JPMorgan digital-investing service wipes out $5.5 billion online-broker market cap

Getty/Mark
Wilson

• JPMorgan announced Tuesday a digital-investing service
  that has free trades and no account minimum.
• Online brokers’ stocks are getting hit hard on the
  news.
• JPMorgan shares are ticking higher.

Online brokers are under pressure Tuesday morning after
JPMorgan announced a digital-investing service that gives
users 100 free trades a year and has no account minimum.

The selling has wiped out $5.5 billion in market cap of the
biggest online brokers with Charles Schwab (-$2.64 billion) and
TD Ameritrade (-$2.18 billion) seeing the biggest impact.
JPMorgan shares are marginally higher.

Here’s a look at the scoreboard: