I am wanting to start investing in the market but do not have the "start-up" money that many brokers require. I want to invest around $50/month into several stocks and do not need advise(at this time) offered from a full broker. Does anyone have any suggestions about which brokers to use, or not to use, and why you like/dislike them. Thanks.
Take a look at the DRiP message boards. Dividend Reinvestment Plans (aka DRiPs) are a good way to invest on a regular low-cost basis.
You may want to take a look at BUYandHOLD.com. They are setup for the kind of investing you are talking about. You can purchase fractional shares, setup automatic monthy investments for dollar cost averaging, and have dividends reinvested. The cost for each trade is $2.99 for purchases. And you can open the account for as little as $20. They are not currently setup so that you can purchase shares in all companies so make sure you verify that the companies you want to purchas are on their list (or you can request that they be added).JeffP.S. They charge more (I think $5.00 for sales but then they are setup for people who want to Buy and HOLD not just trade.
You might also check into an index mutual fund which lets you in with smaller amount if you contribute on a regular basis. Then when the fund builds up you may find individual stock purchases where the broker commissions don't eat you alive.
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |