facebookThough TD Ameritrade now offer $0 commission, what are the recurring fees that are to be paid for using their services? - Seedly

Though TD Ameritrade now offer $0 commission, what are the recurring fees that are to be paid for using their services?

As seen on their site, there are fees such as Section 31" Fee , Hard to Borrow Fee , Stock Option Exercise/Assignment (per strike), Reorg and Tender Offers (per item) and etc found on https://www.tdameritrade.com.sg/why-td-ameritra...

I wonder how much does this eats into profits from investing US ETF via TD?

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Nicholas Beh

17 Aug 2020

Student Ambassador 2020/21 at Seedly

These fees are in line with the rest of the industry. TD may not be charging these fees to profit themselves, but rather due to exchange or regulatory requirements. You are unlikely to encounter most of the fees, such as Hard to Borrow fee which is for borrowing securities (e.g. to short), or Reg T extension/Forced Sell-out (as long as you don't use margin).

Another thing you should consider is the 30% withholding tax on US equities. You may want to consider Irish-domiciled ETFs which only have 15% withholding tax.

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