Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

about.etrade.com

Post reply on HN
Print view View original

61–70 of 73 posts

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#61

Post by jacurtis »

ac29 wrote: post #42
fourstar wrote: post #36

Earlier quoted context omitted.

I think this logic is hilarious. You really believe that the “millennials and zoomers” actually have enough capital to compete with these traditional brokerages? Robinhood doesn’t event pay out dividends. You’re overselling it. Their education for options is basic at best. PLUS anyone who is serious about playing options should actually invest time in learning it. If anything, its cleaner ui makes it easier for said…

> Robinhood doesn’t event pay out dividends. Hmm? Of course they pay out dividends. I don't even see how it would be legal for a broker to keep a customers dividends. https://support.robinhood.com/hc/en-us/articles/360001227206...

Yes, can confirm that they pay dividends. I use Robin Hood and get dividends on several stocks. I’d imagine it would be illegal to withhold dividends.

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#62

Post by pg_is_a_butt »

ummonk wrote: post #43

If you’re not paying for it, you’re the product. In this case they’re selling your order flow.

So I guess the 6 figures I gave them wasn't enough? Holding money is very profitable. Some genius at the fed decided it was smart to let them lend out 10x the amount of deposits... invent money out of thin air. For every $1 you give them, they are allowed to pretend they have $9 for themselves. It's a rigged joke.

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#63

Post by kmonsen »

omarhaneef wrote: post #12

Maybe all of you read every word Matt Levine writes as I do, but in case you don't, here is his explanation: https://www.bloomberg.com/opinion/articles/2019-10-02/the-tr...

It's great written and very relevant. I did find the second half where he discusses wework and how to short unicorns more interesting (answer you start your own if you think money is too loose).

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#64

Post by knadh »

We've been doing $0 broking in India for a while now. Nithin (founder) recently shared his perspective[1] on this, albeit largely in the Indian context.

TLDR: While going $0 was long time coming, US brokers have other avenues of earning, unlike their Indian counterparts.

[1] https://zerodha.com/z-connect/rainmatter/the-race-to-zero-ca...

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#65

Post by blub »

k0stas wrote: post #48

Required reading about discount brokerage revenue streams from patio11: https://www.kalzumeus.com/2019/6/26/how-brokerages-make-mone... .

I found Levine's article which was posted by someone else shorter and clearer.

Had to give up 1/4th of the article in for this one, it just goes on and on for something that can be summarized in two paragraphs.

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#66

Post by 1123581321 »

perl4ever wrote: post #59
1123581321 wrote: post #54

Earlier quoted context omitted.

Are you saying that as a Bloomberg subscriber?

I think his interests are not exactly in alignment with Bloomberg...that's why you can subscribe to his column for free, without paying for the rest of Bloomberg. I have a feeling it won't last forever.

I suppose. I see his articles as paywalled but I take it there is another way to them. I could certainly see him successfully moving to something like Substack.

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#67

Post by Youden »

benmanns wrote: post #5

Does anyone (outside Robinhood) do 0 commission options trades?

There are a bunch of places that do 0 commission but they usually charge a separate fee for the contract (which seems to universally be treated as separate from commission).

Aside from the options others have mentioned, there are a bunch of brokerages that charge a monthly fee and give you unlimited trades. These are targeted at very active traders.

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#68

Post by 0898 »

omarhaneef wrote: post #12

Maybe all of you read every word Matt Levine writes as I do, but in case you don't, here is his explanation: https://www.bloomberg.com/opinion/articles/2019-10-02/the-tr...

His style is unique, particularly for a mainstream title like Bloomberg. I’d love to read a dissection of it.

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#69

Post by qwhelan »

1123581321 wrote: post #66
perl4ever wrote: post #59

Earlier quoted context omitted.

I think his interests are not exactly in alignment with Bloomberg...that's why you can subscribe to his column for free, without paying for the rest of Bloomberg. I have a feeling it won't last forever.

I suppose. I see his articles as paywalled but I take it there is another way to them. I could certainly see him successfully moving to something like Substack.

There's no paywall if you sign up for his newsletter: http://link.mail.bloombergbusiness.com/join/4wm/moneystuff-s...

Re: E*Trade Announces $0 Base Commissions for Online Stock, ETF, and Options Trades

#70

Post by colinj2 »

ianhawes wrote: post #49
justboxing wrote: post #25

E*Trade, Schwab, and pretty much every other brokerage is playing catchup with RobinHood, which has had free trades on stocks and options from the very beginning. This has caused a steady exodus of users on these commission charging platforms, crossing over to RH. It's especially pronounced with Millenials and Gen-Z / "Post millenials". You may not always get the best pricing, and also there are no market trades as o…

I don’t disagree that Robinhood has a better UI for casual users, but the rest of their UX is awful. Trades take considerably longer to execute than on other platforms. They tend to hide things that are “advanced”, even when it’s important for a trader to learn to use them (for example, the default Buy type is a Market Order instead of a Limit). Most brokers have protections in place so you don’t shoot yourself in th…

I agree RH isn’t a power tool like other but I know several people who got their feet wet with it and are now considering moving.

Shameless plug for my employer TradeStation. We just launched zero commission Friday[0]. I’d be interested to hear a critique of our web/mobile ui. It’s more trader oriented but I’m not an expert

[0] https://www.tradestation.com/promo/tsgo/

Post reply on HN