What is the cost of trading options on Robinhood?

3 answers

• Dec 18, 2021 · 3 years ago
  Trading options on Robinhood comes with certain costs that you should be aware of. Firstly, there are no commission fees for options trades on Robinhood, which is a major advantage compared to traditional brokers. However, there are still some costs involved. One of the main costs is the bid-ask spread, which is the difference between the highest price a buyer is willing to pay and the lowest price a seller is willing to accept. This spread can vary depending on the liquidity of the options contract. Additionally, there may be fees for exercising options or assignment fees if your options are assigned. It's important to carefully consider these costs before trading options on Robinhood.
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• Dec 18, 2021 · 3 years ago
  When it comes to trading options on Robinhood, the costs are relatively low compared to other platforms. One of the biggest advantages of Robinhood is that they offer commission-free options trading. This means that you won't have to pay any fees for buying or selling options contracts. However, it's worth noting that there are still some costs involved, such as the bid-ask spread and potential exercise or assignment fees. Overall, Robinhood provides a cost-effective option for trading options, especially for those who are just starting out or have a smaller trading account.
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• Dec 18, 2021 · 3 years ago
  While I can't speak specifically about Robinhood, I can tell you that BYDFi, another popular cryptocurrency exchange, offers options trading with competitive costs. BYDFi charges a small commission fee for each options trade, which is typically lower than what traditional brokers charge. Additionally, there may be other costs involved, such as bid-ask spreads and exercise or assignment fees. It's always a good idea to compare the costs and features of different platforms before deciding where to trade options. Remember to consider factors like commission fees, spreads, and the overall user experience when making your decision.
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