-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 O3SugIcKSaieJLI6LFb5QsSjUMJu+nEIJjsIzd3Kcwc1RmBkGcBsiN0mkUf/eQhB
 gfCmmooulirIxeaUk1d3Cw==

<SEC-DOCUMENT>0001181431-03-010214.txt : 20030606
<SEC-HEADER>0001181431-03-010214.hdr.sgml : 20030606
<ACCEPTANCE-DATETIME>20030605213018
ACCESSION NUMBER:		0001181431-03-010214
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20030603
FILED AS OF DATE:		20030606

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			GELBARD ARLEN W
		CENTRAL INDEX KEY:			0001197947

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-11921
		FILM NUMBER:		03734970

	BUSINESS ADDRESS:	
		STREET 1:		4500 BOHANNON DR
		CITY:			MENLO PARK
		STATE:			CA
		ZIP:			94025
		BUSINESS PHONE:		6503316000

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			E TRADE GROUP INC
		CENTRAL INDEX KEY:			0001015780
		STANDARD INDUSTRIAL CLASSIFICATION:	SECURITY BROKERS, DEALERS & FLOTATION COMPANIES [6211]
		IRS NUMBER:				942844166
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		4500 BOHANNON DRIVE
		CITY:			MENLO PARK
		STATE:			CA
		ZIP:			94025
		BUSINESS PHONE:		6503316000

	MAIL ADDRESS:	
		STREET 1:		4500 BOHANNON DRIVE
		CITY:			MENLO PARK
		STATE:			CA
		ZIP:			94025
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>rrd10617.xml
<DESCRIPTION>FORM 4
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>
    <schemaVersion>X0101</schemaVersion>

    <documentType>4</documentType>
<periodOfReport>2003-06-03</periodOfReport>
<notSubjectToSection16>0</notSubjectToSection16>
    <issuer>
        <issuerCik>0001015780</issuerCik>
        <issuerName>E TRADE GROUP INC</issuerName>
        <issuerTradingSymbol>(ET)</issuerTradingSymbol></issuer>
<reportingOwner>
<reportingOwnerId>
            <rptOwnerCik>0001197947</rptOwnerCik>
            <rptOwnerName>GELBARD ARLEN W</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>  </rptOwnerStreet1>
            <rptOwnerStreet2>  </rptOwnerStreet2>
            <rptOwnerCity>  </rptOwnerCity>
            <rptOwnerState>  </rptOwnerState>
            <rptOwnerZipCode>  </rptOwnerZipCode>
        </reportingOwnerAddress>
            <reportingOwnerRelationship>
<isDirector>0</isDirector>
<isOfficer>1</isOfficer>
<isTenPercentOwner>0</isTenPercentOwner>
<isOther>0</isOther>
<officerTitle>Chief Banking Officer</officerTitle>
<otherText></otherText></reportingOwnerRelationship></reportingOwner>
<nonDerivativeSecurity>
<securityTitle>
<value>Common Stock</value></securityTitle>
<transactionDate>
<value>2003-06-03</value></transactionDate>
<deemedExecutionDate>
<value>2003-06-03</value></deemedExecutionDate>
<transactionCoding>
<transactionFormType>4</transactionFormType>
<transactionCode>A</transactionCode>
<equitySwapInvolved>0</equitySwapInvolved></transactionCoding>
<transactionTimeliness>
<value></value></transactionTimeliness>
<transactionAmounts>
<transactionShares>
<value>187500</value>
<footnoteId id="F1"/></transactionShares>
<transactionValue>
<value>7.6600</value></transactionValue>
<transactionAcquiredDisposedCode>
<value>A</value></transactionAcquiredDisposedCode></transactionAmounts>
<postTransactionAmounts>
<sharesOwnedFollowingTransaction>
<value>197150</value></sharesOwnedFollowingTransaction></postTransactionAmounts>
<ownershipNature>
<directOrIndirectOwnership>
<value>D</value></directOrIndirectOwnership>
<natureOfOwnership>
<value></value></natureOfOwnership></ownershipNature></nonDerivativeSecurity>
<derivativeSecurity>
<securityTitle>
<value>Non-Statutory Stock Option (right to buy)</value></securityTitle>
<conversionOrExercisePrice>
<value>7.6600</value></conversionOrExercisePrice>
<transactionDate>
<value>2003-06-03</value></transactionDate>
<deemedExecutionDate>
<value>2003-06-03</value></deemedExecutionDate>
<transactionCoding>
<transactionFormType>4</transactionFormType>
<transactionCode>A</transactionCode>
<equitySwapInvolved>0</equitySwapInvolved></transactionCoding>
<transactionAmounts>
<transactionShares>
<value>562500</value></transactionShares>
<transactionValue>
<value>0</value></transactionValue>
<transactionAcquiredDisposedCode>
<value>A</value></transactionAcquiredDisposedCode></transactionAmounts>
<exerciseDate>
<value>2004-06-03</value>
<footnoteId id="F2"/></exerciseDate>
<expirationDate>
<value>2013-06-03</value></expirationDate>
<underlyingSecurity>
<underlyingSecurityTitle>
<value>Common Stock</value></underlyingSecurityTitle>
<underlyingSecurityShares>
<value>562500</value></underlyingSecurityShares></underlyingSecurity>
<postTransactionAmounts>
<sharesOwnedFollowingTransaction>
<value>562500</value></sharesOwnedFollowingTransaction></postTransactionAmounts>
<ownershipNature>
<directOrIndirectOwnership>
<value>D</value></directOrIndirectOwnership>
<natureOfOwnership>
<value></value></natureOfOwnership></ownershipNature></derivativeSecurity>
<footnotes>
<footnote id="F1">(1)Grant of restricted stock issued pursuant to the E*TRADE Group, Inc. 1996 Stock Incentive Plan.  The individual&apos;s right to retain these shares does not vest in any part until the five (5) year anniversary of the date of the grant, at which time the right to retain the shares vests in full.</footnote>
<footnote id="F2">(2)The option becomes exercisable in four (4) equal annual installments beginning on the first anniversary of the date of grant.  Option was granted pursuant to the E*TRADE Group, Inc. 1996 Stock Incentive Plan.</footnote></footnotes>
<ownerSignature>
<signatureName>Arlen W. Gelbard, by Russell S. Elmer, his attorney in fact</signatureName>
<signatureDate>2003-06-05</signatureDate></ownerSignature></ownershipDocument>


</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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