The Best Wheel Strategy Broker: Schwab vs Fidelity

[@jmr2594]

I don't understand how u only have 4k subscribers. You put out great videos for options trading.

[@wallyblackburn]

I just discovered about a month ago that I was getting %5 on the money securing my puts in Fidelity! Glad you are making folks aware of this. I've found that I can spend a lot less time managing my accounts by just selling CSPs in the index ETFs like SPY and IWM. With this "double-dipping" I'm generating a nice income stream and not dealing with single stock risk (I'm lookin' at you, TGT!). Keep up the good work!

[@yieldcollector]

I love that low stress strategy.

[@Realist1775]

Appreciate your channel. Thank you for the helpful insights.

[@midnightmotors7202]

All good points. Schwab does allow you to collect interest on your cash allocated for puts at similar rates to Fidelity, but it is not by default and you have to own one of their money markets like SWVXX. There is also a minimum 30 day holding period, after which the money market is marginable to trade all options, incuding cash secured puts.

[@masoncnc]

If you didn’t say it, I would have👍

[@midnightmotors7202]

@@jaimeb1281 You have to buy them. In Schwab they’re listed under mutual funds. After 30 days they count towards your marginable securities - basically collateral on any option credit trades.

[@masoncnc]

@@jaimeb1281 you have to buy them like a mutual fund (end of day).

[@aperson1181]

@@jaimeb1281 You do have to buy this Mutual Fund manually and sell it when need cash w/Schwab.

[@James-100]

Excellent and informative comparison. I’ve had Fidelity for a while and recently got pushed over to Schwab from Ameritrade, so videos like this really help. New to the channel so I’ll poke around a bit before asking questions. Cheers.

[@Brown_Lightning]

Great video! Thank you for sharing. Lots of great information in this

[@waynelagasse9914]

Great comparison. I have 2 accounts with Schwab and my big IRA at Fidelity. I also love the pro trader platform but they make me buy streaming quotes for 135 a month because I’m a financial advisor for my career. I wasn’t aware of the TD section on Schwab but did get an email awhile back saying we’d have access to this. My bigger account at fidelity is making about 3000 a month based on the 4.95%. Woohoo

[@yieldcollector]

Sorry to hear about the streaming quotes fee, but $3000/month is fantastic 🤑.

[@waynelagasse9914]

@@yieldcollector I did an in service distribution a few months ago with a large 401k. So selling cash secured puts is a great strategy.

[@stan7757]

In 2021 when I was trading more, I asked Schwab for a better option trade rate and they gave me 50 cents. So it never hurts to ask.

[@jefflane4264]

Would love a video on the Fidelity dashboard!

[@IterumLife991]

Good video. Your videos are straightforward and helpful to a wheel strategy trader like myself. Thank you.

[@marshalls7340]

I had active trader pro with Fidelity and never even knew about the wheel screener/ THANKS!

[@cat309pc]

Great video, thanks!

[@LeZemyr]

Thanks for posting this. Do you already have a video discussing the wheel strategy vs covered calls only?

[@yieldcollector]

No, that is a good idea though. I will add that to my list of videos to make.

[@Downsize1940]

what is the name of your video on sweep accounts at various brokers

[@yieldcollector]

It was this video kzbin.info/www/bejne/b6rEfJKeab2Kj8k . I definitely recommend Fidelity for this reason.

[@Downsize1940]

What are your thoughts in tasty trades?

[@yieldcollector]

I've never used it. Many option traders like it so I'm sure it's very good for that purpose. Maybe if you're a really active option trader it is great. I do mostly just passive monthly Wheel trades now, so I just prefer Fidelity because the cash sweep is automatic. It makes it so easy to make income while selling Puts. I also use Fidelity credit card and other things. @@Downsize1940

[@seanju4751]

Thank you. 12 min video felt like 2 mins.

[@glene2942]

Another great video, thanks! I'll join in on requesting a video on the Fidelity dashboard. You usually point out information i missed...Like the option screener with Fidelity active trader, or your screens on market chameleon.

[@torchy187]

Another great video!

[@junwangrx]

Thanks for another great video. Your videos are great tools for traders

[@jim19428]

I have heard that you can put your cash in SGOV or BIL in Schwab and it only reduces your buying power by a small amount. Do you know if anyone does this?

[@yieldcollector]

Yes I saw that as well (I believe on Reddit). I would chat with a Schwab rep for confirmation to see if you can sell cash-secured Puts against this.

[@edaison]

No need to chat. That’s exactly what I do. The only difference between fidelity and Schwab is that you have to do this manually. The good thing is you can choose where to park that money. And right now SGOV is even better than SPAXX Which would make the last point about 0.45% not truly valid unless they’re focusing on convenience.

[@raywagner8075]

I really appricate your videos. I really pick up a ton of great information from them. Thanks for taking time to put them together.

[@mantajim2269]

Thanks for the comparison, I feel better about moving from TD Amer/ Schwab to Fidelity. That move is almost complete but I’ve already made more in interest on cash in a month then a year at TD, 🎉 I too would like to see a Dashboard video, something I have yet to checkout, thanks

[@aperson1181]

Thank you, but you have to specially qualify for the Active Trater Pro, is that correct?

[@yieldcollector]

All Fidelity account holders can use Active Trader Pro I believe.

[@rajendranselvaraj4434]

Always great information. Thank you for sharing. Does unsettled cash on the credit spread earn interest too? or are they different? Just curious!!!

[@yieldcollector]

I believe it does, but you may want to double check with your broker just in case.

[@huynguyen222]

Can you do the video about the Vanguard account? VMFXX VANGUARD FEDERAL MONEY MARKET FUND 7-day SEC yield as of 10/20/2023 is 5.29%. Thanks.

[@yieldcollector]

That seems like a very good option. I don't have a Vanguard account though so I don't know much about them as a broker.

[@fabiGBOtown]

I love it. Pls make those videos you mentioned. Schwab cash sweep is a deal breaker for me. My question of the week is, could you do a video about trading spy, qqq and iwm? Strategies weekly or monthly deltas, im not sure where I should start and everytime I listen to your Strategies i become profitable. If like to start with iwm and build up to spy. Anyway, thanks, love your videos