Discount Stock Trade

Discount stock trading brokers can be split into two groups, the pay per share discount stock trading group and the pay per trade discount stock trading group. Depending on your volume of trading you will have different needs from your stock broker.

Per Share Discount Stock Trades

Many brokers allow stock traders to pay on a per share basis, meaning that you pay depending on the size of your stock transaction. The cost will be higher on a stock trade of 500 shares of stock X then it will be for 100 shares of stock X. An example of this type is Lightspeed Trading.

Per Trade Discount Stock Trades

With other brokers, you pay a fixed fee per stock transaction. If you trade 100 shares or 500 shares, the price is the same per transaction. This discount stock trades model is more suited for the recreational trader who does not have many transactions. An example of this stock trading model is offered by Noble Trading.

There are always risks involved with online stock trading even with discount brokers. Please take time to understand the risks associated with stock trading and seek the advice of professionals. For more information on discount stock trades please consult your broker dealer.

What is a discount broker?

Funny stock advice at the money.