James P. Gorman Executive Chairman | Morgan Stanley
E*TRADE from Morgan Stanley has introduced five index mutual funds with no management fees. These funds, available exclusively to E*TRADE clients with eligible brokerage accounts, include the E*TRADE No Fee Large Cap Index Fund (Ticker: “ETLGX”), E*TRADE No Fee Total Market Index Fund (Ticker: “ETTOX”), E*TRADE No Fee International Index Fund (Ticker: “ETISX”), E*TRADE No Fee Municipal Bond Index Fund (Ticker: “ETMUX”), and E*TRADE No Fee U.S. Bond Index Fund (Ticker: “ETBOX”). Morgan Stanley Investment Management (MSIM) will manage the funds.
“This marks another chapter in E*TRADE’s storied history of bringing innovative products and services to self-directed investors,” stated Chad Turner, Head of Morgan Stanley Wealth Management Platforms. He emphasized the low barriers of entry to investing and the unique position provided by the backing of Morgan Stanley and its Investment Management team.
The new funds are part of E*TRADE's ongoing efforts to remove trade commissions and early redemption fees for online mutual fund trades. The platform supports over 5,000 mutual funds, nearly 300 of which are from MSIM. Vince Lumia, Head of Wealth Management Client Segments, mentioned the potential to enhance client relationships through these offerings.
E*TRADE, a key channel in Morgan Stanley Wealth Management, integrates this latest offering to support financial clients at different stages. The no-fee funds feature a 0.00% unitary fee and cover most expenses except litigation and extraordinary expenses outside normal operations.
While the funds have no direct expense ratio, fees from E*TRADE or Morgan Stanley Wealth Management may still apply. Purchases of the no-fee funds can only occur through E*TRADE's self-directed accounts. The funds cannot be transferred to financial institutions other than Morgan Stanley Wealth Management.
For more detailed information on these funds, potential investors are encouraged to review the prospectuses available online.
Investing always carries risks, including the potential loss of principal.
Visit etrade.com for more details about the investment options and pricing structures.