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TD Ameritrade CEO Fred Tomczyk on the firm’s move to the NYSE from the Nasdaq and the decline in trades by retail investors.
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The also -- higher TD Ameritrade beating on the top and met estimates on the bottom line but -- trade volume.
This is trades per day that all of you make who have accounts there have some investors worried.
Joining us now to tell us the real story from Omaha Nebraska -- -- as the CEO and president.
TD Ameritrade before we get into the weeds on that Fred I'm more interested to know.
The sentiment that you get from traders currently.
Not according you're just reporting on but right now because we've got.
Very volatile -- and I know in the past from covering your company that volatility is good for your trading numbers.
Yeah I think they'll do during the the quarter volatility was low -- the -- lower its.
We're getting a little bit more volatility today which is good and very helpful.
And that's really what the more active investor -- active traders looking for some volatility trade off.
So they've been in the market it's really the long term investor that's been quite cautious -- still entrusted but cautious.
Interested but cautious OK so TD Ameritrade -- switching over by the way and I want to make this clear because Charlie Gasparino was all over the store yesterday.
Moving from the NASDAQ over to the New York Stock Exchange.
What's in it for shareholders.
What did the nice he offer you what was it about the -- see that made you say I'm gonna move over there from the NASDAQ.
-- -- -- had a good partnership with the NASDAQ and we continue to have a number arrangements with the NASDAQ.
But you know I think you know we've had a very good relationship with the New York Stock Exchange for some time.
We've worked on a number of initiatives together a number of market structure issues.
Also -- the good partners and Madison could offer to move.
I saw so much smoke tough financials but you know they've been a great partner we thought this was a logical time for us to make a move.
While it works both ways some jump for the and I see that the NASDAQ others the other way you're obviously going to the New York Stock Exchange we'll watch that.
Let's talk about that retail investor your numbers show.
That client trades per day were at 388000.
For the quarter that's down year over year from what we had seen which was 439000.
To what do you attribute that is that fear of what's going on in Europe just an overall.
Nervousness among the retail traders out there.
-- I I think the first thing you have to keep in mind when you're comparing to the same quarter last year's low fat quarter.
The march quarter of 2011 was the highest trading volume in the history of our firm so.
It was a pretty robust number of the activity rate was a percent.
This year we saw that activity rate at six point 8%.
The RA is definitely moved into the market that the investors have been in the market -- -- long term investor.
That continues to be quite cautious.
And waiting for an opportunity -- waiting to see.
But -- recovery in the economy in the markets this year is for -- this feels a lot like last year at the same time.
And we know what happened with the sort of this third part have -- -- -- or so will be checking it off Fred good to see you thank you very much for joining us.
-- Fred Tom sick is the chairman of president CEO there of Ameritrade and -- just wanted to let you know the stock is down about half a percent.
On those numbers even though they met and beat estimates.
