Tastytrade versus TradeStation: compare IRA, trading platforms, commissions, investing fees, account differences, pros and cons. Which online broker is better?

TradeStation vs. tastytrade Introduction

Are you looking for a futures, crypto, and securities broker with excellent trading software? If so, tastytrade and TradeStation should be high on your list. Read our comparison before deciding.

Comparison Table

Tastytrade TradeStation Review
Rating tastytrade rating TradeStation rating
Stocks $0 $0
Options (per contract) $0.50 $0.50
Mutual Funds n/a $14.95
Initial Funding Requirement $0 $0
Inactivity Fee $0 $0
IRA Annual Fee $0 $0
Full Account Transfer $75 $125
Partial Account Transfer $75 $75
Account Closing Fee $0 $0
Trading Experience & Technology brokerage ratings brokerage ratings
Mobile brokerage ratings brokerage ratings
Research Amenities brokerage ratings brokerage ratings
Portfolio & Analysis Reports brokerage ratings brokerage ratings
Customer Service and Education brokerage ratings brokerage ratings
Open an account Get $250 for each person you refer with this referral link. Get up to $3,500 for making a deposit at TradeStation.


Category 1: Tradable Products

TradeStation clients can trade a broad range of assets, including:

  • Cryptocurrencies
  • Options
  • ETFs
  • Closed-End Funds
  • Mutual Funds
  • Futures and Options on Futures
  • Stocks, including OTC and foreign shares
  • Bonds

tastytrade offers most of these except bonds, mutual funds, OTC stocks, and foreign shares. Both firms are entirely self-directed, with no managed accounts available.

Winner: TradeStation


Category 2: Mobile Platforms

Both firms’ mobile apps enable trading for securities and futures. TradeStation’s app provides an advanced order ticket, including:

- OCO
- OSO with Bracket
- Trailing Stop (% or $)


TradeStation vs tasty


TradeStation’s charts include indicators, drawing tools, themes, and export options. However, a large bid-ask price box takes up a significant portion of the screen.

tastytrade’s app solves this issue with charts that can be displayed full-screen horizontally, though the lack of charting tools limits its functionality.


Tastytrade or TradeStation


tastytrade’s order ticket lacks TradeStation’s advanced options but does include bracket orders. Digital currencies are tradable on the tastytrade app but require a mobile-enhanced site for TradeStation.

Winner: tastytrade


Category 3: Websites

TradeStation solves the display issue on its mobile charts with its web-based trading platform. It offers a straightforward yet powerful experience. Charts can be displayed full-screen, with a small ribbon at the top containing a settings menu and a trade button.


tradestation vs tastyworks


The trade button opens an order form with several advanced trade types. The platform also includes a trade ladder and integrated option spreads. Cryptocurrencies and options on futures are traded on separate platforms with unique tools.

tastytrade uses one browser platform for all asset classes. Switching between bullish and bearish trades is simple, and the trade ticket has multiple interfaces for different trading approaches. Additionally, tastylive provides live programming daily with over 25 personalities.


Tastytrade or TradeStation


The main downside of tastytrade’s browser platform is its basic charting capabilities.

Winner: tastytrade


Category 4: Desktop Programs

Tastytrade’s desktop program delivers on charting. It includes over 200 technical studies, such as:

- CAM Indicator
- AlphaJensen
- Leavitt Convolution


Tasty vs TradeStation


Order entry is advanced, with multiple ticket interfaces, including:

- Table
- Curve
- Active
- Grid
- Crypto
- Pairs

The active trade ticket functions as a price ladder.

TradeStation’s desktop platform also offers advanced features, including over 200 indicators and unique widgets such as:

- Quick button trade ticket
- Time & Sales data
- OptionStation Pro
- Walk-Forward Optimizer


tradestation vs tastyworks


Winner: TradeStation


Promotions

Tastytrade: Get $250 for each person you refer with this referral link.

TradeStation: Get up to $3,500 for making a deposit at TradeStation.



Category 5: Margin

Both brokers offer margin accounts, but only tastytrade includes portfolio margin.

TradeStation charges between 12.75% and 11.75% for margin, depending on the balance, with negotiated rates above $500k. Tastytrade’s rates range from 10.25% to 7.25%.

Winner: tastytrade


Category 6: Swing Trading and Day Trading

Extended Hours: Both brokers offer pre-market and after-hours trading for stocks and ETFs. TradeStation provides longer trading hours. Cryptocurrencies can be traded 24/7.

Level II Quotes: Only available at TradeStation.

Direct Access Routing: TradeStation allows order routing to specific ECNs on all platforms. Tastytrade does not offer this feature.

Shorting: Both brokers support short positions, but TradeStation provides an equities desk to locate shares for shorting at no extra charge.

Routing Fees and Rebates: Offered by TradeStation.

Winner: TradeStation


Last Category: Extra Services

Banking Features: Neither broker offers significant cash management tools like check writing or debit cards.

Initial Public Offerings: Available through TradeStation via ClickIPO.

Dividend Reinvesting: Tastytrade supports reinvesting cash dividends as additional shares.

IRA Lineups: Both brokers offer IRAs and allow futures trading within them. TradeStation charges a $35 annual fee for securities IRAs, while tastytrade does not. Both have IRA closeout fees.

Fractional Shares: Neither broker offers fractional share trading for stocks or ETFs, though both support it for cryptocurrencies.

Winner: tastytrade


Promotions

Tastytrade: Get $250 for each person you refer with this referral link.

TradeStation: Get up to $3,500 for making a deposit at TradeStation.



Our Recommendations

Mutual Fund Investing: TradeStation, as mutual fund trades must be placed on the website.

Small Accounts: Choose tastytrade, as it has no recurring fees like TradeStation’s annual maintenance fee. Avoid both for small IRAs due to their IRA fees; consider Schwab instead.

Stock and ETF Trading: TradeStation’s desktop platform delivers the best experience.

Beginners: TradeStation’s platforms, with simulated trading options, are beginner-friendly. Tastylive’s educational content is another good resource.

Retirement Savings and Long-Term Investing: Neither broker specializes in retirement planning; Fidelity would be a better option.


TradeStation vs Tastytrade Summary

While both brokers excel in crypto, futures, and securities trading, tastytrade has an edge with better pricing overall.


Free Tastytrade Account

Open Tastytrade Account

Free TradeStation Account

Open Tradestation Account

Updated on 11/22/2024.

Continue Reading