Besides its cool name, thinkorswim.com is known for its awesome do-it-yourself investor education courses and services. Moreover, last year it was rated the #2 overall broker by Barron’s. So what makes this company so great and why would you decide to choose these guy’s over their competitors? This analysis will break down the details of this company as we profile their services and products, and provide you with some information to help you make the best choice when it comes to selecting a broker or brokerage firm.
When it comes to the trade experience, customers are saying thinkorswim delivers high scores across the board. Their trading technologies rank highest in the industry; system usability is excellent, their reporting features were ranked highest in the industry. Not to mention, customer service was outstanding and their costs we’re definitely in the middle of the pack, not being too cheap – but certainly equal to competitors whom offered far less features and or their service was worse off. What’s more? If you’re tech savvy and are always on the go – they’ve got several aps for your mobile phone.
Now, we’ll get into the specifics of the companies pricing and help you decide if they’re right for you:
Costs, commissions, fees
Think or Swim’s cost are good for beginning investors who probably are going to be trading too often. Not to mention their minimum balance is only $500. Their stock trades will run you $9.95 per trade, while their option contracts depend on size and will cost around $1-$3 each. Trading mutual funds will cost you nothing for your first 3 per month, and $15 thereafter. Futures and or options contracts will run you in the mid $3 range.
Getting started right away
These guys can help you along your way get educated about the various investment options you may have. They can help you setup an IRA or other savings plan while allowing you the most investment options out there. If you’re still holding onto an old 401k plan through a former company of yours – you should consider rolling it over to an IRA and take advantage of a much wider array of options to invest in outside of your limited 401k choices.
Applications and or software
They have four platforms which are as follows: think desktop, web-based trading, think anywhere and think mobile. Their desktop program is just that, software that’s installed on your home or personal computer and used from there. On the other hand, the web-based trading application is an awesome tool that can be used from anywhere you can access a computer, it’s nice in the fact you can be so flexible as you can access it away from home, without a cell or other mobile device. The final two, think anywhere and think mobile allow you the flexibility to manage your finances from anywhere you can grab a signal for your device.
This company is better for the new investor than the more professional crowd than others for a couple of reasons, the infrequent amount of trades a newer investor makes, and the awesome educational assistance the company provides. More importantly, their trading platforms are generally easier to use than many of its competitors. Why pay for technology you aren’t going to use? This company has been rated excellent and we would have to agree – however, if you’re a more professional trader – you may be better off heading over to a company like interactive brokers as their pricing structure will suit your needs better.