Compare TD Ameritrade and Wealthfront on fees, DRIP, fractional shares and research for dividend investing.
Updated August 26, 2026
Important update: TD Ameritrade no longer exists as a standalone brokerage. Charles Schwab acquired it in 2020 and completed the account migration in May 2024 — you can’t open a TD Ameritrade account today. So this comparison is really Charles Schwab vs Wealthfront: a full-service $0-commission brokerage against a robo-advisor charging 0.25% annually. They’re opposite answers to the same question — do you want to pick your own dividend stocks, or have a portfolio managed for you? The up-to-date version of this page is our Schwab vs Wealthfront comparison, linked below.
For dividend investors the split is clean. Schwab (4.8/5) offers free per-security DRIP, individual dividend stock selection, and the thinkorswim platform TD Ameritrade users loved. Wealthfront (4.6/5) automatically reinvests every dividend across its ETF portfolios, runs daily tax-loss harvesting, and offers a dividend sweeping option that routes dividends to its high-yield Cash Account instead — genuinely useful once you shift from accumulating to living off income.
The legendary thinkorswim platform lives on under Schwab. All TD Ameritrade accounts have been migrated—new customers should open a Schwab account directly.
A sophisticated robo-advisor with daily tax-loss harvesting, automatic dividend reinvestment, and direct indexing for larger accounts—designed for hands-off wealth building.
| Feature | TD Ameritrade | Wealthfront |
|---|---|---|
| Our Rating | 4.7/5 | 4.6/5 |
| Trading Commissions | N/A | N/A |
| Account Minimum | N/A | $500 |
| Fractional Shares | N/A | N/A |
| DRIP | Via Schwab | Automatic |
| Research Tools | Good | Basic |
| Best For | Former TD Ameritrade Customers | Tax-Conscious Investors |
Want the full breakdown of fees, DRIP, and research tools? Read our TD Ameritrade review and Wealthfront review.
Decide by how hands-on you want to be. If you want to build your own dividend portfolio — picking stocks, timing buys, running screeners — Schwab is the answer, and it’s where former TD Ameritrade accounts already live, thinkorswim included. If you’d rather automate everything, Wealthfront’s 0.25% fee buys automatic dividend reinvestment, daily tax-loss harvesting, and direct indexing at $100K+ that a self-directed broker simply doesn’t do for you. Former TD users happy at Schwab have little reason to move; new hands-off investors should look hard at Wealthfront.
Charles Schwab acquired TD Ameritrade in a $26 billion deal and finished migrating all accounts in May 2024. TD Ameritrade no longer accepts new customers and its website redirects to Schwab. Its best feature — the thinkorswim trading platform — survived and is free for Schwab customers.
Schwab if you want to choose your own dividend stocks: $0 commissions, free per-security DRIP, and real research tools. Wealthfront if you want it automated: dividends across its ETF portfolios reinvest automatically, and a “dividend blue chips” collection is available if you want to add individual income stocks on the side.
Yes — automatic reinvestment is the default in Wealthfront portfolios, so dividends never sit as idle cash. You can also flip on dividend sweeping, which sends dividends to Wealthfront’s Cash Account instead, turning your portfolio into a passive income stream without selling anything.
Wealthfront charges 0.25% annually on automated accounts (about $25 per year on $10,000) with a $500 minimum, plus underlying ETF expense ratios; its self-directed Stock Investing Account is fee-free. Schwab charges no advisory fee at all — $0 stock and ETF trades, $0.65 per options contract, free DRIP — but nothing is managed for you.
Not sure these are the right fit? Explore more comparisons.
Investing involves risk, including possible loss of principal. Past performance does not guarantee future results. This content is for informational purposes only and should not be considered investment advice.