tastyworks Review

Richard Montana | August 2, 2022

tastyworks is a USA brokerage firm that gives you access to trade options, stocks, futures, commodities and exchange traded funds (ETFs). They have an extremely versatile and professional trading platform which is packed with a plethora of excellent trading tools for conducting complex market analysis. You can trade with very competitive fees whilst there is exceptional educational content for those of you who are beginners. The technical traders amongst you will be pleased to find a great selection of research tools to help you find opportunities across the many available instruments. I like how tastyworks combines exceptional pricing with technology and innovation to ensure that you get the complete package.

Pros & Cons
  • Good selection of markets and instruments to trade
  • Professional yet user-friendly trading platforms
  • Customise your trading on desktop, web and mobile
  • Trade cryptocurrencies with commissions capped at $10
  • Do more with naked calls, futures options, and more
  • Very low commission fees
  • Reliable trade execution speeds
  • Lots of market analysis and insights to inspire traders
  • Abundance of educational content for beginners
  • Low minimum deposit of just $1
  • Excellent customer support
  • Do not offer CFD trading
  • Limited deposit and withdrawal methods
  • USD account currency only

Summary

Founded in 2017, tastyworks was created by the same vastly experienced team behind the tastytrade online financial network and thinkorswim, which is now operated by TD Ameritrade. They are headquartered in Chicago and primarily geared towards the active trader. the tastyworks team is among the most experienced in the industry. I have been aware of them for many years now and respect how they have been a big player since way back in 2000. It is good to see that they continue to lead the way with innovate technology, rates, and support that can help you succeed more easily on your own.

The tastyworks platform is great for trading popular markets including stocks, options and futures. I like how they are focused on delivering speedy and stable trading conditions whilst maintaining low rates for all traders. The platform is designed for self-investing and trading, so if you are looking for automated trading or signals, you might want to consider another broker such as IG. That being said, tastyworks do have an excellent range of tools and market insights which cna inspire you to become a better trader with practice.

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Regulation

tastyworks, Inc. (“tastyworks”) is a registered broker-dealer and member of Financial Industry Regulatory Authority (FINRA), National Futures Association (NFA). I consider these to be top-tier regulators and therefore would have no problems trusting them for my day trading activities. These regulations mean that they must comply with certain rules and procedures that are put in place to protect investors. I would always prefer to use a regulated broker just because of the peace of mind that it gives me which allows me to focus on my trading.

Funds

In addition to this strict regulation, US clients are protected by the Securities Investor Protection Corporation (SIPC) scheme. The SIPC is an investor protection scheme established in order to protect you against the loss of cash and securities in case the broker cannot fulfil their financial obligations. The SIPC protection is limited to $500,000 with a $250,000 limit for cash. However, I recommend checking out their terms and conditions since they’re pretty specific on who is eligible for the compensation.

It should be noted that some investment products such as futures are not covered by the investor protection scheme and the protection is not available to all clients. Negative account balance protection is not provided. It is important to carefully read through all of the broker’s terms and conditions so that you have a clear understanding of the protection offered before you open an account with any brokerage.

Countries

Whilst tastyworks is primarily a USA broker, they do accept clients from other countries, including throughout Europe. You can see an updated list of accepted countries under the tastyworks international account section of the website. If your country is not accepted by the broker, feel free to check out our broker comparison tool for some alternative options.

Platforms

The brilliant tastyworks platform is available for desktop, web and mobile. It is a proprietary trading platform that has been built to offer a fast, reliable and secure trading environment. I would’ve liked to see them offer their services on the MetaTrader platform as I am more familiar with it but it’s not that big a deal considering how superb the tastyworks platform is. It is fully loaded with more tools than most traders will ever need. The intuitive interface makes it is easy to find your way around, conduct in-depth market analysis and manage positions with minimal fuss.

Desktop Platform

This is the PC version that runs in Windows and is best for those who want high-powered, high-volume trading with a complete tool-set of features and functionality. I like how it has an intuitive user dashboard layout and workflow, delivering real time market quotes and advanced multi-account support and reporting. You will find a vast array of tools for technical, fundamental and price action analysis.

tastyworks Desktop Platform

tastyworks Desktop Platform

Web Trader

As the name suggest, the tastyworks browser trading platform runs directly in most modern web browsers without needing to download or install any additional software. I like how it can be accessed from any computer and maintains most of the same functionality as the downloadable desktop platform. This is likely to be more suited to those of you who prefer the flexibility of a web platform with similar power and features of the desktop platform.

tastyworks Web Trader

tastyworks Web Trader

Trading App

The tastyworks trading app is available for iOS and Android compatible devices and is useful for those who wish to trade whilst on the go. I like how you can easily access and manage your trading account from anywhere in the world with an internet connection. It has the same features as the other platforms just scaled down for trading conveniently from within the palm of your hands. I often find myself checking my trading apps to keep tabs on my positions and see if there has been any unexpected market news. You can even set alerts so that you get notified when price reaches your target level. This saves you from needing to watch the charts all day long.

tastyworks App

tastyworks App

Tools

I feel that there are more than enough tools built-in the tastyworks platform to meet the needs of even the most demanding traders. However, it is normal to lose interest sometimes and need some inspiration. Thankfully, you can get your ideas flowing again with some innovative tools that are just a few clicks away.

Follow Feed

The Follow Feed on the tastyworks platform lets you see favourite trades from select traders. Whether it’s plays on earnings or trades on pairs, you can see what they’re doing and why they’re doing it. If you know what other traders are doing, this might help inspire ideas for your own opportunities.

In-platform Video Feed

If you are looking for inspiration, you can watch real traders trade right inside the platform every minute the market is open! You’ll hear informed conversations about strategies, concepts, research, and market movements without ever taking your eyes off of what you’re working on.

Education

tastyworks has a section of their website that is dedicated to educating you with a range of trading topics catered towards all skill levels. Through their cool partner website tastytrade, you can get an abundance of insightful videos, learning and research tools to help improve your trading knowledge and skills. You can collect research studies, get free trade ideas, make your own playlists and follow real-time trades. It is always nice to see a broker that looks after clients and educates them to ensure they know what it takes to make informed trading decisions. They go above and beyond when compared to many other brokers. I would consider them amongst the best in the industry when it comes to educating traders and providing the resources required to help you achieve your goals.

Learn Center

Learn Center

Learn Center

There are some really good courses including videos, quizzes, certificates, and more. You can learn how to trade options and futures whatever your experience level and in your own time.

Trading Concepts & Strategies

The financial markets might seem intricate and daunting, but you don’t need to get your wires crossed because of complex trading jargon. Simple or complex, you can upgrade your trading vocabulary as they break trading concepts down for you. With the right information, you can be one step closer to achieving your trading goals like a pro. I must say, I am beyond impressed with the quality of the guides provided, all completely free of charge. This is the type of material you can find repacked for thousands elsewhere. Big kudos goes to tastyworks for this!

Trading News & Insights

Whether you’re looking for trading ideas, ‘how to’ guidelines, in-depth analyses or other strategy and planning resources, tastytrade has got your back. You can read articles to get insights on financial instruments, asset classes, products, trading strategies and more. Whatever your interests, you can take a deep dive into the trading topics that matter the most and make smarter decisions. Again, just as with the other plethora of educational content the broker provides, they really shine when it comes to insightful market analysis.

Events

If you would like to meet the team in person, they host regular events. You can request to attend an event near you where you will learn more about trading and meet with likeminded individuals.

Markets

tastyworks offer you very competitive commission fees on a great range of trading instruments including stocks, options, commodities, indices, cryptos, exchange-traded fund (ETFs) and futures.

Options Trading

Find opportunities to trade options on stocks, ETFs, and broad-based indices. Trade equity and ETF options online for $1.00 per contract opening commission and $0 commission to close, capped at $10.00 per leg.

Futures Trading

Get exposure to indices, forex, interest rates, and commodities through futures trading from as little as $0.25 commission per contract.

Stock Trading

Stock trading with tastyworks lets you buy and sell commission-free on an unlimited number of shares. You can trade and invest in individual stocks or get diversified exposure through ETFs.

ETF Trading

Get diversified market exposure by trading exchange traded funds (ETFs). Choose from a range of ETFs on tastyworks, and trade stocks and ETFs commission-free on an unlimited number of shares.

Commodities Trading

Trade a variety of commodity markets using options, futures, ETFs, stocks and futures options. Invest in commodities such as energies and other sectors like agriculture, metal and raw materials.

Indices Trading

Trade indices with a variety of index products using options, futures and exchange traded funds (ETFs). Take your position with an index product that works for your account size and risk tolerance.

Accounts

tastyworks have a selection of account types to cater to different trader needs. The “works” account is for active retail traders and gives access to all investment products. I like how there is no minimum deposit for a cash account but you still need at least $2,000 for full margin privileges on a margin account.

Works Account

This is the most flexible account package for active retail traders. It is an individual margin account that gives you access to trade all available products. Portfolio Margin is only available for accounts with appropriate suitability.

Individual

This is the standard trading account for an individual. You can select either a Margin or Cash Account:

Margin Account

A margin account is a brokerage account in which the broker lends the customer cash to purchase stocks or other financial products. The loan in the account is collateralized by the securities purchased and cash, and comes with a periodic interest rate.

Cash Account

A cash account does not have margin benefits. That means you must be able to cover your trade’s full purchase price with the money already in your account.

Joint

This is the standard trading account for two people and can be a margin or cash account. Select the type of account to fit your financial goals.

Retirement

You can chosse the type of IRA account that best fits your retirement goals.

  • Traditional IRA
  • Roth IRA
  • SEP IRA
  • Beneficiary Traditional IRA
  • Beneficiary Roth IRA

Corporate

Corporate accounts are opened on behalf of a legally established US entity. They currently offer C Corp, S Corp, LLC, and Partnership accounts.

Trust

A trust account can be opened on behalf of a revocable trust or an irrevocable trust. A copy of the Trust Certificate must be provided at account opening.

International Accounts

Margin, portfolio margin, and cash accounts are available to international customers. They are constantly adding to the list of countries that they support. Unfortunately, due to certain restrictions, tastyworks cannot accept accounts from Canada at this time. You can see our best brokers for some inspiration if you are based there.

Fees

Current fees start from $0.00 on stock trades, $1.00 to open options trades and $0.00 to close. Futures trades are $1.25 to open/close. Obviously prices can change, so you might want to verify the latest fees on the brokers website.

  • Options on stock – $1 opening trade (per contract, $10 max per leg), $0 closing trade (+ applicable fees)
  • Stock – $0 opening trade (unlimited shares), $0 closing trade (+ applicable fees)
  • Options on futures – $2.50 opening trade (per contract), $0 closing trade (+ applicable fees)
  • Futures – $1.25 opening trade (per contract), $1.25 closing trade (+ applicable fees)
  • Micro futures – $1.25 opening trade (per contract), $0.85 closing trade (+ applicable fees)

Account Signup

Opening a tastyworks account is a simple online process. You just need to complete the short registration form and then fill out your personal information. You will need documents at hand to verify your identification and proof of address (passport, driver’s license, utility bill, bank statement, etc). It can take a few days for the account verification to be complete which is completely normal with US brokers. This is partly due to AML procedures.  Once the accounts team have verified your account, you will be able to fund it and start trading online.

Support

Customer support is provided 24/5 in English via online chat, telephone and email. They are very friendly and prompt in their responses whilst being happy to answer all general, technical and account questions. They have lots of positive feedback from users mentioning just how good the support team are. It doesn’t matter how good the trading conditions are, if a broker has poor support this is always a huge red flag for me. I think they could improve by extending working hours to weekends but this isn’t a deal breaker.

Funding

tastyworks have a limited choice of methods for depositing and withdrawing funds from your trading account. This includes Wire Transfer, Cheques, Electronic Bank Deposit (ACH) and transferring from an existing account from another brokerage firm by initiating an ACAT. Some clients may prefer to choose a broker that offers online payment processors such as Skrill, Neteller and PayPal. For a better selection of funding methods, I recommend checking out Forex.com as an alternative option.

The broker may charge some fees when using certain methods. The deposit and withdrawal time can vary depending on the payment provider and method. Bank transfers can take a few business days to clear. You should know that some methods may only be available to specific countries and not all are available for both deposit and withdrawal.

Accounts can only be opened in USD currency which means that currency conversion fees can apply if you are not funding in this currency. I think it would be better if they could support some more currencies when you consider that they do accept clients who reside from outside the United States. This may only be an issue if you are planning on moving large amounts around in a currency other than the US dollar.

Conclusion

I must say, there are many aspects of tastyworks that blew me away. Primarily, the powerful trading platform that is packed with brilliant tools makes trading online a pleasure. There is a good selection of trading instruments with competitive fees and reliable execution speeds. This is backed by an abundance of educational resources and excellent customer support.

On the flip side, I would like to see them support some third-party software such as MetaTrader, Autochartist and Trading Central. They could also add some digital wallet payment options and maybe even offer crypto trading should regulation allow.

When all is said and done, the tastyworks platform gives you the technology, tastytrade gives you the know-how, and the business structure gives you the environment that you need to maximize your potential and reward yourself in every way possible.

tastyworks Logo

Min $1 Deposit

tastyworks is a USA broker that has professional trading platforms for retail traders to trade in an intuitional environment with all of the tools and education they need to reach their goals.

Trading complex instruments can come with a high risk.

About the Author

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Richard Montana
Richard has many years of experience in broker research, testing, analysis and reviews. He knows what to look for through years of trading himself with different brokers and listening to the feedback of others.

Review Methodology

For all of our broker reviews, we research, validate, analyse and compare what we deem to be the most important factors to consider when choosing a broker. This includes pros, cons and an overall rating based on our findings. We aim to help you find the best broker according to your own needs. You can read more about our review process.