Which trading platform is best for options? Position management functionality and tying the experience together is where platforms such as Power E*TRADE and thinkorswim by TD Ameritrade distinguish themselves. At a minimum, investors should expect their broker to include scanning, P&L analysis, risk analysis, and easy-order management. There's a healthy variety of reputable brokers to choose from in the world of options trading. Interactive Brokers Trader Workstation TWS options trade analysis. Lastly, its trading platform, Trader Workstation, is the most challenging platform to learn out of all the brokers we tested for our 2021 review. That said, Interactive Brokers requires a $110,000 minimum deposit for margin accounts. Additional savings are also realized through more frequent trading. At Interactive Brokers, there is no base charge, and the per-contract rate is just $.70. Schwab also offers Idea Hub, which uses predefined scans to filter down options trade ideas.Ĭharles Schwab options trading platform idea hub tool.įor professionals, Interactive Brokers takes the crown as the best options platform. If unique features and functionality matter to you, Charles Schwab offers the “Walk Limit” order type, which will "walk" your order to try to get the most favorable price within the National Best Bid or Offer (NBBO). 3D charts aside, no question, TradeStation earns its spot as one of the best platforms for options trading in 2021.īest options trading platform TradeStation OptionStation Pro. Investors note, however: Popcorn and 3D glasses are not required, and while visually appealing, we did not see any distinct advantage over a traditional 2D P&L chart.
Meanwhile, TradeStation's OptionsStation tool makes analyzing potential trades a breeze, and even goes as far as including 3D P&L charts. TD Ameritrade thinkorswim options trade profit loss analysis. The number of settings and depth of customization available is impressive, and something we have come to expect from thinkorswim. Strategy Roller from thinkorswim enables clients to create custom rules and roll their existing options positions automatically. Power E*TRADE aside, TD Ameritrade's thinkorswim platform and TradeStation are also excellent platforms. Power E*TRADE options trading platform Snapshot Analysis tool. Attention to detail, such as automatic spread groupings, effortless scanning through StrategySEEK, and easy-to-understand risk/reward data through tradeLAB, make Power E*TRADE a truly unique experience. Platform wise, web-based Power E*TRADE offers all the tools an options trader could want, and displays them in magnificent form.
Alongside platform usability, our testing focused on options chains (e.g., optional views, total optional columns, streaming data quality, total greeks offered), options analysis (e.g., P&L charts, calculators), and option position management (e.g., if greeks stream, rolling functionality, grouping availability, and advanced position analysis).
Every broker strives to be the best platform for options trading.įor our 2021 Review, we tested and scored 11 different trading platforms. This type of market atmosphere is great for traders because healthy competition drives product innovation. Options trades offer online brokers much higher profit margins than stock trades, and, as a result, competition is fierce in attracting these clients. The best online brokers 2021 review (11th annual) took three months to complete and produced over 40,000 words of research.