OMAHA, Neb.--(BUSINESS WIRE)--TD Ameritrade1 is the first U.S. retail broker dealer to enable investors to access equity markets all night long – filling a gap between research and action, and enabling the Company’s growing Asia-based client segment to trade the U.S. markets during their daytime. With this initial launch, qualified TD Ameritrade clients can buy or sell select ETFs from 8 p.m. ET Sunday to 8 p.m. ET Friday.
“This is a monumental first for our industry and retail investors,” said Steve Quirk, executive vice president of Trading and Education for TD Ameritrade. “People have busy lives; they want access to their finances anywhere, anytime, and on any device. Online trading made the markets available to anyone, mobile trading made the markets available from anywhere, and now 24-hour trading will make the markets available anytime. We’re focused on innovation that creates more value for investors and ultimately makes their lives – and our industry – better.”
The current market schedule leaves a gap between decision making and action. Nearly 70 percent of clients who use TD Ameritrade’s research and education resources do so outside of regular trading hours. Clients performing their research after market hours currently have to wait until the next day to transact based on their research findings. Asia-based investors interested in the U.S. markets must invest during U.S. daytime hours, not their own.
“Market-moving news frequently breaks overnight,” said Quirk. “During events like Brexit or the U.S. election, futures were the only product available to investors looking to reposition their portfolios as the markets moved after hours. Investors today expect the same on-demand access and convenience they’re used to with other online services. Technology has enabled many other industries, like retail for example, to allow people do their consumer research and act on it at the same time. We want to bring investing into the same realm.”
TD Ameritrade’s initial 24/5 trading offering includes 12 widely-held U.S.-listed ETFs including: FXI, SPY, EEM, GLD, SLV, DIA, UNG, TLT, IWM, QQQ, USO and SH. Trades must be placed as limit orders, allowing investors to buy or sell only at the price they specify. These securities were selected to provide access to a wide range of sectors. The Company intends to add other securities to the list over time.
Extended Hours Overnight (EXTO) orders are up to 24-hour continuous orders that expire at 8 p.m. ET every day. For example, an EXTO order placed at 2 a.m. ET Monday morning would be active immediately and remain active until 8 p.m. ET Monday night. A trade placed at 9 p.m. ET Monday night would be active immediately and remain active until 8 p.m. ET Tuesday night.
Eligible clients can access overnight trading via the thinkorswim platform and the TD Ameritrade Mobile Trader app by selecting EXTO in the order dropdown. Symbols available for EXTO are designated “EXTO Eligible” on the platform. To participate, clients should confirm their account is enabled for advanced features, which can be done through the client services tab on www.tdameritrade.com once logged in. A short step-by-step video is available here: https://youtu.be/sNQAqzlkNpw.
Extended hours trading is subject to unique rules, restrictions and risks, including lower liquidity and higher volatility. Extended hours trading is not available on market holidays.
About TD Ameritrade Holding Corporation
TD Ameritrade provides investing services and education to more than 11 million client accounts totaling more than $1 trillion in assets, and custodial services to more than 6,000 registered investment advisors. We are a leader in U.S. retail trading, executing more than 700,000 trades per day for our clients, nearly a quarter of which come from mobile devices. We have a proud history of innovation, dating back to our start in 1975, and today our team of 10,000-strong is committed to carrying it forward. Together, we are leveraging the latest in cutting edge technologies and one-on-one client care to transform lives, and investing, for the better. Learn more by visiting TD Ameritrade’s newsroom at www.amtd.com, or read our stories at Fresh Accounts.
1TD Ameritrade, Inc. (“TD Ameritrade”) is a broker-dealer subsidiary of TD Ameritrade Holding Corporation. Brokerage services provided by TD Ameritrade, Inc., member FINRA (www.FINRA.org) /SIPC (www.SIPC.org)