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URL:  https://boards.fool.com/tdhfool-asks-do-brokerage-firms-offer-these-34079802.aspx

Subject:  Re: Merrill Edge Date:  12/8/2018  3:33 PM
Author:  intercst Number:  91041 of 95827

TDHFool asks,

Do brokerage firms offer these bonuses
(a) in the hope of generating transaction and other fees?
(b) because they can make money on your holdings (if so, how?)
(c) some other reason?

</snip>


I'm sure Merrill hopes that they can sell you a high-commission product once they have your account.

But even if Merrill fails at that, they can loan out your shares to a short-seller and make money on the escrow held.

intercst
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