Security & Risks » Disclosures

For your convenience, all of the important disclosures and restrictions that apply to the content of this site are compiled here.

Homepage & Why optionsXpress?

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Barron’s, March 14, 2011, 16th annual survey, Rating Online Brokers . optionsXpress awarded 4.0 stars out of 5 in overall ratings. Overall ratings based on Usability, Trade Experience, Trading Technology, Range of Offerings, Research Amenities, Portfolio Analysis & Report, Customer Service & Access, and Costs. optionsXpress rated 4+ stars 2002-2011. Barron's is a registered trademark of Dow Jones & Company, Inc. © 2011.
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Average wait time of less than 12 seconds in January 2010 based on internal stored data.

Educational Videos

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Barron’s, March 14, 2011, 16th annual survey, Rating Online Brokers . optionsXpress awarded 4.0 stars out of 5 in overall ratings. Overall ratings based on Usability, Trade Experience, Trading Technology, Range of Offerings, Research Amenities, Portfolio Analysis & Report, Customer Service & Access, and Costs. optionsXpress rated 4+ stars 2002-2011. Barron's is a registered trademark of Dow Jones & Company, Inc. © 2011.
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Advanced orders involve additional risks. More information at http://www.optionsxpress.com/welcome/risks/cont_trail.aspx
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Streaming quotes are only provided to non-professional customers who accept the exchange streaming quote agreement.  Customer must qualify as a non-professional subscriber in accordance with NASDAQ, NYSE and OPRA regulations.

Tools & Research

OX Mobile Disclosures
optionsXpress is not liable for connectivity issues with your mobile service provider. Contact your mobile service provider regarding connectivity and functionality issues. Mobile service provider internet usage costs may apply.
optionsXpress mobile application download for BlackBerry® software is offered through RIM Wireless Handheld™, and for iPhone™ and iPod Touch users through Apple Inc. optionsXpress mobile application is supported by other mobile devices through Windows Mobile™, RIM Wireless Handheld™, Samsung, and Apple Inc. pursuant to the terms and conditions of their respective standard software license agreement.
BlackBerry®, iPhone™, Samsung, AT&T™, LG Mobile and Windows Mobile™ device logos, services, products, and trademarks are the exclusive property and of their respective owners. Streaming quotes available to non-professional customers accepting the exchange streaming quote agreement in accordance with NASDAQ, NYSE and OPRA regulations.
General Tool Center Disclosures
Multi-leg option strategies are subject to multiple commissions. Profits may be eroded by the commission expended to open and close the positions and other risks apply. Advanced orders involve additional risks.
Company names, photos, products, services and branding related to mobile devices and related software may be service marks or registered trademarks ("Marks") of their respective owners, which owners retain all legal rights. Use of the mobile devices and related software is subject to the respective provider's terms and conditions or standard software license agreement. The use of these Marks is not a representation that the optionsXpress is affiliated with, sponsors, endorses, is sponsored by, endorsed by, or affiliated with the mobile device, related software or Mark owners.
optionsXpress makes no investment recommendations and does not provide financial, tax or legal advice. Content and tools are provided for educational and informational purposes only. Any stock, options, or futures symbol displayed are for illustrative purposes only and are not intended to portray a recommendation to buy or sell a particular security.

Pricing & Commissions

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Barron’s, March 14, 2011, 16th annual survey, Rating Online Brokers . optionsXpress awarded 4.0 stars out of 5 in overall ratings. Overall ratings based on Usability, Trade Experience, Trading Technology, Range of Offerings, Research Amenities, Portfolio Analysis & Report, Customer Service & Access, and Costs. optionsXpress rated 4+ stars 2002-2011. Barron's is a registered trademark of Dow Jones & Company, Inc. © 2011.
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Kiplinger's Personal Finance, February 2011, "The Best of the Online Brokers". optionsXpress awarded 5 out of 5 stars on costs. Kiplinger's is a trademark of The Kiplinger Washington Editors, Inc. © 2011.
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Competitor prices are based on basic services and were obtained on 3/26/2010 and are believed to be accurate but not guaranteed. Some of the above firms may offer reduced commissions or waive fees, including but not limited to inactivity or maintenance fees or provide additional services, if certain account activity and/or account balance criteria are met.
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Qualified active option trader customers must maintain 35 or more option trades per quarter to maintain the active option trader rate of $1.25 per contract or $12.95 minimum. Active trader rates are not available for Xecute services. Active trader rates are not retroactive. Customer must meet and continue meeting above requirements, and apply to receive active trader rates.
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Commission rates depicted in the table above are quoted on a per-contract, per-side basis. The table above does not include customary NFA and exchange fees, or our $0.50 futures transaction fee or $0.75 futures options transaction fee. Additional fees may apply at some foreign exchanges. Commission rates are based on the previous month’s activity.
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The commission is calculated by counting the total number of contracts across all legs. The charge is $1.50 per contract, with a minimum commission of $14.95.
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Base Rate is a variable rate currently at 4.00%.
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Funds will be swept into Deposit Accounts at up to eleven (11) Banks, they will be eligible for at least $2.5 million in coverage (or $5.0 million in the case of a joint account), subject to applicable limitations. Funds in the Deposit Accounts at each Bank are eligible for deposit insurance by FDIC up to a total of $250,000 principal and accrued interest per depositor in most insurable capacities (e.g., individual, joint, etc.) when aggregated with all other deposits held in the same insurable capacity at a Bank. For example, funds in the Deposit Accounts at a Bank held by an individual are insured up to $250,000, and funds in the Deposit Accounts at a Bank held jointly by two or more individuals are insured up to $250,000 per joint owner ($500,000 per account).
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Restrictions apply: The $8.95 flat commission applies U.S. customers only. The $8.95 flat commission does not apply to foreign stock transactions, large block transactions requiring special handling, employer-negotiated commission schedules applicable to equity compensation transactions, or restricted stock transactions. Foreign ordinary shares that trade online in the U.S. over-the-counter (OTC) market and do not settle in the U.S. will have a $50 foreign transaction fee added to the cost of the transaction. Employee equity compensation transactions are subject to separate commission schedules. The $8.95 flat commission rate is not retroactive.

Margin Guidelines

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Initial requirements must be met before transactions may occur. In certain cases, where transactions occur before initial requirements are met, a deposit of additional capital will be required immediately.
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Stocks under $5 and non-national exchange securities: Ineligible for portfolio margin.
Minimum Option Requirement: $.375 multiplied by the option's multiplier which is generally $37.5 per contract (assuming standard 100 multiplier).
Bonds and Mutual Funds: Margin requirement based on Regulation T guidelines.

No Hidden Fees

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IRA account termination fee is charged for full IRA distributions and full outgoing transfers. The termination fee is in addition to the outgoing transfer fee.
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For more information about Reg. fees please read: Section 31 Transaction Fees.
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In October 2008 the Chicago Board Options Exchange changed the method they use to raise regulatory revenue. The new method is a transaction based model that attaches an Options Regulatory Fee, or ORF, to each option contract traded. Other exchanges have since adopted the ORF model as well. In addition to the CBOE, the ISE, PHLX, ARCA, and AMEX also raise regulatory revenue via ORF. Each exchange periodically changes the fee rate they charge. As of January 3, 2012 the combined ORF rate is $0.0215 per contract. This fee is assessed on all customer option transactions regardless of the exchange the trade is executed on. This fee appears in the "regulatory fees" line of your trade confirmation. For more information, please read the Regulatory Circular set forth by the CBOE.

Awards & Media

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Barron’s, March 14, 2011, 16th annual survey, Rating Online Brokers . optionsXpress awarded 4.0 stars out of 5 in overall ratings. Overall ratings based on Usability, Trade Experience, Trading Technology, Range of Offerings, Research Amenities, Portfolio Analysis & Report, Customer Service & Access, and Costs. optionsXpress rated 4+ stars 2002-2011. Barron's is a registered trademark of Dow Jones & Company, Inc. © 2011.
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Kiplinger's Personal Finance, February 2011, "The Best of the Online Brokers". optionsXpress awarded 5 out of 5 stars on costs. Kiplinger's is a trademark of The Kiplinger Washington Editors, Inc. © 2011.
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"2010 Broker of the Year" by The Options Insider, January, 21 2011, based on tools/platform quality, quantity/quality of education, execution quality, commissions, and order routing. The Options Insider is a registered trademark of The Options Insider Inc. © 2011.
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Barron's, March 16, 2009, 14th annual survey, "Blue Chips: Rating Online Brokers." optionsXpress awarded 4.6 stars out of 5 in usability ("ease of use"), ranking the highest in that category. Overall ratings (on a five-star scale) based on Usability, Trade Experience, Trading Technology, Range of Offerings, Research Amenities, Portfolio Analysis & Report, Customer Service & Access, and Costs. Barron's is a registered trademark of Dow Jones & Company, Inc. © 2009.
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"Best Discount Broker" by SmartMoney 8/1/04, based on Commissions & Fees, Customer Service, Mutual Funds, Trading Tools, Research, and Banking Amenities. Reprinted by permission of SmartMoney. © 2009 SmartMoney. SmartMoney is a joint publishing venture of Dow Jones & Company, Inc. and Hearst Communications, Inc. All Rights Reserved Worldwide.
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"Best of the Web" & "Favorite Options Site" 3/8/02–9/15/06 based on investor tools and educational services. Quote from 3/8/02 review. FORBES, and other names of FORBES products referenced herein are trademarks or registered trademarks of FORBES Management Co., Inc. 2009.
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"Winner," "4 1/2 stars," "unprecedented" and other quotes are excerpts from Barron’s 3/10/2003 Online-Broker Survey, p. 23, which ranked 28 online brokers in six "key" areas of trade execution, ease of use, range of offerings, research amenities, reports and customer access, and costs. BARRON’S is a registered trademark of Dow Jones & Company © 2009.
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Reprinted from Technical Analysis of STOCKS & COMMODITIES magazine. © 2003 Technical Analysis Inc.
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"Best Online Brokers" review based on 3/18/02 ranking of 22 online brokers in six "key" areas of Trade Execution, Ease of Use, Range of Offerings, Research Amenities, Access, and Costs. BARRON’S is a registered trademark of Dow Jones & Company © 2008.
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© 2002. BusinessWeek. © 2002 by The McGraw-Hill Companies Inc. "FT" and "Financial Times" are trademarks of The Financial Times. © 2009 The Financial Times Limited.
General Awards & Media Disclosures
By providing links to other sites, optionsXpress does not guarantee, approve or endorse the information or products available at these sites, nor does a link indicate any association with or endorsement by the linked site to optionsXpress Furthermore, optionsXpress is not associated with, or endorses, or sponsors any of the above named entities.

Testimonials

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This testimonial is a positive statement made by an actual, uncompensated optionsXpress customer. Individual experiences will vary based on trading strategy, market conditions and other factors. optionsXpress is not liable for any errors, incompleteness, or delays, or for any actions taken in reliance upon these testimonials or information contained herein.

Live Events

General Live Events Disclosures
Futures involve substantial risk and are not appropriate for all investors. Please read Risk Disclosure Statement for Futures and Options prior to applying for an account.
Investments using a straddle or strangle options strategy potential loss is unlimited. Multi-leg option strategies are subject to multiple commissions. Profits may be eroded by the commission expended to open and close the positions and other risks apply.
Access to the above events is provided for educational and informational purposes only. optionsXpress is not affiliated with, sponsors, is sponsored by, endorses, or is endorsed by the above mentioned guest speakers or cooperative events and the commentary and opinions expressed at, by or through the above mentioned guest speakers or cooperative events are solely their own. No information provided by the guest speakers or cooperative events has been approved or endorsed by optionsXpress and does not constitute a recommendation by optionsXpress to buy or sell a particular investment. You are solely responsible for your investment decisions, and optionsXpress makes no investment recommendations and does not provide financial, tax or legal advice. Please consult your tax consultant prior to making any investment that may impact your tax situation.

Futures

Futures Trading Systems
OX does not recommend, rank or rate third-party trading systems, and does not pre-screen or qualify third-party trading systems in any manner. OX does not review third parties’ experience, credentials, performance (hypothetical or actual) or other factors relating to their qualifications. PARTICIPATION IN ANY TRADING SYSTEM OR FACILITATION THEREOF DOES NOT AND SHOULD NOT BE DEEMED TO SUGGEST, IMPLY OR MEAN THAT OX OR ANY AFFILIATE RECOMMENDS OR ENDORSES THE VALIDITY OF, OR ADVOCATES THE THIRD PARTIES PROVIDING THE SERVICES. Customer determines whether to use any third-party trading system and is responsible for investigating and selecting them in light of Customer’s investment objectives and risk tolerance.
Real-Time Option Chains
While most options on futures trade electronically, some continue to trade in open-outcry pits. In such cases, under certain market conditions, bid/offer information may not be updated at the exchange in a timely manner.
Trading Central
Trading Central research is expected to be launched in early 2011.
Futures Risks
Futures involve substantial risk and are not appropriate for all investors. Please read Risk Disclosure Statement for Futures and Options prior to applying for an account.
Security Future Risks
Futures on Single Stocks, ETFs and Sector Indices use a greater degree of leverage and involve high degree of risk. Please read Risk Disclosure Statement for Security Futures Contracts available by calling (888) 280-8020.

Free Account Transfers

ACAT Terms & Conditions
optionsXpress will credit your account transfer fees up to $100 charged by another securities or futures broker when completing a full account transfer for $2,000 or more. Offer applies to new accounts first time funding only. To receive credit, email us or fax (312) 629-5256. Credit will be deposited to your account within 30 days of receipt of evidence of charge. We reserve the right at our sole discretion to modify or terminate this offer without prior notice.

Personal Coaching

optionsXpress Personal Coaching Disclosures
The optionsXpress Personal Coaching Program is intended for optionsXpress customers only. Coaches are not registered representatives and may not answer specific questions concerning your account; any questions concerning your account should be directed to customer service by calling 1.888.280.8020. Any stock option or futures investment or example mentioned by your coach or within your Personal Coaching materials are for illustrative purposes only and are not intended to portray a recommendation to buy or sell a particular security or attempt a specific trading strategy or method. Example information is hypothetical and may be out of date or incomplete on the date of publication. optionsXpress makes no investment recommendations and does not provide financial, tax or legal advice. You are solely responsible for your investment decisions, and you should carefully evaluate any potential trading opportunity to deter mine whether it is right for you and suitable for your objectives. Please consult your tax consultant prior to making any investment that may impact your tax situation.

Careers

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Barron's, March 16, 2009, 14th annual survey, "Blue Chips: Rating Online Brokers." optionsXpress awarded 4.6 stars out of 5 in usability ("ease of use"), ranking the highest in that category. Overall ratings (on a five-star scale) based on Usability, Trade Experience, Trading Technology, Range of Offerings, Research Amenities, Portfolio Analysis & Report, Customer Service & Access, and Costs. Barron's is a registered trademark of Dow Jones & Company, Inc. © 2009.
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“Best of the Web” & “Favorite Site” 9/15/06, based on investor tools and educational services. FORBES, and other names of FORBES products referenced herein are trademarks or registered trademarks of FORBES Management Co., Inc. © 2009.
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“Best Discount Broker” by SmartMoney 8/1/04, based on: Commissions/Fees; Customer Service; Mutual Funds; Trading Tools; Research; Banking Amenities. Reprinted by permission of SmartMoney © 2004. SmartMoney is a joint publishing venture of Dow Jones & Company, Inc. and Hearst Communications, Inc. All rights reserved worldwide.
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“The Best Online Broker” by Kiplinger’s 7/06, based on: Commissions/Fees; Executions; Margin Rates; Interest on Cash; Maximum Fund Transaction Fee; Responsiveness/Broker Knowledge; Research; Web Site; Cost-Basis Data; Conduct. Kiplinger’s is a trademark of The Kiplinger Washington Editors, Inc. © 2009.

Institutional Solutions

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Your equity positions at optionsXpress are protected from broker financial failure up to $25 million. In addition, all funds held in our money market sweep account are protected up to $2 million. Read more.
General Institutional Solutions Disclosures
The Reg-T Requirement is calculated from optionsXpress’ house requirement of 25%. (The current price of the equity/option × 100 × the number of contracts × 0.25) - (the out of the money amount (current index strike price - strike price) × 100 × the number of contracts) + the premium. The position was based off the SPX index trading at $947.30. The portfolio margin requirement is using optionsXpress’ portfolio margin array at our minimum index (broad-based) requirement level of 12%. Portfolio margin in this example would provide 68% less of margin requirement. This number is derived from the Reg-T requirement number minus the Portfolio Margin Requirement number divided by the Reg-T requirement number.
There are inherent risks in using margin. Before trading on margin, we recommend reviewing our Margin Disclosure Statement and other risk information. The stated margin rate may change at any time and without prior notice. Current margin rates available at our Pricing & Commissions page.

XPRESSO

General XPRESSO Disclosures
The optionsXpress XPRESSO newsletter is provided for informational purposes only. No statement in the XPRESSO newsletter should be construed as a recommendation to buy or sell a security or to provide investment advice. The content provided has been obtained from sources deemed reliable but is not guaranteed as to accuracy and completeness. optionsXpress makes every effort to provide timely information to its recipients but cannot guarantee specific delivery times due to factors beyond our control.
Futures involve substantial risk and are not appropriate for all investors. Please read Risk Disclosure Statement for Futures and Options prior to applying for an account.

XPOUND

General XPOUND Disclosures
The optionsXpress XPOUND newsletter is provided for informational purposes only. No statement in the XPOUND newsletter should be construed as a recommendation to buy or sell a security or to provide investment advice. The content provided has been obtained from sources deemed reliable but is not guaranteed as to accuracy and completeness. optionsXpress makes every effort to provide timely information to its recipients but cannot guarantee specific delivery times due to factors beyond our control.
Barron’s Easiest to Use Barron’s Easiest to Use