Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:T. Rowe is a 10 Not Rated 1.0 Email Routing List Email & Route  Print Print
Tuesday, September 7, 2010

T. Rowe is a 10

Reported by Armie Margaret Lee

When T. Rowe Price [see profile] joined TD Ameritrade's no-transaction-fee platform last month [see article], the question that popped into some industry observers' minds was how much T. Rowe Price was paying TD. There was no way, their thinking went, that T. Rowe, with its brand clout, would agree to paying the standard rate of 40 basis points.

Pinning down the number has not been an easy endeavor, given the confidential nature of contracts. But an industry insider told The MFWire.com that T. Rowe is paying 10 bps.

That's 75 percent off the new rate that TD Ameritrade started charging other mutual fund firms this year. As reported by The MFWire.com in April, TD Ameritrade has raised the fee from 35 to 40 bps, putting it on the same page as its two bigger rivals, Schwab and Fidelity.

Asked about the 10 bps fee, a TD spokesperson said: "It's against our corporate policy to comment on any contracts or fees." A representative for T. Rowe said: "We don't disclose the specifics of a client relationship."

One can only speculate on why TD and T. Rowe arrived at that arrangement. TD execs probably wanted to be able to offer a marquee name that's missing from the NTF supermarket shelves at Schwab and Fidelity.

T. Rowe has long shied away from NTF marts and is currently available on just two other NTF platforms: E*Trade and Pershing. 

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE

1.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Raw XML
Add to My Yahoo!
follow us in feedly




©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use