Tastyworks has been around since 2017. This website is an online options broker that includes commission costs, charts, and customer service. There are some of the primary features that platforms of this type need to offer. However, although at first it was promised, tastyworks paper trading is not possible.
Many people use this online broker, but most of them continually complain about tastyworks paper trading’s unavailability. Still, the website has many other features you can use and take care of all the tasks you need to fulfill. It is expected for tastyworks to add the paper trading feature in the future, but for now, let’s see what other features the broker has to offer.
What is tastyworks?
Tastyworks is a broker based in the US. It has multiple options available for trading. The regulation of these websites’ activities is in charge of two entities, the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).
This website was developed by the same people who brought another great broker, thinkorswim, currently under TD Ameritrade’s custody. The services provided by tastyworks are private. As we said above, the broker was developed in 2017, and its headquarters can be found in Chicago, USA.
Is tastyworks a good broker?
Tastyworks is a great option for those who are looking forward to a trading platform. Platforms of this type are developed to have available multiple trade options, and this one offers one of the lowest trading fees. Besides multiple significant features, the website also offers different educational materials.
As a broker platform, tastyworks has available many options related to futures trading. Although you can trade using US Stocks and ETFs, the process is more challenging if you compare it to other online platforms of the same type.
Other features include bank transfers, but the options are costly. It’s currently impossible to complete transactions using credit or debit cards. Although this platform is excellent for trading and has many vital features, we wouldn’t recommend it for newbies as you have to purchase the whole product. Demo accounts are not available in tastyworks.
Pros and Cons of tastyworks
You will find some of the most significant pros and cons of tastyworks in this section.
- The trading fees are accessible, compared to other brokers.
- There are excellent educational and research materials available so that you can expand your knowledge.
- If you want to perform research, there are many research tools available that are top-notch as well.
- There are too many limitations when it comes to product selection.
- Transactions are limited. You have little options when it comes to deposits and withdrawals.
- Demo accounts are not available as of now.
- tastyworks paper trading is currently unavailable.
Most vital tastyworks fees information
As you saw in the previous section, tastyworks’ fees are relatively low if you compare it to other overused brokers. So, to clear all your doubts, this section contains all the information regarding the tasyworks fees. But first, please note the following facts:
Trading fees are implemented once a trade is completed. Some of these fees include, for example, commissions and financing rates. Other options can be financing rates and spreads.
Non-trading fees are applied when transactions such as withdrawals or inactivity.
Overall, we can consider that the trading fees tastywork currently applies are low. Please note the following information:
- As per the contract for stocks, tastyworks will charge you $1 per each one. When it comes to futures options when trying to open a position, the contract will cost you $2.50.
- When it comes to closing a position on options, charges are not applied.
- As for stock trading, no commissions are applied.
- Future fees will cost you $0.25 for each contract, while the regular futures will cost you $1.25 for each contract.
What types of accounts are available at tastyworks?
There are three types of accounts available at tastyworks. The two primary types are cash and margin accounts.
Margin accounts allow you to use leverage, meaning that you can “borrow” a fixed amount of money from the platform and use it for trading purposes.
The third type is a retirement account (which can vary from the beneficiary, self-employed and traditional), available only for US citizens.
Depending on what type of ownership you want, you can open different types of accounts too. These are the following:
- Individual accounts. These accounts are meant for personal use.
- Joint accounts. These accounts are meant to be used for multiple people simultaneously.
- Corporate and trust accounts. The ownership of these accounts belongs to a legal entity and can only be used in the USA.
How do you open an account at tastyworks?
You can open an account on this broker platform quickly. The approval is relatively quick. It won’t take more than 24 hours. Completing the application will take about fifteen minutes, and all the requirements can be easily completed. Among the information you must provide, there is the following data:
- The type of account you would like to open.
- All the required personal information.
- Information related to your financial knowledge.
- Your employer information, including their name, contact, and address.
- A digital copy of your government-issued ID.
- You must provide your address information.
The process won’t take you too much time, and it’s not complicated to complete it. Visit the tastyworks website, and you’ll find a tab with the “sign-up” option available. Click there, and you will be redirected to the registration page.
Tastyworks is an excellent broker, but as of now, tasyworks paper trading is unavailable. However, this option is available in the other broker we mentioned, Thinkorswim. However, as both platforms are different, you must think thoroughly about all the options you want to take advantage of.
We still have to wait for a while until the tastyworks staff makes the paper-trading option available. For now, we have to stick with other traders that can offer this feature. Still, tastyworks has many features available you can take advantage of, but the website isn’t recommended for newbies.