Ally Invest IRA Fees For 2019
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Ally Invest IRA Fees
Founded in 2005, Ally Invest is a relative newcomer in the online brokerage business. They immediately staked their claim as one of the lowest-cost discount brokers. Ally Invest offers trading in stocks,
bonds, ETFs, mutual funds, options, and foreign currencies. The company also offers a full variety of Individual Retirement Accounts. This article will review the fees associated with IRAs at Ally Invest:
- IRA set-up fee: $0
- Annual IRA fee: $0
- IRA termination fee: $50
- Inactivity fee: $0
| Product | Price |
|---|
| Stocks and ETFs | $4.95 or $3.95* |
| Options | $4.95 + $0.65 per contract or $3.95 + $0.50* |
| Mutual funds | $9.95 |
| Bonds | $1 per bond with $10 minimum, $250 maximum |
| Treasuries | commission-free |
| Certificates of Deposit (CDs) | $24.95 |
* - $3.95 per equity trade and 50 cents per options contract for users who make 30 or more trades in the prior calendar quarter and/or
maintain an average daily balance of more than $100,000 in the prior calendar quarter.
Up to $3,500 cash bonus + commission free trades for new accounts.
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Ally Invest Annual and Account Inactivity IRA Fees
There is no annual fee for maintaining an IRA at the broker. The inactivity fee Ally Invest used to charge has been terminated.
Therefore, right now there are absolutely no fees to have a retirement account at Ally.
Ally Invest IRA Termination and Transfer Fees
A $50 fee is charged for terminating an IRA or making a full transfer of an IRA out of an Ally Invest account. In effect, $100 will be charged if an IRA is terminated because both fees apply—$50 for a full transfer and $50 for termination. If a full transfer is made out of the Ally Invest IRA but the account is not terminated (for example, if an investor intends to refund the IRA in the future), only $50 in fees will be charged. Partial account transfers have a $10 per position charge up to a maximum of $50.
Both account closing and transfer fees are typical with most discount brokers.
Ally Invest IRA Review
Read full Ally Invest IRA Review
Ally Invest Account Fees
Ally Invest is pretty light on the normal, everyday fees. Here is a breakdown of their current fee structure for the most relevant charges:
$1.00 Bond Trade Fee
$24.95 Treasury Trade Fee
$24.95 CD Trade Fee
$0.00 IRA Annual Fee
$50.00 IRA Closure/Transfer Out Fee
$30.00 Returned ACH Fee
$30.00 Returned Wire Fee
$200.00 Stock Certificate Processing Fee
$200.00 Stock Certificate Delivery Fee
$2.50 Paper Statement Fee
$1.00 Paper Confirmation Fee
$30.00 Domestic Wire Fee
$50.00 International Wire Fee
Up to $3,500 cash bonus + commission free trades for new accounts.
Ally Invest Overview
Ally Invest is a low-cost online broker for investors residing in the U.S. that offers most bells and whistles you’ll find with
best online brokers. With an Ally Invest account, you can trade almost anything, including stocks, ETFs, options, mutual funds,
bonds, CDs, forex, futures, and Treasuries.
Portfolio Management
For those who are less familiar with the best practices in asset allocation and investment planning, Ally Invest offers a good
robo-advisor style investment management service. It will ask you a few questions, such as your age, investment goals, and risk
appetite before recommending an asset allocation mix for you. It will use low-cost ETFs and automatically handle rebalancing for
you in your account to maintain the target allocations. Although there are no account minimums with Ally, their portfolio
management service requires assets of at least $2,500 and charges a 0.30% annual fee.
Pricing
If you plan to make your own trades, you will likely be pleased with Ally’s commissions. Their commission structure is probably
their biggest selling point as equity and options trades are both just $4.95 (plus $0.65 per contract for options). However, if
you make at least 30 trades per quarter (or your account is worth at least $100k) you will qualify for their discounted equity
rate of $3.95 and a per contract options rate of $0.50 instead of $0.65. Mutual fund trades are a flat $9.95 with no volume
discount.
Investing Platform
Like most brokers, Ally offers a few different ways to place your trades. In addition to their website, Ally has desktop and
browser-based platforms as well as an app that is compatible on Apple and Android phones and tablets. Although all of these
platforms have charting and the ability to place trades, the LIVE (web browser) is probably the most aesthetically pleasing
interface to trade on, showing live market headlines and real-time quotes on the major indices. However, we found that the
Ally Invest website was the best place to conduct your due diligence and research of a company’s business and financials.
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