More financial advisers are likely to offer exchange-traded funds now that TD Ameritrade is heating up the price wars by eliminating commissions on 101 ETFs.
“It’s difficult to make that transition to an ETF with a transaction fee from a mutual fund with no transaction fee,” Tom Lydon, founder of ETFTrends.com and president of Global Trends Investments, told The Wall Street Journal. “Not only advisers are using ETFs more, but also individual investors. They’re rolling up their sleeves and getting more involved in their portfolios. Now you don’t have that hurdle.”