TD Ameritrade provides a full-service online broker experience, making it an excellent match for novice and experienced investors.
Here, we will make a TD Ameritrade review. Active traders will discover a powerful trading platform (also accessible in a mobile version).
At the same time, newbie investors will find a wealth of research and education resources to help them get started.
|Trading Platform||TD Ameritrade|
|Regulated||SEC, FINRA, CFTC|
|Trading Platforms||Web, mobile, thinkorswim, thinkorswim mobile|
|Assets||Stocks, Bonds, Mutual Funds, Futures/Commodities, Single and multi-leg option contracts, Bitcoin futures, Forex, Penny Stocks.|
|Online Equity or ETF||No Cost|
|50 Options Contract||32.50$|
|Covered Call Trade of 500 shares or up||3.25$|
|Mutual Fund Commission||49.99$|
|Margin Interest Rates||9.5% for $10,00 balance, 7.75% for over $100,000 balances|
|Futures Transaction Fees||2.25$/per contract|
|Transferring an entire account||75$|
|Sending a wire||25$|
|Voluntary reorganization fee for corporate actions||38$|
|Live broker fee||25$|
Discount brokers are intended for self-directed investors who only need to place a trade rather than those who require extensive assistance in selecting stocks or funds.
However, most bargain brokers include third-party, proprietary research, stock, fund screeners, calculators, and other tools to become better investors.
TD Ameritrade offers ETF screener, analyst ratings, and also fixed income reports that will allow you to check these details in a more detailed way.
Pros And Cons
- Commission-free stock and ETF trading
- Research is free
- High-quality trading platform
- Available customer service at all times
- They do not offer fractional shares.
- Some costs for some services are relatively high.
What Is TD Ameritrade Good For?
TD Ameritrade, offer to their customers, anyone, beginner investors, advanced investors, educators, and also fund investors to use TD Ameritrade.
This platform is a good choice for those we mentioned. It offers anything from an easy platform to a more complex one to do everything you want as an advanced investor.
TD Ameritrade clients can enter a wide variety of order types on all of their platforms. All of the broker’s platforms provide stop limit orders and trailing stops.
And only the thinkorswim platforms and the web platform support conditional orders (such as one-cancels-the-other) and the entry of multiple orders simultaneously.
When placing orders, investors may additionally specify a specific tax lot.
Withdrawing And Depositing Money
The broker does not charge any deposit fees. This means you can put money in as much as you want without having to pay a single cent for it.
US clients can deposit using checks, ACH, and also wire transfers; however, clients from Hong Kong, Malaysia, Thailand, China, Taiwan, and Singapore can only deposit using wire transfers and checks.
Credit/debit cards and electronic wallets are not yet accessible.
In most circumstances, there are no withdrawal costs. The only exception you can discover is a $25 bank/wire transfer.
Withdrawals through ACH take two business days. You can also withdraw funds from accounts that are in your name.
The options to withdraw your money are extensive compared to other brokers available.
You can withdraw from various platforms like making a bank transfer or also an ACH withdrawal, which takes only two days.
Considering that it takes about a day to get your money in with ACH, two days is a pretty good bargain.
- Their platforms support two-factor authentication, biometric fingerprint scanners, and also face recognition.
- Through extra coverage offered by London insurers, TD Ameritrade protects each customer with $149.5 million in securities protection and also $2 million in cash protection.
- If you lose cash or securities from your account due to unlawful activity, TD Ameritrade will compensate you for the lost cash or shares of stock.
- TD Ameritrade has not revealed any significant data breaches in the previous four years. Because to record quantities of activity, TD Ameritrade has experienced login disruptions across numerous TD Ameritrade systems, affecting specific clients’ ability to check in throughout 2020.
- On January 27th, 2021, TD-Ameritrade and numerous other brokerage businesses had sporadic unavailability, preventing users from logging in, checking their portfolios, or committing any deals. The Gamestop stock crisis most likely caused the outage.
One feature that TD Ameritrade offers that many brokers do not is the chance to chat with someone in person about any concerns with your account.
Thanks to hundreds of branch offices situated in cities across the United States, customer service is just a short drive away.
Of course, it also provides phone help 24 hours a day, seven days a week, and email and text support.
It’s worth noting that it now provides customer service via Facebook Messenger and also Twitter, and you can even trade stocks by messaging its Facebook Messenger chatbot.
TD is one of the largest online brokers in the United States, and also it charges no commission on stock and ETF trading.
Like the other leading online brokers, it provides a wide selection of assets, tools, instructional materials, ans also industry-standard pricing, security, and dependability.
Traders and active investors will like the thinkorswim platform’s powerful and comprehensive features.
How does TD Ameritrade ensure that my investments are well protected?
TD Ameritrade is a wholly-owned part of The Charles Schwab Corporation. The Corporation’s capital structure and liquidity are strong, and also it will continue to run the business to minimize investment risks. All Schwab customer accounts are safeguarded by SEC and FINRA restrictions. It prohibits brokerage companies from utilizing customer money to fund their operations. Furthermore, in compliance with the SEC’s Customer Protection Rule, customer securities are kept separate from Schwab’s assets. Regarding the TD Ameritrade broker-dealer:
TD Ameritrade is a member of the Securities Investor Protection Corporation (“SIPC”), which provides securities clients with up to $500,000 in protection (including $250,000 for cash claims). A booklet with further information is available upon request at www.sipc.org. And also, TD Ameritrade offers each customer with $149.5 million in securities protection and $2 million in cash protection through extra coverage offered by London insurers.
Can you trade IPOs on TD Ameritrade?
On occasion, TD Ameritrade will serve as a selling group member for an (IPO). And when they do, they will provide qualifying accounts with the chance to participate. When they aren’t, they might nevertheless provide you the chance to participate in a firm that enters the market after it becomes public.
To participate in an initial public offering, you must have qualifications such as:
- A minimum of $250,000 in the account utilized to purchase the IPO or
- In the previous three months, the account has completed 30 deals.