The New TradeKing: Ally Invest Review

You probably never have heard about Ally Invest. It is a seemingly new broker platform. But you may have heard of the award-winning broker, TradeKing before. The since 2005 available broker platform TradeKing was recently acquired by Ally and goes under the name Ally Invest now. The ‘new’ Ally Invest is a very affordable and competitive broker suitable for all kinds of trading. They offer many extremely useful and beginner friendly features to help your trading. Nevertheless, because of relatively little marketing efforts, many traders don’t even know of this broker. ally award winning broker

Pricing and Features:

Let’s start with one of the best aspects of Ally Invest: their pricing. First of all, there is no requirement for a minimum deposit, making them very beginner friendly and perfect for traders with smaller accounts. The investment products offered on Ally Invest are Stocks, ETFs, options, Bonds, Mutual Funds, Forex and Futures (Commodities). As you can see Ally Invest has something for every kind of trader. As you can see in the table below, Ally Invest has very competitive pricing for all their investment products. broker price comparison Note that Ally Invest offers even better pricing for larger accounts or high volume traders (Ally Invest offers volume/balance pricing for investors who make 30 or more trades per quarter and/or maintain an average daily balance of more than $100,000. For further details click HERE): ally invest pricing Besides the big range of investment products and the amazing pricing, Ally Invest also offers a wide variety of different trading tools for the more advanced trader. First of all they offer many different technical analysis features, including different chart types, over 90 technicals (indicators, drawing tools etc.) The interactive charts and studies are all completely customizable to fit every individual trader. But these feature almost seem like a standard feature on most good broker platforms nowadays. In addition to all the technical analysis features, Ally Invest has more advanced trading tools to use. One of my favorite tools would have to be the impressive option analyze feature. You can easily analyze and display your option strategy payoff in form of a chart and edit your strategy accordingly. Settings for potential changes in volatility, date and price are also available. This brings us to the volatility and probability analyzer/calculator. With some calculations, Ally Invest can give you the probability of making money with different strategies. This is calculated through past volatility. All these features and more are just great for option traders and especially for option premium sellers (like me). It is also easy to find different readings for implied and historical volatility. In general, I would say that Ally Invest is a great broker for option traders. Furthermore, Ally Invest also has many great features for stock traders. Especially for fundamentalists that want to analyze a company’s income, earnings and more. Not only general market news is displayed, but even detailed insights, reports and snapshots on specific companies. You can even analyze reports like the Income Statement, directly inside of the broker platform. Fundamental investors are going to love this. Theoretically many of these reports can also be found elsewhere, but this often needs some digging around first. So Ally Invest really helps you in regard to that. Additionally, all kind of other market data is easily displayable. Quotes, charts, dividends, earnings, news, performance comparisons, historical data, option summaries and more are accessable inside the platform. Another great feature on Ally Invest are their preset and fully customizable watchlists. You can create and customize your own market watchlists to keep track of all potential future positions or just the market in general. The great thing about Ally Invest is that all the above mentioned features are all bundled up on one easy to use and very clean platform. Nowadays more and more retail brokers do offer these advanced features, but very many brokers just can’t make these features user-friendly. I experienced that broker platforms have tons of great features, but I just couldn’t figure out how to navigate and use them. This is a real bummer and also the reason why I especially enjoy using Ally Invest. It is an extremely beginner friendly platform with a very flat learning curve. Additionally, Ally Invest also does offer a mobile app available for both IOS and Android.

Conclusion:

In conclusion, I find Ally Invest an all round, cheap and beginner friendly broker platform. The pricing is one of the best in the industry and the features are good as well. It may not be the most advanced broker, but it certainly is one of the cleanest and easiest to use. What I especially like about Ally Invest is that they haven’t limited themselves to one asset class. Many other brokers specify on one asset class (for example options) and build a great broker for that class, but for that class only. This may be good if you only want to trade one class (only options, only stocks…), but if you want to trade more than that, this can really be annoying. With these brokers you may have better features in one area, but almost none in another. In Ally Invest you have a wide range of products and features for all of them. Instead of being great in one area and bad in another, Ally invest is good almost everywhere. Furthermore, I still think that Ally Invest has great features in some areas, (for example features regarding options).

Ally Invest is for you, if you:

  • are a trader that wants a good all round broker and plan on trading in more than one asset class (for example perfect for stocks and options). Ally Invest is great for people that want to build a good, diversified portfolio with different assets.
  • want a clean, user/beginner friendly platform. Nothing on the platform is overly complicated; even beginners shouldn’t have any trouble navigating through the platform. I have seen other platforms, where even I had big problems finding and understanding everything.
  • want a cheap, low commission broker. The low commissions on Ally Invest are one of its best aspects.
  • trade a lot. Other than many other brokers, Ally Invest rewards traders that trade a lot with even lower commissions.
  • have little money to trade with. There is no minimum deposit requirement on Ally Invest.
  • have a lot of money to trade with. Ally Invest rewards clients with big accounts with very low commissions.
  • are a beginner. Ally Invest is a near perfect broker platform for beginners. The easy to use/understand features/platform, the wide range of investment products, the no minimum deposit requirement, the low commissions and more add up to an awesome package for beginner traders.

Ally Invest is not for you, if you:

  • want to trade in one asset class only. If you only want to trade one kind of asset (for example, options), there are better options for you.
  • want very specific and advanced features. Ally Invest has many good features, but (apart from a few) it does not have insanely advanced features, which one might desire. If there is something specific you are looking for and I haven’t covered it here, you may still want to visit Ally Invest’s site to be sure that they don’t have it.

 

To Learn more and get Started Click Here!


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8 Replies to “The New TradeKing: Ally Invest Review”

  1. Very informative review of Ally! I know very little about trading right now, but I’ve always been interested. I think it’s true that the more you read, the more research you do, the better off you’ll be, and you’ll catch on eventually. At least I hope so! I was a customer of TD Ameritrade for quite awhile, but switched when we got a new financial advisor. I’d really like to be more savvy about handling my money, and learning the language so I know what I’m talking about and listening to in the future! I appreciate your site for the information you’re putting out there.

    1. Hey Suzi,

      Thanks for sharing. If you want to learn more about option trading in specific, this site is perfect for you (especially the education section, here ). But I guess you are searching for a more general stock market education. Even though this site is dedicated to option trading, some of my articles also cover more general topics. Click here to find those. I really hope this helps, otherwise just write another comment. 

  2. Thanks for your informative article on Ally Invest.

    I visited their website through your link. I found that its pricing is very competitive even I compared it with Interactive Brokers. Besides, it is a platform specializing in options trading. I believe it should be able to provide better service and tools than Interwctive Brokers.

    I will give it a trail anyway. Any points I need to pay attention to? Say settlement or money deposit. Thanks.

    1. Hey Nico, Thanks for the comment!

      Ally Invest is indeed a very competitive broker when it comes to pricing. But I wouldn’t say that they are especially specialized in options. They do offer great features for option traders, but I think a stock trader will also enjoy Ally Invest. Interactive Brokers does probably have a few more advanced features than Ally Invest though. Nevertheless, I find the platform of Interactive Brokers very hard to use and bad to navigate. This is especially unfriendly for beginners that are just starting out. I will probably write a review of IB soon. 

      I found that the account creation and deposit was pretty straightforward (for a broker). Nothing special to look out for.

  3. Hi Louis,

    Fantastic site! I have been really enjoying your options trading education posts. Read them (beginner+intermediate for now) a few times.
    For the last 5 years I have been focusing on stock dividend investing, and while I continue this, I also want to expand my knowledge into selling put options for now.
    I am now working on my plan to meet each step from your “How to Make Money with Options” post. I also have a brokerage account at Ally Invest.

    I am struggling with IV rank (or percentile). I see it shows IV in the option chain rows, but cannot see how it compares with the high/low of the year… you mention it’s easy the IV rank, I am not seeing it?

    With Ally, is it a good solution to not use IV rank at all and just use the Ally “estimated probabilities” section, shooting for a “Finish Above High Target” > 75%…
    (if above is yes – that section is a bit confusing for me: which Target Volatility (drop down with all different contracts) to use, the one at the expiration date or one closer to the date of entering the position?)

    Thanks so much – and sorry for a lengthy comment/questions
    Fab

    1. Hey, thanks for the comment.
      Sadly, I can’t really help you as I don’t have an account at Ally Invest and thus I am not familiar with all the details of the platform anymore (I am currently using Tastyworks). Sorry… But usually, IV rank and probabilities shouldn’t be the same. Maybe try contacting the support team at Ally Invest.

      1. Thanks Louis. Sorry I did not realize you did not have access to the Ally Invest portal.
        I did contact and chat with support, and at first they told me the IV value showing in the option chain is the rank… but when I asked if that was then a high/low representation… they said oh you don’t have that… in summary I am confused still. I have emailed the option guy directly (author of the optionsplaybook – senior option analyst at Ally) and asked about IV rank in Ally Invest, so we’ll see if I get a response – I’ll update here is so.

        1. Hey man, sorry to hear that you still haven’t resolved the problem. I really hope that you will find an answer soon. Thanks for keeping me updated.

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