The whole game has been changed!

[imnobody]

https://twitter.com/i/web/status/1179157797927358464

 

[horserider]

Been trading free on Firstrade for a while now. Both stocks and options. No commissions.
Get a free stock when you follow the referral link. I get a free stock also. We both win.
https://share.firstrade.com/BRADLEYNH2O

 

[MBF]

https://twitter.com/i/web/status/1179157797927358464

Here I was trying to figure out how to use TOS for entries and Schwab to execute. Okay im so flipping happy!

 

[BenTen]

Thanks for posting this. Exciting news!

 

[netarchitech]

Sounds great, but...

How does AMTD make up for the revenue shortfall? Sell Order Flow? Slash Support?

FYI, according to news reports, you can blame SCHW...AMTD had to react and ended up down 25.76% today...

 

[imnobody]

They just put small brokers like RH n Webull into check. Only selling point they had was no commissions. As much as I see your point and don't deny it whatsoever, these big boys like TD are going to strangle them into submission unless they're able to innovate very quickly. At this point the only thing they offer is more day trades to people on PTD. This is competition at its finest and it's gonna get ugly but they're either about to innovate or die.

 

[netarchitech]

This is competition at its finest and it's gonna get ugly but they're either about to innovate or die.

Good point...I like it when companies have to innovate or die

 

[imnobody]

Absolutely, as you should. We either get a better service from these guys or they get bought out or die, but we go commission free across the board because they've made it the medium to traders/investors and shown how effective and influential it is. The beauty of a free market is what's happening before our eyes. Shout out to RH and the likes for essentially forcing these guys to make this move, seriously. Adapt or die.

 

[TrueDepth]

ThinkorSwim needs to be profitable and make money, or the platform will start to degrade and suffer lag. I am not sure this is good news.

 

[imnobody]

ThinkorSwim needs to be profitable and make money, or the platform will start to degrade and suffer lag. I am not sure this is good news.

Well, yeah maybe, either way we're going to see lol. I think it's good overall. You have to really think though, would they make such a leap as this w/o thinking about something like that first. Surely they're not that oblivious to at least entertain and hopefully justify the short-mid term ramifications of such an execution as this move.

 

[netarchitech]

ThinkorSwim needs to be profitable and make money, or the platform will start to degrade and suffer lag...

Ultimately, this is my concern. I've invested years in learning and developing the solutions I need in TOS. I opened an account with another broker as a backup to see if I could replicate the thinkscripts I have come to rely on. While their platforms' programming language is more robust than Thinkscript, I've only been able to convert about half so far and they don't come close to the functionality of my Thinkscripts...

With a significant reduction in revenue, I think it will only be a matter of time before AMTD starts cutting costs wherever they can. I imagine the costly server farms required to run TOS are an area where cuts will potentially be made. Support is another area that will potentially come under the knife...

I am not sure this is good news.

I agree. It isn't. AMTD and parent TD made a substantial investment in TOS. Zero commissions is not something they could have foreseen back in 2009. Reacting this way to the SCHW move is not dealing from a position of strength. There will be losers in this race to the bottom. I sincerely hope TOS is not one of the casualties...

 

[MBF]

Sounds great, but...

How does AMTD make up for the revenue shortfall? Sell Order Flow? Slash Support?

FYI, according to news reports, you can blame SCHW...AMTD had to react and ended up down 25.76% today...

I don’t know about that. TD can’t just all of a sudden say, “oh shoot, hurry get on Twitter and tell them no commissions either”. This stuff takes time. I’m sure both companies knew.
Pull up the TDAmeritrade 606 report on the SEC and that should answer your questions on revenue.

 

[netarchitech]

Pull up the TDAmeritrade 606 report on the SEC and that should answer your questions on revenue.

Thanks for the tip... Unfortunately, there aren't any 606's on file with the SEC for AMTD that I can see

 

[mc01439]

No commission trading has been coming for some time. I have seen stories about this for a number of years.

I would not worry about the broker they will always get their cut.

 

[codydog]

https://www.tdameritrade.com/retail-en_us/resources/pdf/AMTD2055.pdf

 

[netarchitech]

@codydog Thanks

 

[markos]

https://seekingalpha.com/news/3503251-td-ameritrade-follows-schwab-going-0-trades
220-240m per quarter guestimate.
Erns in 19 days - update then

 

[netarchitech]

@markos Thanks

I hope we don't end up with "Lite" services like IBKR...

 

[markos]

From a former Schwab Exec.

https://seekingalpha.com/article/4294646-schwab-td-ameritrade-new-0-percent-commission-world

 

[netarchitech]

@markos Is that a referral link? If so, is it done within XenForo? Just curious... Thanks for article