The ETFs can be bought and sold online without commission in Schwab accounts, regardless of the number of shares traded.

“These ETFs will accelerate that growth and appeal to a broad range of investors: from registered investment advisors, to individual investors. Only 16 per cent of our individual investors currently own ETFs and 43 per cent of advisors who custody with Schwab told us this summer in our semi-annual Advisor Outlook Study, that they plan to increase their usage of ETFs in the next six months,” said Walt Bettinger, Schwab chief executive officer.

Commission free trading will be made available to both individual Schwab investors as well as independent investment advisor firms who use Schwab’s custodial services through Schwab Advisor Services and through Schwab retirement accounts that permit trading of ETFs. The Schwab ETFs will still be tradable on other exchanges.

It is hoped that the ETFs will appeal especially to investors looking for only modest dollar cost averages.