It's a way to keep up with the markets and prospective investment opportunities, and a good excuse to see how your
portfolio at the discount broker is measuring up against other investments.
And also like a stock, they have a brokerage charge to buy or sell them, typically in the $ 10 to $ 20
range at a discount broker.
As I have let the dividends roll into my account since taking myself off of the
DRiP at my discount broker, I have had ever increasing amounts of cash flow to invest to further compound the snowball of wealth.
[Note: This post is being updated as of November, 15, 2017 to note a couple of recent
changes at discount brokers and to reflect the drop in interest rates subsequent to the Bank of Canada rate cut on Jan. 21, 2015.
If you spend 20 - 30 minutes learning the basics, you can easily do the same thing
at a discount broker like Vanguard, Fidelity, TD Ameritrade, etc..
So, you could receive $ 308 in call premium today; minus commissions, which if you
trade at a discount broker should be less than $ 5 / trade, so let's call it $ 280 after commissions.
> It is likely that
clients at all discount brokers, even those that currently offer segregated USD registered accounts, charged double currency conversion fees on US stock DRiPs in the past.
In our opinion, around 20 % are worth hanging on to if you already own them; particularly, if you would incur a taxable gain, contingent deferred - sales charge (CDSC), or short - term trading
commission at your discount broker if you sold.
Especially since you generally have to pay a several percent comission both to buy and to sell, where as with a stock like GLD you would pay a small fixed
fee at a discount broker.
With revenues
falling at discount brokers it is worth a call to suggest they waive the fee for one year so as not to be seen as fee vultures in a crashing market.
The Norbert Gambit is an excellent method for converting currency
cheaply at discount brokers but some clients of TD Waterhouse have found gambitting with stocks in an investment account involves delays.
A quick check at TD Waterhouse shows that investors who can put up a higher initial investment of $ 5,000 can an interest rate that is 0.35 percent better for non-redeemable
GICs at the discount broker.
As you'd expect for passive investments, BlackRock's fees are below Quotential's but higher than what DIY investors pay for the underlying iShares
ETFs at discount brokers.
OptionsXpress is more like a mix between Full Service and discount brokerage: they provide full service broker
services at a discount broker rate.
Trying to stay ahead of this sounds like a pain
even at a discount broker like BMO Investorline that allows customers to split their accounts.
As I have let the dividends roll into my account since taking myself off of the
DRiP at my discount broker, I have had ever increasing amounts of cash flow to invest...
[Note: This post is being updated as of November, 15, 2017 to note a couple of recent
changes at discount brokers and to reflect the drop in interest rates subsequent to the Bank of Canada rate cut on Jan. 21, 2015.
Many investors sign up for synthetic Dividend Reinvestment Plans (DRiPs)
at discount brokers to save on trading commissions.
Keep in mind all ETFs are generally available
at all discount brokers, and we include an ETF alternative as well as a fund typically available for NTF at most discount brokers.
As I have let the dividends roll into my account since taking myself off of the DRiP
at my discount broker, I have had ever increasing amounts of cash flow to invest to further compound the snowball of wealth.
Your first step should be to open up an account
at a discount broker.
Start by opening an account
at a discount broker, ideally one associated with your bank for simplicity sake.
We had existing accounts
at a discount broker, who also offed $ 600 for the transfer.