E-Trade launches fixed-income tools

E*Trade Financial Corp. today announced the launch of a series of online tools aimed at helping its customers select fixed-income products. The new tools include a fixed-income funds selector and a 30-day price history on corporate and municipal bonds. The firm also redesigned its bond page to include more educational information. E*Trade created the tools in response to growing investor demand for fixed-income products, said Liat Rorer, vice president for investment products at the New York-based online financial firm. Investors began focusing more on diversification of their investments over the past two years, she said. “Fixed income is an important asset class and one that is becoming more important in people’s portfolios,” Ms. Rorer said. “People knew that they should be diversified. This market has underscored that.” The new fund selector requires investors to submit information about their investment time horizon, risk tolerance and tax preference. The tool will then provide them with about five recommendations of bond funds and exchange traded funds, she said. “The price history shows you what the security has been trading at, so you can see if what you are paying is a good price,” Ms. Rorer said. The firm also plans to add more educational materials about fixed income products to its site in the coming months.