-=Bank Of America (BAC) expands commission-free trading for Preferred Reward members

Bank of America said Monday its Merrill Edge Self-Directed platform will expands its offer of zero-dollar online trading, offering unlimited commission-free stock, exchange-traded fund and options trading. About 87% of trades on the platform were already commission-free through benefits offered to members of the company's Preferred Rewards program, the company said in a statement.


The news comes after Charles Schwab (SCHW), Fidelity Investments and TD Ameritrade had eliminated commissions on online trading earlier this month to lure clients amid increased competition from several fintech startups that offer quick and cheaper services.


In addition to moving to zero-dollar trades for all members of the program, Merrill Edge Self-Directed clients not enrolled in Preferred Rewards will now receive flat-rate pricing of $2.95 for online stock and ETF trades, down from $6.95, with no trade or balance minimums.

TD Ameritrade (AMTD) and E*Trade (ETFC) eliminate trading commissions

 On October 2, shortly after the market closed, E*TRADE Financial Corp announced that its online brokerage would cut its base commission rate to $0, following in the footsteps of Charles Schwab and TD Ameritrade. 

• Now that E*TRADE, TDA, and Interactive Brokers offer some form of free trading, the industry is closely waiting for Fidelity, TradeStation and other online brokers to respond. 

E*TRADE Financial Corporation (NASDAQ: ETFC) today announced it will eliminate retail commissions for online US listed stock, ETF, and options trades. It will also reduce the options contract charge to $0.65 per contract for all traders while maintaining its active trader pricing at $0.50 per contract. These changes will take effect on October 7, 2019.

• Press release; October 2, 2019
• investopedia.com article
• charts https://finviz.com/screener.ashx?v=211&t=AMTD,ETFC,IBKR,SCHW&ta=0&o=-change

The current commission schedule shows tiered rates, depending on the client's trading frequency. The base rate was $6.95, dropping to $4.95 for clients who traded more often than 30 times per quarter. Options were charged at $6.95 per leg with $0.75 per contract; active traders paid $4.95 per leg with $0.50 per contract. 

TD Ameritrade's commission-free trading starts October 3.

=Interactive Brokers (IBKR) will offer zero-fee trades on stocks and ETFs

Interactive Brokers (IBKR) will offer zero-fee trades on stocks and ETFs via a new service, as it looks to broaden its appeal with retail investors. IBKR stock retreated slightly Thursday, with TD Ameritrade (AMTD), E-Trade (ETFC) and Charles Schwab (SCHW) falling harder.

The new IBKR Lite service will offer unlimited trades on U.S.-listed stocks and exchange traded funds for a zero trading commission. It debuts in October. It will have no account minimums or inactivity fees.

Interactive Brokers will rebrand its existing low-fee stock trading offering as IBKR Pro.

Fee wars have engulfed financial services firms. But to date, online brokers Schwab, TD Ameritrade and E-Trade only allow customers to trade select ETFs for no commission. They've also lowered fees or removed minimums to trade stocks and ETFs, as investing apps like Robinhood capture a new generation of investors.

Customers can switch between IBKR Lite and IBKR Pro, subject to conditions. Pro clients will get potentially better pricing on stock trades through smart routing technology. Price improvement may matter less to regular investors.

Interactive Brokers' stronghold is active traders and institutions, but it's looking to tap a broader audience.

IBKR Stock, Brokerage Stocks Lagging
Interactive Brokers stock fell 0.4% to 51.51 on the stock market today, well off intraday lows of 49.36. Charles Schwab stock lost 2.2%, E-Trade stock tumbled 4.8% and AMTD stock dived 6.5%. Schwab charges $4.95 for stock trades, and has relatively high exposure to asset management. E-Trade and Ameritrade charge $6.95 per trade.

J.P. Morgan Chase (JPM) unveils its new investing app, You Invest

Shares of Charles Schwab fell 4 percent, TD Ameritrade fell 6.7 percent, E-Trade fell 4.8 percent and Interactive Brokers fell 3.1 percent in premarket trading. The move by J.P. Morgan aggravates a cold-blooded price war, with the globe's largest managers fighting for clients with low-cost options. J.P. Morgan will launch its new service next week.

• J.P. Morgan’s new digital brokerage service comes with free trades, portfolio building tool and access to equity research.
• The bank’s new trading service starts next week and will be available to its 47 million mobile or online users.
• All customers get 100 free stock or ETF trades in the first year. Those with Chase Private Client get unlimited trades.
• CEO Jamie Dimon hinted at this move in 2016, citing Amazon Prime as his inspiration.

   

The move, more than two years in the making, instantly intensifies the price war that is occurring throughout the investing landscape. Whether it’s executing trades, managing portfolios or simply owning mutual funds and ETFs, costs have been collapsing on Wall Street. Among brokerages, the free trading app provided by Robinhood Markets has gained attention recently for attracting more than 5 million users, and a $5.6 billion valuation, in just a few years. 

J.P. Morgan, the biggest U.S. bank, has a distinct advantage over many competitors: It already has financial ties with half of American households. When its engineers flip a switch in coming days, more than 47 million people who already use the company’s banking app or website will gain access to the new service, called You Invest.

“There are customers out there who may not want to trust their credentials or their money to an app of the month,” said Jed Laskowitz, a J.P Morgan veteran who runs You Invest. ”We’re thinking about what’s right for our customers, helping them get invested, and stay invested and diversified. ”

E-trade : Commission-Free ETFs

Effective Date: 12/16/2011

ETF	Fund Family	Symbol
WisdomTree Asia Local Debt ETF	WisdomTree	ALD
WisdomTree Australia Dividend	WisdomTree	AUSE
WisdomTree Asia-Pacific ex-Japan	WisdomTree	AXJL
WisdomTree Dreyfus New Zealand Dollar	WisdomTree	AUNZ
WisdomTree Dreyfus Brazilian Real	WisdomTree	BZF
WisdomTree Dreyfus Commodity Currency	WisdomTree	CCX
WisdomTree Commodity Country Equity	WisdomTree	CCXE
WisdomTree Dreyfus Emerging Currency	WisdomTree	CEW
WisdomTree Dreyfus Chinese Yuan	WisdomTree	CYB
WisdomTree Global ex-US Utilities	WisdomTree	DBU
WisdomTree Emerging Markets Equity Inc	WisdomTree	DEM
WisdomTree SmallCap Dividend	WisdomTree	DES
WisdomTree Global Equity Income	WisdomTree	DEW
WisdomTree Europe SmallCap Dividend	WisdomTree	DFE
WisdomTree Japan SmallCap Dividend	WisdomTree	DFJ
WisdomTree Emerging Mkts SmallCap Div	WisdomTree	DGS
WisdomTree Equity Income	WisdomTree	DHS
WisdomTree International MidCap Dividend	WisdomTree	DIM
WisdomTree LargeCap Dividend	WisdomTree	DLN
WisdomTree International SmallCap Div	WisdomTree	DLS
WisdomTree Global ex-US Growth	WisdomTree	DNL
WisdomTree International LargeCap Div	WisdomTree	DOL
WisdomTree MidCap Dividend	WisdomTree	DON
WisdomTree International Div ex-Finncls	WisdomTree	DOO
WisdomTree Global ex-US Real Estate	WisdomTree	DRW
WisdomTree Total Dividend	WisdomTree	DTD
WisdomTree DEFA Equity Income	WisdomTree	DTH
WisdomTree Dividend ex-Financials	WisdomTree	DTN
WisdomTree DEFA	WisdomTree	DWM
WisdomTree Japan Hedged Equity	WisdomTree	DXJ
WisdomTree SmallCap Earnings	WisdomTree	EES
WisdomTree Emerging Markets Local Debt	WisdomTree	ELD
WisdomTree India Earnings	WisdomTree	EPI
WisdomTree Earnings 500	WisdomTree	EPS
WisdomTree Dreyfus Euro	WisdomTree	EU
WisdomTree Total Earnings	WisdomTree	EXT
WisdomTree MidCap Earnings	WisdomTree	EZM
WisdomTree LargeCap Value	WisdomTree	EZY
WisdomTree Global Natural Resources	WisdomTree	GNAT
WisdomTree Middle East Dividend	WisdomTree	GULF
WisdomTree International Hedged Equity	WisdomTree	HEDJ
WisdomTree Dreyfus Indian Rupee	WisdomTree	ICN
WisdomTree Dreyfus Japanese Yen	WisdomTree	JYF
WisdomTree LargeCap Growth	WisdomTree	ROI
WisdomTree Global Real Return	WisdomTree	RRF
WisdomTree Dreyfus South African Rand	WisdomTree	SZR
WisdomTree Managed Futures	WisdomTree	WDTI
Global X Aluminum ETF	Global X Funds	ALUM
Global X Auto ETF	Global X Funds	VROM
Global X Brazil Consumer ETF	Global X Funds	BRAQ
Global X Brazil Financials ETF	Global X Funds	BRAF
Global X Brazil Mid Cap ETF	Global X Funds	BRAZ
Global X Canada Preferred ETF	Global X Funds	CNPF
Global X China Consumer ETF	Global X Funds	CHIQ
Global X China Energy ETF	Global X Funds	CHIE
Global X China Financials ETF	Global X Funds	CHIX
Global X China Industrials ETF	Global X Funds	CHII
Global X China Materials ETF	Global X Funds	CHIM
Global X China Technology ETF	Global X Funds	CHIB
Global X Copper Miners ETF	Global X Funds	COPX
Global X Farming ETF	Global X Funds	BARN
Global X Fertilizers/Potash ETF	Global X Funds	SOIL
Global X Fishing ETF	Global X Funds	FISN
Global X Food ETF	Global X Funds	EATX
Global X FTSE Andean 40 ETF	Global X Funds	AND
Global X FTSE Argentina 20 ETF	Global X Funds	ARGT
Global X FTSE ASEAN 40 ETF	Global X Funds	ASEA
Global X FTSE Colombia 20 ETF	Global X Funds	GXG
Global X FTSE Nordic Region ETF	Global X Funds	GXF
Global X Gold Explorers ETF	Global X Funds	GLDX
Global X Lithium ETF	Global X Funds	LIT
Global X Mexico Small-Cap ETF	Global X Funds	MEXS
Global X Norway ETF	Global X Funds	NORW
Global X Oil Equities ETF	Global X Funds	XOIL
Global X Pure Gold Miners ETF	Global X Funds	GGGG
Global X Russell Emerging Mkt Growth ETF	Global X Funds	EMGX
Global X Russell Emerging Mkt Value ETF	Global X Funds	EMVX
Global X S&P/TSX Venture 30 Canada ETF	Global X Funds	TSXV
Global X Silver Miners ETF	Global X Funds	SIL
Global X SuperDividend ETF	Global X Funds	SDIV
Global X Uranium ETF	Global X Funds	URA
Global X Waste Management ETF	Global X Funds	WSTE
Global X Social Media Index Fund	Global X Funds	SOCL
db-X 2010 Target Date ETF	db-X — Deutsche Bank	TDD
db-X 2020 Target Date ETF	db-X — Deutsche Bank	TDH
db-X 2030 Target Date ETF	db-X — Deutsche Bank	TDN
db-X 2040 Target Date ETF	db-X — Deutsche Bank	TDV
db-X In-Target Date ETF	db-X — Deutsche Bank	TDX
DBX MSCI Brazil Hedged Equity ETF	db-X — Deutsche Bank	DBBR
DBX MSCI Canada Hedged Equity ETF	db-X — Deutsche Bank	DBCN
DBX MSCI EAFE Hedged Equity ETF	db-X — Deutsche Bank	DBEF
DBX MSCI Emerging Mkts Hdgd Equity ETF	db-X — Deutsche Bank	DBEM
DBX MSCI Japan Hedged Equity ETF	db-X — Deutsche Bank	DBJP

Source: E*TRADE FINANCIAL

AUSE AXJL AUNZ BZF CCX CCXE CEW CYB DBU DEM DES DEW DFE DFJ DGS DHS DIM DLN DLS DNL DOL DON DOO DRW DTD DTH DTN DWM DXJ EES ELD EPI EPS EU EXT EZM EZY GNAT GULF HEDJ ICN JYF ROI RRF SZR WDTI ALUM VROM BRAQ BRAF BRAZ CNPF CHIQ CHIE CHIX CHII CHIM CHIB COPX BARN SOIL FISN EATX AND ARGT ASEA GXG GXF GLDX LIT MEXS NORW XOIL GGGG EMGX EMVX TSXV SIL SDIV URA WSTE SOCL TDD TDH TDN TDV TDX DBBR DBCN DBEF DBEM DBJP