TradeStation vs. Robinhood: Which Broker Is Right for You?
Review
Updated
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If you're looking to start trading stocks, you'll need a brokerage account. Two popular and technology-focused choices are TradeStation and Robinhood, although there are some big differences between the two platforms. In this comparison, we'll take a look at the similarities and differences between TradeStation vs. Robinhood so you can decide if one of these might be right for you.
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| Rating |
Rating
Rating image, 4.0 out of 5 stars.
4.0/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Rating
Rating image, 4.5 out of 5 stars.
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
| Commissions |
Commissions |
Commissions |
| Account Minimum |
Account Minimum |
Account Minimum |
| Learn More |
Robinhood is known as the low-cost brokerage leader, so it shouldn't be a big surprise that its pricing is generally lower than TradeStation's. Both offer $0 commission stock and ETF trades, but Robinhood is one of the only places where you can trade options and cryptocurrencies with no fees.
That said, we wouldn't exactly call TradeStation expensive. Its standard options commission of $0.60 per contract is on the lower end of the spectrum among its peers, and TradeStation's cryptocurrency fees of 0.05% to 0.30%, depending on the account balance, are among the lowest we've seen.
As you'll see as we go on, TradeStation has a greater variety of account types and investment products than Robinhood, so it's not possible to make a direct comparison for all fees. For example, TradeStation charges a standard mutual fund commission of $14.95, which is relatively cheap compared to most brokers we've reviewed, while Robinhood doesn't allow mutual fund trading at all. TradeStation also offers competitive commission rates on futures and bonds, while neither of these are supported on Robinhood's platform.
| TradeStation | Robinhood | |
|---|---|---|
| Stock & ETF Commissions | $0 | $0 |
| Options Commissions | $0.60 per contract | $0 |
| Crypto Commissions | $0 | $0 |
| Mutual Fund Commissions | $14.95 | N/A |
| Account Transfer Fee | $125 | $100 |
| Account Maintenance Fee |
$0 but charges a $10 monthly inactivity fee (can be waived) $35 yearly for IRAs |
$0 |
Both platforms are designed for traders, but not necessarily for long-term investors or people who want all of their investments in one place. And there are some big differences between the investment types offered by these two brokers.
Both offer stocks, ETFs, options, and cryptocurrencies. However, TradeStation doesn't offer fractional share investing, while Robinhood does. This can be a big perk for newer investors -- for example, if Amazon stock is trading for $3,000 per share, you would need at least this much free cash to add Amazon to your TradeStation account. With Robinhood, you can invest in an expensive stock like Amazon with just a few dollars.
TradeStation offers mutual funds (although the selection isn't great), and it also offers the ability to invest in bonds. One of the big differences, and something that TradeStation focuses on, is the ability to trade futures and other related instruments (like options on futures).
LEARN MORE: Best Options Trading Platforms
| TradeStation | Robinhood | |
|---|---|---|
| Stocks and ETFs | Yes | Yes |
| Fractional Shares | No | Yes |
| Options | Yes | Yes |
| Mutual Funds | More than 2,000 | No |
| CDs | No | No |
| Bonds | Yes | No |
| Futures | Yes | No |
| Crypto | Yes | Yes |
| Currencies (Forex) | No | No |
We recommend comparing brokerage options to ensure the account you're selecting is the best fit for you. To make your search easier, here's a short list of our best trading platforms of 2025.
| Broker | Best For | Commissions | Learn More |
|---|---|---|---|
Rating image, 4.5 out of 5 stars.
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Managing your finances under one roof | $0 for stocks,¹ $0 for options contracts⁴ |
Learn More for SoFi Active Investing
On SoFi Active Investing's Secure Website. |
Rating image, 4.0 out of 5 stars.
4.0/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Low mutual fund fees. | $0 per trade |
Learn More for J.P. Morgan Self-Directed Investing
On J.P. Morgan Self-Directed Investing's Secure Website. |
|
Rating image, 4.5 out of 5 stars.
4.5/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
= Best
= Excellent
= Good
= Fair = Poor |
Low fees on stocks, ETFs, crypto, and options | $0 for stocks, ETFs, and options |
Learn More for Robinhood
On Robinhood's Secure Website. |
Robinhood offers individual, standard (taxable) brokerage accounts, traditional IRAs, and Roth IRAs. If you want to open an UGMA or UTMA custodial account for a minor, you can't do it through Robinhood.
On the other hand, TradeStation supports traditional and Roth IRAs, as well as SEP IRA and SIMPLE IRA accounts for qualifying self-employed clients. It offers the ability to open a brokerage account jointly with as many as three owners. And you can open a custodial account for a minor.
LEARN MORE: Best IRA Accounts
Both offer margin accounts (the ability to invest with borrowed money). Robinhood offers margin investing to all members, though it reserves its best rates for Robinhood Gold members who pay $5 monthly. TradeStation allows all of its customers to apply for margin privileges, although it's worth noting that Robinhood's margin interest rate is much lower for most balances.
It's also important to note that neither broker is owned or affiliated with a bank, so there isn't an option to open checking, savings, or credit card accounts through either. However, Robinhood does offer an optional brokerage cash sweeps program for uninvested funds. Users who opt in earn interest on these funds without losing access.
If you're looking for a more hands-off approach, be aware that neither TradeStation nor Robinhood offers robo-advisor services.
READ MORE: Best Robo-Advisors
| TradeStation | Robinhood | |
|---|---|---|
| Taxable Brokerage | Yes | Yes |
| Joint Tenant | Yes | Yes |
| Margin | Yes | Yes |
| Robo-Advisor | No | No |
| Traditional IRA | Yes | Yes |
| Roth IRA | Yes | Yes |
| Other IRA | SEP, SIMPLE | No |
| Custodial | UGMA/UTMA | No |
| Checking | No | No, but offers cash cards |
| Savings | No | No, but offers brokerage cash sweeps |
| Credit Card | No | No |
Robinhood is a mobile-first trading platform and is essentially designed to give clients the most user-friendly way to trade stocks, options, and cryptocurrencies on the go. It does have a web-based trading platform, but you won't find any sophisticated trading platforms available.
On the other hand, TradeStation prides itself on its feature-packed trading platform. It offers an app and web-based trading platform that are highly rated and very functional, but its desktop trading software is a professional-grade platform with things like customizable charting, automated strategy trading, and other features active and experienced traders want.
Both have trading apps that are very functional and easy to use. TradeStation holds ratings of 4.5 and 3.5 out of 5 stars on the App Store and Google Play store, respectively. And Robinhood's ratings are 4.2 and 4.1 (Note: Robinhood's ratings were significantly higher prior to the "meme stock" frenzy of early 2021, when it was forced to suspend trading in certain volatile stocks to the disappointment of many customers.)
LEARN MORE: Best Online Stock Brokers for Beginners
The bottom line is that these are two solid brokerage choices, but they're built for different types of investors. In many cases, the choice is easy. For example, if you want to invest in bonds, you aren't going to do it on Robinhood. The best course of action is to determine which broker has the features and capabilities that matter to you most, and if neither of these do, check out our other top brokerage picks to find one that better meets your needs.
On TradeStation's Secure Website.
A discount broker that's designed for active traders and cost-sensitive investors. You can often spend less than with other platforms.
$0 stock trades
$0
New accounts with qualifying assets earn $50 to $5,000 using code FOOLAFYJ
On TradeStation's Secure Website.
2025 Award Winner
A top pick for beginners, Robinhood combines $0 commission trades, an easy-to-use app, and a rare retirement deposit match.
$0 for stocks, ETFs, and options
$0
On Robinhood's Secure Website.
No, you can opt into margin without paying for a Robinhood Gold subscription. However, to buy a stock on margin, you'll need to meet other requirements:
TS Select plans charge zero service fees. Per-trade, per-share plans charge $149.95 per month unless the account meets minimum activity requirements. TradeStation charges a $35 yearly administration fee on IRA accounts.
TradeStation charges a $10 monthly inactivity fee. This fee is waived if you trade monthly or meet at least one of the following requirements:
We're firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. Motley Fool Money does not cover all offers on the market. Motley Fool Money is 100% owned and operated by The Motley Fool. Our knowledgeable team of personal finance editors and analysts are employed by The Motley Fool and held to the same set of publishing standards and editorial integrity while maintaining professional separation from the analysts and editors on other Motley Fool brands. Terms may apply to offers listed on this page.
Robinhood disclosure
All investments involve risk and loss of principal is possible.
Securities are offered through Robinhood Financial LLC, member FINRA/SIPC. Cryptocurrency services are offered through an account with Robinhood Crypto, LLC (NMLS ID 1702840). Robinhood Crypto is licensed to engage in virtual currency business activity by the New York State Department of Financial Services. Cryptocurrency held through Robinhood Crypto is not FDIC insured or SIPC protected. For more information see the Robinhood Crypto Risk Disclosure.
Trades of stocks, ETFs and options are commission-free at Robinhood Financial LLC. Other fees may apply. Please see Robinhood Financial’s Fee Schedule to learn more.
Fractional shares are illiquid outside of Robinhood and are not transferable. Not all securities available through Robinhood are eligible for fractional share orders. For a complete explanation of conditions, restrictions and limitations associated with fractional shares, see the Fractional Shares section of our Customer Agreement.
Robinhood Gold is an account offering premium services available for a $5 monthly fee. Not all investors will be eligible to trade on Margin. Margin investing involves the risk of greater investment losses. Additional interest charges may apply depending on the amount of margin used. Bigger Instant Deposits are only available if your Instant Deposits status is in good standing.
Investing is risky. Bonus offers subject to terms and conditions, visit robinhood.com/hoodweek for more information. Margin is not suitable for all investors. Robinhood Gold is offered through Robinhood Gold LLC and is a subscription offering services for a fee. Brokerage services offered through Robinhood Financial LLC (member SIPC), a registered broker dealer.
J.P Morgan Disclosure
INVESTMENT AND INSURANCE PRODUCTS ARE: NOT A DEPOSIT • NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE
SoFi Disclosure:
INVESTMENTS ARE NOT FDIC INSURED • ARE NOT BANK GUARANTEED • MAY LOSE VALUE
Value Prop Disclosures
Promotion Disclosures
