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.
$7 for most
Message edited by: rainingsea on 2009-08-25 11:01:26 CDT
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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).
PM me if you want a referral bonus
Message edited by: walletfart on 2009-08-17 11:10:41 CDT
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.
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.
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.
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.)
syp5 said:check out choice trade, 4.95 flat
Message edited by: rainingsea on 2009-08-20 21:08:20 CDT
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.
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.
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.
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