It's Friday and TD Ameritrade is starting the weekend off with a bang. The online brokerage said starting today, it will allow its customers to buy and sell more than 100 exchange traded funds with no commission, according to a USA Today report
The 101 ETFs that qualify for no-commission trades were selected as the best in their categories by Morningstar and include offerings from BlackRock's iShares
and State Street
. Short-term investors who do not hold the ETF for 30 calendar days will still be charged the brokerage's standard $9.99 per trade commission.
TD Ameritrade's move signals its willingness to duke it out with rivals Charles Schwab
, who all currently have similiar free ETF trades programs. However, Vanguard's free-commission deal is restricted to its own 47 ETFs and Fidelity offers free trading in 25 iShares ETFs.
To be sure, the industry-wide no-commission offers for ETFs have not spurred investors into the investments, according to Matthew Hougan
, president of ETF analytics at Index Universe.
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