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Broker Economics
Posted by MM [Email] (more from MM) on Tue, 25 Apr 2006 12:57:37
In Reply to: OT: Stock investing accounts w/out minimum amts., R.T., Tue, 25 Apr 2006 11:35:39
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Keep the following in mind.
If you buy $250 worth of stock and it goes up 10% (which is a pretty good short term return) you've just made $5; the other $20 goes to brokers fees. You only see 2% of the 10% you just coined.
If you're going to be buying stocks "it just makes sense" to start off with something north of $500. You will get nowhere because even the big gains will evaporate when crossed against transaction fees.
sorry to be the bearer of bad news,
MM
posted by 70.18.38...
Posts in this Thread:
- OT: Stock investing accounts w/out minimum amts., R.T., Tue, 25 Apr 2006 11:35:39
- Start simple with ShareBuilder, SpiderSaab, Thu, 27 Apr 2006 18:16:16
- & ETF's n/m, Dave B 89 900s Auto, Fri, 28 Apr 2006 03:45:41
- Use OPTIONS...No minimum.., Dave B 89 900s Auto, Wed, 26 Apr 2006 19:45:21
- Broker Economics, MM, Tue, 25 Apr 2006 12:57:37 <-- Viewing This Message
- try Scottrade.com >>, elGT, Tue, 25 Apr 2006 12:54:03
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