Tag: Ally Financial
Posted on October 4, 2019
Schwab Cuts Commissions, TD Ameritrade Follows
Decades ago, Schwab led the revolution of reducing commissions on trades. High-tech startups, led by Robinhood, are now eliminating commissions altogether. Interactive Brokers slashed commissions on U.S. stocks and ETFs to zero last week. Schwab has responded in kind by announcing that it will cut all commissions on trades of U.S. stocks, ETFs, and options on October 7. TD Ameritrade and ETrade have both followed suit and cut the same commissions. The move rattled the prices of these companies’ shares. Schwab’s and Interactive Brokers’ share prices both fell over 9%, and TD Ameritrade’s, which relies more heavily on commission revenue, fell 25.8%. ETrade, who has kept commissions steady, saw its share price drop 17% on the day of the Schwab announcement.
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Posted on September 27, 2019
As the digital advice industry has grown, acquiring more customers and assets, providers have expanded their role from automated investment managers to digital bankers. A major component of this shift has been the offering of high-yield cash accounts. Betterment, Wealthfront, Ally, Personal Capital, Wealthsimple and SoFi offer these accounts, which have APYs of at least 1.80% and carry FDIC insurance. Personal Capital and SoFi accounts are FDIC insured up to $1.5M—six times the coverage of a savings account opened at a traditional bank. Wealthfront and Betterment offer $1M of FDIC insurance. Robos partner with numerous banks, take in users’ deposits, and spread those deposits across partner banks. This process allows high-yield cash accounts to provide insurance beyond the standard $250K.
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Posted on September 10, 2019
Top Performers*:
1-Year Trailing Top Performers
- Fidelity Go IRA – 6.55%
- TD Ameritrade IRA – 5.87%
- WiseBanyan IRA – 5.61%
2-Year Trailing Top Performers
- Fidelity Go IRA – 8.25%
- WiseBanyan IRA – 8.07%
- TD Ameritrade IRA – 7.45%
*Based on Total Portfolio Return above/below Normalized Benchmark
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Posted on September 4, 2019
After faltering at the end of last year, U.S. and global markets have returned to a period of strong growth in 2019, with the S&P 500 returning 4.30% in the second quarter. While this was considerably less than the first quarter’s return of 13.65%, due largely in part to markets rebounding sharply following a December selloff, the combined return marks the best first half-year performance for domestic markets since 1997. Many trends from the first quarter continued through the second quarter, as mid-cap continued its outperformance and growth once again outperformed value. Growth has experienced a multi-year dominance, outperforming value YTD, as well as over the trailing one-, two-, and three-year periods.
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