ST. LOUIS--(BUSINESS WIRE)--Online investment firm Scottrade ranks second overall and performs particularly well in the study categories of trading charges and fees, and branch customer service, according to J.D. Power and Associates’ 2011 U.S. Self-Directed Investor Satisfaction StudySM.
The next closest competitor in the trading and fees category comes in 38 index points behind Scottrade. This category measured customer satisfaction in three areas:
- Clarity of explanation of fees/trading
- Fairness of trading charges
- Reasonableness of the account/maintenance fees
Scottrade also scored highest in the branch customer service category, which is measured by customer satisfaction in four areas:
- Promptness of being served
- Courtesy of the customer service representative
- Knowledge of customer service representative
- Customer service representatives’ concern of your needs
Scottrade was first recognized for highest online investor satisfaction in 2001 and has topped the list eight times since then.
“While winning a ninth J.D. Power award would have been fantastic news, these study results demonstrate that our focused efforts to provide products, tools and resources that deliver the best value and customer service in the industry has been recognized by our customers,” said Scottrade’s Chief Executive and Founder Rodger Riney. “We look forward to a future in which we continue to assist investors in reaching their goals by growing our business, expanding our reach and continuing to provide fast and reliable trading tools.”
This year’s study found satisfaction with trading charges and fees averaged 703 on a 1,000 point scale in 2011, a decrease of 30 points from 733 in 2010. The decline, J.D. Power said, is largely driven by a lack of understanding of trading charges and fees.
According to Scottrade, it has maintained its straightforward $7 online trades since instituting them in 1998, just two years after Scottrade became one of the first investment companies to offer online trading. Since the firm was founded in 1980, it has never charged maintenance, inactivity or other nuisance fees. During the past year, Scottrade expanded its educational resources online and within its 505 nationwide branch offices, and updated its easy-to-use trading tools to help investors find opportunities in the market more quickly.
“In today’s uncertain economy, it is more important than ever for investors to have confidence in their financial services firms,” Riney said. “Since Scottrade opened its doors 31 years ago, we have continuously worked to provide our customers with fast and reliable trading services at a fair price without charging any nuisance fees. Every day, we are relentless in looking for ways to improve our online trading tools and our educational offerings to make sure we are providing the best customer experience possible.”
Scottrade ranked second in self-directed satisfaction with a total satisfaction score of 804, which is 40 points higher than the industry average score of 764. This year’s study is based on responses from 4,274 respondents who make all of their investment decisions without the counsel of an investment advisor. The study was fielded in March 2011.
About Scottrade, Inc.
Investors who enjoy online stock trading will find value and personalized customer service at online investing firm Scottrade, Inc. Founded in 1980, Scottrade enables customers to learn about online trading tools, stock market research and how to buy stocks online, many at just $7 per trade. With more than 500 nationwide branch offices, Scottrade has the largest branch network among online brokerage firms. To learn more about one of FORTUNE magazine’s “100 Best Companies to Work For,” visit about.scottrade.com or www.scottrade.com and follow us on Facebook, Twitter, YouTube and Flickr. Member FINRA/SIPC.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a global marketing information services company operating in key business sectors including market research, forecasting, performance improvement, Web intelligence and customer satisfaction. The company's quality and satisfaction measurements are based on responses from millions of consumers annually. For more information on car reviews and ratings, car insurance, health insurance, cell phone ratings, and more, please visit JDPower.com. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.
*Online market and limit stock trades are just $7 for stocks priced $1 and above.