E-Trade: Know the Fees You Pay
E-Trade is a popular online broker for a reason: The company offers several trade platforms, a wealth of research and educational tools and a large selection of commission-free ETFs and transaction-fee free mutual funds. Its commission structure is tiered, but easy to navigate, and favors traders who make at least 1,500 trades per quarter.
Things to know about E-Trade’s fees
- E-Trade’s tiered commission structure offers discounted rates to frequent traders. Those who trade at least 1,500 times per quarter qualify for $6.99 commissions; those who make 150 trades per quarter qualify for $7.99 commissions. For fewer than 150 trades, commissions are $9.99.
- Even commissions for active traders are higher than those at many other brokerages, including full-service and discount brokers. E-Trade does offer a large selection of transaction-fee-free mutual funds and commission-free ETFs, generally not available from discount brokers.
- E-Trade’s Pro trading platform is available only to customers who maintain at least a $250,000 account balance or execute at least 30 stock or options trades per quarter.
- There are no minimum trade requirements or inactivity fees.
- The company’s account minimum is $500 for brokerage accounts and $0 for IRA accounts.
Here’s a complete overview of the online broker’s commission and fee structure:
| Service | Fee | Notes |
|---|---|---|
| Stock commission | $9.99 for fewer than 150 trades per quarter $7.99 for 150 to 1,499 trades per quarter $6.99 for 1,500 and more trades per quarter |
|
| ETF commission | $9.99 for fewer than 150 trades per quarter $7.99 for 150 to 1,499 trades per quarter $6.99 for 1,500 and more trades per quarter |
More than 100 commission-free ETFs |
| Commission-free ETF short-term trading fee | $19.99; $15.99 for customers who place 150+ stock and options trades per quarter | 30-day holding period |
| Mutual funds | Transaction-fee: $19.99 Load funds: Load listed in prospectus |
More than 1,300 no-transaction fee mutual funds |
| Mutual fund short-term redemption fee | $49.99 | 90-day holding period, charged on redemptions or exchanges of no-load, no transaction fee funds |
| Options | Tiered commission, plus $0.75 per contract | |
| Options exercises and assignments | $19.99 | |
| Futures | $2.99 per contract, per side | Plus exchange and regulatory fees |
| Margin rates | Base rate is 4.14%, rates range from 3.89% to 8.44% | |
| Broker-assisted trades | $25 plus applicable commission | |
| Extended-hours trading | $0.005 per share | |
| Paper statements | $2, free for E-Trade Pro Elite customers | Electronic statements are free |
| Outbound full account transfer | $60 | |
| Outbound partial account transfer | $25 |
Arielle O’Shea is a staff writer at NerdWallet, a personal finance website. Email: aoshea@nerdwallet.com. Twitter: @arioshea.
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