A.I.M. Users Bulletin Board

[SFSecurity]

Hi Gang, I remembered one of the reasons why the "commission free" ETFs at various brokers might not be a good deal.

I went looking for backup to my memory and came across Hidden costs of Schwabs free ETF trades which explains the issues.

Basically there are three problems: the ETF manager pays a fee to be listed on the broker's free list which results in higher management fees, they tend to be less favorable versions of the index they follow, and they tend to have lower daily volume.

Best,

Allen