| At some point most of us will want to choose a | | | | fine print. |
| stock broker. Stock brokers like most service firms | | | | Online access - Make sure that you can trade via a |
| vary a lot. Choosing a broker is about prioritizing your | | | | secure and robust web based trading platform and |
| investing needs and getting what you value. Your | | | | not have to install software from the broker. Stock |
| first pick for a broker may not have everything you | | | | trading (especially profitable stock trading) is difficult |
| want but be sure they have the most important | | | | enough with out not being able to trade because |
| things. | | | | you're not home. |
| Five features you need to review when looking for a | | | | Investment products - The investment product line |
| broker | | | | offered varies significantly from broker to broker. |
| Trading commissions - Investing means transactions | | | | Stock, bonds, and options are usually offered by |
| costs. While there is no way around this you should | | | | most and some brokers will expand into derivatives. |
| try to keep these to a minimum. One piece is | | | | You also should check if the broker has retirement |
| commissions. | | | | accounts and IRA's. It's important to get a broker |
| The commission rate will depend on the level of | | | | that has products you want. |
| service from that broker. Stock brokers that focus | | | | Check legitimacy - A very important step is to do a |
| on independent investors will have lower commissions | | | | quick background check on the broker. Stock brokers |
| than full service brokers. I personally choose lower | | | | must be registered with the Financial Industry |
| service brokers with low commissions and flat fees | | | | Regulatory Authority, which regulates securities firms |
| for stocks. | | | | in the U.S. Also make sure they have insurance |
| Minimum deposits and hidden fees - A lot of online | | | | through Securities Investor Protection Corporation |
| brokers require a minimum deposit to open an | | | | (SIPC). |
| account. Is the $10,000 minimum account size all right | | | | So be sure to keep these things in mind while looking |
| with you? No? Then move on. Also, some brokers, | | | | for a broker. Stock investing is challenging but with a |
| may offer $0 minimum, but then charge you a | | | | broker that fits your needs it will be that much |
| maintenance fee. This is when you want to break | | | | easier. |
| out the magnifying glass and be sure to read their | | | | |