Questions tagged [brokerage]

For questions about brokerage firms, opening a brokerage account, etc. Questions asking for specific service recommendations are off-topic.

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3answers
92 views

Which US organization acts as the central depository for shares?

In Singapore, my shares are held by an organization known as the Central Depository (CDP). Regardless of which stock brokerage firm I am using, I can see the same shares, as all of the shares I own ...
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0answers
76 views

What do I buy when I buy fractional shares on eToro?

I am wondering on what exactly you buy when you buy fractional shares on eToro: The actual asset, i.e. the stock/share? You get dividends if the company pays any. It would still be yours if eToro ...
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1answer
57 views

How do brokers make money from fractional shares trades?

Let's imagine the following scenario Day one: the price of the stock XYZ was 47.50 during the whole trading day. After clearing, the total number of shares users have is 24.5. Broker buys 25 shares ...
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2answers
2k views

Why do some brokers allow selling naked put options but not naked call options?

I understand that holding short positions in naked options is risky because they are not backed by cash or stock in a brokerage account. I've noticed that some brokers allow the selling of naked puts ...
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1answer
60 views

I can't find a desired ETF on the popular UK brokerage firms - how can I find one that does?

If I wanted to put money in a specific ETF, namely ARK invest (ARKK), but it wasn't possible on the top UK brokerage firms - what should I do next? So I looked on hargreaves lansdown, halifax, and 8 ...
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1answer
21 views

Form W-8BEN at multiple stock brokers

I am a non-resident alien. I have an existing US stock brokerage account. When I opened that account, I had to fill in and submit a W-8BEN form. Now, I am going to open a second US stock brokerage ...
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6answers
96 views

Schedule to sell a stock when it reaches a higher price (though not guarantee to sell it at that price)

Suppose I have a stock with price $30. I want to trigger selling it as long as it reaches $35 (even though it might be executed at say $34.7). Is there such an option in any brokerage (such an option ...
4
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0answers
51 views

What does “match us in the market” mean in the context of transferring shares between brokers?

I requested my company broker to transfer shares to my private broker and got a letter saying: We are reaching out to your broker to match us in the market so we can complete your transfer I asked ...
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2answers
65 views

Is there any problem in having 0 cash in your brokerage account?

Let's say that you have a brokerage account with $10000 and you want to invest that money in some financial product. Is there any problem in investing the whole $10000? I mean, is the ongoing charge (...
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2answers
2k views

Maximize trading commission bonus

As a new client of a broker I'm given $300 of free commission on trading (basically on everything: stocks, options, futures etc). Is there a way to capitalize this bonus by creating some combination ...
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1answer
36 views

initial margin calculation for multiple short positions

I've been trying to understand how margin requirements work for short positions (assume Reg-T US) to model for a backtesting software (I don't have direct experience with shorting, yet) I think I ...
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1answer
61 views

Is my FX brokerage manipulating my profit margin to payout less? (SCREENSHOT)

USDCAD pair has moved 41.90 pips in my favour @ 0.01 lots (broker showing profit of $3.01) USDJPY pair has moved 52.30 pips against me @ 0.01 lots (broker showing loss of -$4.85) At $0.10 per pip (0....
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0answers
64 views

Is there any way for a non-US person to get a US-based bank account? [duplicate]

I live in the EU. After signing up with various brokers across the pond, I noticed that some have decent low-cost deposit/ withdrawal fees, while others' are abnormally high. For instance, ...
1
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0answers
73 views

Are owned stocks considered balance?

I want to start investing money into stocks and for that I was comparing depots (broker bank accounts?) I found one that seemed very interesting to me but when I checked their pricing I figured that ...
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3answers
212 views

How do billionaires keep their stakes in other companies safe during economic crises?

The world economy -- and therefore also the world of finance -- is currently facing yet another existential crisis. What solution do the best and most risk averse investors, like Warren Buffet, use to ...
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1answer
60 views

How to show currency of stock in Interactive Brokers

I am using Client Portal in Interactive Brokers. I can see the price for an instrument (stock or etf). Where can I see the currency and prospectus/documents for the instruments?
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2answers
101 views

How does a Forex broker have enough money in every currency?

For example, you open a position: you buy EUR with some amount of GBP (and when you close the position, this amount of EUR is exchanged back to GBP). Your deposit is in USD, and you even can use ...
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1answer
69 views

Can I use Forex broker account as multi-currency bank account?

On a Forex account, one usually opens, then closes a position after some time. On a multi-currency bank account, permanent change can be achieved between the currencies. My question is if actions ...
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0answers
51 views

Investing Basics and Recommendations

Suppose an individual has $50,000 in a checking account. He has two brokerage account A and B. Here are some statistics of these two brokerage accounts: Account A has total value of $10,000 and a ...
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0answers
26 views

Taxable brokerage account for retirement?

I'm looking at investing in a taxable brokerage account with the purpose of saving for retirement, as my traditional retirement account options are not available. I'm not quite sure where to start ...
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0answers
33 views

Within Interactive Brokers, what is the easiest way to 'sync' accounts so that I can execute a trade in multiple accounts from a single transaction?

My partner and I both have IRA and investment accounts with Interactive Brokers. I manage the investments in our family and so I am currently needing to log into both of our accounts separately in ...
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3answers
124 views

Is bill pay from brokerage to Credit card account possible?

What are the regulatory limitations [in Wisconsin, US] that prohibits one from paying one's Credit card bills directly from one's brokerage account?
2
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1answer
42 views

Do I enter only the latest (corrected) 1099?

MY brokerage account sent me the first 1099 about 10 days ago, I entered it into my tax software, but did not file my taxes yet. Last night I received a corrected version. Do I just have to enter the ...
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1answer
158 views

Will my father know I changed brokers?

My father started a small nest egg for me when I was a teenager. He was hoping it would grow to help out with a down payment on a home when I was older. However as I'm now in my 20s I've noticed that ...
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0answers
95 views

What are the options to invest in the UK stock market? [closed]

In Portugal, investing in the stock market is very easy, as all major banks allow placing market orders from a current account and hold custody of shares (for as little as €5 per quarter). I was ...
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1answer
83 views

Street Name and broker problems

It is my understanding that if I keep my stocks in street name it is legally owned by the broker. As a result, if the broker successfully sued for a lot of money ( say 5 billion ) I would expect the ...
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1answer
81 views

what Is the relation between margins, brokers, and clearing members?

What is the difference between clearing margin and margin maintenance? I know that an investor in a futures contract is required to keep a maintenance margin with the broker. The broker will require ...
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2answers
102 views

What Actually Determines Stock Prices from a Given Broker?

When you look up a stock's price at a broker, where does that number come from, and who decides if it goes up or down? Sometimes it's said that "supply & demand" determines stock prices. This is ...
2
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2answers
145 views

Insurance for my brokerage held investments

This is not about protecting the VALUE of my investments against market fluctuations, stock prices drop ...etc. What I am looking for is to protect my investments in shares and options that I am ...
0
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1answer
53 views

Is there a UK investment brokerage allowing purchase of fractional shares / dividend reinvestment with low fees? [closed]

I am a UK resident looking for a stocks and shares brokerage for long-term value-investing. I am currently working with limited money for investing so am saving until I can buy complete stocks using ...
2
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2answers
209 views

Can a broker buy shares to cover naked calls without notifying me?

I sold some in-the-money naked calls, and found out the next day that the broker bought the underlying shares to cover the calls. They claimed that the underlying is hard-to-borrow and since the ...
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2answers
139 views

What are the steps for opening an investment account and starting investing in the UK?

I want to start investing some money I have saved. I have investigated about this but I'm still not secure about what to do. I have called to my bank to ask questions but they didn't help too much ...
3
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2answers
158 views

How to enter an order to buy or sell stocks with the intent to cancel without risk?

There was a market crash in 2010, in that it is alleged that the scammer entered the sell orders with intention to cancel. With my experience, once I enter an order( limit or market) with a ...
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3answers
191 views

Do I need a brokerage account to invest in ETFs?

I want to start investing in ETFs, but this is my first time doing this and I don't know what do I need to do for buying stocks. I want to buy some ETF that tracks an index such as S&P or FTSE100,...
3
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1answer
134 views

Securities lending program vs a Margin Account

Suppose I have a brokerage account and I am long on a stocks very heavily and there are short sellers who need this stocks from my broker. There are two ways a stock broker can lend securities held ...
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1answer
62 views

Why Can't Some Commercial Bonds Be Bought Through Major Brokers?

I am interested in buying a commercial bond issued by a coal mining company. The CUSIP is 62704PAM5. I searched online at tdameritrade.com and was not able to find the bond using their bond search ...
5
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1answer
238 views

How do US brokers make money and what should a consumer look out for?

My question is an extension of Brokerage Making money. Recently, Schwab and TD_Ameritrade have lowered commissions to zero. There are other brokers that also offer zero commission. I know there is ...
14
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2answers
6k views

Buying an US ETF from Europe using Interactive Brokers

I am trying to buy an ETF using my account in Interactive Brokers. I am surprised to see that it is not possible. I am living in Europe and trying to buy an ETF in US dollars. Their response to ...
5
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3answers
195 views

Why are margin maintenance requirements based on total account value and not just the margin debt?

Just reading through Charles Schwab's margin brochure and saw this section... The securities used as collateral must maintain a minimum value relative to the account’s margin debit balance. ...
3
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2answers
563 views

How are limit orders executed at market open when the bid price is above the ask price (negative spread)?

In what order and at what price would these orders be executed? Consider the case that both the buyer and the seller submitted orders to their brokers while the market was closed. It seems logical to ...
2
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0answers
72 views

Canadian nomad, USD earnings - how to invest/preserve currency

I'm a Canadian tax resident who moves around a lot. Exchanging currency stresses me out so much if I think about it that I basically have just decided to accept volatility. I work online, and am paid ...
0
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1answer
254 views

Should I close my other broker accounts?

I am new to investing. A few months ago, I applied for an Interactive Brokers account because a review site said it had low fees. It was taking a long time for me to transfer the funds to the account ...
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3answers
163 views

How do stock brokers manage to get permission from the SEC to have extended hours trading?

Robinhood managed to get 9-5PM EST trading, while Webull managed to get 5:00AM-8:00PM EST, which is much wider than Robinhood's. I wonder how they get permission and what is the limit, or it can be 24/...
2
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2answers
414 views

Can a brokered CD still count as “Massachusetts Bank Interest” for income tax purposes?

On the Massachusetts income tax Form 1, line 5 is for "Interest from Massachusetts Banks". This interest income gets an amount deducted from it ($200 for married filing jointly), and is reported there ...
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1answer
234 views

Could my app take deposits from and execute stock trades for others but using my own brokerage account?

Don't know if this questions belongs here but I'd figure this place is the closest in relevance. Basically, I want to build an investing application that is open for the public to use. Many ...
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3answers
343 views

What's the point of checking and brokerage accounts being separate?

On Schwab, I have both a checking and a brokerage account. When I want to buy stock/ETFs, I have to transfer money from one to the other. I can just do this from a webpage, relatively instantly. What'...
44
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13answers
15k views

Is it a good idea to copy a trader when investing?

I constantly get bombarded with an etoro commercial on youtube about a feature where you can replicate someone else's trading activity in real time. More details here. You select another trader and ...
2
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1answer
121 views

How does a company redeem its preferred stock?

This question follows from: What does it mean for a company to redeem its preferred stock? If I own a preferred stock and the issuer chooses to exercise its right to call, how does the redemption ...
2
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2answers
149 views

How can I practically buy bonds?

A moderately low risk of investment is a government bond. If I understand correctly, I spend €1000 on a 5-year bond at a yield of 1%, then in 5 years I get back 1000*(1.01)**5=€1051.01, unless the ...
0
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3answers
108 views

Can stock brokerages be a publicly traded company themselves?

I searched it on the internets but it seems like it's so common knowledge that there are no articles or explanations about it. From a logical gut-feeling kind of guess, I would say no. Any ...