Tagged Questions

An individual/entity who helps buy or sell a tradable asset. Often used with stocks, bonds, options, foreign-exchange. Related tag is brokerage, the fees charged by the broker.

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124 views

Interactive Brokers Margin Accounts

I've read the margin documentations on IB but am not sure given the following scenarios. I have a reg-t margin account trading stocks/etfs. Scenario 1: I do weekly re-balancing of a portfolio of ...
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0answers
34 views

Which online brokers offer free or cheap IRA conversions and transfers?

I am considering to a backdoor conversion between a traditional IRA and a Roth IRA. The problem is my current broker's FAQ states that they don't support IRA conversions at this time. Does anyone ...
3
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1answer
118 views

I'm a UK citizen, can I use US stockbrokers?

I want to invest in global stocks and I like the look of several US based online stock brokers. Is there a difference using one of these stock brokers instead of a UK based one? How does a UK based ...
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2answers
104 views

Online broker available in Europe - to buy index funds or ETF with small investments

So i am trying to start investing periodically some small amounts. I am particularly interested in index funds or ETF. I would like to be able buy, track, sell them, and etc online. There are a lot ...
2
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2answers
145 views

Can I trade more than 4 stocks per week equally split between two brokers without “pattern day trading” problems?

Do pattern day trading issues arrive from having to many trades (4+) per week based on account or person? If I had another brokerage account at a different firm could I use this to increase the number ...
3
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0answers
27 views

What is the added advantage of a broker being a member of NFA in addition to IIROC

If my broker is a member of the national futures association, what extra protection does it give me over the fact that it is also a member of IIROC? I am particularly referring to this: ...
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2answers
191 views

ISA trading account options for US citizens living in the UK

I am looking for an ISA trading account that can be opened by US citizens that are UK residents. There seems to be a general trend towards brokers in the EU not wanting to do business with US ...
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2answers
133 views

Stock market order execution

I want to know how an order gets executed at exchange level once I place an order through an online broker. If i place a buy order for 1000 shares of XYZ Company, does it execute at one exchange? or ...
0
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1answer
166 views

Stock Trade Transaction Fee - at what point is it worth it

I have a question regarding the transaction fees that brokers charge and to what extend that put a limit on the minimum amount of shares it is worth buying and how often you can/should trade them. ...
2
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2answers
381 views

How do brokers make money from margin accounts?

How do brokers make money when they lend customers money to trade on margin? Let's say someone deposits $30,000 into an account and is given power to purchase $60,000 worth of securities. The person ...
4
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3answers
132 views

Is there any reason to diversify your investments across accounts at multiple/different brokers?

I have a few retirement accounts at Vanguard. I am considering opening a regular non-retirement investment account there. Is there any reason to diversify and open the new account with a different ...
1
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1answer
86 views

What happens if a Financial Services Company/Stockbroker goes into administration in the UK?

In the UK the Financial Services Compensation Scheme backed by government protects savings in standard bank accounts up to £85,000 per bank. What effects might there be if a financial services ...
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1answer
135 views

How to calculate how far a stock price can drop before a broker would issue a margin call?

Let's say the margin requirement for a stock XYZ is 50%. The current price of XYZ is $150/share. Let us say I put in $100, and borrow $50 from the broker to buy a share. Typically, how far can the ...
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2answers
191 views

What do brokers do with bad stock?

I'm new to financial markets and how they work is still fuzzy, so bear with me. This question actually has multiple questions :( ... and a bit of a story. I was watching a YouTube video on the ...
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1answer
93 views

Can you identify this broker/trading platform by looking at this picture?

Can someone identify what broker or trading platform this is?
1
vote
1answer
147 views

Who pays the fee on a NYC no-fee co-broke apartment rental?

I know the following is true (or if it's not, please correct me!): a) If my broker shows me a place that has a fee that's listed by another broker, then they split the fee (i.e. a typcial co-broke ...
2
votes
1answer
109 views

What questions should I ask a mortgage broker when refinancing a condo in Wisconsin?

I live in Wisconsin. I'm trying to refinance my condo right now. I have next to no experience with refinancing, but I'd like to do some research on the subject before I start asking these questions, ...
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2answers
190 views

Trading US stocks from India

I used to live in US on H1B visa. I have opened a trading account in US. Now I have moved back to India but I am still doing trading with US account. Also I have not closed my bank account in US. My ...
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1answer
144 views

Margin account: how to calculate the stock price that might trigger a liquidation of positions?

For example, I have an account at IB. The margin requirements are here: https://www.interactivebrokers.com/en/index.php?f=margin&p=stk Reg T Margin IB Initial Margin 25% 1 * Stock Value ...
3
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1answer
609 views

How do brokers handle “hidden” stock orders?

Some brokers offer the feature of making stock orders "hidden," which effectively hides them from bid/sell/deepbooks. How exactly does this work? See this example from Interactive Brokers.
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2answers
859 views

Why don't brokerages charge commissions on forex trades?

Why don't brokerages charge commissions for forex trading but do charge them for stock trading? Is it because the high liquidity of the forex market makes it easier to buy and sell, so brokerages ...
2
votes
1answer
113 views

Cheapest way to trade ETF and mutual funds in UK for an ISA account?

I'm new to UK and currently only have a cash ISA account at a major bank. I'd like to have ETF/mutual funds instead, but the bank's administrative fees for these assets feels way too high. I found ...
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votes
1answer
168 views

Does the bid price of a stock change depending on which brokerage I am using?

If I have an account with two separate discount brokerages and they have different market makers on NASDAQ, is it possible that they will give me different quotes? Will the bid price of brokerage #1 ...
0
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1answer
71 views

What rules must your broker follow when buying/selling shares for you at the market price?

When you buy/sell shares at market price (not using limits), what rules must your broker follow? Two scenarios: You tell your broker to sell shares at market price. The broker buys the shares ...
4
votes
1answer
53 views

What is the market rate of non-cash ISA fund administration fee in UK?

A friend of mine suggested a plan that takes a 1% administration fee (from the assets deposited) regardless of the type of investment you make (stock, bond etc.). This sounded quite high from my ...
2
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1answer
119 views

Most cost-effective way to purchase individual bonds?

I am trying to determine the most cost effective way to go about purchasing individual corporate and municipal bonds that I intend to hold until maturity. Is there great variation in the fees and ...
2
votes
1answer
181 views

Do online brokers use market makers?

If I use an online broker such as Trade King or Scottrade to buy shares of some company, how do they buy the shares? Do they have to go through a market maker? Is there a notion of the broker ...
0
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2answers
94 views

Can an online broker charge a fee just for registration, without any deposit?

Can any broker like TD, TradeKing, Schwab, etc, can charge me just because I have entered my details and open an account in their website? Even if I didn't deposit anything?
2
votes
2answers
203 views

Should I open an individual 401k account?

I am looking for some advice on what to do with the Money from a previous employer 401k. I currently have the checks that were issued to the trust of my new employer's 401k service. I have not sent ...
5
votes
2answers
372 views

What do brokerage firms do?

So in the past, before they had computers, I imagined brokerage was the fee given to a stock broker to give you advice on what stocks to buy, or to ring up and make a trade for you. But now ...
2
votes
2answers
2k views

Understanding the concepts of market maker and broker

Wikipedia says: A market maker is a company, or an individual, that quotes both a buy and a sell price in a financial instrument or commodity held in inventory, hoping to make a profit on the ...
1
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1answer
946 views

Where to find a list of online U.K. stock brokers that permit trading in U.S. stock markets?

I am currently a beginner investor, in the U.K., and I would like to know what are the best online international stock brokers. That is, I wish to trade stocks that are listed on U.S. stock exchanges. ...
1
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1answer
129 views

Which USA Brokerage Firms can I transfer my India stocks to? [closed]

I would like to know which US brokerage firms I can transfer my India stocks to, after finding out my current brokerage (TD Ameritratde) requires doing so...
19
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4answers
1k views

How do I invest and buy/sell stocks? What does “use a broker” mean?

This is an embarrassingly basic question. I'm a college student and know very, very little about the world of investing and purchasing stocks. I realize that some Googling could find me the answer ...
3
votes
1answer
247 views

What are Binary Options?

What are binary options, what can they be traded on and what is the process in trading them? Also, are there any brokers in Australia who offer binary options?
3
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2answers
179 views

Which forex brokerage should I choose if I want to fund my account with over a million dollars?

I'm quite experienced with stock markets (mostly NYSE and NASDAQ in fact), over 85% of my wealth comes from it. In 2012 I would like to try the foreign exchange market, can you suggest any reliable ...
6
votes
1answer
90 views

If a brokerage commits fraud (by not separating customer funds), is there any SIPC protection?

Recent news on MF Global suggests the possibility that the brokerage firm did not segregate customer accounts. Suppose I have an account at MF Global and suppose they have failed to segregate my ...
0
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1answer
289 views

Is it possible to buy commodity ETFs (e.g. silver) through Questrade?

Is there a way to buy a silver ETF through Questrade? Or do they offer only mutual funds?
3
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3answers
210 views

How do you go about buying currency futures for foreign currencies?

I was interested in buying currency futures for some foreign currencies. How do you go about getting these? I am looking for 6 to 12 month futures.
5
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3answers
1k views

Scottrade cash interest?

I'm looking into opening a Scottrade account in the future, and was wondering if they pay interest on cash in your brokerage account? Are the rates published anywhere?
6
votes
1answer
233 views

Why the need for human brokers while there are computers?

In this day and age there are still human brokers on the trading floor. Computers are perfectly capable of negotiating a deal (buy/sell) in milliseconds when ordered to do so. So why are there still ...
6
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2answers
882 views

What is the difference between a 'trader' and a 'stockbroker'?

Are the two terms referring to the same person?
5
votes
3answers
147 views

Broker fees: Who gets the spread?

If one uses an online brokerage, or like my bank which offers me 100 free trades per year and I thus have no broker, who gets the spread?
4
votes
2answers
218 views

Do investors go long option contracts when they cannot cover the exercise of the options?

Consider I want to buy some american-style call options for a particular stock, and suppose this underlying stock 'XYZ' is valued at $100 a share. Suppose I go long (buy) 10 option contracts for XYZ ...
2
votes
1answer
94 views

Can you help me find an ETF Selection website that evaluates my ETF holdings?

I came across a website that charged a fee and told me which ETFs I should be buying. Unlike a traditional website, I remember this website telling me that the ETF I have invested a year ago is not ...
6
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4answers
231 views

How do I find a broker that is good at providing forex trading (i.e. foreign exchange / currency)?

How do I find a broker that is good at providing forex trading (i.e. foreign exchange / currency)? Where should I look to learn about what brokers have in terms of brokerage, leverage, and software ...
11
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3answers
819 views

No transaction fee ETF trades - what's the catch?

I just noticed TD Ameritrade has program where you can trade from a list of ETFs with zero fees. Sounds like it could save me a bit of money, but my cynical side wonders how they make money off such ...
2
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3answers
869 views

Where can I buy stocks if I only want to invest a little bit at a time, and not really be involved in trading?

(I'm like the guy asking that question "Shares; are they really only for the rich/investors?":) I would like to invest £50 (or $50) here and there from time to time. (I choose the companies I like.) ...
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3answers
372 views

Since many brokers disallow investors from shorting sub-$5 stocks, why don't all companies split their stock until it is sub-$5

Seems like a no-brainer? I guess if your security is not marginable, it can't be bought long on margin either, but I would also guess for most companies there are more margined shorts than margined ...
4
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2answers
877 views

Brokerage Fees for Covered Call Options

I have been doing some research and am thinking of selling a Covered Call on a stock I currently own and am planning on holding long term. I would like to make an Out-of-the-Money Covered Call (OTM ...