OptionsXpress

OptionsXpress Commissions

Market: $9.95-$14.95
Limit: $9.95-$14.95
Options:  $1.50 per contract, $14.95 Min.
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OptionsXpress (sometimes spelled "Options Express") was founded in 2000, and was the first online broker to specialize in options trading. When they first launched, they offered only a small selection of underlying stocks for trading. Since then they have expanded their services significantly, offering a full range of stocks, bonds, mutual funds and ETFs.

OptionsXpress Services

Despite its expansion, OptionsXpress has stuck to its founding goal of focusing on options. To that end, they have some of the best research tools for options trading available. All customers receive access to ECN Level II, along with research data from Zack's Morningstar, and more. They provide streaming charts and volatility charts for options research, and an integrated quote system for both options and underlying stocks.

OptionsXpress was one of the first brokers to support trading of complex options positions as a unit. For example, collars, condors, iron condors, buy-write, straddles, and strangles — all of these strategies and more can be bought or sold with a single order, greatly simplifying spread trading, and reducing execution risk.

OptionsXpress also has a unique service whereby subscribers to investment newsletters can automate the trades recommended by the newsletter publishers. In other words, the trades will be made automatically as soon as they are published. No more missing out on a great trade because other subscribers bid the price up too quickly.

Other services include broker-assisted trades at the same commission as online trades, full integration with Microsoft Money and Quicken, and virtual trading accounts.

OptionsXpress Reviews in the Media

Since its inception, OptionsXpress has consistently ranked among the highest among all discount brokers. The critics have praised their innovation, software platform, breadth of services, and customer service. Some critics have observed that their executions are not the fastest or best, however.

Downsides to Consider

OptionsXpress is relatively expensive for an online brokerage nowadays. Fans of the service say the cost is more than made up by their excellent service and unique features. These features are heavily geared toward options traders, however, so traders who focus on stocks and mutual funds may wish to look elsewhere.

Bottom Line

OptionsXpress is a class act, with top-notch service, an innovative spirit, and a unique product offering. They are not the cheapest provider, but as the saying goes, you get what you pay for. They are a solid choice for any options trader. Traders more focused on stocks may be better off at a less expensive provider, however, such as Zecco.com or TradeKing.com.

User Rating

Latest User Review for OptionsXpress

Bill
December 18, 2007 - 15:38
Good service, but at a cost.

Their platform is great, but commissions are way higher than other online brokers.

Read All OptionsXpress Reviews   Write a Review for OptionsXpress

Notable Features

Complex options orders, Automatic newsletter trades.

Investments Available

Stocks, bonds, mutual funds, options trading

Alternate Spellings

Options Xpress , Options Express , OptionsExpress