Part 6/10:
Evolving Investment Dynamics: Free Stock Trades
The world of stock trading has also felt the impact of these financial disruptors. Once dominated by commissions that could reach upwards of $10 or more per trade, online brokerages are now competing in a race to offer free trades. Companies like Robinhood have led this charge, leading incumbents like TD Ameritrade to lower their fees in a bid to keep clients.
This shift reflects the competitive pressure traditional firms face: as online brokers evolve and offer incentives like free trades for new customers, the concept of a zero-commission trade could become the norm. This transformation not only represents a challenge to business models but pushes investors to consider what services they value beyond trading costs.