reachtdelion

TDAMERITRADE,INC.
FormCRSCustomerRelationshipSummary(AsAmendedJanuary30,2021)IntroductionTDAmeritrade,Inc.
(TDA,we,ourorus)isregisteredwiththeSecuritiesandExchangeCommission(SEC)asbothabroker-dealerandaninvestmentadvisorandisamemberoftheFinancialIndustryRegulatoryAuthority(FINRA)andtheSecuritiesInvestorProtectionCorporation(SIPC).
TDAisawholly-ownedsubsidiaryofTheCharlesSchwabCorporation(Schwab).
Brokerageandinvestmentadvisoryservicesandfeesdiffer,anditisimportantforyoutounderstandthesedifferences.
Freeandsimpletoolsareavailabletoresearchfirmsandfinancialprofessionalsatlnvestor.
gov/CRS,whichalsoprovideseducationalmaterialsaboutbroker-dealers,investmentadvisorsandinvesting.
WhatinvestmentservicesandadvicecanyouprovidemeWeofferbothbrokerageandinvestmentadvisoryservicestoretailinvestors.
OurRetailbrokerageservicesfocusonbuyingandsellingsecuritiesforretailinvestorsastheiragent.
(OurInstitutionalbrokerageservicesareprovidedtoretailinvestorclientsofindependentregisteredinvestmentadvisors[RIAs]andarenotaddressedhere.
)Mostretailclientsuseusonanonline,self-directedbasis.
Wealsohavealargeretailbranchofficenetworkstaffedwithfinancialprofessionalstoserviceyou.
Wehavenominimumaccountfundingormaintenancesize,butwemaycloseaccountsthatareunfundedordormant.
Wedonotmonitorourclients'investments.
Wegenerallydon'trecommendtradesinspecificsecuritiesorfundstoyou.
Butourfixedincomesalesteamdoesmakerecommendationsastospecificfixedincomesecuritiesorvehiclesandastofixedincomeinvestmentstrategies,suchasbondladders.
Ourretailbrokerageservicesmayincluderecommendationstoyouasto:fixedincome,asnotedaboveIRArolloversfromdefinedcontributionplanssuchas401(k)sand403(b)svariableannuities(throughanaffiliate)theAdvisorDirect(AD)independentRIAreferralservicefromourTDAmeritradeInstitutional(TDAI)divisiontheinvestmentmanagementservicesofouraffiliatedRIATDAmeritradeInvestmentManagement,LLC(TDAIM)notedontherightOuradvisoryservicesasadualregistrantareprovidedbyourTDAIdivisionthroughAD.
TDAI'sadvisoryservicesarenondiscretionary,soyoumaketheultimatedecision.
TheADindependentRIAreferralserviceisconductedthroughourretailbranchfinancialconsultants(FCs).
ADhelpshighnetworthretailclients/prospectsobtaindiscretionaryinvestmentmanagementand/orfinancialplanningandotherservicesfromover100independentRIAsonTDAI'splatform.
ThoseRIAshavemetAD'sselectioncriteriaandagreedtoparticipateinAD.
TheminimumADaccountsizeis$750,000.
ADclients/prospectsprovideanswerstoaClientQuestionnaire(CQ)astomattersliketheirinvestmentgoals,financialneedsandrisktolerance.
ADidentifiesparticipatingRIAsthatcloselymatchtheCQresponses.
FCsthendiscussthoseRIAsandtheclientorprospectmayselectone.
ADdoesnotofferinvestmentmonitoring.
AffiliatedAdvisors:OurprincipalaffiliatedRIAisTDAIM.
ItprovidesdiscretionaryinvestmentmanagementservicesthroughitsEssentialPortfolios,SelectivePortfoliosandPersonalizedPortfolios,withminimumsrangingfrom$500(withrequiredautomaticrecurringdepositstoreach$5,000)to$250,000.
TradeWiseAdvisors,Inc.
(TWA)hasbeenourotherRIAaffiliate.
Itprovidesanoptionstradingadvisorynewslettertoretailinvestorsonasubscriptionbasis.
TWAplanstowindupitsbusinessbyApril2021.
Page1of4Whatinvestmentservicesandadvicecanyouprovideme(cont.
)Foradditionalinformation,pleaseseeourRegulationBestInterestDisclosuresandotherapplicabledocumentsatthelinksbelowastheSEClimitsthelengthofthisformtofourpages:RegulationBestInterestDisclosures:WhyTDAmeritradetdameritrade.
com/whytdaRollovertdameritrade.
com/regbirolloverGuidancetdameritrade.
com/guidanceAnnuitiestdameritrade.
com/regbiannuityTDAIFormADV,Part2tdainstitutional.
com/adv2FixedIncometdameritrade.
com/regbifixedincomeSolutionsContinuumtdameritrade.
com/solutionscontinuumFormCRS:TDAIMtdameritrade.
com/crstdaimTradeWisetdameritrade.
com/crstwConversationStarters.
Askyourfinancialprofessional—Givenmyfinancialsituation,shouldIchooseaninvestmentadvisoryserviceShouldIchooseabrokerageserviceShouldIchoosebothtypesofserviceWhyorwhynotHowwillyouchooseinvestmentstorecommendtomeWhatisyourrelevantexperience,includingyourlicenses,educationandotherqualificationsWhatdothesequalificationsmeanWhatfeeswillIpayOurretailbrokeragecustomerspaynocommissionsononlineU.
S.
exchangelistedstock,ETFandoptionstrades.
Theypaya$0.
65percontractfeeforoptionstrades.
Theypayacommissionof$6.
95foronlinetradesofover-the-counterstocks.
Theyalsopay$5forIVRPhoneSystemtradesand$25forbroker-assistedtrades.
Alltradesarethroughthirdparties.
Retailaccountspaycertainsmallfeesforaccountservicesandforregulatoryfeeswepasson.
Evenwithzerocommissions,TDAmakesmoneyonyourtrades,suchasfromorderroutingrevenue.
Themoreyoutrade,themoremoneywemake.
Werecommendandsellvariableannuitiestoyouthroughanaffiliate.
Ifyoubuyone,youwillindirectlypayusafeefactoredintoyourongoingannuitycost.
Theall-inannualcostsrangefromabout0.
35%to3.
80%.
Mutualfundtradesfor"notransactionfee"and"load"fundshavenocharge.
"No-load"fundshavea$49.
99commission.
YoualsopayETFandmutualfundmanagementfeesandotherstandardcharges,typicallyrangingfrom0.
15%to2.
94%formutualfundsand0.
03%to1.
78%forETFs.
OurFixedIncomeTradingdesktradesareprincipalones(webuyasecurityfromathirdpartyandsellittoyouorwebuyasecurityfromyouandsellittoathirdparty).
ForsecondarytradesdonethroughaFixedIncomeSpecialist,thepricedifferenceisthespread(usuallylessthan1%oftheprincipalamount).
Ifwesellnewissuestoyouthespreadcanbemorethan1%.
Therearealsomark-upsandmark-downsincludedintheprice.
Youcandosecondaryfixedincometradesonaself-directedbasisonlineatlesscost.
OurretailinvestorADclientspaynofeetoTDAIforitsADadvisorreferralservice.
Rather,thereferredRIAwillpayareferralfeetoTDAIonaslidingscalebasis,startingat25basispointsforclientassetsupto$2million.
ThereferredRIAwillchargetheretailinvestorclientitsapplicableinvestmentmanagementfeeandwillnotpassourreferralfeeontotheirclient.
PleaseseeTDAI'sFormADV,Part2linkedaboveforadditionalADinformation.
OurADretailclientspayourtradecostsfortradesdonebytheirreferredRIA,buttheydon'tpaycommissionsononlineU.
S.
exchange-listedstock,ETFandoptionstransactions.
ForotherADclienttransactionsdonethroughTDAI,thestandardchargesareasshownintheleftcolumnexceptthe"no-load"fundscommissionis$31.
PleaseseethelinkedpricingschedulesbelowfordetailsastoTDAandTDAIpricing.
ThefeeschargedtoretailcustomersbyouraffiliatedadvisorsTDAIMandTWAareshownintheFormCRSforeach.
TherearenoTDAcommissionchargesforTDAIMtrades.
TWArecommendedoptionstradesdonethroughTDAaresubjecttotheoptionscontractfeeshownintheleftcolumn.
ButTWAsubscribersareundernoobligationtouseTDAastheirbroker.
PleasenoteTWAplanstowindupitsbusinessbyApril2021.
Page2of4WhatfeeswillIpay(cont.
)Youwillpayfeesandcostswhetheryoumakeorlosemoneyonyourinvestments.
Feesandcostswillreduceanyamountofmoneyyoumakeonyourinvestmentsovertime.
Pleasemakesureyouunderstandwhatfeesandcostsyouarepaying.
Actualtransactioncostswillbeshownonthetradeconfirmationssenttoyou.
Foradditionalinformation,pleaseseeourabovelinkedRegulationBestInterestDisclosuresandotherapplicabledocumentsavailableatthefollowinglinks:TDAPricingtdameritrade.
com/pricingSDPSPricingtdameritrade.
com/sdpspricingMargin&InterestRatestdameritrade.
com/ratesFormCRS:BrokerageFeestdameritrade.
com/feesTDAIMtdameritrade.
com/crstdaimTDAIPricingtdainstitutional.
com/tdaipricingTradeWisetdameritrade.
com/crstwConversationStarter.
Askyourfinancialprofessional—Helpmeunderstandhowthesefeesandcostsmightaffectmyinvestments.
IfIgiveyou$10,000toinvest,howmuchwillgotofeesandcosts,andhowmuchwillbeinvestedformeWhatareyourlegalobligationstomewhenprovidingrecommen-dationsasmybroker-dealerorwhenactingasmyinvestmentadvisorHowelsedoesyourfirmmakemoneyandwhatconflictsofinterestdoyouhaveWhenweprovideyouwitharecommendationasyourbroker-dealeroractasyourinvestmentadvisor,wehavetoactinyourbestinterestandnotputourinterestaheadofyours.
Atthesametime,thewaywemakemoneycreatessomeconflictswithyourinterests.
Youshouldunderstandandaskusabouttheseconflictsbecausetheycanaffecttherecommendationsweprovideyou.
Herearesomeexamplestohelpyouunderstandwhatthismeans:WegenerallysweepcashinourretailcustomeraccountsintoaninsuredbankdepositaccountheldatoneormoreProgramBanksasanaccountfeature.
TheProgramBankspayusamarketingfeebasedonapercentageoftheamountofourcustomerdepositswiththemthatrangedfrom1.
3to1.
7%annuallyin2019.
SowehaveafinancialincentivetosendcustomercashtotheProgramBanks,andyoureceivealoweryieldthaniftheydidn'tpayusamarketingfee.
PleasenotethatcertainSchwabbankswillbeaddedtotheProgramBanksinMarch2021.
Wegenerallyreceiveorderroutingrevenuefromthethirdpartymarketcenterstowhichwerouteourcustomerorders.
Orderroutingrevenueisacomponentofourtransaction-basedrevenues.
In2019wereceivedanaverageof$0.
0002pershareforequitiesand$0.
51peroptioncontract(eachpriortoanoffsetfromchargespaidforremovalofmarketliquidity).
Sowehaveafinancialincentivetodirectourcustomerorderstothemarketcentersthatprovidepaymentsorrebatestous,subjecttoourbestexecutionrequirements.
Wemakemoneyifyouborrowagainstthesecuritiesinyouraccountbywayofamarginloan.
Thatisbecausewemakeaspreadbetweentheratewepayforthemoneywelendyouandtherateyoupaytousfortheloan.
Wemakemoneyfromproductservicingfees.
Forexample,mutualfundsgenerallypayus0.
25%to0.
40%annuallyforvariousservicesweprovidethem.
Theservicesincludeshareholderservicing,recordkeeping,sub-accounting,sub-transferagencyand/ormarketinganddistribution.
Foradditionalinformation,pleaseseeourRegulationBestInterestDisclosuresandotherdisclosuresattheabovelinks.
ConversationStarter.
Askyourfinancialprofessional—Howmightyourconflictsofinterestaffectme,andhowwillyouaddressthemHowdoyourfinancialprofessionalsmakemoneyOurretailFCsreceiveabasesalaryplusincentivecompensation.
Thebasesalarygenerallyisabouthalfoftheirtotalcompensationbutmaybelessthanthat.
Theincentivecompensationfor2021istiedtoperformancemetrics(includingattractingnewclientassetstoTDAmeritradeandretainingexistingclientassets).
Aportionoftheasset-basedcompensationisrelatedtotheuseofadvisoryservicesfromTDAIMandAD.
ThiscompensationstructurecancreateaconflictinthatthecompensationcouldpotentiallyprovideFCsanincentivetomakerecommendationsforassetinvestmentorretentionwithaviewtotheircompensationinterestratherthanthebestinterestofclients.
Tomitigatethispotentialconflictsofinterest,TDAmeritrade,TDAIMandADpoliciesandproceduresandsupervisionareinplacetohelpthefocusbeonthemostappropriatesolutionforaclient.
Inaddition,inconnectionwiththerecentaffiliationwithCharlesSchwab&Co.
Inc.
(CS&Co.
),beginningin2021TDAmeritradeFCswillbeeligibletoreceivemodestadditionalcompensationforintroducingclientstoCS&Co.
orcertainofitsproductsorservices.
Page3of4Howdoyourfinancialprofessionalsmakemoney(cont.
)Foradditionalinformation,pleaseseeourBranchCompensationDisclosureavailableatthefollowinglink:https://www.
tdameritrade.
com/incentive-compensation.
pageOurretailFixedIncomeSales(FIS)associatesreceiveabasesalaryplusincentivecompensationastoproductsandservicesofferedthroughTDAmeritrade.
Thebasepaygenerallyrangesfromaboutone-halftotwo-thirdsofFIStotalcompensation.
Theincentivepaymentsaretied(i)toperformancemetrics(includingsixdifferentones)thataredeterminedonadiscretionarybasisandaccountforabout60%oftotalcompensationand(ii)clientexperienceandcorevaluesmetricsthataccountforabout40%ofthecompensation.
.
Tomitigatepotentialsalesconflictsofinterest,TDApolicies,proceduresandsupervisionhelpensuretheFISfocusisonthemostappropriatesolutionforourretailclients.
CertainotherTDAfinancialprofessionalshaveseparatecompensationarrangements.
Ourfinancialprofessionalsgenerallyarecompensatedbasedonasalaryplusvariablecompensationkeyedtoacquiringnewclientassetsorkeepingexistingclientassetswithus.
Insomecases,theyarecompensatedmoreforcertaintypesofproductsandservices,whichcancreateconflictsofinterest.
DoyouoryourfinancialprofessionalshavelegalordisciplinaryhistoryYes.
Weandourfinancialprofessionalshavethishistory.
VisitInvestor.
gov/CRSforafreeandsimplesearchtooltoresearchusandourfinancialprofessionals.
ConversationStarter.
Askyourfinancialprofessional—Asafinancialprofessional,doyouhaveanydisciplinaryhistoryForwhattypeofconductAdditionalInformationForadditionalinformationaboutourservices,seeourRegulationBestInterestDisclosuresandotherdisclosuredocumentsatthelinksontheprecedingpagesorvisittdameritrade.
com/regbiformoreinformationandthemostrecentversionofthisform.
Ifyouwouldlikeadditional,up-to-dateinformationoracopyofthisdisclosure,pleasecallusat800-669-3900.
ConversationStarter.
Askyourfinancialprofessional—WhoismyprimarycontactpersonIsheorshearepresentativeofaninvestmentadvisororabroker-dealerWhocanItalktoifIhaveconcernsabouthowthispersonistreatingmePage4of4TDA101313F02/21TDAmeritrade,Inc.
,memberFINRA/SIPC,asubsidiaryofTheCharlesSchwabCorporation.
TDAmeritradeisatrademarkjointlyownedbyTDAmeritradeIPCompany,Inc.
andTheToronto-DominionBank.
2021CharlesSchwab&Co.
Inc.
Allrightsreserved.
EXHIBITSummaryofMaterialChangestoTDAmeritrade,Inc.
FormCRSOurFormCRSdatedasofJanuary30,2021hasbeenupdatedasfollows:Inthe"AffiliatedAdvisors"sectiononpage1,thereferencetoTradeWiseAdvisors,Inc.
(TWA)hasbeenmodifiedtoreflectthatitplanstowindupitsbusinessbyApril2021.
Inthe"WhatfeeswillIpaysectiononpage2atthelowerright,thereisagainareferencetoTWA'splantowindupitsbusinessbyApril2021.
Onpage3,inthe"Whatareyourlegalobligationstome"section,thefirstbulletreferencingtheProgramBankshasbeenmodifiedtonotethatcertainSchwabbankswillbecomeProgramBanksinMarch2021.
Inthe"Howdoyourfinancialprofessionalsmakemoney"sectiononpages3and4,thepriorcontentrelatingtothecompensationarrangementsforourretailFinancialConsultantsandourFixedIncomeSalesrepresentativeshasbeendeletedandnewcontenthasbeeninsertedintheirplaces.
TDA101448L02/21TDAmeritrade,Inc.
,memberFINRA/SIPC,asubsidiaryofTheCharlesSchwabCorporation.
TDAmeritradeisatrademarkjointlyownedbyTDAmeritradeIPCompany,Inc.
andTheToronto-DominionBank.
2021CharlesSchwab&Co.
Inc.
Allrightsreserved.