Key Takeaways

TD Ameritrade has expanded its commission-free ETF program

Advisors and investors now have access to more than 550 commission-free ETFs

Broad range of asset classes, sectors, and strategies represented

It’s said you can’t have too much of a good thing. So if you liked 314, how does more than 550 sound? That’s how many commission-free exchange-traded funds (ETFs) TD Ameritrade offers as of June 3, 2019.

The expansion to 569 from the previous 314 means TD Ameritrade now offers access to one of the largest and most diverse selections of nonproprietary, commission-free ETFs in the industry. And it’s not just the number that matters. It’s also the breadth and depth. The expanded lineup adds 12 new providers and covers an additional 13 Morningstar categories to offer more choices. In total, investors can now choose from 21 providers covering around 90 Morningstar categories.

“We’re pleased to offer our clients a larger selection of commission-free ETFs, and we’re particularly excited about the broad range of strategies, sectors, and asset classes available without a commission,” said Eileen Norton, director of investment solutions at TD Ameritrade Institutional. “It doesn’t end here. We’ll continue to innovate and expand the ETF Market Center and commission-free program going forward as part of our constant efforts to improve the investing experience for clients.”

New offerings include more municipals, commodities, index-tracking, countries, single-currency, sector, asset allocation, and low-cost core ETFs. Plus, advisors and investors can access actively managed ETFs using long-short smart beta and environmental social governance (ESG) strategies.

Why offer so many ETFs on a commission-free basis?

“We’re committed to providing our clients with access to a robust suite of commission-free products through the ETF Market Center,” said Keith Denerstein, director of investment products and guidance at TD Ameritrade. “With a wide range of commission-free ETFs to choose from and industry-leading research tools and analysis, we’re helping our clients build portfolios that meet their financial needs.”

Get access to 550+ commission-free ETFs.*

What Is an ETF?

An exchange-traded fund (ETF) is listed on an exchange and can be traded like a stock, allowing investors to buy or sell shares in the collective performance of an entire stock or bond portfolio or an index as a single security. ETFs are subject to risks similar to those of stocks, including short selling and margin account maintenance.

ETFs are baskets of securities that typically track a sector-specific, country-specific, or a narrow- or broad-market index and are thus considered to be passively managed. (This means that, in most cases, someone isn’t actively choosing which stocks to buy and sell.) They’re listed on exchanges just like stock, so you can conveniently trade them through your brokerage account. Keep in mind, though, that the risks you face when trading equities are the same risks you face when trading ETFs.

You can also learn more by reading our side-by-side comparison of ETFs and mutual funds.

Industry-wide, the U.S. ETF market surged to $3.4 trillion across 1,996 ETFs at the end of 2018, a more than tenfold increase from $237 billion across 157 ETFs in 2004, according to research firm ETFGI.

Where to Find ETFs

Ready to start your search for the ETFs that best fit you? TD Ameritrade clients can start with the TD Ameritrade ETF Market Center, which provides a broad selection of ETF research tools and third-party market insights and analyses. The ETF Market Center is also now home to a list of more than 550 commission-free ETFs, which can provide you with a wide range of potentially low-cost investment opportunities.

Investing Basics: ETFs
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