Why We Expect Ameritrade’s Investment Product Fee Growth To Pick Up

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AMTD
AMTD IDEA Group

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:

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Have more questions about Ameritrade? See the links below:

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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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