TD Ameritrade's no-commission ETF list to change
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According to user reports on Bogleheads, the no-commission ETF list on TD Ameritrade will change in November. The new list is expected to be out on 10/17 and Vanguard ETFs are supposedly removed.
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Thanks for sharing this, as I have multiple accounts with TDA and also use Vanguard ETFs through them.
Here’s the Bogleheads thread, for folks interested:
https://www.bogleheads.org/forum/viewtopic.php?f=10&t=229801
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Feels good to be back amongst FWF folks.
Has anyone lately had any luck with the Schwab promo enticing Scottrade customers with free trades for X years , or getting Scottrade to match the Schwab offer?
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The list of new ETF’s and ones being dropped are referenced at the bottom of this article:
http://www.barrons.com/articles/td-ameritrade-thats-an-enhancement-1508256156
It is almost a complete turnover. The only holdovers on the list are 7 iShares ETFs, 7 SPDR ETFs and 1 WisdomTree ETF.
For the ones being dropped, you can still trade them commission free through Nov 20.
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Deadline extended to Jan 19, 2018
Minor consolation, but as article stated, you now have a little more flexibility in terms of which tax year you realize your gains/losses if you trade out of the old ETFs.
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Hmm, what would you do if you bought VWO and it’s losing money at 6% after the dividend reinvestments, sell it while it’s free, buy something else or hold on to it and sell later and pay the commissions?
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@almighty1 If the position is small, then probably sell it and rotate into the comparable new commission free ETF. But be careful that you do not trigger the short term trading fee if any of the shares are held less than 30 days.
If the position is large enough, then the $6.95 commission is negligible as the market value for the position could fluctuate more than that on any given day.
I, myself (taxable account), am not getting out of the Vanguard positions. However, I have advised a relative (Roth IRA) to either consolidate their small Vanguard positions into one Vanguard fund, or rotate into the new commission free ETFs.
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@wmnetid - cost was $6413.85 for 135 shares on December 29, 2010 and the loss now is $446.85 at near 7%. I have actually had it for years. Seems like Vanguard’s Emerging markets loses money compared to iShares Emerging Markets (EEM) held at Fidelity for example. I think my concern is more I have to do the cost basis for another security for taxes if I sold. So actually, the non-Vanguard funds may actually perform better and it seems like it is easier to recover the losses and instead turn it to gains elsewhere.
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some article about EEM vs VWO = http://www.etf.com/sections/features-and-news/eem-vs-vwo-country-tilts-mean-little
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The thing is I seem to have better luck with the free ETFs offered by Schwab and Fidelity vs the ones offered at TD Ameritrade.
