| |
 | See our Online Broker
Commission Comparison Table |
| You can make a trade for $8 on Ameritrade, however, trading with a limit
order will cost $13, and trading options will cost a minimum of $29. |
| The average online commission was between $15 & $16 for '98 & '99
according to investment firm Credit Suisse First Boston. |
| Traditional brokerages are lowering their prices to become competitive. |
| Cost |
| Ease of use |
| Access to a lot of information |
| You need to be a do-it-yourselfer. |
| Technical glitches have left customers unable to view their account
information for periods of time. |
| Trades can get backed up during periods of high activity. Customers
have thought their trade didn't go through, and placed it a second time
resulting in duplicate purchases. |
| Scams abound in the virtual world just like in the real one. People
have "leaked" incorrect information in investing newsgroups that
drove the prices of stocks up or down. |
| The low cost and ease of emailing bogus information to investors makes it
easy to reach lots of potential victims. |
| Some investors have become addicted to the excitement of online trading. |
What kind of trader are you:
I want a lot of help & advice
I need tools to help me decide (research, screening tools, charts, etc.)
I just want to trade cheaply & easily
Ease of Use
| Don't use if you have trouble navigating the site! Some sites have
demos to help you decide. |
Commissions
| See our Online Broker
Commission Comparison Table |
| Suggestion: Limit Orders
will add roughly $3 - $5 to the cost of your trade, but may be well worth
using. |
| Trading above 1,000 or 5,000 shares at a time may add surcharges to the
advertised price of some online brokers. |
Types of investments available
| Generally, you may trade stocks, stock options, and mutual funds. |
Research tools available
| Online portfolios |
| Real-time stock quotes |
| Research reports |
| Charting services |
| Worksheets & calculators to manage personal finances |
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