Using data from our latest annual broker review which tested more than a dozen different online brokers over six months, we can compare Robinhood vs TradeStation to determine which broker is best. Let's dive in.
First, we will break down the commission charges of both brokers for placing stock and options trades. Robinhood and TradeStation both cost $0 per trade. For options trading, both Robinhood and TradeStation charge the same base fee of $0. Option contracts are pricier at TradeStation, costing $0.50 versus $0 at Robinhood. Instead of flat rate fees, several brokers charge a per-share fee instead. For a complete review of trading charges, read our full online broker reviews.
Next, investors want to make sure they can trade the investment vehicle they want. Robinhood supports Stock Trading and Options Trading while TradeStation supports Stock Trading, Options Trading, Mutual Funds and Futures Trading. As far as mutual funds go, TradeStation boasts an offering of 4357 mutual funds compared to Robinhood's 0 available funds.
Finally, by comparing the each broker's website and platform features, we can surface interesting differences. TradeStation makes virtual trading available to clients, while Robinhood does not. For mobile trading, Robinhood and TradeStation both have a iPhone App, iPad App and Android App. Online banking is also used by many customers, and multiple full-service brokerages provide these services. Unfortunately, Checking Accounts, Savings Accounts, Debit Cards, Credit Cards and Mortgage Loans are not available at Robinhood or TradeStation .
Overall, between Robinhood and TradeStation, TradeStation is the winner.