Thinkorswim Review 2014: Commissions, Fees, and Minimum Deposit
|Stocks and ETFs|| $9.99|
|Stocks and ETFs broker assisted|| $49.99|
|Stocks and ETFs Interactive Voice Response (IVR) Telephone System|| $34.99|
|Options|| $9.99 + $0.75 per contract|
|No-load mutual funds|| $49.99|
|Treasuries at auction|| $25 flat fee|
|All other bonds and CMOs, CDs|| on a net yield basis|
|Futures|| $3.50 per contract (inclusive of exchange fees)|
|Investments|| stocks, bonds, mutual funds, options, ETFs, bonds, CDs, UITs, futures and forex|
|Thinkorswim\TOS minimum deposit to open account|| $0 for cash account, $2,000 for margin account|
Thinkorswim's new account opening process is fast - it takes less than 15 minutes to finish the application.
After it's done, a new customer can login and explore the website right away. There is no micro-deposit verification, and therefore
setting up ACH with your bank and funding your brokerage account is very quick.
Thinkorswim.com Website/Trading Platform/Tools Review
Thinkorswim offers one of the best trading platforms on the market right now! It's well designed, intuitive and
customizable. Entering and executing orders is fast. It has many advanced features which only experienced
traders will truly appreciate. Charts are second to none - everything you might want is included for free. The company provides
live CNBC news, a scan tool for finding stocks that meet certain criteria, and a watch page that keeps track of
things like dividend dates and stock splits. There are also live broadcasts from the
S&P 500 pit as well as Shadow Trader.
One of the finest features of Thinkorswim is their Analysis tab. It allows you to instantly view an active risk graph that will exactly
show the most probable look of any trade setup. In addition to this, it will also instantly show the latest risk graph for any planned
adjustments to the current trades you might want to make. These are usually the kind of things found only in proprietary software, which is
always very expensive.
The company also provides mobile applications for iPhone, iPad, Windows, Android and Blackberry users.
For a more detailed Thinkorswim platform review click here.
Thinkorswim Review: Pros
- ThinkOrSwim is now part of TD Ameritrade, one of the largest brokerages in the U.S. with many local branches
- No additional commission on stocks under $2, large orders, or extended hours trading
- Best trading platform in the industry
- Free virtual trading
- Easy access to myTRADE trader community
- No-fee retirement accounts
- No maintenance or inactivity fees
- Free streaming quotes, including Level II
- Rich selection of independent research offered through S&P, Morningstar and other firms
- Large number of mutual funds - over 13,000 available
Thinkorswim Review: Cons
- High commissions on all investment products
- High margin rates
Thinkorswim Review Summary
Thinkorswim (TOS) charges higher than average commissions on stocks and ETFs: $9.99 per trade. But there are no surcharges -
the same rate applies to all trades, including penny stocks, extended hours orders, pink sheet stocks and large orders
(whereas most online brokers levy one or more of these additional charges). Unadvertised secret is that Thinkorswim's rates are negotiable for active traders.
The firm was bought by TD Ameritrade, and is now a division of one of the top brokerage houses in the country. All new Thinkorswim and TD Ameritrade
customers have the same account with identical features, tools, and services. The Thinkorswim platform can be downloaded by opening an account at TD Ameritrade, logging in, and going to "Trading Tools -> thinkorswim"
in the main menu. Unlike many other online brokers, there are no monthly fees to use this sophisticated software.
TOS is known for great customer service and its versatile, powerful, customizable trading platform. The firm offers an impressive range
of investments for clients to choose from, including access to forex and futures trading. The ability to trade all types of option
strategies along with futures and forex on the same platform is simply incredible.
Customers also get access to an impressive range of third-party research, including Standard & Poor's, Morningstar, Jaywalk and TheStreet.
Thinkorswim gets 4 stars instead of 5 in our review because of very high commissions.
One should keep in mind that there are basically no additional fees and lots of free services for which other companies charge.
The firm is an excellent choice for an IRA account (there are no IRA fees) and long-term investors, and for active traders as well as forex and futures
traders (thanks to the best platform and the number of useful tools).
Reviewed by Brokerage Review on
Reviewed by Editor and Thinkorswim customers.