Best Options Broker Trading Platform

This is an elegant order type especially if you trade a lot of short options.

If you already have a position on you can view it through the analyze tab and add adjustments to see how they will affect your current position and what to expect in various market conditions. 

The amount you may lose may be greater than your initial investment.

Who's it for? 

Interactive Brokers as an options broker. Interactive Brokers is designed with the active trader in mind. Its commission schedule favors active options traders, as well as those who hold options until exercise or assignment, as it doesn't charge a fee for either event.

TradeStation Labs is a team of analysts that assists traders to master the platform and provides insightful research and analysis. Recognia is an advanced technical charting tool that analyzes tens of thousands of investment products equities, futures and currencies at exchanges across the globe to identify the patterns of emerging opportunities for traders.

IB also provides a very advanced platform and tools for sophisticated traders. Probability Labs and Option Calculator help options traders visualize the option mechanics and assist them in computing and analyzing option profit, Greeks and option probability distribution, including scenario analysis.

Option Strategies Widget assists traders in the creation and testing of various option strategies. Traders get access to research, news feeds and market data from both Interactive Brokers Information System "IBIS" own research and news service provider and other vendors for a fee.

Volatility Lab assists traders in mapping out historical, forward-looking and implied volatility profiles and skews. Automated Trading With Interactive Brokers. Another key advantage of Interactive Brokers is that it is known for delivering value price improvement through its Smart-Router. Options traders can direct their smart-routed orders of non-marketable securities to an exchange that offers the best rebate or liquidity.

These brokers are neither ideal nor recommended for beginners who will most certainly find themselves dazed with these very advanced platforms that require a steep learning curve and the complex fee structure. TradeStation is the best for sophisticated and institutional traders who can best use its advanced technologies, willing to pay for value-added tools and research, and can comprehend and effectively navigate its fees and pricing schemes to their advantage.

Again, Interactive Brokers is most suitable for sophisticated traders who can pay for its tools and research mostly provided by third parties , and can find value in paying for its various services, navigate its very complex fee structure to their advantage as well as can afford and find value in its services on the whole.

Most importantly, IB is best suited for traders who value diversification of investment products and access to international markets. The Bottom Line These brokerage firms target the same clientele seasoned, well-funded and active traders with few differences, and this is evidenced by their minimum monthly activity fees mentioned above.

Day traders and institutional traders who can trade the necessary volume, have the skills to maximize the value of the tools and products from these brokers, and can minimize the average costs will benefit the most from these brokerage firms. Due to the complexity of the platforms and burdensome fees, these brokers may be detrimental to new and inexperienced traders, infrequent traders and those who are not well funded to take advantage of the pricing schemes.

These brokers attract traders with the promise of advanced tools and greater access to markets and investment choices, including international exchanges, and not on the basis of simple and cheap pricing structure or attractive promotions. As both brokers are riddled with numerous and complex fees, traders should spend sufficient time to familiarize themselves. Interactive Brokers has an especially complex fee and pricing structure.

Trading Center Want to learn how to invest? This broker would charge you exorbitant commissions on simple trades that might not get executed for hours or longer. But with the advent of online discount brokers, not only have rates become much more competitive, but the trading process has become much simpler and more convenient.

Key Features Interactive Brokers, also known as IB, offers sophisticated investors impressive tools for trading a range of instruments. In addition, it provides access to international markets by accommodating trades on over 80 exchanges worldwide.

IB really shines when it comes to trading less common instruments, such as stock options , forex, and commodities. Their proprietary platforms e. Trader Workstation pictured right , which can be either downloaded or viewed on an Internet browser, are extremely comprehensive and can facilitate multiple advanced strategies. For example, an options trader can input trailing stop-loss orders , contingency orders based on the price of the option or underlying security, and trade complex options strategies involving multiple positions in a single execution.

Commissions and Fees When it comes to commissions and fees, Interactive Brokers offers the lowest stock and option commissions in the business. Unlike most other brokers, IB does not charge an additional flat fee in addition to these fees and commissions. However, there are a few additional costs to keep in mind. These minimums apply to total trading activity across the various types of securities. Clearly, IB is catering towards more active traders who are investing with a significant amount of money.

Advantages Broad Range of Investment Choices. Interactive Brokers offers the ability to trade various financial instruments including stocks, bonds , options, futures, and forex.


Quick Facts 

Interactive Brokers Canada Inc. is an execution-only dealer and does not provide investment advice or recommendations regarding the purchase or sale of any securities or derivatives. Registered Office: McGill College Avenue, Suite , Montreal, Quebec, H3A 3J6, Canada.

Interactive Brokers IB Universal Account ®, Interactive Analytics ®, IB Options by the US Securities and Exchange Commission and the Commodity. Feb 19,  · Overall, Interactive Brokers unquestionably reigns supreme in the category of commissions and fees. Platforms & Tools The flagship platform Interactive Brokers offers is its Trader Workstation (TWS), which has been set up to trade everything under the sun, including global assets, and is designed to be used by traders with /5. 

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Best options trading brokers: summary

Jan 02,  · Interactive Brokers is known for international trade capabilities, low commissions and its trading platform. It's a favorite among active traders. Interactive Brokers was created for active or advanced Arielle O'Shea & James Royal. Interactive Brokers as an options broker. Interactive Brokers is designed with the active trader in mind. Its commission schedule favors active options traders, as well as those who hold options until exercise or assignment, as it doesn't charge a fee for either event.

Dec 09,  · Interactive Brokers Commission Rates. Dont forget that IB probably passes on SEC fees to you too so its actually more expensive than Futures & Options. Interactive Brokers Summary Interactive Brokers is a great option for investors and traders looking for a solid trading platform with low commissions.

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