Updated on 08/25/09 Another broker looks good is Just2trade. $2.5 flat "Our online commissions include all order types, unlimited shares, and stocks at all price levels."
I did a lot of research on this but most brokers will charge you $$/share/trade for penny stocks. I start this topic now and will update when I got time. If you have any good info, we can share.
Brokers //commission fee($)/transaction //additional fee for stock <$1 Scottrade //7 //0.5% of the principal value TD Ameritrade //9.99 //0 zecco //4.5 //0 Sogotrade //3 //0.5% of principle, $3 Minimum Optionshouse //2.99 //0.01 per share if stocks < $2 Bank Of America //5 //0 TradeKing //4.95 //$0.01 per share on the entire order for stocks < $1.00 Charles Schwab //12.95-8.95 //0 Just2trade //2.50 //0
So far, my vote goes to Bank of America More update on BOA: 1)You have to maintain $25000 in your ban account but not the investment account; 2)After 30 free trade per month, they will change $5-$10 per trade.
$5 is for
Premier: Requires $100,000 in combined deposits, investments, lines of credit and loans (not including a first mortgage), or $500,000 in combined balances (including a first mortgage).
Private clients : Requires more than $3 million in assets. A financial advisor and a team of experts manage all of your wealth management needs, including tax and retirement planning, trusts and wealth transfer, credit solutions, and investment portfolio management.
zecco has $4.50 flat rate, best I could find. However, their order execution does some funky things and can cost you more than the commission due to lower quality execution (most discount brokers work this way).
A cheaper way to trade penny stocks with less commission would be to take the money you want to invest and burn it with a cigarette lighter.No! Spending it on H&B in the true FWF spirit! Just don't use pennies for tips at the strip club.
davef139
Senior Member - 3K
posted: Aug. 18, 2009 @ 6:42p
Shouldnt you be more concered with execution rather then commission prices when doing penny stocks? If anything cal around to make sure you can buy too, Scottrade has some restrictions they wount let me buy a few tickers which I was looking at but the mkt cap was only about 200mil. that can be my only guess as to why not. never called, and isntead just bought options on my other account heh.
rainingsea
Senior Member
posted: Aug. 19, 2009 @ 10:24a
I've tried Scottrade and TD Ameritrade, they execute pretty quick. I have a zecco account too but haven't tried to order during the peak time.
rainingsea
Senior Member
posted: Aug. 19, 2009 @ 10:25a
They charge 0.01 per share if stocks < $2, which would be a lot of money if I order 1M shares
I believe some broker will charge you extra if you trade over a number of shares.
For example, Schwab said $12.95, but that's only up to 1000 shares. If you buy penny stocks, I am sure you will buy more than 1000. So it will cost you extra, or more than $12.95.
Same go to Fidelity. I checked the other day, I think it was $19.95 per transaction, but up to 1000 shares. I placed an order just to test it out, fees go to $30+ for 2300 shares.
So BEWARE of the limit number of shares per transaction.
syp5
New Member
posted: Aug. 20, 2009 @ 4:41p
check out choice trade, 4.95 flat
rainingsea
Senior Member
posted: Aug. 20, 2009 @ 9:07p
Sounds good. Here is from their pricing:
Stocks $5.00 Per Trade, No Share Limit, No Surcharge for stocks under $2.00 per share. Day + EXT Trades = $5.00 per trade plus $0.005 per share (Extended Hours Trades)
Direct Access $0.005 per share and lower (subject to a $1.00 per trade minimum). Active Trade discounts are available — email service@choicetrade.com for details. (Direct Access via ChoiceTrader Select. ChoiceTrader Select is free; however, an eSignal subscription, which is offereed to ChoiceTrade customers at a discount, is required. Choicetrade may provide a rebate of the eSignal subscription based on volume.)
I just knew that tripleB would show up in a thread that talked about PENIS stocks... misreading PENNIES stocks.
OP, that FAX tip you got is worthless... better to find a broker that lets you SHORT PENIS (oops, meant penny) stock.
It is a PUMP and dump scheme....
ganeshyb
New Member
posted: Aug. 20, 2009 @ 10:48p
I am using Scottrade and it works pretty good and they have good order execution, If some one wants i can send coupon code which gives 3 free trades when you open an account with them.
rainingsea
Senior Member
posted: Aug. 21, 2009 @ 11:27p
I have scottrade account but their 0.5% principle for stocks < $1.00 kills me since I'm trading millions of shares (total cost from $500 to $30,000 so far) I have to pay $7+2.5=$9.5 to $7+150=$157 per trade.
ganeshyb said: I am using Scottrade and it works pretty good and they have good order execution, If some one wants i can send coupon code which gives 3 free trades when you open an account with them.
Zecco and Choicetrade seem like the best deal. I have bought pennies with Zecco before on limit order and they do give the best available price.
MyDiscoverSucks
Member
posted: Aug. 23, 2009 @ 1:42a
A lot of people think they're going to find the next Microsoft by buying penny stocks.
They're in for a surprise when they end up buying the next companies to go bankrupt.
rainingsea
Senior Member
posted: Aug. 23, 2009 @ 2:10p
I agree with you. Investing on penny stocks is high-risk and high-reward business. It can increase your portfolio 10x within a few months but can also drop you balance to 1/3 overnight. My strategy is that before buying any, do you homework. For each stock, limit the amount of money you put in. For good ones, put as much as you can (for example, with HTDS recently. I wish I bought several more million shares of HTDS when it was 0.001). In general, I will divide my $5000 investment into 10 stocks. I actually bought 1.2M shares of HTDS at 0.001, of course, when I saw the potential.
MyDiscoverSucks said: A lot of people think they're going to find the next Microsoft by buying penny stocks.
They're in for a surprise when they end up buying the next companies to go bankrupt.
rainingsea
Senior Member
posted: Aug. 23, 2009 @ 2:12p
Another thing about the penny stocks is: DON'T chase the stock. Once it's up, wait patiently. For ten stocks, you may miss one or two but for the rest eight or nine, they will come back to where they were before.
rainingsea
Senior Member
posted: Aug. 23, 2009 @ 2:15p
I'm using zecco right now. A lot of people are complaining their slow action on buy or sell. I haven't tried to buy or sell those hot stocks. SO I can't comment on this. I used limit order to buy or sell and they seem okay.
How fast Choicetrade execute? Anyone has a idea? Thanks
calwatch said: Zecco and Choicetrade seem like the best deal. I have bought pennies with Zecco before on limit order and they do give the best available price.
ElmoNY
Shopaholic Member
posted: Nov. 6, 2009 @ 6:52a
I am currently using OptionsHouse and it is really good. However, the problems for me is that when I trade stocks that is less than $2, the cost really adds up ($2.95 + $0.01 per share). Thus, I am consider other brokerage without the additional fee for penny stock. I am debating between Zecco vs TradeKing.
My personal pros and cons of each brokerage are: Zecco: no additional fees, but bad customer service and charges $50 a year for their GainsKeeper tool Tradeking: good customer service, free Maxit Tax Manager, but charges $0.01 cent per stock less than $1
What are ppl's experiences with these two brokerages? I can't decided between the two... =/
Why does everyone who is shilling some MLM scheme, or pitching penny stock investment, always include the "do your homework" caveat? What they hell is that supposed to mean... other than the obvious deflection of responsibility for failure.
rainingsea
Senior Member
posted: Dec. 14, 2009 @ 10:57p
jameshasty said: tripleB said: Get a hot stock tip in your email?
A cheaper way to trade penny stocks with less commission would be to take the money you want to invest and burn it with a cigarette lighter.
Beat me to it.
Penny stocks are for suckers.
Personal attack is bad. If you don't like penny stocks, just stay away from them. As most of us know, penny stocks are high-risk and high-return. So play with cautions. Another rule is always to play with the money you can afford to lose. Before you invest, always do you research about the company. Invest in the companies who have the potential. Check VRMLQ if you don't believe me. rainingsea
xerty
Senior Member - 2K
posted: Dec. 15, 2009 @ 12:35a
I do some special situations investing, mostly fundamentally driven. I didn't set out to trade penny stocks, but you sometimes do find opportunities there. I have found several very good penny stock trades recently like this, where the risk was low and the returns were good. I use Ameritrade, with a fixed price for any number of shares ($10, maybe a little less if they like you). Not the cheapest, but not bad.
couponhed
Senior Member
posted: Dec. 16, 2009 @ 6:21a
rainingsea said: I agree with you. Investing on penny stocks is high-risk and high-reward business. It can increase your portfolio 10x within a few months but can also drop you balance to 1/3 overnight. My strategy is that before buying any, do you homework. For each stock, limit the amount of money you put in. For good ones, put as much as you can (for example, with HTDS recently. I wish I bought several more million shares of HTDS when it was 0.001).
This is why FW maintained a ban on discussion of individual stocks for so long.
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