Thanks for that excellent piece of advice, it cleared things up for me in a very simple way. Actually all of the comments helped me so thanks to all who shared.
Yes the more orders you have the more you pay in transaction fees. It is better to buy that 100 in bulk. Also when buying stock on the low end of the price scale, I've not had that problem.
Thanks very much for this tip. It's something that we really need to learn when we start up, but a lot of people try and invest big early on, and end up getting disheartened when it doesn't work out as quick as they expected.
I agree with Crimson. I think this is a valid tip for day traders. Long term people have little to no effect with this one.
What types of problems are you referring to... and why is this anyways? As far as I know trades are executed in order that they are placed by the brokerage. What type of stocks have you been trading anyway? You should be able to execute no problem 100 shares block trades. I'd ignore this guys suggestion unless provide credible reason or proof that you'll run into any problems. Judging by what's been said, it sounds like a noob trying to give advice to other noobs to me.
An article just came out today about Apple's stock split by the the financial post. And guess what? If anything you should be buying round lots rather than odd lots. http://business.financialpost.com/2014/04/25/apple-incs-stock-price-matters-10-factors-to-consider/ At the end of the day, if you trading blue chips it shouldn't really matter. But if anything your giving people faulty advice.
Whats bad about this is that my bank takes 8€ for every buy or sell order I make and complete. So if I buy 100 shares worth 0.01€ I pay 1€ for the shares and 8€ for the bank. That's bullshit in my opinion.
Ya... that's how it works in most banks. I pay $25 per trade with my bank. That's why you should just go with an on line discount broker like interactive Brokers. It's a $1 per trade, so that way you can make smaller trades and they will at least still make sense.
Your paying for the convenience of setting up your account basically. No serious trader or investor with less than a 50k portfolio should even consider it. It's there to profit from Granny's that don't know any better.
