E*TRADE

What E*TRADE does

E*TRADE from Morgan Stanley is a US-focused digital brokerage and banking platform operated as a wholly-owned subsidiary of Morgan Stanley (NYSE: MS), following Morgan Stanley's 2020 acquisition valued at approximately $13 billion. The platform serves self-directed retail investors, active and professional traders, retirement savers, banking customers, and stock plan participants through a multi-product architecture built around two trading front-ends (the E*TRADE Platform for general investors and Power E*TRADE Platform for active traders), a banking suite from Morgan Stanley Private Bank, N.A. (Premium Savings, Max-Rate Checking, CDs, Line of Credit), the Core Portfolios robo-advisor, retirement accounts, Morgan Stanley at Work stock plan administration, and a recently added cryptocurrency trading offering powered by Zero Hash. The technology stack integrates proprietary trading interfaces with third-party infrastructure (Zero Hash for crypto custody and execution, Yodlee for Total Wealth View account aggregation, Covr for insurance distribution), and the platform is supported by SIPC membership through Morgan Stanley Smith Barney LLC and FDIC insurance on banking products.

The business model is multi-stream and transaction- plus spread-driven. Core US-listed stocks, ETFs, and mutual funds trade commission-free, while monetization comes from options contract fees ($0.65 standard, $0.50 for 30+ trades/quarter), futures contract fees ($1.50 per side), bond transaction fees ($1 per bond), crypto commissions (0.50%), payment for order flow on equities and options, a 0.30% annual advisory fee on Core Portfolios AUM, and net interest margin on banking deposits. Promotional customer acquisition incentives include up to $1,500 for new brokerage accounts and $400 for new Premium Savings Accounts.

The platform operates exclusively within the United States, with explicit restrictions on non-US residents, and is distributed primarily through direct-to-consumer digital channels (self-serve online account opening, mobile apps, phone support, mail-in applications) supplemented by one-on-one guidance from Morgan Stanley Financial Advisors for higher-touch segments. Brand equity is a meaningful asset: Power E*TRADE Web has held the #1 Web Trading Platform ranking from StockBrokers.com for 14 consecutive years as of the 2026 Annual Awards, with 15 Best in Class distinctions, and the Premium Savings Account has been named Best Savings Account for Investors by Buy Side from the Wall Street Journal for three consecutive years.

Name

E*TRADE

Legal name

Morgan Stanley Smith Barney LLC

Website

https://us.etrade.com

Company type

Private

Founded year

1982

Operating status

Operating

Headcount range

1,001–5,000 employees

Short description

E*TRADE from Morgan Stanley is a US digital brokerage and banking platform serving self-directed retail investors, active traders, and banking customers. It offers commission-free trading, robo-advisor, crypto, retirement, and FDIC-insured banking products under Morgan Stanley ownership.

Ownership category

akta.pro rank

Product category

Retail Online Brokerage

NAICS

Investment Banking and Securities Intermediation (52315), Securities and Commodity Contracts Intermediation and Brokerage (5231), Portfolio Management and Investment Advice (523940), Commodity Contracts Intermediation (52316)

SIC

Security Brokers, Dealers & Flotation Companies (6211), Security & Commodity Brokers, Dealers, Exchanges & Services (6200), Finance Services (6199)

akta.pro primary industry

Digital Brokerage & Self-Directed Investing Platforms (FSAGAEAC)

akta.pro secondary industries

Discount & Online Retail Brokerage (FSAEACAB), Equities Brokerage (FSAEACAH)

Keywords

• Retail online brokerage
• Self-directed investing
• Digital trading platform
• High-yield savings accounts
• Robo-advisor services

Headquarters

HQ city

Arlington

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Technology or R&D, Operations, Marketing or Sales, Infrastructure

Revenue model

1. Trading Commissions and Fees: Commissions charged per trade including options contracts, futures contracts, and bonds. Stocks, ETFs, and mutual funds are commission-free.
2. Options Contract Fees: $0.65 per contract standard rate, reduced to $0.50 for clients with 30+ trades per quarter.
3. Crypto Trading Commissions: 0.50% commission on the dollar value of each crypto trade.
4. Advisory Fees - Core Portfolios: 0.30% annual advisory fee on Core Portfolios (robo-advisor) managed assets.
5. Banking Products: Interest rate spreads on Premium Savings Accounts, Max-Rate Checking, and Certificates of Deposit through Morgan Stanley Private Bank.
6. Payment for Order Flow: Receives payment for order flow from market centers for routing customer orders in NMS securities and options.

Pricing tiers

Go-to-market motion1 record

Distribution channels4 records

Marketing channels6 records

Core offering

E*TRADE from Morgan Stanley provides a self-directed digital brokerage and banking platform enabling US retail investors to trade stocks, ETFs, options, mutual funds, futures, bonds, and cryptocurrencies commission-free or at low rates. The platform bundles brokerage accounts, high-yield banking products (Premium Savings, Max-Rate Checking, CDs), retirement accounts (Traditional/Roth/SIMPLE IRA), automated Core Portfolios robo-advisor, and Total Wealth View asset aggregation, all backed by Morgan Stanley institutional research and integrated with Morgan Stanley Private Bank.

Product overview

E*TRADE from Morgan Stanley is a comprehensive financial services platform offering a multi-product architecture centered around self-directed trading (E*TRADE Platform and Power E*TRADE Platform), banking services (Premium Savings Account, Max-Rate Checking, CDs, Lines of Credit), and advisory solutions (Core Portfolios robo-advisor and Morgan Stanley Financial Advisors). The platform provides brokerage accounts for stocks, options, mutual funds, ETFs, futures, and bonds, with crypto trading added in 2026. Additional services include retirement accounts, stock plan administration through Morgan Stanley at Work, and Total Wealth View for cross-institutional asset aggregation. All banking products are provided by Morgan Stanley Private Bank, National Association (FDIC member), while securities services are provided by Morgan Stanley Smith Barney LLC (SIPC member).

Differentiator

Problem solved

Functional benefit

Brands

• E*TRADE Platform: Online trading platform for aspiring and experienced investors, offering stocks, ETFs, mutual funds, and options trading with $0 commission trades.
• Power E*TRADE Platform
• Core Portfolios
• Premium Savings Account
• Max-Rate Checking
• Crypto Essentials
• Morgan Stanley at Work

Products and services

• Brokerage Account
• Power E*TRADE Platform
• E*TRADE Platform
• Premium Savings Account
• Max-Rate Checking
• Certificates of Deposit (CDs)
• Line of Credit
• Core Portfolios
• Crypto Trading
• Retirement Accounts
• Stock Plans (Morgan Stanley at Work)
• Morgan Stanley Financial Advisors
• Total Wealth View

Quantifiable outcome

• 15 Best in Class distinctions in StockBrokers.com 2026 Annual Awards across categories including Overall, Mobile Trading Apps, Options Trading, and Research
• +2 more outcomes

Segments6 records

Ideal customer profiles6 records

Technology focussed No

API detail

Has API

Yes

API docs

API detail

Core technology

AI maturity

App detail

Integration2 records

AI capability2 records

Feature7 records

Partnerships

Six partnerships are on record, tiered core and minor.

• Zero Hash LLCcoreTechnology or IntegrationZero Hash LLC provides cryptocurrency trading and custody services for E*TRADE's crypto offering. Zero Hash LLC (NMLS #1699379) is a licensed Virtual Currency Business Activity operator by the New York State Department of Financial Services. All digital asset transactions and custody occur between the customer and Zero Hash outside of Morgan Stanley.
• Yodlee Inc.coreTechnology or IntegrationYodlee Inc. provides the asset aggregation technology powering Total Wealth View, E*TRADE's tool for consolidating external account information. Yodlee is the designated and exclusive account aggregator for E*TRADE and Morgan Stanley.
• Morgan Stanley Smith Barney LLCcoreStrategic or Co-development PartnerParent company providing institutional research, market insights, and brand credibility. Morgan Stanley Smith Barney LLC (Member SIPC, Registered Investment Adviser) is the broker-dealer entity operating E*TRADE from Morgan Stanley.
• Morgan Stanley Private Bank, National AssociationcoreStrategic or Co-development PartnerProvides banking products including Premium Savings Accounts, Max-Rate Checking, and Certificates of Deposit. Member FDIC. Banking products are FDIC-insured up to $500,000 for Premium Savings Accounts.
• Morgan Stanley at WorkcoreStrategic or Co-development PartnerComprehensive stock plan administration solution offering equity compensation management, participant trading, and related services. Previously referred to as Shareworks, StockPlan Connect, or E*TRADE stock plan accounts.
• Covr Financial Technologies, Inc.minorChannel Partner/ Reseller/ DistributorProvides access to insurance products including term life and permanent life insurance through E*TRADE's platform. Covr is an unaffiliated entity providing direct-to-consumer insurance solutions.

Scale indicators5 records

Recent moves5 records

Expansion highlights5 records

Direct peers

• Charles Schwab: Largest US retail brokerage offering commission-free trading, multiple trading platforms, banking (Schwab Bank), and retirement accounts. Directly comparable in self-directed retail brokerage, banking integration, and advisor-assisted wealth management.
• Fidelity Investments: Full-service retail brokerage and asset manager with commission-free trading, Fidelity Go robo-advisor, retirement accounts, and cash management products. Competes head-to-head across E*TRADE's retail, retirement, and active-trader segments.
• Robinhood Markets: Digital-first commission-free broker popular with younger self-directed retail traders, offering stocks, options, and crypto. Closest peer on the self-directed retail brokerage model and primary disruptor of E*TRADE's core demographic.
• Interactive Brokers: Global multi-asset brokerage focused on active and professional traders with advanced platforms (Trader Workstation), competitive options/futures pricing, and broad international market access. Comparable to Power E*TRADE on active trader features.

Broad incumbents

• Merrill Lynch (Bank of America): Full-service wealth management franchise of Bank of America offering self-directed brokerage, advisor-led wealth management, and integrated banking. Comparable as a parent-backed incumbent combining brokerage, banking, and research distribution.
• The Vanguard Group: Largest US mutual fund and ETF provider with commission-free brokerage, robo-advisor, and retirement accounts. Comparable as a low-cost retail brokerage and ETF platform competing on price for passive investors.
• JPMorgan Chase (Self-Directed Investing): Bank of America's primary competitor offering self-directed brokerage (You Invest) integrated with Chase banking. Comparable as a parent-bank-backed platform combining brokerage, banking, and research.

Emerging players

• Webull: Mobile-first digital broker offering commission-free stocks, options, futures, and crypto trading. Closest emerging competitor targeting the same active and younger self-directed retail traders as E*TRADE.
• SoFi Technologies: Digital personal finance platform offering self-directed brokerage, robo-advisor, high-yield savings, and checking. Overlaps with E*TRADE on integrated brokerage + banking + automated investing for retail customers.
• Public.com: Mobile-first self-directed investing platform offering stocks, ETFs, options, and crypto with a community-driven UX. Competes for the same retail next-generation demographic with a differentiated social investing angle.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/etrade
• LinkedInlinkedin.com/company/etrade
• Facebookfacebook.com/ETRADE
• Instagraminstagram.com/etrade

Compliance4 records

Revenue estimate

Valuation estimate

Number of profiles

Subsidiaries4 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A10 records

Investments7 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about E*TRADE