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Non-Tech : E*Trade (NYSE:ET) -- Ignore unavailable to you. Want to Upgrade?

To: Diamond Jim who wrote (7645)	7/17/1999 10:10:00 PM
From: pass pass	Respond to of 13953

The only way for ETRADE to become #1 is to buy the smaller OLB's such as Datek, Suretrade, etc. It's clear OLB is one of the best ways to utilize Internet. ETRADE is here to stay.

To: Diamond Jim who wrote (7645)	7/17/1999 10:18:00 PM
From: Srinivasan Balasubramanian	Respond to of 13953

It is tricky to forecast who will emerge as #1, but my bet is ETrade may well give Schwab a run for its money for the foll. reasons : Schwab handles 67% of trades online, but it will be more relevant to see what % of customers traded online in a given quarter. And even more important what % of Schwab's new customers are on line. I am not sure if Schwab provides this kind of more elaborate data. So the dynamics of Schwab's OLB is not very clear in my opinion. Schwab is not a pure play OLB and for this reason, it may be too bulky to move as fast as ETrade could. Talking of TBFC, as I said earlier, if ETrade could provide seamless real-time movement of funds between a TBFC a/c and ETrade OLB a/c, I will open a TBFC a/c promptly. I hope they could do it as it offers tremendous leverage to investors and provides great cross-selling opportunities. IW made a very pertinent point, the psychology and temperament of the new generation of investors is very different - fast paced, more risk tolerant and shorter time frames. Also the asset base of a customer is not directly related to the frequency of trading (as indicated by predominance of 100 lot trades in the market today). eg. Two yrs back I started investing with $2000, it took a while for me to get a grip and for the last 3 qtrs I have been a Platinum Etrade customer. MediaMatrix report on how ETrade attracted more visitors than Schwab and Fidelity combined is quite significant. A OLB in a way is impacted by the health of its customers. If only a OLB could provide the % of customers that ended positive in a quarter or the total assets of the customers minus the new ones, we can in a way forecast the internal health of a OLB. ETrade's quarterly report will complete the OLB picture and I think may be Barron's should have waited for it. Srini

To: Diamond Jim who wrote (7645)	7/17/1999 10:43:00 PM
From: WhySoSoon	Respond to of 13953

I expect -.18 I personally don't think earnings will be below consensus of (0.10). There is a couple of reasons: 1. no pre-earnings warning. (0.18) is 80% below consensus. If it happens, I am sure any credible firm will issue earnings warning immediately. 2. earnings will be released before the market open. When it happens, there is a great deal of chance that earnings will either meet or exceed consensus. Having said that, the current share price may have already discounted for the following factors: 1. pending deal of TBFC and now TIR. 2. market slow down. 3. Y2K fear. 4. increase of competitions. 5. market penetration. I still think it is fascinating to watch the moves of this company. In fact, I learn a great deal just by watching and analysing the moves.

To: Diamond Jim who wrote (7645)	7/18/1999 12:02:00 AM
From: WhySoSoon	Read Replies (1) \| Respond to of 13953

If Telebank can truly give a 6.75 yield and still turn a profit, I think they will bring in the bucks as well. Why not? It is rather straight forward to play the spread when the company owns both a bank and a broker. Loan the money (deposit from Telebank) to clients on margin (ETrade). Also, underwriting is also big business. Money can flow to EOffering. Whether it is a bought deal or on best effort, E*Offering will have the added muscle to make deal. The gravy train on underwriting fees is very lucrative and investment banking is big business.