What the E*Trade Deal Tells You About the New Investing Game

Image Credit: John Vachon, Produce delivery to supermarket in Montgomery, Alabama (1943), Library of Congress

Morgan Stanley’s takeover of E*Trade Financial Corp. for $13 billion shows how drastically the brokerage industry’s business model has changed.

Firms no longer want to offer investment products from all sources. Instead, they want to milk their customers’ cash and manage all the assets themselves. Investors need to understand the rules of the new game.

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This article was originally published on The Wall Street Journal.

Further reading

Benjamin Graham, The Intelligent Investor