One of the advantages of using Webull is that you can buy fractional shares. This post will show you how.
What are Fractional Shares?
A fractional share is less than a full share in a company.
In other words, it’s a fraction of a share.
Fractional Share trading gives you the ability to purchase an equity position with a quantity of less than one whole share. Instead of having to buy a security in full share increments, this allows you to purchase a piece of stock for an amount that you feel comfortable with. Webull offers fractional shares for most stocks and ETFs that are available on our platform.
Why do people trade fractional shares?
There are many high-priced stocks that are trading for hundreds and even thousands of dollars per share. Someone with a limited amount of capital may have difficulty choosing which investments make sense for them. Fractional share investing eliminates this constraint by allowing you to invest with as little as $5. The ability to purchase fractional shares lowers the barrier of entry into the stock market which creates opportunities for investors at every level.
To maybe extrapolate this a bit, for people with a limited budget to invest, but want to construct their own diversified portfolios (based on the stocks that they are interested in), this is made possible by purchasing fractional shares.
For example, the current price of an Apple Inc Stock (APPL), at the time of writing cost US$151.03 (S$203.17). This may be too high a price for some retail investors. They can instead choose to buy 0.1 shares at US$15.10 or even 0.01 shares at US$ 1.51.
Fractional shares also make it easier for people to invest the desired amount in a company’s stock.
Another advantage of Webull is that trading Stocks, ETFs, and Options on Webull are commission free, except for certain index options which are assessed a contract fee. Relevant and regulatory and exchange fees also apply.
Investors can enjoy access to trade US and HK stocks in fractional shares with zero commission fee, plus there are no minimum requirements, no limits on commission-free trades, and no platform fees.
Step-by-Step Guide to buying Fractional Share:
First, find the stock you want.
Click on the red highlighted symbol below.
Key in the name of the stock.
Click Trade.
You will notice that if the Order Type is “Limit”, and when you try to key in the Quantity, there is no decimal “.” next to the “0”.
What you need to do now is to change the Order Type to “Market”. This step is critical.
Now under Amount in Share, you can key in a value that is less than 1 (eg. 0.1 or even 0.01).
Check the details and then if it is ok, click confirm. You can check your Webull portfolio to check if the fractional Share is indeed in your portfolio.
There you have it. Easy-peasy.
Thank you for reading.
Webull
Sign up for a Webull account via my referral link and get 5 shares worth between US$50 ~ US$500, before 15 March 2023!
StocksCafe
FYI I find StocksCafe useful for the tracking of my own portfolio, and especially like to use it to track my portfolio stock dividend/bond interest payouts (projected and due). You can use my referral code: apenquotes. Just click here. Upon signing up using the referral code, you will get to enjoy being a Trial Global Friend of StocksCafe and test out all features for free for one month!
Please follow me at StocksCafe, via my StocksCafe profile page.
Tiger Brokers
For the Singapore market, Tiger Brokers currently waive the minimum fee and only charge a 0.08% trading fee. This drastically reduces your cost as the minimum fee from other brokers (ranging from SGD 8 such as FSMOne and SCB, to SGD 25 for local brokerages) does add up and can eat into your returns.
Tiger Broker Referral Code:: GPE59H
Promotion Period: 16:00 06/12/2022 – 15:00 28/02/2023(SGT)
Sign up and open an account with Tiger Brokers (Singapore) during the promotional period to receive a free GoPro Share (NASDAQ: GPRO), 365 Days of unlimited commission-free trades for HK, SG, and China A stocks, 180 Days of unlimited commission-free trades for U.S stocks, 5 commission-free trades for options within 30 Days and 1 month Ryde+ subscription.
Sign up here.
FSMOne.com
Typically I use FSMOne.com to invest in funds & ETFs (including money market funds).
If you do not have an account, you can sign up here. Please use my FSMOne referral code: P0031127, when you sign up.
Shopee
I have been using Shopee for a while and think you will like it as much as I do.
Get $10.00 off your first purchase using my code DARREB52.
Download Shopee now and enjoy hot deals at the best prices! Click here.
Happy shopping!
Gemini
As stated by MoneySmart on Jan 22, if you’re looking to optimise trading your crypto with relatively low fees, simple-to-grasp expert UI and ease of purchase with Singapore dollars. then the best crypto exchange in Singapore is Gemini,
If you do not have an account, you can sign up here using my referral link. After you have signed up, once you buy or sell US$100 or more (or 100 USD equivalent of your domestic currency) within 30 days of creating your account, your account will be credited US$10 (or 10 USD equivalent of your domestic currency) worth of bitcoin.
A Pen Quotes 