(October 11 – 12:10 ET) – Online broker Ameritrade has launched Ameritrade Institutional Services, a new service that allows planners and advisors to place online trades for clients.
The new service brings the cost effectiveness of online brokerage to clients of independent advisors in the U.S., signalling how the independent business may evolve in Canada. With the new service, advisors can offer US$8 market orders and US$13 stop or limit orders.
Through AIS, financial planners and advisors are able to manage their customers’ accounts. Advisors may conduct either single account transactions or block trades, and AIS will not require advisors to maintain a minimum level of assets or average account value.
Jennifer Faircloth, with AIS operations, says Ameritrade Institutional Services is not currently
available to Canadian dealers.
AIS interfaces with most major professional planner software tools. AIS is also offering free Windows-based account management software for financial planners and advisors. Clients can get daily account statements online through Ameritrade’s regular Web site.
“Traditionally, financial planners and advisors have had to pay significant fees to institutional brokerages for their clients’ transactions,” said Michael Anderson, general manager of Ameritrade Institutional Services. “AIS is able to provide better value and increased ease of use to financial planners and advisors, helping them to grow their businesses and expand their services.”