Td Ameritrade Affirms Outlook For Year After Commission Cut

OMAHA, Neb. (AP) — Online brokerage TD Ameritrade is maintaining its earnings forecast for is current fiscal year, despite cutting the fee it charges on customer's trades. The Omaha, Nebraska-based company said Wednesday that higher interest rates and growth in the assets it holds for clients will more than offset cutting its trading commission to $6.95 from $9.95. Profits might be higher this year if the company were not investing in future growth and planning to acquire rival Scottrade. TD Ameritrade CEO Tim Hockey said that his company is prepared if the commission war escalates further, but he also believes Ameritrade's trading platform is worth more.

 

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