Platform Comparison

Fidelity vs Tastytrade

Compare Fidelity and Tastytrade on fees, DRIP, fractional shares and research for dividend investing.

Higher Rated
FD

Fidelity

★4.9

The gold standard for dividend investors seeking zero commissions, exceptional research, and automatic DRIP.

Full Review
TT

Tastytrade

★4.4

The options-focused platform with low contract fees, excellent education, and DRIP support—ideal for dividend investors using covered call strategies.

Full Review

Fidelity vs Tastytrade: Fees, Minimums & DRIP Compared

FeatureFidelityTastytrade
Our Rating4.9/54.4/5
Trading Commissions$0$0
Account Minimum$0N/A
Fractional SharesYesYes ($5 min)
DRIPAutomaticFree
Research ToolsExcellentBasic
Best ForLong-Term Dividend InvestorsCovered Call Writers

Fidelity vs Tastytrade: Pros and Cons

Fidelity

Pros

  • + Completely free trading for stocks, ETFs, and options
  • + Automatic dividend reinvestment on all eligible securities
  • + Industry-leading research and screening tools
  • + Fractional shares starting at $1
  • + Excellent customer service with 24/7 phone support

Cons

  • - Platform interface can feel overwhelming for complete beginners
  • - Mobile app less intuitive than newer competitors
  • - Some advanced features require desktop platform
  • - Mutual fund minimums can be high ($0-$2,500 depending on fund)

Tastytrade

Pros

  • + Commission-free stock and ETF trading
  • + Low options pricing: $1 to open, $0 to close (capped at $10/leg)
  • + Fractional shares available for purchases and DRIP
  • + Free dividend reinvestment program
  • + Exceptional options education and content

Cons

  • - Very low 0.01% interest on uninvested cash
  • - No mutual funds, bonds, or forex trading
  • - Higher-than-average margin rates
  • - Steep learning curve for beginners

Which Is Better for Dividend Investors: Fidelity or Tastytrade?

Choose Fidelity if you...

  • Are in Fidelity's core audience: long-term dividend investors
  • Need automatic dividend reinvestment
  • Prefer a higher-rated overall platform

Choose Tastytrade if you...

  • Are in Tastytrade's core audience: covered call writers

Want the full breakdown of fees, DRIP, and research tools? Read our Fidelity review and Tastytrade review.

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Investment Disclaimer

Investing involves risk, including possible loss of principal. Past performance does not guarantee future results. This content is for informational purposes only and should not be considered investment advice.