If you’re wondering the same thing, you’ve come to the correct place! E*TRADE and TD Ameritrade are two of the most popular internet brokers. Choosing the correct firm might be difficult, which is why we’re here to assist. In this head-to-head comparison, we’ll strip E*TRADE and TD Ameritrade down to their bare bones. That way, we’ll be able to identify the best online broker for you. E*TRADE and TD Ameritrade were scrutinised from top to bottom by our team. Our suggestions are based on the broad characteristics that E*TRADE and TD Ameritrade provide.
From above, you’ll get a bird’s eye view of what they look like. We focused our attention in our analysis on the fees, investment alternatives, and trading platforms accessible. Overall, the business concepts of E*TRADE and TD Ameritrade are extremely similar. The distinctions are found in the details. Let’s have a look at some of them down below.
How much do they set you back?
E*TRADE and TD Ameritrade have joined the free-trading movement.
All online trades are subject to commissions. So, which one do you think you should go with?
Let’s have a look at the two competitors in general.
E*TRADE is a trading platform that allows you to buy and
The account must have a minimum balance of 0 USD.
E*TRADE does not impose a commission on stock or ETF transactions.
TD Ameritrade is a brokerage firm based in New York City.
The account must have a minimum balance of 0 USD.
Fees: There are no commissions on stock or ETF trading at TD Ameritrade.
Commission Comparison: E*TRADE vs. TD Ameritrade
When choosing an online broker, one of the most important factors to consider is trading expenses. Fees and commissions can add up to hundreds of thousands of dollars over the course of a lifetime.
The fees (commissions) associated with E*TRADE and TD Ameritrade are detailed here.
| Broker | Stocks | ETFs | Options | Mutual Funds |
| E*TRADE | $0 (Exchange listed U.S stocks) | $0 (online) | Contract fee$0.65/$0.50* | $19.99 |
| TD Ameritrade | $0 (online U.S listed stocks) | $0 (online- domestic & Canida) | Contract fee $0.65 per trade | $49.99 |
Annual or inactivity fees are not charged by E*TRADE or TD Ameritrade.
They do, however, differ slightly.
E*TRADE and TD Ameritrade both offer commission-free stock and ETF trading. Option traders are charged $0.65 each contract. However, for big volume traders (those that trade more than 30 contracts every quarter*), E*TRADE charges $0.50 per contract.
Mutual fund commissions are high, ranging from $19.99 at E*TRADE to $49.99 at TD Ameritrade.
E*TRADE is the appropriate online broker for you whether you’re a high-volume option trader or want to invest in mutual funds. If neither options nor mutual funds appeal to you, neither has a significant savings edge over the other.
NOTE:
- Morgan Stanley revealed their intention to buy E*TRADE in February 2020.
- In November of this year, Charles Schwab announced their intention to buy TD Ameritrade.
The completion of these mergers is projected to take years.
Choosing an Investment
E*TRADE and TD Ameritrade both provide a large range of assets, however they differ slightly. To be honest, it isn’t crucial knowledge for the average investor, but it is important to have.
E*TRADE and TD Ameritrade both provide a large number of commission-free ETFs as well as a wide range of stock trading options.
Options, complicated options, shorts, Roth IRAs, mutual funds, bonds, commodities, cryptocurrency, and more are available through E*TRADE and TD Ameritrade.
E*TRADE has the upper hand when it comes to futures. E*TRADE offers approximately 200 futures to trade, while TD Ameritrade only offers roughly 60.
It’s crucial to understand that only TD Ameritrade offers foreign currency trading (FX). In 2015, E*TRADE stopped offering FX trading.
| Asset | E*TRADE | TD Ameritrade |
| Stocks-Short & Long | ✔ | ✔ |
| Options/Complex Options | ✔ | ✔ |
| ETF | ✔ | ✔ |
| Futures/Commodities | ✔ | ✔ |
| Mutual Funds | 9,000+ | 13,000+ |
| Bonds | ✔ | ✔ |
| Cryptocurrency | ✔ | ✔ |
| Forex | ???? | ✔ |
| Roth IRA | ✔ | ✔ |
| International Exchange | ???? | ✔ |
| OTC, OTCBB Penny Stocks | ✔ | ✔ |
| Fractional Shares | ✔ | ✔ |
To put things in perspective, TD Ameritrade offers a wider range of investments and the opportunity to trade forex, which E*TRADE does not.
If you trade forex or want to invest in a wide range of options, TD Ameritrade is a good option.
Trading platforms
E*TRADE and TD Ameritrade are two trading platforms that provide simple, straightforward browser-based investing services. They provide mobile and desktop platforms so that you can stay connected at all times.
Below, we’ll look at the mobile apps and desktop platforms of these two behemoths.
Mobile Apps
E*TRADE and TD Ameritrade both have excellent mobile investing apps. Both online brokers developed user-friendly programmes for their customers.
E*TRADE recognised that not all investors had the same understanding and developed two apps to address this.
E*TRADE
1. E*TRADE Mobile App — An easy-to-use app that lets you connect to markets and accounts from anywhere.
- Stockbrokers.com named him “Best in Class.”
- Managing money is simple.
- On the platform, you may find news and research.
2.Efficacy The E*TRADE app is a slightly more advanced software with a unique programme for everyone.
- Streaming quotations are available to view the market.
- Look for prospective transactions.
- It’s jam-packed with simple features and trade instruments.
TD Ameritrade
TD Ameritrade has also built two applications so that their users can trade from anywhere!
1. TD Ameritrade Mobile App- For all of your basic investing needs, TD Ameritrade has produced a starter app.
- You can effortlessly navigate markets.
- Simple to use
- Price notifications and real-time quotes
2.Thinkorswim Mobile App- Thinkorswim’s mobile app features powerful trading platforms that enhance the investing experience.
- Hundreds of technical indicators are available.
- Educational films that are really useful.
- Platform of the future
Both brokers provide robust mobile apps for both iOS and Android.
Desktop Platform
The two-level interfaces on the E*TRADE desktop platform can be bewildering at first. The mobile apps for both tiers are identical. You can access everything you need as an investor, from active trading to online study.
Just like E*TRADE, TD Ameritrade offers a two-tiered menu. They provide a standard web platform with all of the capabilities required by an investor.
Thinkorswim, the second platform, is a high-end trading platform. Thinkorswim was given everything TD Ameritrade has to offer by TD Ameritrade.
Streaming news, asset screening, fundamental analysis, detailed charts, and more are all available on these sites. They each did their best to put together as much information as possible to assist investors in learning and maximising opportunities.
Each broker offers innovative, user-friendly features to help you understand and master the stock market. E*TRADE has a top-of-the-line mobile app, whereas TD Ameritrade went into incredible detail in their regular platforms.
Defendance
E*TRADE and TD Ameritrade are both financial firms with strict security standards.
Both brokers take security very seriously in order to keep their clients safe from hackers and other threats from the outside world.
E*TRADE bank accounts are guaranteed by the Federal Deposit Insurance Corporation (FDIC) and meet all regulatory requirements. They are also a member of the Securities Investor Protection Corporation (SIPC), which protects clients up to $500,000.
TD Ameritrade is a SIPC member, and all of their bank accounts are FDIC-insured, much as E*TRADE.
The Verdict
These people aren’t con artists, and they take customer security very seriously. You wouldn’t expect anything less from E*TRADE and TD Ameritrade, two of the country’s largest broker firms.
The Bottom Line: E*TRADE and TD Ameritrade are two of the best online brokers available. As an experienced investor, I can attest that both companies provide the finest of the best.
Most investors, in fact, would be content with any option. At the end of the day, it’s a matter of personal preference.
We looked at the most important decision points from the perspective of the average investor.
Let’s take a look at the facts if you’re still having problems. When it comes to investing alternatives, TD Ameritrade wins hands down, but E*TRADE comes out on top when it comes to cost efficiency for the more active investor.
TD Ameritrade is the place to go if you want diversity. E*TRADE, on the other hand, might be a good fit for aggressive traders searching for lower prices.
Get started investing now that you’ve located the appropriate online broker for you.