paid Securities Lending Program: Available at both.
Extended-Hours Trading: Both support pre-market and after-hours; Schwab also offers overnight trading in a short list of securities. Futures, forex, and crypto trade around the clock.
Initial Public Offerings: Only at Schwab.
Winner: Schwab
Recommendations
Mutual Funds: Schwab is the only choice.
Beginning Investors: Consider a robo or traditional advisory account at Schwab.
Retirement Planning & Long-Term Investing: Schwab has annuities, lifecycle mutual funds, branches, estate planning, IRA calculators, and more.
Small Investors: tastytrade is good for taxable accounts thanks to fractional ETF trading; Schwab is better for brokerage IRAs. Managed accounts at Schwab start at $5,000+.
Active Stock Trading: Schwab is preferred for foreign and OTC stocks.
Promotions
Charles Schwab: Satisfaction guarantee, ACAT reimbursement, and $0-fee trades at Charles Schwab.
Tastytrade:
Get $250 for each person you refer with this referral link.
Assessment
For cryptocurrencies and futures, tastytrade has the advantage. For most other areas, Schwab is the stronger choice.
Open Charles Schwab Account
Open Schwab Account
Open Tastytrade Account
Open Tastytrade Account
Updated on 7/25/2025.
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