E TRADE Financial Corporation (ETFC) Stock Is Counting on Investors

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In addition, E TRADE Financial Corporation (NASDAQ:ETFC) has largely missed out on some of the favorable trends in the industry. TD Ameritrade Holding Corp. (NYSE:AMTD) and Charles Schwab Corp (NYSE:SCHW) have launched extensive commission-free ETF platforms to draw in new customers, joining rivals Fidelity and Vanguard. E*TRADE has a commission-free ETF platform, but its lineup of WisdomTree Investments, Inc. (NASDAQ:WETF), GlobalX, and db-X funds doesn’t carry nearly the popularity of the iShares, SPDR, and Vanguard funds that most of E*TRADE’s peers focus on in their platforms.

Be careful
E TRADE Financial Corporation (NASDAQ:ETFC) stock has already reflected the expectation that all of these negatives will reverse themselves in the near future. Until it proves its ability to follow through on those positive views, E*TRADE doesn’t look like a good bet from a risk-reward standpoint at this point.

The article E*TRADE Stock Is Counting on Investors originally appeared on Fool.com and is written by Dan Caplinger.

Fool contributor Dan Caplinger has no position in any stocks mentioned. You can follow him on Twitter @DanCaplinger. The Motley Fool recommends TD Ameritrade.

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