Traders thoughts Which of the types of options is better to choose for trading. Comparison of

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Contents

Pick the Right Options to Trade in Six Steps

Options can be used to implement a wide array of trading strategies, ranging from plain-vanilla call/put buying or writing, to bullish/bearish spreads, calendar spreads and ratio spreads, straddles, and strangles. Options are offered on a vast range of stocks, currencies, commodities, exchange-traded funds and other financial instruments. On each asset there are generally dozens of strike prices and expiration dates available. But these same advantages also pose a challenge to the option novice, since the plethora of choices available makes it difficult to identify a suitable option to trade.

Key Takeaways

  • Options trading can be complex, especially since several different options can exist on the same underlying, with multiple strikes and expirations.
  • Finding the right option to fit your trading strategy is therefore essential to maximize success in the market.
  • Here we define 6 basic steps to evaluate and identify the right option, beginning with an investment objective and culminating with a trade.

Finding the Right Option

We start with the assumption that you have already identified the financial asset—such as a stock or ETF—you wish to trade using options. You may have picked this “underlying” asset in a variety of ways, such as using a stock screener, by employing your own analysis, or using third-party research. Once you have identified the underlying asset to trade, here are the six steps for finding the right option.

  1. Formulate your investment objective.
  2. Determine your risk-reward payoff.
  3. Check the volatility.
  4. Identify events.
  5. Devise a strategy.
  6. Establish option parameters.

The six steps follow a logical thought process that makes it easier to pick a specific option for trading. Let’s breakdown what each of these steps is.

1. Option Objective

The starting point when making any investment is your investment objective, and options trading is no different. What objective do you want to achieve with your option trade? Is it to speculate on a bullish or bearish view of the underlying asset? Or is it to hedge potential downside risk on a stock in which you have a significant position? Are you putting on the trade to earn premium income?

Your first step is to formulate what the objective of the trade is, because it forms the foundation for the subsequent steps.

2. Risk/Reward

The next step is to determine your risk-reward payoff, which is dependent on your risk tolerance or appetite for risk. If you are a conservative investor or trader, then aggressive strategies such as writing naked calls or buying a large amount of deep out of the money (OTM) options may not be suited to you. Every option strategy has a well-defined risk and reward profile, so make sure you understand it thoroughly.

3. Check the Volatility

Implied volatility is the most important determinant of an option’s price, so get a good read on the level of implied volatility for the options you are considering. Compare the level of implied volatility with the stock’s historical volatility and the level of volatility in the broad market, since this will be a key factor in identifying your option trade/strategy.

Implied volatility lets you know whether other traders are expecting the stock to move a lot or not. High implied volatility will push up premiums, making writing an option more attractive, assuming the trader thinks volatility will not keep increasing (which could increase the chance of the option being exercised). Low implied volatility means cheaper option premiums, which is good for buying options if a trader expects the underlying stock will move enough to put the option in (further in) in the money (ITM).

4. Identify Events

Events can be classified into two broad categories: market-wide and stock-specific. Market-wide events are those that impact the broad markets, such as Federal Reserve announcements and economic data releases. Stock-specific events are things like earnings reports, product launches, and spinoffs.

An event can have a significant effect on implied volatility in the run-up to its actual occurrence and can have a huge impact on the stock price when it does occur. So do you want to capitalize on the surge in volatility before a key event, or would you rather wait on the sidelines until things settle down? Identifying events that may impact the underlying asset can help you decide on the appropriate expiration for your option trade.

5. Devise a Strategy

Based on the analysis conducted in the previous steps, you now know your investment objective, desired risk-reward payoff, level of implied and historical volatility, and key events that may affect the underlying stock. This makes it much easier to identify a specific option strategy. Let’s say you are a conservative investor with a sizable stock portfolio and want to earn premium income before companies commence reporting their quarterly earnings in a couple of months. You may, therefore, opt for a covered call strategy, which involves writing calls on some or all of the stocks in your portfolio. As another example, if you are an aggressive investor who likes long shots and is convinced that the markets are headed for a big decline within six months, you may decide to buy OTM puts on major stock indices.

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6. Establish Parameters

Now that you have identified the specific option strategy you want to implement, all that remains is to establish option parameters like expiration, strike price, and option delta. For example, you may want to buy a call with the longest possible expiration but at the lowest possible cost, in which case an OTM call may be suitable. Conversely, if you desire a call with a high delta, you may prefer an ITM option.

Examples Using these Steps

Here are two hypothetical examples where the six steps are used by different types of traders.

Say a conservative investor owns 1,000 shares of McDonald’s (MCD) and is concerned about the possibility of a 5%+ decline in the stock over the next few months. He doesn’t want to sell the stock but does want to protect himself against a possible decline.

  1. Objective: Hedge downside risk in current McDonald’s holding (1,000 shares); the stock (MCD) is trading at $161.48.
  2. Risk/Reward: Bateman does not mind a little risk as long as it is quantifiable, but is loath to take on unlimited risk.
  3. Volatility: Implied volatility on ITM put options (strike price of $165) is 17.38% for one-month puts and 16.4% for three-month puts. Market volatility, as measured by the CBOE Volatility Index (VIX), is 13.08%.
  4. Events: Bateman desires a hedge that extends past McDonald’s earnings report. Earnings come out in just over two months, which means Bateman will need to get options that extend about three months out.
  5. Strategy: Buy puts to hedge the risk of a decline in the underlying stock.
  6. Option Parameters: Three month puts $165 strike price puts are available for $7.15.

Since the investor wants to hedge his MCD position past earnings, he goes for the three-month $165 puts. The total cost of the put position to hedge 1,000 shares of MCD is $7,150 ($7.15 x 100 shares per contract x 10 contracts). This cost excludes commissions.

If the stock drops, the investor is hedged, as the gain on the option will offset the loss in the stock. If the stock stays flat and is trading unchanged at $161.48 very shortly before the puts expire, they would have an intrinsic value of $3.52 ($165 – $161.48), which means that they could recoup about $3,520 of the amount invested in the puts by selling them. If the stock price goes up above $165, the investor profits on his 1,000 shares but forfeits the $7,150 paid on the options

Now, assume an aggressive trader is bullish on the prospects for Bank of America (BAC). She has $1,000 to implement an options trading strategy.

  1. Objective: Buy speculative calls on Bank of America. The stock is trading at $30.55.
  2. Risk/Reward: The investor does not mind losing her entire investment of $1,000, but wants to get as many options as possible to maximize her potential profit.
  3. Volatility: Implied volatility on OTM call options (strike price of $32) is 16.9% for one-month calls and 20.04% for four-month calls. Market volatility as measured by the CBOE Volatility Index (VIX) is 13.08%.
  4. Events: None, the company just had earnings so it will be a few months before the next earnings announcement. Robin is not concerned with earnings right now. Rather, she believes the stock market will rise over the next few months and believes this stock will do especially well.
  5. Strategy: Buy OTM calls to speculate on a surge in the stock price.
  6. Option Parameters: Four-month $32 calls on BAC are available at $0.84, and four-month $33 calls are offered at $0.52.

Since the investor wants to purchase as many cheap calls as possible, she opts for the four-month $33 calls. Excluding commissions, she can buy 19 contracts (19 x $0.52 x 100 = $988).

The maximum gain is theoretically infinite. If a global banking conglomerate comes along and offers to acquire Bank of America for $40 in the next couple of months, the $33 calls would be worth at least $7 each, and their option position would be worth $13,300. The breakeven point on the trade is the $33 + $0.52, or $33.52. If the price isn’t above that at expiry, the investor will have lost the $1,000.

Note that the strike price of $33 is 8% higher than the stock’s current price. The investor has to be pretty confident that the price can move up by at least 8% in the next four months.

The Bottom Line

While the wide range of strike prices and expirations may make it challenging for an inexperienced investor to zero in on a specific option, the six steps outlined here follow a logical thought process that may help in selecting an option to trade. Define your objective, assess the risk/reward, look at volatility, consider events, plan out your strategy, and define your options parameters.

Disclosure: The author did not own any of the securities mentioned in this article at the time of publication.

The 4 Advantages of Options

Exchange-traded options first started trading back in 1973. Although they have a reputation for being risky investments only expert traders can understand, options can be useful to the individual investor. Here we’ll look at the advantages offered by options and the value they can add to your portfolio.

The Advantages of Options

They have been around for more than 40 years, but options are just now starting to get the attention they deserve. Many investors have avoided options, believing them to be sophisticated and, therefore, too difficult to understand. Many more have had bad initial experiences with options because neither they nor their brokers were properly trained in how to use them. The improper use of options, like that of any powerful tool, can lead to major problems.

Finally, words like “risky” or “dangerous” have been incorrectly attached to options by the financial media and certain popular figures in the market. However, it is important for the individual investor to get both sides of the story before making a decision about the value of options.

There are four key advantages (in no particular order) options may give an investor:

  • They may provide increased cost-efficiency
  • They may be less risky than equities
  • They have the potential to deliver higher percentage returns
  • They offer a number of strategic alternatives

With advantages like these, you can see how those who have been using options for a while would be at a loss to explain options’ lack of popularity. Let’s look into these advantages one by one.

1. Cost-Efficiency

Options have great leveraging power. As such, an investor can obtain an option position similar to a stock position, but at huge cost savings. For example, to purchase 200 shares of an $80 stock, an investor must pay out $16,000. However, if the investor were to purchase two $20 calls (with each contract representing 100 shares), the total outlay would be only $4,000 (2 contracts x 100 shares/contract x $20 market price). The investor would then have an additional $12,000 to use at his or her discretion.

Obviously, it is not quite as simple as that. The investor has to pick the right call to purchase (a topic for another discussion) to mimic the stock position properly. However, this strategy, known as stock replacement, is not only viable but also practical and cost-efficient.

Example
Say you wish to purchase Schlumberger (SLB) because you think it will be going up over the next several months. You want to buy 200 shares while SLB is trading at $131; this would cost you a total of $26,200. Instead of putting up that much money, you could have gone into the options market, picked the option mimicking the stock closely and bought the August call option, with a strike price of $100, for $34. To acquire a position equivalent in size to the 200 shares mentioned above, you would need to buy two contracts. This would bring your total investment to $6,800 (2 contracts x 100 shares/contract x $34 market price), as opposed to $26,200. The difference could be left in your account to gain interest or be applied to another opportunity providing better diversification potential, among other things.

2. Less Risk

There are situations in which buying options are riskier than owning equities, but there are also times when options can be used to reduce risk. It really depends on how you use them. Options can be less risky for investors because they require less financial commitment than equities, and they can also be less risky due to their relative imperviousness to the potentially catastrophic effects of gap openings.

Options are the most dependable form of hedge, and this also makes them safer than stocks. When an investor purchases stocks, a stop-loss order is frequently placed to protect the position. The stop order is designed to stop losses below a predetermined price identified by the investor. The problem with these orders lies in the nature of the order itself. A stop order is executed when the stock trades at or below the limit as indicated in the order.

For example, let’s say you buy a stock at $50. You do not wish to lose any more than 10% of your investment, so you place a $45 stop order. This order will become a market order to sell once the stock trades at or below $45. This order works during the day, but it may lead to problems at night. Say you go to bed with the stock having closed at $51. The next morning, when you wake up and turn on CNBC, you hear that there is breaking news on your stock. It seems the company’s CEO has been lying about the earnings reports for quite some time now, and there are also rumors of embezzlement. The stock is expected to open down around $20. When that happens, $20 will be the first trade below your stop order’s $45 limit price. So, when the stock opens, you sell at $20, locking in a considerable loss. The stop-loss order was not there for you when you needed it most.

Had you purchased a put option for protection, you would not have suffered the catastrophic loss. Unlike stop-loss orders, options do not shut down when the market closes. They give you insurance 24 hours a day, seven days a week. This is something stop orders can’t do. This is why options are considered a dependable form of hedging.

Furthermore, as an alternative to purchasing the stock, you could have employed the strategy mentioned above (stock replacement), where you purchase an in-the-money call instead of purchasing the stock. Some options mimic up to 85% of a stock’s performance, but cost one-quarter the price of the stock. If you had purchased the $45 strike call instead of the stock, your loss would be limited to what you spent on the option. If you paid $6 for the option, you would have lost only $6, not the $31 you’d lose if you owned the stock. The effectiveness of stop orders pales in comparison to the natural, full-time stop offered by options.

3. Higher Potential Returns

You don’t need a calculator to figure out if you spend less money and make almost the same profit, you’ll have a higher percentage return. When they pay off, that’s what options typically offer to investors.

For example, using the scenario from above, we’ll compare the percentage returns of the stock (purchased for $50) and the option (purchased at $6). Let’s say the option has a delta of 80, meaning the option’s price will change 80% of the stock’s price change. If the stock were to go up to $5, your stock position would provide a 10% return. Your option position would gain 80% of the stock movement (due to its 80 delta), or $4. A $4 gain on a $6 investment amounts to a 67% return—much better than the 10% return on the stock. Of course, when the trade doesn’t go your way, options can exact a heavy toll: there is the possibility you will lose 100% of your investment.

4. More Strategic Alternatives

The final major advantage of options is they offer more investment alternatives. Options are a very flexible tool. There are many ways to use options to recreate other positions. We call these positions synthetics.

Synthetic positions present investors with multiple ways to attain the same investment goals, which can be very useful. While synthetic positions are considered an advanced option topic, options offer many other strategic alternatives. For example, many investors use brokers who charge a margin when an investor wants to short a stock. The cost of this margin requirement can be quite prohibitive. Other investors use brokers who simply do not allow for the shorting of stocks, period. The inability to play the downside when needed virtually handcuffs investors and forces them into a black-and-white world while the market trades in color. But no broker has any rule against investors purchasing puts to play the downside, and this is a definite benefit of options trading.

The use of options also allows the investor to trade the market’s “third dimension,” if you will—no direction. Options allow the investor to trade not only stock movements but also the passage of time and movements in volatility. Most stocks don’t have large moves most of the time. Only a few stocks actually move significantly, and they do it rarely. Your ability to take advantage of stagnation could turn out to be the factor deciding whether your financial goals are reached or they remain simply a pipe dream. Only options offer the strategic alternatives necessary to profit in every type of market.

The Bottom Line

Having reviewed the primary advantages of options, it’s evident why they seem to be the center of attention in financial circles today. With online brokerages providing direct access to the options markets and insanely low commission costs, the average retail investor now has the ability to use the most powerful tool in the investment industry just like the pros do. So, take the initiative and dedicate some time to learning how to use options properly. It is the dawn of a new era for individual investors. Don’t get left behind!

9 Best Online Trading Platforms for Day Trading

At NerdWallet, we strive to help you make financial decisions with confidence. To do this, many or all of the products featured here are from our partners. However, this doesn’t influence our evaluations. Our opinions are our own.

If you’re an active trader looking to try your hand at beating the market, you probably have a good idea of what you want in a brokerage: low costs, premium research, innovative strategy tools and a comprehensive trading platform. Below, we’ve selected the best online brokers in a variety of categories so you can choose one based on your personal priorities.

One note before you begin: Pattern day traders — as defined by the SEC — must have at least $25,000 in equity in their accounts and be approved for margin trading, regardless of whether their broker’s account minimum is lower.

» New to this world? Learn the basics with our guide to how day trading works.

on E*TRADE’s website

E*TRADE

cash credit with a qualifying deposit or transfer

on E*TRADE’s website

cash credit with a qualifying deposit or transfer

Large investment selection.

Excellent customer support.

Access to extensive research.

Advanced mobile app.

Commission-free stock, options and ETF trades.

Website can be difficult to navigate.

on Interactive Brokers’s website

Interactive Brokers IBKR Pro

0.25% reduction on margin loans. Tiers apply

on Interactive Brokers’s website

0.25% reduction on margin loans. Tiers apply

Large investment selection.

Extensive tools for active traders.

Powerful trading platform.

NerdWallet users who sign up get a 0.25 percentage point discount on margin rates.

Complex pricing on some investments.

Website is difficult to navigate.

on TD Ameritrade’s website

TD Ameritrade

cash credit with qualifying deposit

on TD Ameritrade’s website

cash credit with qualifying deposit

Commission-free stock, ETF and options trades.

High-quality trading platforms.

No account minimum.

Good customer support.

Large investment selection.

Costly broker-assisted trades.

on TradeStation’s website

TradeStation

cash credit with a qualifying deposit

on TradeStation’s website

cash credit with a qualifying deposit

High-quality trading platforms.

Commission-free stock, ETF and options trades.

Active trader community.

Free trading on advanced platform requires TS Select.

No transaction-fee-free mutual funds.

Plans and pricing can be confusing.

Want to compare more options? Here are our other top picks:

Summary of Best Online Trading Platforms for Day Trading

on E*TRADE’s website

cash credit with a qualifying deposit or transfer

on E*TRADE’s website

Interactive Brokers IBKR Pro

on Interactive Brokers’s website

0.25% reduction on margin loans. Tiers apply

on Interactive Brokers’s website

on TD Ameritrade’s website

cash credit with qualifying deposit

on TD Ameritrade’s website

on TradeStation’s website

cash credit with a qualifying deposit

on TradeStation’s website

in Transfer Fee Rebates

cash credit with qualifying deposit

in cash bonus with qualifying deposit.

No promotion available at this time

No promotion at this time

Last updated on April 2, 2020

Methodology

NerdWallet’s ratings for brokers and robo-advisors are weighted averages of several categories, including investment selection, customer support, account fees, account minimum, trading costs and more. Our survey of brokers and robo-advisors includes the largest U.S. providers by assets under management, plus notable and/or emerging players in the industry. Factors we consider, depending on the category, include advisory fees, branch access, user-facing technology, customer service and mobile features. The stars represent ratings from poor (one star) to excellent (five stars). Ratings are rounded to the nearest half-star.

To recap our selections.

NerdWallet’s Best Online Trading Platforms for Day Trading

Frequently asked questions

We’d recommend starting with our guide for how to day trade — it covers a lot of the day trading basics you need to know. But then, practice makes perfect — or as close to it as you can get, as you’ll quickly learn there is no perfect in day trading, and even the pros lose money sometimes.

The best way to practice: With a stock market simulator or paper-trading account. Many brokers offer these virtual trading platforms, and they essentially allow you to play the stock market with Monopoly money. Not only do you get to familiarize yourself with trading platforms and how they work, but you also get to test various trading strategies without losing real money. The link above has a list of brokers that offer these play platforms.

In short: You could lose money, potentially lots of it.

Day trading is exactly what it sounds like: Buying and selling — trading — a stock, or many stocks, inside of a day. It’s all about making predictions and timing the market, with the goal of making a small profit on each trade. In an ideal world, those small profits add up to a big return.

But research has shown that only 1% of day traders consistently earn money; many, many lose it. It’s essentially a full-time job, because you need to constantly be watching — and timing — the market, waiting for your next move. It isn’t for beginner, or casual, investors.

If you’re interested in day trading, our recommendation is to allocate a small portion of your overall portfolio to the strategy – no more than 5% or 10%, tops. That way, if you lose money — as you are likely to do, at least at first — those losses are at least capped. The rest of your portfolio should be invested in long-term, diversified investments like low-cost index funds .

Day trading is risky, but it isn’t illegal. However, the Securities and Exchange Commission imposes specific regulations on pattern day traders.

The SEC defines day trading as buying and selling or short-selling and buying the same security — often a stock — on the same day. A pattern day trader, according to the SEC, is a trader who:

  • Day-trades four or more times within five business days and
  • Those day trades represent more than 6% of their total trading activity during that five-day period

If you fall into that category, you’re required to maintain at least $25,000 in equity in your account. That equity can be in cash or securities.

Note that once a broker has identified you as a pattern day trader due to the above activity, your account will likely be considered a pattern day trading account going forward, even if you don’t continue to meet the definition. If you decide to stop day trading, you’ll want to contact your brokerage and ask that they remove the minimum equity requirement from your account.

This is a loaded question. The SEC requires that you maintain a minimum of $25,000 in equity to engage in pattern day trading, but that equity can be in cash and eligible securities. That’s the minimum amount you need to maintain in your account; on top of that, you also need the money you’ll use to day trade.

But just as important is setting a limit for how much money you dedicate to day trading. Our recommendation is that those dipping into this kind of active trading should risk only a small portion of their account balance — 5% to 10% of your investable assets, at most.

Margin is essentially a loan from your broker. When you open a brokerage account, you’ll be asked if you want a cash account or a margin account.

A margin account allows you to place trades on borrowed money. Often called leverage, trading on margin can magnify your gains — and, in the worst-case scenario, your losses. To read more about margin, how to use it and the risks involved, read our guide to margin trading .

A few things are non-negotiable in day-trading software:

  • Low or no commissions. You might’ve gathered by now that day traders place a lot of trades. Pay close attention to a broker or day trading platform’s fees and commissions. Many brokers will offer no commissions or volume pricing.
  • Research and strategy tools. Day traders use data to make decisions: You want not only the latest market data, but you also need a platform that lets you quickly create charts, identify price trends and analyze potential trade opportunities.
  • Speed. Time is literally money with day trading, so you want a broker and online trading system that is reliable and offers the fastest order execution. Many platforms will publish information about their execution speeds and how they route orders.

Another feature we’d recommend is a broker or trading platform that offers paper, or virtual, trading, so you can practice with simulated trades before the real thing.

If we knew, we’d be very rich. This is the bit of information that every day trader is after.

That said, we can give you some general guidance. There are a few things that make a stock at least a good candidate for a day trader to consider:

  • Highly liquid, with large trade volume.
  • Relatively volatile. You want frequent price changes, which allows you to make a profit quickly.
  • Known to you. An understanding of the stock’s price history, and how it reacts to various events — earnings reports, economic shifts — is key. Many day traders trade only a few specific stocks, developing expertise in those companies and narrowing their focus. (Here’s some detailed guidance on how to research stocks .)
  • Newsworthy. Coverage of a stock will trigger people to buy or sell it. As a day trader, you’ll want to follow the news to find trade ideas.

You can use your online broker or trading software’s stock screener to look for stocks that seem ripe for day trading.

Best Options Trading Platforms for 2020

The StockBrokers.com best online brokers 2020 review (10th annual) took six months to complete and produced over 30,000 words of research. Here’s how we tested.

Next to active traders, there is arguably no customer more valuable to an online broker than an options trader. Options trades offer brokers much higher profit margins than stock trades, and, as a result, competition is fierce in attracting these clients. This type of market atmosphere is great for investors because with healthy competition comes product innovation and competitive pricing.

Best Options Trading Platforms

Here are the best options trading platforms, based on over 100 variables.

Best for options overall – Open Account
Promo Offer: Get $100 when you deposit just $5,000 into a new E*TRADE account!

Built as a web-based platform, Power E*TRADE innovates and delivers speed, ease of use, and the tools needed for traders to succeed. Once again, in our 2020 Review, Power E*TRADE won our award, “Best Web-Based Platform.” E*TRADE also took our top spot for options trading. Read full review

Low costs, great platform – Open Account
Promo Offer: Commission-Free Trades on Stocks, ETFs & Options Trades

As a trading technology leader, TradeStation shines. Options trading is a breeze using OptionStation Pro, a built-in tool within the TradeStation desktop platform designed for streamlined trading and robust analysis. Options tool capabilities include custom grouping for current positions, streaming real-time greeks, and advanced position analysis, to name a few. Read full review

Best options tools – Open Account
Exclusive Offer: Get up to $600 and trade commission-free with TD Ameritrade.

Once again, for the ninth consecutive year, TD Ameritrade is number one for trading platforms and tools, thanks to desktop-based thinkorswim. Whether day trading, options trading, futures trading, or you are just a casual investor, thinkorswim is a winner. Read full review

Best for professionals – Open Account
Exclusive Offer: New clients that open an account today receive a special margin rate.

Trading tools within the Trader Workstation (TWS) platform are designed for professional options traders. From algo trading to Options Strategy Lab, Volatility Lab, Risk Navigator, Market Scanner, Strategy Builder, and Portfolio Builder, Interactive Brokers is built for professionals. Options commissions start at $.65 per contract with a $1.00 minimum and no maximum. Read full review

Unique order types – Open Account
Current Offer: $0 online stock, ETF, and options commissions at Schwab.

Schwab’s flagship downloadable trading platform, StreetSmart Edge, provides most of the bells and whistles options traders and day traders need to succeed. For options traders, Schwab’s All-in-one trade ticket, alongside the proprietary Walk Limit order type, are both excellent. Read full review

Options Trading Tools Comparison

Broker Commissions Promotion Account Minimum Learn More
Feature E*TRADE
Open Account
Interactive Brokers
Open Account
TD Ameritrade
Open Account
TradeStation
Open Account
Option Chains – Streaming Yes Yes Yes Yes
Option Chains – Total Columns 30 37 33 32
Option Chains – Greeks 5 4 5 5
Option Chains – Quick Analysis Yes Yes Yes Yes
Option Analysis – P&L Charts Yes Yes Yes Yes
Option Probability Analysis Yes Yes Yes Yes
Option Probability Analysis Adv Yes Yes Yes Yes
Option Positions – Greeks Yes Yes Yes Yes
Option Positions – Adv Analysis Yes Yes Yes Yes
Option Positions – Rolling Yes Yes Yes Yes
Option Positions – Grouping Yes Yes Yes Yes
Platforms & Tools 4.5 4.5 5 5

Best Options Trading Tools

Platform wise, web-based Power E*TRADE offers all the tools an options trader could want, and displays them in magnificent form. 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.

Keeping the spotlight on excellent platforms and tools for options traders, TD Ameritrade’s thinkorswim and TradeStation cannot be left out. Strategy Roller from thinkorswim enables clients to create custom rules and roll their existing options positions automatically. The number of settings and depth of customization available is impressive, and something we have come to expect from thinkorswim.

Not to be outdone, TradeStation’s OptionsStation tool makes analyzing potential trades a breeze, and even goes as far as including 3D P&L charts. Investors note, however: Popcorn and 3D glasses are not required, and while visually appealing, we did not see any distinct advantage over the traditional 2D P&L chart.

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). The broker also offers Idea Hub, which uses targeted scans to break down options trade ideas visually.

For professionals, Interactive Brokers takes the crown. At Interactive Brokers, there is no base charge, and the per-contract rate is just $.70. Additional savings are also realized through more frequent trading. That said, the broker is built primarily for professional traders and requires a $100,000 minimum deposit for margin accounts. Lastly, its trading platform, Trader Workstation, is the most challenging platform to learn out of all the brokers we tested for our 2020 review.

There’s a healthy variety of reputable brokers to choose from in the world of options trading. At a minimum, investors should expect their broker to include scanning, P&L analysis, risk analysis, and easy-order management. Position management functionality and tying the experience together is where platforms such as Power E*TRADE and thinkorswim by TD Ameritrade distinguish themselves.

What is the best platform for trading options?

The best trading platform for options trading offers low costs, feature-rich trading tools, and robust research. Our all-around top pick in 2020 for options trading is Power E*TRADE. The web-based Power E*TRADE platform includes all the tools an options trader could want and displays them in magnificent form. My two favorites are strateySEEK and Snapshot Analysis.

What is a call option?

In its most basic form, a call option is used by investors who seek to place a bet that a stock will go UP in price. Buying a call option contract gives the owner the right (but not the obligation) to buy shares of stock at a pre-specified price for a pre-determined length of time. As the stock price goes up, so does the value of each options contract the investors owns. Each contract represents 100 shares of stock.

What is a put option?

In its most basic form, a put option is used by investors who seek to place a bet that a stock (or other security such as an ETF, index, commodity, or index) will go DOWN in price. Buying a put option gives the owner the right (but not the obligation) to sell shares of stock at a pre-specified price (strike price) before a preset date (expiration). The further the stock falls below the strike price, the more valuable each contract becomes.

What is the minimum amount required to trade options?

Each online broker requires a different minimum deposit to trade options. For most brokerages, the minimum deposit required is less than $1,000. To apply for options trading approval, investors fill out a short questionnaire within their brokerage account. Access to begin trading options can be granted immediately thereafter.

Is options trading risky?

Yes. Options trading is a form of leveraged investing. Any time an investor is using leverage to trade, they are taking on additional risk. Many times, this risk is unforeseen. With options, investors who buy a call or put risk the money they invested in the contract. However, when selling a call or put, if the trade isn’t protected (also known as going naked), then the investor is taking on significant risk. To protect investors, new investors are limited to basic, cash-secured options strategies only.

Options Trading Features

Ultimately, choosing an options brokers comes down to personal preference and weighing priorities, such as cost versus ease of use and tool selection.

On a feature by feature basis, all of our top five finishers this year offer the following features to their options trading customers.

Feature Definition
Has Education – Options Provides a minimum of 10 educational pieces (articles, videos, archived webinars, or similar) with the primary subject being options. All content must be easily found within the website’s Learning Center. Platform tutorials, FAQs, etc do NOT count.
Option Chains – Streaming Real-time Option chains with streaming real-time data.
Option Chains – Greeks Viewable When viewing an option chain, the total number of greeks that are available to be viewed as optional columns. Greeks = delta, gamma, theta, vega, rho.
Option Chains – Quick Analysis The ability to jump straight from the option chain to a P&L chart or probability chart for deeper analysis. Viewing a summary P&L within the chain itself also qualifies.
Option Analysis – P&L Charts When analyzing a theoretical option trade, a P&L chart is available.
Option Analysis – Probability Analysis A basic probability calculator.
Option Analysis – Probability Analysis Adv A tool to analyze a hypothetical option position. Displays a probability histogram / chart with optional customizations.
Option Positions – Greeks Viewable View at least two different greeks for a currently open option position.
Option Positions – Greeks Viewable Streaming View at least two different greeks for a currently open option position and have their values stream with real-time data.
Option Positions – Advanced Analysis Ability to analyze an active option position and change at least two of the three following conditions – date, stock price, volatility – and assess what happens to the value of the position.
Option Positions – Rolling Ability to pre-populate a trade ticket and seamlessly roll an option position to the next relative expiration.
Option Positions – Strategy Grouping Ability to group current option positions by the underlying strategy: covered call, vertical, etc. Can be done manually by user or automatically by the platform.
Level 2 Quotes – Options Level II options quotes available.
Screener – Options Offers a options screener. Commonly referred to as a spread creation tool or similar.

Explore our other online trading guides:

Methodology

For the StockBrokers.com tenth annual best online brokers review published in January 2020, a total of 3,540 data points were collected over six months and used to score brokers. This makes StockBrokers.com home to the largest independent database on the web covering the online broker industry.

Participation is required to be included. Each broker completed an in-depth data profile and provided executive time (live in person or over the web) for an annual update meeting. Our rigorous data validation process yields an error rate of less than .001% each year, providing site visitors quality data they can trust. Learn more about how we test.

Still aren’t sure which online broker to choose? Email us a question! Whether you are a beginner investor learning the ropes or a professional trader, we are here to help. Email us your online broker specific question and we will respond within one business day.

Best Online Brokers 2020

The StockBrokers.com best online brokers 2020 review (10th annual) took five months to complete and produced over 30,000 words of research. Here’s how we tested.

Want to buy shares of stocks like Apple (AAPL), Facebook (FB), Disney (DIS), or Uber (UBER)? If so, you will need an online broker account.

Choosing an online stock broker is one of the most important decisions you will make as an investor. This guide aims to introduce online trading and break down the best online brokers available today.

As a previous full-time trader turned hobby enthusiast, since 2001, I have completed over 1,000 trades in my personal portfolio, finishing 2020 with a total 2,574 individual buys and sells.

While the markets are anything but certain, you can feel confident StockBrokers.com has your back in 2020 to help you choose the best broker.

Best Online Brokers 2020

  • TD Ameritrade – Best for overall and beginners
  • Fidelity – Best research experience
  • Charles Schwab – Best for IRA accounts
  • E*TRADE – Best web platform
  • Interactive Brokers – Best for professionals
  • Merrill Edge – Best rewards program
  • TradeStation – Best platform technology

1. TD Ameritrade

Overall | Open Account

Exclusive Offer: Get up to $600 and trade commission-free with TD Ameritrade.

TD Ameritrade delivers the ultimate package for investors, including $0 trades, fantastic trading platforms, excellent market research, industry-leading education for beginners, and reliable customer service. This outstanding all-round experience makes TD Ameritrade our top overall broker in 2020.

Why Choose TD Ameritrade:

  • Excellent trading platform thinkorswim. After spending hundreds of hours testing desktop platforms, I give thinkorswim my top recommendation, thanks to its modern feel and outstanding trader tools. That includes the mobile app, which is my favorite for active traders.
  • Great for beginner investors. TD Ameritrade has the largest selection of educational materials in the industry by far, with over 200 instructional videos covering every investment topic imaginable. Furthermore, the whole learning center is gamified, tracking your progress as you go with quizzes bringing concepts together at the end of each course.
  • Robust research. TD Ameritrade provides customers access to its own TV Network and trader magazine. Depth is across the board, as TD Ameritrade also uses proprietary data to analyze millions of tweets to power its Social Signals tool.
  • Industry-leading technology. TD Ameritrade is the only broker to offer customers the ability to access their accounts from Twitter, Apple Chat, Facebook, and Alexa. Technology and innovation are core parts of TD Ameritrade’s DNA.
Feature TD Ameritrade
Review Read full review
Minimum Deposit $0
Stock Trades $0 per trade
Option Trades $0 + $0.65 per contract
Commission-Free ETFs all
Trading Platform thinkorswim

2. Fidelity

Overall | Open Account

Trade Commission-Free: No commissions to trade online U.S. stocks, ETFs, and options. 1

Fidelity is a value-driven online broker offering $0 stock trades, industry-leading research, excellent trading tools, an easy-to-use mobile app, and comprehensive retirement services. Serving over 30 million customers, Fidelity is a winner for everyday investors.

Why Choose Fidelity:

  • Terrific for investment research. Research at Fidelity stands out for its 16 equity research reports, excellent in-house market analysis, and quotes experience that is meticulously crafted for maximum usability.
  • Great for new investors. Behind TD Ameritrade, Fidelity is my second broker recommendation for beginner stock traders. Fidelity offers investors the perfect blend of ease of use, excellent research tools, as well as a great education center.
  • Excellent mobile app for everyday investors. The Fidelity mobile app is a winner for investors because it is easy to use, packed full of market research, and includes a wide variety of trading tools.
Feature Fidelity
Review Read full review
Minimum Deposit $0
Stock Trades $0 per trade
Option Trades $0.65 per contract
Commission-Free ETFs all
Trading Platform Active Trader Pro

3. Charles Schwab

Overall | Open Account

Current Offer: $0 online stock, ETF, and options commissions at Schwab.

Founded in 1973, Charles Schwab is a full-service brokerage with over $3 trillion in total client assets. As a low-cost leader offering $0 stock trades, Charles Schwab provides investors excellent stock research, quality trade tools, and professional planning for the future.

Why Choose Charles Schwab:

  • Excellent market research. Schwab boasts a full lineup of 26 in-house experts who provide numerous articles, known as Schwab Insights, on a variety of market topics throughout each week.
  • Leader in retirement services. Charles Schwab shines with its Schwab Intelligent Portfolios (robo-advisor) and Schwab Intelligent Portfolios Premium (human advisor) services.
Feature Charles Schwab
Review Read full review
Minimum Deposit $0
Stock Trades $0 per trade
Option Trades $0.65 per contract
Commission-Free ETFs all
Trading Platform StreetSmart Edge

4. E*TRADE

Overall | Open Account

Promo Offer: Get $100 when you deposit just $5,000 into a new E*TRADE account!

Founded in 1982 as one of the first online brokerages in the United States, E*TRADE understands what investors need to succeed in the market. E*TRADE highlights include $0 trades, two excellent mobile apps, and the Power E*TRADE platform, which is great for options trading.

Why Choose E*TRADE:

  • Excellent web platform that is a winner for options trading. Our favorite web-platform again this year, Power E*TRADE, combines the best of both worlds: ease of use with fantastic trading tools. While just decent for stock trading, Power E*TRADE is terrific for options trading.
  • Full-featured mobile apps. Among all the online brokers we track on StockBrokers.com, E*TRADE offers the most mobile app features in a well-designed, easy to use experience.
Feature E*TRADE
Review Read full review
Minimum Deposit $0
Stock Trades $0 per trade
Option Trades $0.65 per contract
Commission-Free ETFs all
Trading Platform Power E*TRADE

5. Interactive Brokers

Overall | Open Account

Exclusive Offer: New clients that open an account today receive a special margin rate.

While Interactive Brokers is not well known for its casual investor offering, it leads the industry with low-cost trading for professionals. Through the Trader Workstation (TWS) platform, Interactive Brokers offers excellent tools and an extensive selection of tradeable securities.

Why Choose Interactive Brokers:

  • Excellent for professional traders. Interactive Brokers offers customers an arsenal of 63 different order types, the most in the industry by a landslide. Margin rates are also the lowest in the industry, across the board.
  • Great for day trading. Interactive Brokers does not accept payment for order flow (IBKR Pro only). This makes it’s already low pricing even better because there are no hidden execution costs.
  • Global access. The most diverse offering by a landslide, Interactive Brokers offers trading in 26 countries and over 125 market centers.
Feature Interactive Brokers
Review Read full review
Minimum Deposit $0
Stock Trades $.005 per share (IBKR Pro) // $0 (IBKR Lite)
Option Trades $0.65 per contract (IBKR Pro) // $0 (IBKR Lite)
Commission-Free ETFs 48 (IBKR Pro) // all (IBKR Lite)
Trading Platform Trader Workstation (TWS)

6. Merrill Edge

Overall | Open Account

Current Offer: Invest in a new account and get up to $600.

Backed by parent company Bank of America, Merrill Edge delivers $0 stock and ETF trades with fantastic research and customer service. Better yet, for current banking customers, Merrill Edge’s Preferred Rewards program offers the best rewards benefits across the industry.

Why Choose Merrill Edge:

  • Preferred Rewards. To open an account with Merrill Edge, you do not have to be a Bank of America customer. That said, it is far easier to reach the minimum combined account balance to earn all sorts of perks under the Preferred Rewards program. Here’s a list.
  • Excellent ESG (environmental, social, and governance) research. Merrill Edge offers Stock Story, Fund Story, and Portfolio Story, which makes conducting market research both educational and insightful. Full ESG Reports are also included.
  • Great customer service. In our national testing, Merrill Edge consistently delivered agent connection times under one minute.
Feature Merrill Edge
Review Read full review
Minimum Deposit $0
Stock Trades $0 per trade
Option Trades $0.65 per contract
Commission-Free ETFs all
Trading Platform Merrill Edge MarketPro

7. TradeStation

Overall | Open Account

Promo Offer: Commission-Free Trades on Stocks, ETFs & Options Trades.

As a trading technology leader, TradeStation supports casual traders through its web-based platform and active traders through its award-winning desktop platform, all with $0 stock and ETF trades.

Why Choose TradeStation:

  • Excellent trading platform. TradeStation 10 is a desktop-based, downloadable trading platform for online trading that is robust and full of trading tools. In our testing, TradeStation 10 is rivaled only by TD Ameritrade’s thinkorswim platform.
  • Great mobile app for stocks and options trading. From monitoring multiple watch lists and setting price alerts, to analyzing stock charts and placing trades, TradeStation Mobile provides a fantastic all-around experience for traders.
Feature TradeStation
Review Read full review
Minimum Deposit $0
Stock Trades $0 per trade
Option Trades $0.50 per contract
Commission-Free ETFs all
Trading Platform TradeStation 10

More Online Brokers

Outside of our top seven online brokers for 2020, there are eight other brokerages we reviewed: Ally Invest, Firstrade, Chase You Invest Trade, SogoTrade, Robinhood, ChoiceTrade, Lightspeed, and Cobra Trading. Here’s our high-level takeaways for each broker. To dive deeper, read our full review.

8. Ally Invest, “Backed by Ally Financial, Ally Invest is a low-cost broker providing $0 stock and ETF trades. Ally’s complete universal-account management experience and easy to use website makes the brokerage great for current Ally Bank customers and everyday investors alike.” Read full review

9. Firstrade, “Firstrade offers $0 stock, ETF, and options trades, and is best known for its easy-to-use website, alongside its Chinese language services. While Firstrade offers Morningstar research and a variety of tools, its overall offering struggles to stand out against household name brands who are also priced at $0.” Read full review

10. Chase You Invest Trade, “Chase You Invest Trade provides current Chase Bank customers a convenient way to invest in the stock market. While Chase doesn’t provide all the bells and whistles like some of its non-bank competitors, our testing found the site to be easy to use and reliable overall.” Read full review

11. SogoTrade, “SogoTrade is an online discount brokerage that charges $4.88 base commissions and supports Chinese-speaking customers. Unfortunately, in a world where $0 trades are the baseline, despite offering five trading platforms for stocks and options, SogoTrade struggles to stand out.” Read full review

12. Robinhood, “Robinhood used to shine thanks to its easy-to-use mobile app and $0 trades. However, today, all of the largest online brokers offer free stock and ETF trades. As a result, it is much more difficult for Robinhood to outduel the competition.” Read full review

13. ChoiceTrade, “While ChoiceTrade advertises free stock trades, unfortunately, monthly costs add up, and, overall, ChoiceTrade provides customers an online investing experience not worth the hassle.” Read full review

14. Lightspeed, “Lightspeed is a direct-access online brokerage that focuses on serving active and professional traders through its in-house and third-party trading platforms. Casual traders beware, not trading enough means paying high monthly platform fees.” Read full review

15. Cobra Trading, “Cobra Trading was founded in 2003 by Chadd Hessing as a direct-access, low-cost online brokerage for professional stock traders. While Cobra Trading offers multiple trading platforms and personalized service, trading costs are more expensive than leader Interactive Brokers.” Read full review

2020 Category Winners

For the StockBrokers.com 2020 Online Broker Review, all online broker participants were assessed on 236 different variables across eight Core categories. 3,540 data points were collected in total. Here are the 2020 Core category winners. Here’s how we tested.

Alongside Core categories, StockBrokers.com ranks brokers by the most popular Investor categories. Here are the 2020 Investor category winners.

Finally, each year StockBrokers.com honors the brokerages who go above and beyond in the areas that matter most to investors. Here are the 2020 industry award winners.

2020 Overall Ranking

Here’s the Overall rankings for the 15 online brokers who participated in our 2020 Broker Review, sorted by Overall ranking.

Note: Robinhood does not offer phone support for customers. As a result, Robinhood shows “Not Rated” for Customer Service. To calculate an Overall rating, the points allocated to Customer Service were proportionally allocated to the remaining categories.

How do I choose an online brokerage?

When selecting a new online broker, the first step is to read reviews and see what features matter most to you. Are low-cost trade commissions most important? What about customer service, the trading platform, mobile app, investment research, ease of use, or education? With many brokers specializing in different areas, it is crucial to evaluate all categories by reading full-length broker reviews.

How do I assess trading costs?

When trading stocks online, it is essential to understand what the costs are to buy and sell shares. Fortunately, today in 2020, most online brokers charge $0 to trade shares of stocks. That said, if day trading, additional costs come into play, including routing fees, market data fees, and platform fees.

What trading tools do online brokers offer?

To trade stocks online successfully, some stock traders rely purely on their trading tools. Trading platforms come in one of three forms: desktop, web (browser), or mobile. Advanced charting, scanning, hotkeys, virtual trading, watch lists, ladder trading, Level II quotes, and backtesting are just a sampling of the features some brokers offer. To compare trading platform features, use the online brokerage comparison tool.

Do online brokers offer more than just stocks and options trading?

Are you only trading stocks online, or are you interested in ETFs, mutual funds, options, futures, and forex too? In the United States, different regulations are required for brokers who support more complex asset classes. For example, stocks, ETFs, and options are the most commonly offered, while forex trading is the least commonly offered.

Does every online broker provide a mobile app?

While every online broker offers a mobile app, quality varies widely. Managing a stock brokerage account on the go is certainly important for investors who travel and frequently use their smartphones. To find the best app for stock trading, we scored broker apps on 42 individual features.

Should I care about customer service?

It depends. 24/7 support is essential to some investors, while others may be completely fine using online chat during regular market hours or receiving an email back within one business day. That said, most investors neglect to think about a market crisis like a flash crash. In our experience, it certainly doesn’t hurt to have reliable customer service available for whenever the need may arise.

How important is stock research?

There are two types of stock research: fundamental and technical. Fundamental research explores company metrics such as earnings growth, earnings per share (EPS), debt, sales growth, and market capitalization. Meanwhile, technical analysis is all about learning how to read a stock chart and use historical price performance to help you predict future price direction. The best online brokerages offer tools to cover both types thoroughly, and we checked for 54 individual features during our 2020 Review. To compare research features, use the online brokerage comparison tool.

How can I verify if my online broker is regulated?

Online stock brokers operating in the United States and governed by US law are regulated by the SEC and must be members of FINRA and SIPC. To verify whether your online brokerage is regulated, scroll to the footer of their homepage, then read their disclosures. Using the FINRA broker check tool is another easy way to verify compliance.

Do online brokerages also offer banking services?

Many online brokerages do not limit their customers to just online stock trading. Full-service brokerages offer banking services including checking accounts, savings accounts, credit cards, mortgages, and more with deposits of up to $250,000 backed by the FDIC. Bank of America (Merrill Edge) and Chase (Chase You Invest Trade) are two examples of banks that also offer online trading.

Should I worry about security?

Fortunately, at least in the United States, investors do not have too much to worry about when it comes to account security. This is especially true when choosing a brokerage that is large, well known, and properly regulated. Every website should be secured with SSL encryption, and client data should be stored in secure servers. Dual-factor authentication and Face ID are other security protocols quickly growing in popularity.

With $0 trades, how important is order execution?

It is important to understand how your orders are routed and executed. There is a wide variation between quality and poor order execution. Unfortunately, most online stock traders can’t tell the difference. To help investors out, we tested brokers and wrote a complete guide to understanding order execution.

Can I trade internationally with my online broker?

While most online brokers do not offer international trading, some do. Nearly every broker supports trading American depositary receipts (ADRs), which offers US investors an easy, simple way to invest in foreign companies. However, if you want to buy physical shares of an international company, then you need to do your research. Interactive Brokers is the leader in this space but is built for professionals. For casual investing, both Fidelity and Charles Schwab offer international stock trading.

Explore our other online trading guides:

Methodology

For the StockBrokers.com tenth annual best online brokers review published in January 2020, a total of 3,540 data points were collected over six months and used to score brokers. This makes StockBrokers.com home to the largest independent database on the web covering the online broker industry.

Participation is required to be included. Each broker completed an in-depth data profile and provided executive time (live in person or over the web) for an annual update meeting. Our rigorous data validation process yields an error rate of less than .001% each year, providing site visitors quality data they can trust. Learn more about how we test.

More from the editor

Alongside the StockBrokers.com annual review, our fourth annual international forex brokers review, which includes 30 forex brokers, was also published on our sister site, ForexBrokers.com. Finally, be sure to check the latest financial advisor ratings, which you can view on investor.com.

Still aren’t sure which online broker to choose? Email us a question! Whether you are a beginner investor learning the ropes or a professional trader, we are here to help. Email us your online broker specific question and we will respond within one business day.

About the author: Blain Reinkensmeyer As Head of Research at StockBrokers.com, Blain Reinkensmeyer has 18 years of trading experience with over 1,000 trades placed during that time. Referenced as a leading expert on the US online brokerage industry, Blain has been quoted in the Wall Street Journal, The New York Times, Forbes, and the Chicago Tribune, among others.

All pricing data was obtained from a published web site as of 01/20/2020 and is believed to be accurate, but is not guaranteed. For stock trade rates, advertised pricing is for a standard order size of 500 shares of stock priced at $30 per share. For options orders, an options regulatory fee per contract may apply.

TD Ameritrade, Inc. and StockBrokers.com are separate, unaffiliated companies and are not responsible for each other’s services and products. View terms.

1 $0.00 commission applies to online U.S. equity trades, exchange-traded funds (ETFs), and options (+ $0.65 per contract fee) in a Fidelity retail account only for Fidelity Brokerage Services LLC retail clients. Sell orders are subject to an activity assessment fee (from $0.01 to $0.03 per $1,000 of principal). There is an Options Regulatory Fee (from $0.03 to $0.05 per contract), which applies to both option buy and sell transactions. The fee is subject to change. Other exclusions and conditions may apply. See Fidelity.com/commissions for details. Employee equity compensation transactions and accounts managed by advisors or intermediaries through Fidelity Clearing & Custody Solutions® are subject to different commission schedules.

Options trading entails significant risk and is not appropriate for all investors. Certain complex options strategies carry additional risk. Before trading options, please read Characteristics and Risks of Standardized Options. Supporting documentation for any claims, if applicable, will be furnished upon request.

Advertiser Disclosure: StockBrokers.com helps investors across the globe by spending over 1,000 hours each year testing and researching online brokers. How do we make money? Our partners compensate us through paid advertising. While partners may pay to provide offers or be featured, e.g. exclusive offers, they cannot pay to alter our recommendations, advice, ratings, or any other content throughout the site. Furthermore, our content and research teams do not participate in any advertising planning nor are they permitted access to advertising campaign data. Here is a list of our partners.

Disclaimer: It is our organization’s primary mission to provide reviews, commentary, and analysis that are unbiased and objective. While StockBrokers.com has all data verified by industry participants, it can vary from time to time. Operating as an online business, this site may be compensated through third party advertisers. Our receipt of such compensation shall not be construed as an endorsement or recommendation by StockBrokers.com, nor shall it bias our reviews, analysis, and opinions. Please see our General Disclaimers for more information.

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All rights reserved.

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