TD Ameritrade platform is a commonly used online stock broker. They market themselves as a one-stop shop for all your online investment needs. They offer investment tools, guidance, financial planning, and a full selection of investment products including stocks, bonds, ETFs, mutual funds, options, futures, and Forex.
TD Ameritrade Review Summary:
✅ Large variety of instruments
✅ 24/7 support
✅ Easy to use platform
✗ Some negative reviews (customer support)
Credibility and Client Ratings
TD Ameritrade is a highly credible online stock broker.
They put extensive time and effort into making themselves available to their investors, and they have been reviewed by several credible blogs and stock broker reviewers such as NerdWallet and Stock Brokers. However, this isn’t to say that the company doesn’t come with its own set of questionable reviews that can be found alongside the glowing research that suggests they’re credible.
Consumer Affairs shows a whopping 109 of 130 reviews as being negative – and TDAmeritrade only earns 1/5 stars. Most complaints essentially describe poor customer service and very little consultation with the investor before making snap decisions about the accounts an investor has open.
Costs and Fees
Unlike several other online stock brokers in the big-name full-service broker category, TD Ameritrade has unusually high fees. Their $9.99 rate for stocks and exchange-traded funds is fairly high, and their $44.99 broker-assisted trades are also higher than most other comparable brokerage firms. They also have a $75 outgoing transfer fee.
On the other hand, TD Ameritrade has a $0 account minimum, and they have no annual or inactivity fees. In this case, you truly pay for what you get. TD-Ameritrade makes so many different services available to their clients that their costs can, in some cases, be justified. However, if you’re not an investor who is looking for an extensive amount of advice, financial planning, guidance, etc. this may not be the online broker for you.
This is one aspect that TD Ameritrade has hit out of the park. They are available 24/7 via phone or email, and they have many branch locations for in-person assistance. According to Stock Brokers’ phone test, they only waited for longer than one minute to speak with a customer service representative one time. Email tests went equally well, as all emails were returned within several hours.
However, if all of the negative reviews on Consumer Affairs are to be believed, TD Ameritrade’s customer service has been known to fall short in some instances. For example, there are many complaints about the phone customer service representatives and their lack of knowledge about the given situation an investor is facing, or a problem they’re having with their portfolio and how it’s being managed.
TD Ameritrade uses research and data from Morningstar, a credible independent investment research firm, to fuel their mutual fund selection process. This is positive because Morningstar works specially with TD Ameritrade to put together a quarterly premier list only for TD Ameritrade clients that comes with no-transaction-fee mutual funds in 45 different fund categories. They also offer their clients several information sources to do their own research, promoting an educated environment for their investors.
Additionally, they offer a wide variety of investment opportunities. Their incredibly full selection of products includes stocks, bonds, mutual funds, Forex, futures, ETFs, and options. They also have 100+ commission-free ETFs, as well as almost 4,000 no-transaction-fee mutual funds. This offers their clients a range of choices for their portfolio, and more choices usually means smarter investing.
Ease of Use
If TD Ameritrade impresses potential clients with their wide range of service offerings and 24/7 support, they will continue to impress with their incredible ease of use. TD Ameritrade offers three different trading platform – all designed for different levels of investors. TD Ameritrade login platform is very convenient and easy to understand. Their Web Platform is the perfect trading platform for beginners, their Trade Architect is a little more hands on for those who are ready to roll up their sleeves and get involved with their investing, and their thinkorswim is a professional-level trading platform. Not only do they offer these three distinct platforms, they also offer mobile trading with their TDAmeritrade app, which increases clients’ ability to manage their portfolio on the go.
Special Plans – Investing for College and Retirement Planning
If you are planning your retirement or want to invest small amounts of money for college or any educational goal, TD Ameritrade may be the right place for you. TD Ameritrade offer unique investing plan for these goals.
Their 529 plan can help you save money for educational purposes and gain tax benefits. This plan has no minimum annual contribution. Of course you can use TD Ameritrade mobile app to follow your investments as mentioned before.
It is also easy to create a retirement plan with TD Ameritrade. You can easily open an IRA using their IRA guide. Moreover, they help find the right investment for you, which is customised for your retirement needs, although sometimes they have their own agenda.
TD Ameritrade is an excellent online stock broker service for the investor who is ready to get serious about their investment portfolio. Their constant availability for support, multiple tools for investors to research and improve their investment decisions, and more make TD Ameritrade a great all-in-one online stock broker. However, for a beginning investor who isn’t looking for extensive guidance, or who is only looking to invest on a here-and-there basis and doesn’t need a ton of extra support, TD Ameritrade may not be the online stock broker of choice due to their high fees.