Merrill lynch trading brokerage account fees
The ascent of the online brokerages was cut short by the burst of the dot-com bubble of , when values of many of the most heavily traded NASDAQ stocks plummeted. However, in the wake of the dot-com crash, ' Dot-com company ' and ' day trading ' were popularly viewed as causes of the NASDAQ's melt-down. While the original online brokers faded from the landscape in the early 21st century, their legacy of radically lowering costs and empowering individual investors with online education and financial tools continues to be dominant driver of customer satisfaction in the investment industry.
From Wikipedia, the free encyclopedia. Accessed 13 September Accessed 18 September Accessed 12 September Carey, "Beyond Cool" , Barrons , March 16, Trade Execution" , U. Alex Tarquinio, " Bull charges discount online " , "Forbes , November 27, Accessed 15 September Accessed 14 September Having completed this analysis, we believe you would be better served by a firm or firms that can meet your comprehensive wealth and investment management needs.
The letter goes on to offer two options: Transfer the accounts to another financial institution 2. Have the assets distributed to you. Not all US expat clients of Merrill Lynch are getting these letters, only those whose accounts are below a certain threshold.
Basically Merrill Lynch cannot be bothered to do the reporting and due diligence necessary to maintain these accounts even for people who have sometimes been their clients for many years and have paid them thousands or even tens of thousands in commissions and fees over those years. The two options in the letter are easier said than done. The second option may not be very attractive if it is a tax-deferred account like an IRA because there may be substantial tax and possibly early withdrawal penalties should the money simply be distributed.
The first option may not be so easy either because there are fewer and fewer US brokerage firms willing to deal with American expats. Charles Schwab recently sent a letter to their US expat clients in five countries that their accounts would be closed, and other US brokerage firms have varying policies with respect to accommodating Americans living outside the USA. So what can you do if you have received this letter or a similar one from another brokerage firm? The best solution is the first option that Merrill Lynch suggests because if you can find a US brokerage firm or investment advisor who will work with you then the accounts can simply be transferred electronically without tax consequences and without having to sell the underlying investments.
The key though is to find a broker or advisor that specializes in US expatriate clients because otherwise you risk having to go through the process again at some point in the future when maybe there will be even fewer options available. The fact is that there are maybe three or four US firms that say they specialize in dealing with US expatriate clients but for most of them these clients do not constitute the majority of their business.
If investment management is important to you, then you should look for a firm where your investments will be managed or advised by a Chartered Financial Analyst CFA. This designation is the most widely accepted portfolio manager designation in the world, and the only global portfolio management credential. This denotes a Certified Financial PlannerTM, which is the most widely accepted, and again the only global, financial planning designation.
It may also be important to you whether the investment accounts offered are multiple currency and whether money can be wired in and out in non-US currency and exchanged at a good rate if you spend your money in something other than US Dollars.
Also, does the investment account offer access to non-US investment markets and are the trading fees competitive? Many brokers advertise non-US market access but placing trades on non-US exchanges carries a hefty fee or currency conversion cost. If you are a non-US resident, international investments may be an important part of your portfolio.