Published on: 3.11.2020
If you have not been living under a rock you should have heard by now that trading options has become strictly regulated and in most countries even prohibited. Binary options have switch to digital options, some of the trading parameters have been banned and lots of countries especially in the European union have banned options trading cause it was connected to lots of scam brokers.
Although there are not the best times ahead for options trading we have put together a list of the best option brokers platforms which still offer option trading services.
Options trading can be considered as a relatively high-risk form of investment where you may pay to buy or sell securities at set prices on a later predetermined date. As the market fluctuates, the value of the options increases and decreases until they reach their specific maturity date. Options trading requires a broker, and with the influx of brokers in the market, choosing the right broker for you can be overwhelming. Every broker has its own advantages and disadvantages, as well as different selling points. It is of utmost importance that you do your research on options trading, before kickstarting your options trading career with minimal knowledge. Research on the different brokers in the market is useful as well, to determine which broker is the best fit for you. For convenience sake, we have compiled the top 8 trading platforms in the industry, to help you along your trading journey.
- TD Ameritrade
Boasting reasonable pricing, an extensive library of resources for beginners, and an efficient and user-friendly trading platform that is suitable for both the inexperienced and experienced, TD Ameritrade takes the number one spot. Trades at this platform are set at $6.95 per trade with an additional $0.75 per contract, with no account minimum that traders have to satisfy. At the moment, the platform has a promotion in which traders are entitled to 60 days free of commission equity, options trades, and ETF as long as they deposit a minim of $3000. Additionally, there are also extra bonuses for traders who open bigger opening deposits. With a wide variety of resources for beginners, as well as the Think or Swim resource for experts, this platform serves as a reputable and useful broker for traders of any kind.
- IQ Option
IQ Option is one of the most popular platforms not only for option trading, but also for other assets like: forex, cryptocurrencies, CFD’s etc. One of the things that makes this platform a good choice is their sophisticated trading platform – its really easy to use and is really fast in its trade executions. Its a good match for beginner and advanced traders. Whats also a positive of this trading platform is the demo account option where beginners can trade with virtual money before they use their real savings.
IQ Option also offers a good variety of technical tools and educational resources where they reveal some of the most successful trading strategies for every month.
The trading fees on IQ Option are quite low and the withdrawal fees are similar to other options brokers. The minimum deposit amount is $10 which is a quite low entry rate for beginner traders. IQ Option does not have any withdrawal limits and you can normally withdraw money the same way you have deposited it.
Overall IQ Option has a solid trading platform, lots of educational material to use for its users, its a safe and stable company and has quite low trading fees. This makes IQ Option one of the biggest players when it comes to digital options trading brokers. The only real negative is that IQ Option is not available for some countries – you can check the countries where people are allowed to open an account with IQ Option in this review by www.speculativebubble.com
Although Plus500 only offers a limited range of tutorials and resources for amateurs, it is definitely a great place for novice traders to start at, as it does not require any trading fee and gives them the ability to sell options with nothing more than the trader’s initial investment. Plus500 also has ETFs, stock trades that come commission-free, a limited range of cryptocurrencies and ADRs for traders to trade on. Available on both desktop and mobile phones, it gives traders the ultimate convenience to trade on the go and also provides excellent real-time notification alerts for any movements in the market. The minimum deposit on Plus500 is $100 which is in general pretty high.
Originally a trader’s software company, TradeStation has since expanded tremendously and is now one of the leading brokers in the market. Especially suitable for professional traders, the platform provides professional data and swift trade execution for the experienced. Trades are priced at $5 with an additional $0.50 per contract, but the platform also offers per-contract pricing as well as unbundled pricing. Though this platform does not offer much for novices, professional traders will find that they are able to host family offices or business portfolios on TradeStation with ease. With a multitude of advanced analytical tools that are free with an account, TradeStation is known for selling many of its professional tools to investors who have opened accounts with other brokers. However, some points to note are the minimum account balance requirement of$2000 and at least five trade transactions per year in order to not incur an annual account fee of $95.
- Interactive Brokers
For traders who prefer to make frequent and smaller trades, Interactive Brokers can do just that. With their no per-trade fee and an options commissions of $0.70 per contract, traders can execute trades as frequently as they want to without worrying about the high costs that they are incurring. High volume traders also benefit as they are eligible for lower pricing which can go down to as low as $0.15 per contract with more than 100,000 contracts each month. With their attractive pricing for all traders, clients often flock to Interactive Brokers to maximize profits. Their advanced technology is also highly sought-after, which includes a natural language AI bot that helps you place orders based on your instructions, and its expert desktop platform.
- Ally Invest
Ally Invest is also another reputable broker that is most well known for offering low costs and zero minimum policy. With trades charged at $4.96 and $0.65 per contract, traders are not required to maintain an account minimum. They have an ongoing promotion that entitles traders to up to $3500 worth of bonus cash, the exact amount of which depends on the amount of the deposits in question. Beginners can start by investing a low amount to test out their abilities and strategies, without having to fuss over the fees or minimum balances. Equipped with valuable data, charts, analytics and tools, Ally Invest is an excellent platform that helps you with your strategies in order to maximise profit.
Accommodating experienced traders more so than beginners, Lightspeed charges $0 for each trade and $0.60 for each contract, with a minimum of $1 for every trade. They offer tiered pricing, which starts at 500 contracts monthly, up to 100,000 contracts per month at a $0.20 fee. Offering a range of platforms including order execution, customized layouts, execution, and historical data analytics, Lightspeed is equipped with many other useful tools and features to enhance the trading experience of professionals. With their platforms available on desktop, web and mobile devices, clients can easily switch between platforms with ease and execute trades on the go.
With these top brokers in mind, extensive research, such as those provided by source:business 24-7, is indeed crucial for you to find a broker that can readily meet your needs. Regardless of whether you are an amateur who wants to try their hand at options trading or a professional trader who has accumulated years of experience, there is a suitable broker for everyone. Once you find a broker that you are comfortable with and can confidently rely on, you are on the right track to kickstarting your options trading career.