Market Drop Highlights Brokerage Differences

[gayl]

No issue logging onto or calling Active Trader line at Schwab. Reps not as chatty as before but then I had a specific question and just needed a rapid answer. And both of them (yes I called twice) were swamped. Still polite, thorough, questions addressed

 

[Ian S]

Ameritrade has a far better approach. Let an investor buy what they want to buy, but don't allow it to be bought on margin (100% maintenance requirement).

I agree. That's the best approach IMHO. I can't help but think the difference in approaches may be due to the different origins of Fidelity and TDAmeritrade: the former is mainly a mutual fund company with brokerage services tacked on while the latter has its origins in discount brokerage services (Ameritrade and Waterhouse.) This month TDAmeritrade will be adding Scottrade customers as it completes its takeover.