What trading company would you reccomend?

[AmpedSilence]

So, i have finally built enough resources to start trading on the stock market and, with the recent "correction" the timing just seems right that I start investing. I'm 25 and have a long way to go before I am planning on retiring so, even if it "corrects" more, I will be okay.

I have been looking at certain personal trading companies, i.e. share builder, scottrade and others, but was looking for experiences from other members on these companies and/or other ones that you would recommend.

I'm most likely going to buying mutual funds to start, having <5 trades/month. then as i get more comfortable, growing my trading volume. So I would like a company that has lows fees for small traders, but has room to grow into a more serious trader as time goes on.

TIA!

 

[K1052]

I use Sharebuilder for my automatic investing over the year. I pick out 6 diverse ETFs and set the plan going. I won't look at it until a year has elapsed to rebalance the portfolio.

I have a ScottTrade account for anything else I want to do in addition to my Fidelity housed 401k.

Also, ScottTrade is cheap and quick but the funding/withdrawal options suck ass.

 

[WhiteKnight]

I like Scottrade for its low prices and good service. There are more "complete" companies, but it works well for me. PM me if you'd like a referral. (3 free trades)

 

[AmpedSilence]

Originally posted by: K1052
I use Sharebuilder for my automatic investing over the year. I pick out 6 diverse ETFs and set the plan going. I won't look at it until a year has elapsed to rebalance the portfolio.

I have a ScottTrade account for anything else I want to do in addition to my Fidelity housed 401k.

Also, ScottTrade is cheap and quick but the funding/withdrawal options suck ass.

Yeah, my Dad has a ScotTrade account in my name that he controls. Its annoying, I have to pay taxes on the gains but i can't control the money in any way. It will be mine though in the future so i am not that upset about it.

I was looking at the "automatic investing" feature on Sharebuilder and it confused me. Maybe you can clear it up?

And this in addition to my Hartford life 401k

 

[K1052]

Originally posted by: AmpedSilence

Originally posted by: K1052
I use Sharebuilder for my automatic investing over the year. I pick out 6 diverse ETFs and set the plan going. I won't look at it until a year has elapsed to rebalance the portfolio.

I have a ScottTrade account for anything else I want to do in addition to my Fidelity housed 401k.

Also, ScottTrade is cheap and quick but the funding/withdrawal options suck ass.

Yeah, my Dad has a ScotTrade account in my name that he controls. Its annoying, I have to pay taxes on the gains but i can't control the money in any way. It will be mine though in the future so i am not that upset about it.

I was looking at the "automatic investing" feature on Sharebuilder and it confused me. Maybe you can clear it up?

And this in addition to my Hartford life 401k

You basically pick a plan which includes a certain number of automatic investments. I am currently on their standard plan which gives 6 investments (buys in this case) a month for $12, so it works out to $2 a trade which isn't bad.

I have 6 ETFs currently selected for investment (mostly from Vanguard). You set how much of each fund you wish to buy in $ amounts. Sharebuilder also handles fractional shares so you aren't locked into buying a whole/even number of shares.

 

[AmpedSilence]

Originally posted by: K1052

You basically pick a plan which includes a certain number of automatic investments. I am currently on their standard plan which gives 6 investments (buys in this case) a month for $12, so it works out to $2 a trade which isn't bad.

I have 6 ETFs currently selected for investment (mostly from Vanguard). You set how much of each fund you wish to buy in $ amounts. Sharebuilder also handles fractional shares so you aren't locked into buying a whole/even number of shares.

Hmm, that sounds like what i am interested in doing, though not really doing monthly investments, maybe i should instead of throwing my money into an ING account like i was planning on/having been doing....

So, then the next question; do your monthly gains out pace the $12 monthly fees, generally?

 

[K1052]

Originally posted by: AmpedSilence

Originally posted by: K1052

You basically pick a plan which includes a certain number of automatic investments. I am currently on their standard plan which gives 6 investments (buys in this case) a month for $12, so it works out to $2 a trade which isn't bad.

I have 6 ETFs currently selected for investment (mostly from Vanguard). You set how much of each fund you wish to buy in $ amounts. Sharebuilder also handles fractional shares so you aren't locked into buying a whole/even number of shares.

Hmm, that sounds like what i am interested in doing, though not really doing monthly investments, maybe i should instead of throwing my money into an ING account like i was planning on/having been doing....

So, then the next question; do your monthly gains out pace the $12 monthly fees, generally?

Yes, my gains usually out pace the cost. You are going to be paying a commission anywhere you decide to invest and this is the best way to invest diversely at low transaction cost IMO.

I maintain a 3 month reserve of living expenses in my ING account. There are differing opinions on if that is a good idea but I personally like the extra security to provides me. Everything else gets invested.