Yes, Morgan Stanley owns E*TRADE
Morgan Stanley completed its purchase of E*TRADE in October 2020 for approximately $13 billion. E*TRADE is now a subsidiary of Morgan Stanley, one of the largest investment banks in the United States. This means Morgan Stanley owns the company, sets its strategic direction, and controls how E*TRADE operates — but your E*TRADE account itself has not disappeared or merged into a Morgan Stanley account.
The acquisition was a major financial industry event, but for most E*TRADE customers, day-to-day account access and trading remained largely unchanged. Morgan Stanley has kept E*TRADE running as a separate brand and platform, though the two companies have gradually integrated some systems and services behind the scenes.
Key Takeaways
- Morgan Stanley bought E*TRADE in 2020 and now owns the company outright, though E*TRADE continues to operate under its own name and brand.
- Your E*TRADE account login, account number, and trading platform have not changed as a result of the ownership shift.
- Morgan Stanley has integrated some E*TRADE services with its own offerings, particularly for wealth management and advisory services.
- E*TRADE customers may now see options to link accounts or transfer assets to Morgan Stanley products, but these are optional moves, not automatic transfers.
What happened to E*TRADE after the acquisition
When Morgan Stanley took over E*TRADE, the company did not shut down or force all customers to move. Instead, Morgan Stanley kept E*TRADE operating as a distinct brand within its larger business. This is common in major acquisitions — the buyer maintains the acquired company's name and platform to avoid disrupting millions of existing customers and to preserve the brand's reputation.
Over time, Morgan Stanley has made changes to E*TRADE's backend systems and integrated some features with Morgan Stanley's own platforms. For example, E*TRADE's wealth management services now connect more closely with Morgan Stanley's advisory offerings. However, if you log into your E*TRADE account today, you will still see the E*TRADE interface, not a Morgan Stanley login screen.
Morgan Stanley has also gradually moved some E*TRADE functions to Morgan Stanley systems. This includes things like account clearing, settlement, and certain compliance operations. These changes happen behind the scenes and do not typically affect how you use your account.
How the ownership change affects your account access
Your E*TRADE account credentials — your username and password — remain the same. You log in the same way you did before the acquisition. Your account number, holdings, and transaction history are all still there. Morgan Stanley has not forced existing E*TRADE customers to create new accounts or migrate to a different platform.
That said, Morgan Stanley has introduced new options for E*TRADE customers who want to use Morgan Stanley services. For instance, if you hold a brokerage account at E*TRADE, you may now see prompts or options to link it with a Morgan Stanley wealth management account or to transfer assets to Morgan Stanley products. These are optional — you can ignore them and continue using E*TRADE exactly as before.
Some E*TRADE services have been consolidated or renamed as part of the integration. For example, E*TRADE's professional advisory services have been aligned with Morgan Stanley's advisory structure. If you use E*TRADE's advisory services, you may notice changes to how those services are branded or delivered, but the core functionality typically remains available.
Why Morgan Stanley bought E*TRADE
Morgan Stanley acquired E*TRADE to expand its retail customer base and strengthen its position in self-directed investing. Before the purchase, Morgan Stanley was primarily known as an investment bank and wealth manager for high-net-worth clients. E*TRADE brought millions of retail investors — people managing their own portfolios with smaller account sizes — into Morgan Stanley's ecosystem.
The acquisition also gave Morgan Stanley access to E*TRADE's technology platform, customer service infrastructure, and brand recognition in the retail investing space. Morgan Stanley saw an opportunity to offer E*TRADE customers access to its institutional research, trading tools, and advisory services while keeping E*TRADE's user-friendly platform intact for everyday investors.
What services remain available under E*TRADE
E*TRADE still offers the core services it always has: stock and options trading, mutual fund investing, retirement accounts (IRAs, 401(k) rollovers), and educational resources. The trading platform, mobile app, and customer support team continue to operate. You can still open a new E*TRADE account if you want to — Morgan Stanley has not closed the platform to new customers.
E*TRADE's educational content, research tools, and market data remain available to account holders. The company still publishes its regular market commentary and maintains its learning center for investors. If you use E*TRADE's cash management features or linked savings accounts, those services are still there as well.
One notable change is that E*TRADE's advisory services have been restructured. E*TRADE previously offered robo-advisory services (automated portfolio management) and human advisor services. These have been integrated with Morgan Stanley's advisory offerings, so the specific products and fee structures may differ from what existed before the acquisition.
How to check who owns your brokerage account
If you are unsure whether your account is held at E*TRADE or another brokerage, check your account statements or login page. Your statement will list the custodian — the legal entity that holds your assets. For E*TRADE accounts opened before or after the Morgan Stanley acquisition, the custodian is typically listed as E*TRADE Financial or a related E*TRADE entity.
You can also contact E*TRADE customer service directly. Call the number on the back of your debit card or the contact information on your account statements. A representative can confirm who owns and operates your account and explain any changes that may have occurred since you opened it.
If you are concerned about the ownership change or want to understand how it affects your specific account type, E*TRADE's customer service team can walk you through the details. They can also explain what options are available if you want to move your account elsewhere or consolidate it with other services.
Frequently Asked Questions
Do I have to move my E*TRADE account to Morgan Stanley?
No. Your E*TRADE account remains an E*TRADE account. Morgan Stanley owns the company, but you are not required to transfer your assets or merge your account with Morgan Stanley products. You can continue using E*TRADE exactly as you have been.
Will my E*TRADE fees or commissions change because of the ownership?
E*TRADE's core trading commissions and account fees have not changed as a direct result of the Morgan Stanley acquisition. However, fee structures can change for various reasons — market conditions, competitive pressures, or service updates. Check your account statements or contact E*TRADE customer service for current fee information.
Can I still open a new E*TRADE account?
Yes. Morgan Stanley has kept E*TRADE open to new customers. You can still open a brokerage account, retirement account, or other E*TRADE product through the E*TRADE website or app.
What happens to my E*TRADE account if Morgan Stanley sells it?
If Morgan Stanley were to sell E*TRADE in the future, your account would transfer to the new owner, just as it did when Morgan Stanley purchased it. Your holdings and account history would remain intact. Any sale would be announced publicly, and customers would receive notice of the change.
Is my money safe at E*TRADE now that Morgan Stanley owns it?
E*TRADE accounts are protected by the Securities Investor Protection Corporation (SIPC), which covers up to $500,000 per account (including up to $250,000 in cash). This protection exists regardless of who owns E*TRADE. Morgan Stanley's ownership does not change SIPC coverage or the security of your holdings.