Online brokerage services have existed for over 20 years. Trading investments today has never been cheaper. So while the race towards cheap trades (in some cases free) is happening, other functionality is becoming more important when selecting a stock broker.
For this review, I compare Firstrade and Tastyworks. Which one is better depends on your needs? So let's examine the major features first.
We've determined with online brokerages the most critical feature customers care about is the
cost per trade. The second most important feature is the minimum deposit, and the last is if the broker
offers mutual funds. Let's look at how Firstrade and Tastyworks
stack up against each other on these points.
To start, we will consider the minimum investment required for both applications. In
how much does one need to invest to use the service?
Both Firstrade and Tastyworks have the same minimum of $0. So they are equal in this requirement.
Next I'll consider cost per trade for both brokers.
Out of the two, Firstrade is cheaper per trade at $2.95 than Tastyworks at $5.00/trade.
When it comes to having support for mutual funds, there is a clear division between Firstrade and Tastyworks. Firstrade does have support for mutual funds, while Tastyworks does not.
|Review||Firstrade Review||Tastyworks Review|
Overall rating as by Investor Junkie.Rating
|Commissions & Fees|
|Ease of Use|
|Tools & Resources|
|Amount of Deals|
|Promotions||Up $300 Cash and 500 Free Trades||None|
|Options Trades||$2.95/trade + $0.50/contract||$1/trade + $1/contract|
|Investment Types||Stocks, Penny Stocks, ETFs, Mutual Funds, Bonds||Stocks, Penny Stocks, Futures|
|Access||Website, iOS App, Android App||Website, iOS App, Android App|
|Broker Assisted Trade|
|No Fee ETFs|
|Sign Up||Sign Up|
Firstrade is a discount brokerage firm that charges only $2.95 per trade in commissions. That's one of the lowest fees we've found from an online broker. However, unlike other stock broker options, Firstrade doesn't offer a robo advisor.
Tastyworks is a brokerage platform from financial video network Tastytrade. Designed with options traders in mind, this low-cost, technology-driven platform is best for active traders looking to save a few bucks on stock, options and futures commissions. However, it's not for everyone, and some might find the site's investment options a bit lacking.