TD Ameritrade calms the RIA Twitter storm but not questions about the spreads on the ETFs replacing the super-liquid Vanguard and Core iShares

The additional 60-day extension lets advisors breathe but even Wall Street analysts wonder just how far TD Ameritrade should go in inflaming 'consternation' of 'golden goose' RIAs

Author Lisa Shidler October 27, 2017 at 12:45 AM

5 Comments

David LaValle: There are so many factors. Some of them we can be very perceptive about and others are more difficult to estimate.

ETFs

RIA Custodians

Tom Nally

Tom Lydon

Michael Kitces

Peter Mallouk

Tim Hockey

TD Ameritrade

Vanguard Group

Nerd's Eye View

Creative Planning Advisor Services

David LaValle

Patrick O'Shaughnessy

State Street Global Advisors

ETF Insights

Lawwire

October 27, 2017 — 6:43 PM

Unbelievable arrogrance. And huge screw up by TD. And scramble to recover is very defensive. Big ding to culture and relationship with RIA community. Pity.

Ben Grossbaum

October 27, 2017 — 6:53 PM

So RIA models sell Vanguard take the capital gains tax loss and switch into State? TD not concerned with Fiduciary implications? RIA on your own, baby?

Stephen Winks

October 27, 2017 — 8:30 PM

The RIA model and brokerage model are on a collision course. The treatment of trade execution as a cost center to be minimized and the technical support of expert fiduciary standing are not possible in conventional brokerage and represent a wonderful opportunity for transformational innovation which will reorder the financial services industry. There are several large scale RIAs with the potential of becoming a national RIA with a far lower cost, preemptive .value proposition affording expert fiduciary standing authenticated back to statutory fiduciary duty. SCW

Vang Schnorkelman

October 30, 2017 — 3:31 PM

Just use mutual funds folks. No spreads.

Stephen Winks

October 30, 2017 — 9:56 PM

Vang, Mutual funds are the least appropriate investment vehicle for portfolio construction, they are very expensive, make it impossible to manage real time client holdings data, are tax inefficient all of which are important determinants of professional standing in advisory services. SCW

Related Moves

TD Ameritrade's board suddenly pushes out Tim Hockey after his big misread of RIAs; Tom Bradley name-dropped as successor

The CEO broke the TD promise never to compete with RIAs, took it back and got sent packing

July 23, 2019 at 4:30 AM

Adam Birenbaum's calls 'Colony' deal -- to create $100-billion super-RIA -- a 'mandate,' but it's also likely a 'prelude' to larger strategic objective, M&A expert says

The 46-year-old CEO of Buckingham Wealth's 'long game' approach keeps paying dividends; it comes down to his approach to relationships

May 7, 2024 at 5:04 AM

During CEO Tim Buckley's waning months, Vanguard is imposing fees that may affect its older investors, while hand-off to Ascensus of certain IRA and 401(k) products also comes with some sticker shock

The Malvern, Pa., giant transferred SEP IRA and 401(k) assets to its recordkeeper, which immediately imposed new fees, while Vanguard's new pricing schedule includes a commission to phone in Vanguard fund sales or purchases

May 2, 2024 at 1:27 AM

Alan Moore can't catch a break; AdvicePay CEO exits after seven months, adding job he hoped to escape back on top of XYPN role; search on for new AdvicePay president

The job will be step below CEO, and new hire must have affinity for both touchy-feely culture and aggressive growth in Montana's wide open expanses

March 9, 2024 at 2:58 AM

See more related moves

Mentioned in this article:

TD Ameritrade
Asset Custodian
Top Executive: Tom Nally

Kitces.com
Consulting Firm
Top Executive: Michael Kitces

Creative Planning
RIA Serving Other RIAs
Top Executive: Peter Mallouk, JD, MBA, CFP®