Should You Trade with TastyTrade? (Previously TastyWorks)

Tastytrade, formerly known as tastyworks, is a US-based options and stockbroker with a focus on options trading.

Regulated by the top-tier SEC and FINRA in the US. Founded in 2017 with an investor protection of $500k (securities up to $500k, cash up to $250k).

This tastytrade review provides insights into its features, pros, and cons.

➤ TastyTrade Review

Tastytrade is a preferred choice for options trading due to its low trading fees and a trading platform designed for efficient options trading. The broker also offers valuable educational and research materials, catering to both learning and trading needs.

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While tastytrade primarily focuses on options and futures, it does provide the option to trade US stocks and ETFs, albeit with a slightly more complex process compared to other brokers.

The trading platform is particularly suited for options trading but may appear daunting to beginners, especially since it lacks a proper demo account. However, you can sign up for a live demo presentation or watch the platform overview videos.

A notable advantage is the absence of a withdrawal fee for linked bank account withdrawals.

On the downside, bank transfer (wire) withdrawals can be expensive, and the broker does not support credit/debit card deposits.

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TastyTrade Details
🗺 Country of RegulationUSA
💰 US Stock FeeFree stock and ETF trading
💰 Inactivity Fee ChargedNo
💰 Withdrawal Fee$0
💰 Minimum Deposit$0
💵 Available Base CurrenciesUSD
💵 Conversion Fee of DepositsOnly USD-denominated assets are available
💳 Deposit with Bank CardNot available
🕖 Time to Open an Account1 day
🎮 Demo Account ProvidedLive demo (once a month)
🛍️ Products OfferedStock, ETF, Options, Futures, Crypto

➤ TastyTrade Pros and Cons

TastyTrade Fees

Stock and ETF fees
US stock$0.0
Margin rates
USD margin rate11.0%
Options fees
US stock index options$7.5
Options on stocks$1.00/contract, max $10.00 per leg
Options on micro futures$1.50/contract
Options on Smalls Futures$0.18 – $0.65 /contract
Futures fees
US micro e-mini stock index futures$8.5
Crypto fees
Total crypto purchase1% capped at $10

👉 So, Stocks or Options?

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TastyTrade Account Opening

Fully digital
No minimum deposit

TastyTrade Deposit and Withdrawal

No deposit feeHigh fee for wire withdrawals
User-friendlyCredit/Debit card not available
Free ACH withdrawals in the US

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TastyTrade Web Trading Platform

Clear fee reportNot suited for beginners
Price alertsLimited customizability (for charts, workspace)
Two-step (safer) authentication for certain functions

TastyTrade Mobile Trading Platform

User-friendlyNo price alerts
Touch/Face ID login
Order confirmation

TastyTrade Desktop Trading Platform

Clear fee reportNot suited for beginners
Good customizability (for charts, workspace)
Price alerts

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TastyTrade Markets and Products

Trade US stocks, ETFs, options, and some futuresNo mutual funds or bonds
Limited international assets

TastyTrade Research

Good interactive chartNone
Trading ideas
Free real-time quotes
Limited fundamental data
Phone support
Fast response time
Relevant answers

TastyTrade Education

Trading platform tutorialNo demo account
Educational videos
Good production quality

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TastyTrade Safety

Overseen by top-tier US regulatorsNo banking license
Strong investor protectionNot listed on a stock exchange
Financial information is publicly available
Audited by PwC

➤ Final Thoughts

Tastytrade excels as a broker for options trading, offering low trading fees and free stock and ETF trading. The trading platform is geared towards experienced options traders but may not be suitable for beginners.

As we’ve seen in this tastytrade review, tastylive provides excellent educational and research tools.

While the deposit and withdrawal processes could be improved, and a demo account is notably absent, tastytrade’s seamless account opening process with no minimum deposit, inactivity, or monthly fees makes it worth considering for your trading needs.

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Pavlos Written by:

Hey — It’s Pavlos. Just another human sharing my thoughts on all things money. Nothing more, nothing less.