E Trade Company

Historical Timeline

• 1982 — Founded as TradePlus by William Porter and Bernard Newcomb
• 1996 — Rebrands to E*TRADE and goes public
• 2000 — Dot-com boom; becomes household name
• 2008 — Financial crisis; receives TARP bailout
• 2010s — Rebuilds with focus on self-directed investors
• 2020 — Acquired by Morgan Stanley for $13B
• 2024 — Integrated into Morgan Stanley's wealth management platform

Business Model

Online brokerage: stock, ETF, options, and mutual fund trading. Revenue from trading commissions, net interest income, and advisory fees. Morgan Stanley integration adds wealth management cross-selling.

Competitive Moat

Morgan Stanley's institutional capabilities and research provide advantages for self-directed investors. 5M+ funded accounts create scale. Brand recognition from decades of Super Bowl advertising.

Key Data

Founded: 1982; Acquired: Morgan Stanley (2020, $13B); Accounts: 5M+ funded

Interesting Facts

E*TRADE's Super Bowl 'talking babies' commercials (2006-2010) are among the most memorable in financial services advertising history. The company was one of the first to offer commission-free trades.