Had to post to this thread
BN 10/31 E*Trade, Schwab Have Worst Performance This Week, Survey Says
E*Trade, Schwab Have Worst Performance This Week, Survey Says
New York, Oct. 31 (Bloomberg) -- E*Trade Group Inc. and
Charles Schwab Corp. had the worst performance of nine online
brokers this week amid a roller coaster ride in the stock markets
and record trading, according to a survey by online magazine
TheStreet.Com.
The publication asked 294 of its readers to rate the online
brokers' service from 1 (''excellent'') to 5 (''horrible'').
Palo Alto, California-based E*Trade had an average score of
4.27 out of 5, ranking it last, according to 63 people who rated
the online broker in the survey. Schwab, the biggest U.S.
discount broker, ranked 8th after E*Trade, with an average score
of 4.26, according to 87 people who ranked it.
The results come as online brokers tested their limits this
week when the Dow Jones Industrial Average plunged 554 points on
Monday, rebounded 337 points the next day, prompting a record 2.7
billion shares to trade. The record volumes caused many investors
to have difficulties connecting to online brokers.
Datek, the No. 1 broker in the survey, had an average score
of 2.07, based on the ratings of 14 people who ranked its
service.
Donaldson, Lukfin & Jenrette Inc.'s electronic brokerage
unit DLJdirect was No. 2, with an average score of 3.27, based on
22 ratings.
Ameritrade ranked 3rd, with 3.40 as its average score, based
on 20 ratings, while National Discount Brokers ranked 4th, with
an average score of 3.57, based on 7 ratings.
Fidelity Investments' online brokerage unit followed in 5th
place, pulling in a rating of 3.69, according to an average of 29
scores.
Morgan Stanley, Dean Witter, Discover & Co.'s Discover
Brokerage Direct came in 6th, with 3.92 points, based on an
average of 12 ratings of its service.
Waterhouse Investor Services Inc.'s online brokerage had
4.05 points, based on the average of 21 Street.Com readers'
rating.
--Monique Wise in the New York newsroom (212) 318-2608 /daa |
