Why We Expect Ameritrade’s Investment Product Fee Growth To Pick Up
Although Ameritrade derives only a small portion (~11%) of its value from investment product fees, we expect the company’s investment product fees to grow at a faster pace (~19%) in the coming years than overall revenues (~11%). This growth can be attributed to the Fed’s increase in interest rates and a gradual economic recovery in the U.S. Below we show what drives our forecasts for the company’s interest on assets:
Have more questions about Ameritrade? See the links below:
- What’s Ameritrade’s Revenue And EBITDA Breakdown In Terms Of Operating Segments?
- How Has Ameritrade’s Revenue Composition Changed Over The Past 5 Years?
- How Has Ameritrade’s Revenue & EBITDA Changed In The Last Five Years?
- How Is Ameritrade Expected To Grow In The Next Five Years?
- How Important Is Net Interest On Assets For Ameritrade?
- What Is Ameritrade’s Fundamental Value Based On Expected 2016 Results?
- What Led To Mixed Results In Ameritrade’s Revenue And EBITDA Growth In 2015?
- How Much Upside Can An Increase In Trade Volumes Drive For Ameritrade’s Stock?
- What Can Drive A 10% Downside To Ameritrade’s Stock In The Next 2 Years?
- Coronavirus Recovery Watch: Capital Market Portfolio: 15% 5D Return vs. (-25%) YTD Return – [BlackRock, E*TRADE, Schwab & TD Ameritrade]
- Why Isn’t Charles Schwab’s Stock Benefiting From The Spike In Trading Volumes?
- How Would Zero Trading Commissions Impact TD Ameritrade Revenues In 2020?
- What Would The Combined Charles Schwab-TD Ameritrade Look Like?
- Is TD Ameritrade’s Fiscal 2020 Revenue Guidance Too Optimistic?
- Did Interest Income Gains Offset Lower Trading Commissions For TD Ameritrade In Fiscal Q3?
Notes:
1) The purpose of these analyses is to help readers focus on a few important things. We hope such lean communication sparks thinking, and encourages readers to comment and ask questions on the comment section, or email content@trefis.com
2) Figures mentioned are approximate values to help our readers remember the key concepts more intuitively. For precise figures, please refer to our complete analysis for Ameritrade.
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