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Ask Dave: Choosing a Discount Broker

Tags: Advisors/Brokers, Ask Dave
7 Jun 7:41am
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Anthony asks:

I am reading about your move to ETRADE.

My question is a simple one…..did you research all the discount brokers before moving to ETRADE?

I am about to move my accounts, (they are sizeable), to a discount broker, and take care of them myself.
I just coundn’t figure the value I was getting from a full service broker.

Why did you go with ETRADE? And would you, or your readers recommend any one in particular?

I would really appreciate a reply directly to my email address, if you have the time,

Thanks and good luck,

No, I didn’t really do tons of research. I was paying $70 or something like that during my brief stint at a full service brokerage. E*Trade offered $20 per trade and I figured that there might be some other brokers out there with $10/trade, and there were some, but they were not names I had heard of before. E*Trade has been around for a while and I knew their name so I went with them. I didn’t really care about the details, I just needed some where to put my money after my financial advisor’s company got swallowed up by another company and he was (I assume) laid off. E*Trade does offer $9.99 trades if you have more than $50,000 in assets with them.

Rob Carrick recently compared online brokers in “With online trading, it pays to shop around“.

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