I am new to investing in stocks. Which is best for a beginner...Sharebuilder, Sogoinvest, or Firstrade?
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I too have heard lots about Sharebuilder and little about Sogo - but that may only mean Sogo is just newer kid on block.
Some things to consider though:
1. Depending on how you wish to invest, Firstrade or similar brokerage may not be more expensive. For the automatic programs, you are paying an initial fee and/or a set commission every month. $4 a month for several months adds up. But if you buy a stake one time and then hold it (rather than adding to it monthly) then with the right brokers you will pay $10 or less.
2. Don't know how good Firstrade is, but similar options include tdameritrade.com and scottrade.com
There are many companies where the initial minimum is $1,000 or less to start investing. So your options are plenty.
You may also want to consider mutual funds. No commissions for the right ones (such as troweprice.com and vanguard.com ) - and you have professional managers investing in multiple stocks for you (rather than you trying to do your own stock-picking). Instant diversification is another advantage (getting pieces of many companies for that same initial investment you may throw all at just one or two companies via the options you mention). And again, investment minimums are low with many of them. (T Rowe Price will even let you set up automatic investments of at least $50 / month without any initial up-front investment!) I strongly recommend this route unless you really want to be a stock-picker.
I use Sharebuilder and have had success thus far. I have a 401K plan and that is my primary security blanket. I use the Sharebuilder account as more of a leisurely investment account. I invest there almost like a gambler places bets. I have my gains and losses, but it is okay, since I never invest more than I can afford to lose. I think the $15.95 for trading fees for Sharebuilder is a bit steep. When I calculate whether to buy or sell stock, I always include the transaction fee because that often cuts deep into my profits (I usually buy/sell in increments of $500 at a time). Although I don't do it, I recommend you look into some of the ETFs (I think that is the name). Basically, you complete a questionaire that determines your goals and risk tolerance. Sharebuilder then recommends funds that satisfy your needs. The idea is that you invest in funds that combine several companies, as opposed to gambling that 1 or 2 companies will do well. You should make informed decisions, rather than decisions you grow to regret. Good luck.
Sogoinvest is very good online brokeage to trade.
You get to have 90 days to buy/sell for only $1, then it is $3 if you subscribe to bronze.
if you want free trades and don't want your money or profits eaten up by commisions go to zecco.com they have up to 40 free trades per month but you will need to deposit $2500. I know if your only putting in a few hundred dollars or less per stock your going to need gains of anywhere from 5-20% just to break even with a commision so free trading will be a great advantage. Otherwise sogo is the cheapest I know of with no minimums
But Beware the cheaper brokerage firms charts and information available is substantially less than what you would get at a online broker like td ameritrade $10 a trade
with advanced charting, fundamentals and much more. You could put enough money in an account like td ameritrade that has great charts and use their charts and info. which when I started with ameritrade there was no minimum. Then use the advanced charts of your one broker and trade with your discount broker.
Hey, THE MAN, Is that right? If I invest $2500, there is no charge? I need more details how can I do that.
Best answer right here. Im Currently with Banc of America Brokerage, Which is off of the bank Bank of America. I pay only $5 per trade no matter how small or big. No inactivity Fees No Start up fees. Just get a free student checking account at bank of America with online banking, and then open a banc of America investment brokerage account online for free and transfer some cash, they have decent material but no doubt they will upgrade as for now, Use QuoteTracker to research and Stream Your Real-Time Quotes, Only $5 a Trade Everywhere else Charges you more! In Fees or In the trade itself, Banc of America HAS NO EXTRA FEES if you do everything online,
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