Having the Best Stock Brokers for fractional shares to choose from will help traders achieve their goals more effectively. Traders Union analysts have prepared an article to help you choose the best option. The experts selected 5 companies, compared them between each other and gave scores. Using the results of the analysis, traders can find the information they need about the Best Stock Brokers for fractional shares in 2024.
1
eToro - Best Stock Broker in 2024
You can use eToro to invest in more than 3,000 stock assets, including at zero fee. The minimum deposit and leverage vary depending on the country of registration of a trader. Trading is available in mobile apps and on the web platform on any device. You can deposit and withdraw money via bank transfer and electronic payment systems. The broker offers margin trading, various bonuses and partner rewards.
2
Revolut - Best Stock Broker in 2024
Revolut offers commission-free trading with no minimum deposit requirements. Stocks, cryptocurrencies, and precious metals are available for trading. Client funds are kept on segregated accounts, which is a guarantee of their safety. Since fractional share trading is available at Revolut and there is no brokerage commission per transaction per month, you can start with a minimal investment. Deposits can be made in 28 currencies, but the broker translates them into USD since trading is only on the US stock market.
3
Interactive Brokers - Best Stock Broker in 2024
Interactive Brokers is militantly developing, offering services to investors regardless of their trading experience. For this purpose, the broker doesn’t ask for a fixed minimum deposit but has margin requirements for accounts of various structures to make trading financially safe. The size of the leverage and Margin call and Stop out levels depends directly on the asset that the client is trading.
4
SoFi Invest - Best Stock Broker in 2024
SoFi Invest offers a convenient application for trading and investing in stocks, cryptocurrencies, ETFs, and IPOs. No commission is charged for trades in stocks and ETFs. Also, with zero commissions, the investor can purchase fractional shares of Stock Bits. SoFi Invest does not have a minimum deposit, however, Pattern Day Traders should have at least $25,000 on their account. Otherwise, the account may be limited under FINRA’s daily trading margin requirements. Pattern Day Trader consists of traders who trade securities four or more times within five business days, and the number of daily transactions is more than 6% of the total trading activity for the same period. The minimum order size for the purchase of cryptocurrency is $10, and the maximum is $50,000 per client per day.
5
M1 Finance - Best Stock Broker in 2024
M1 Finance is focused on cooperating with investors, regardless of whether they have experience in trading, and provides optimal solutions for convenient work. Simultaneously, the broker highlights that its specialization is a long-term investment and not profit from short positions. Clients have access to accounts with different forms of ownership: in particular, an individual account, a trust account, a joint account, a pension account, and an account intended for minors. The minimum deposit is $100 for taxable accounts and $500 for retirement accounts. Trading is carried out on a platform developed by the broker. A striking feature of cooperation with M1 Finance is the dynamic rebalancing of the portfolio: the Pie system allows you to optimize the investment process and correctly distribute investments between segments.
Best Stock Broker for fractional shares: Investment Programs
Earning passive income is just as important for traders as earning profit by actively trading. Therefore, it is important to consider investment instruments offered by the company. There are different investment programs and their choice strongly depends on a specific broker. TU analysts have prepared a review of investment programs of the 5 best brokers.
1
eToro - Investment Programs
Investment Programs, Available Markets, and Products of the Broker
With investment offers of eToro, the broker’s clients can earn passive income without trading financial instruments on their own. It is also possible to earn additional income on the partnership program.
Smart Portfolio, CopyTrader and Popular Investor
eToro specializes in social trading, which means it offers the best conditions for comfortable work of trading signal providers and their subscribers. Not only successful traders, but also novice investors with this broker. At the moment, the following investment solutions are available on eToro:
Smart Portfolio. These are long-term investment portfolios that consist of various assets. The portfolios are built by investment experts, who are also involved in their management and rebalancing.
CopyTrader. This is a service for copying trades of successful traders. An investor who subscribed to a strategy pays the standard trading fee. There are no additional fees. The minimum amount for copying a position is $1.
Popular Investor. This is an offer for traders who have traded financial instruments successfully for at least 2 months and are prepared to offer their strategy for copying by other eToro clients. There are 4 levels available: Cadet, Champion, Elite and Elite Pro with different percentages of profit.
Every investment program of eToro implies a deposit of a certain amount to the trader's account. In order to start working with Smart Portfolio, you need to deposit at least $500. The minimum account balance for the Popular Investor program is $1,000. In order to connect to the CopyTrader platform, you need $200 or more.
If you are a large investor and plan on investments over $10,000, contact us at vip-invest@tradersunion.com or by the feedback form on our website. Our professional team will take you through all the intricacies of thedeal and all the steps from signing up to withdrawal of profits.
eToro Partnership Program:
eToro shares with partners a part of its income from the new users who opened an account with the broker using a referral link. The rewards depend on the CPA indicators. There are three commission plans with monthly rewards of $100, $200 and $250.
The broker starts paying the rewards only after receiving at least $10 in fees from the referred users. A partner can use various methods of promotion – publish direct links and banners, send newsletters and ads by email, etc.
2
Revolut - Investment Programs
Investment Programs, Available Markets, and Products of the Broker
Revolut offers its clients more than 800 stocks, precious metals, and cryptocurrencies for investment. But due to the UK's exit from the European Union, stock trading is not available to foreign nationals.
Buying fractional shares is a popular way to invest with Revolut
Revolut does not provide leverage or margin accounts, but it does allow you to buy fractional shares. Such an offer means that you can start trading with minimal investment. In addition, the absence of leverage eliminates the risk of a negative balance on the deposit. Taking into consideration that a standard account is allowed one trade per month without a brokerage fee, cooperation with Revolut is possible for investors without any experience in the stock market. At any time, if a subscription fee is paid, it is possible to switch to another account with an increased number of trades without commission. Advantages of buying fractional shares:
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You can start investing with a minimum amount.
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Trading is done without providing leverage, which allows you to conduct transactions without the use of borrowed funds and prevent the threat of debt to the company.
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For newcomers to the stock market, trading fractional stocks is an opportunity to gain experience without the risk of serious losses.
Money that is not involved in trading can be moved into an established vault and earn up to 0.65% per annum with a daily payment on deposit. If necessary, you may apply for transferring the funds to your trading account or cash them out at any time.
If you are a large investor and plan on investments over $10,000, contact us at vip-invest@tradersunion.com or by the feedback form on our website. Our professional team will take you through all the intricacies of thedeal and all the steps from signing up to withdrawal of profits.
Revolut’s affiliate program:
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The impact is a referral program in which you need to be a Revolut customer to participate. Depending on which plan the connected referral chooses, the partner is paid from £2 to £20. Payments are calculated and made every month.
After approving the request, the company gives the partner a unique link and materials to be placed and promoted on websites. The partner can track the number of link clicks and referrals in his personal cabinet.
3
Interactive Brokers - Investment Programs
Investment Programs, Available Markets and Products of the Broker
Interactive Brokers casts itself as an investment center, but there are no programs customary to novice investors like PAMM accounts, transactions copying services. Investments are possible by investing in stocks, bonds, and ETFs, earning dividends from them, or subsequent sales at a higher price. The broker offers a portfolio constructor based on a variety of parameters to create an optimal portfolio. Investors also have access to investments in over 34 thousand mutual funds. Big business professionals can invest in hedge funds.
Important!
If you are a large investor and plan on investments over $ 10,000, contact us at vip-invest@tradersunion.comor by the feedback form on our website. Our professional team will take you through all the intricacies of thedeal and all the steps from signing up to withdrawal of profits.
Interactive Brokers affiliate program
Commercial referral program. The partner's challenge is to attract new customers using a unique link, and the partner shall get a fixed amount of $200 for each client attracted.
Referral program with extras. The partner's challenge is the same as in the commercial referral program. The only difference is that now the referrer (partner) gets a percentage of the trading commission that the client invited pays to the broker. Payments are made for 3 years.
There is no need to be a client of Interactive Brokers or be an active trader to participate in the affiliate programs. It is enough to meet the broker's requirements for partners.
4
SoFi Invest - Investment Programs
Investment Programs, Available Markets, and Products of the Broker
SoFi Invest offers asset management services called “Automated Investing”. Investors are connected to the service for free, but they pay basic commissions and expenses for ETF funds.
Automated Investing via robo-consultants without human intervention
A client who wants to invest in stock market instruments informs SoFi Invest of his investment goals and based on that the broker constructs a diversified portfolio. It consists of a wide range of risk mitigation assets. The investor does not need to monitor the market: Automated Investing uses computer algorithms to provide financial advice and manage portfolios.
The main principles of automated investing from SoFi Invest are:
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The broker does not charge any fees for consulting services or asset portfolio management.
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Portfolios are automatically rebalanced quarterly and during market fluctuations. The adjustment of securities is performed by a robotic program.
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There is no minimum amount to start investing. You can invest from 1 USD.
Connecting to the automated investment platform makes it possible to invest money without transferring it to active management. Moreover, such a decision is a way to avoid the occurrence of possible human errors when making an investment decision.
If you are a large investor and plan on investments over $10,000, contact us at vip-invest@tradersunion.com or by the feedback form on our website. Our professional team will take you through all the intricacies of thedeal and all the steps from signing up to withdrawal of profits.
SoFi Invest affiliate program
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Referral program — a partner can receive up to $10,000 per year. The amount of remuneration depends on the recommended service and the number of connected referrals.
A partner can generate referral links with recommendations for personal and student loans, investment products, obtaining a credit card, and opening cash accounts. This offer is not available to customers in Ohio, Michigan, or Vermont.
5
M1 Finance - Investment Programs
Investment Programs, Available Markets, and Products of the Broker
The broker indicates that it is ready to cooperate with traders who want to manage their capital and choose the best deals on the market single-handedly. Hence, M1 Finance works to provide favorable trading conditions specifically for self-investing and does not offer its clients automatic investment programs.
If you are a large investor and plan on investments over $10,000, contact us at vip-invest@tradersunion.com or by the feedback form on our website. Our professional team will take you through all the intricacies of thedeal and all the steps from signing up to withdrawal of profits.
M1 Finance’s affiliate program
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Refer a friend. Participation in the program allows the participant of the affiliate program and the invited user to receive $30 for their personal trading account. To do this, an M1 Finance client needs to open a personal trading account, replenish a trading account with the minimum amount following the type of account, and then receive a referral link and share it with friends. For each referred friend who opened an account with the company and replenished it to the required minimum, a bonus will be credited to the partner's account, and the invited client will also receive a financial bonus.
The new user must fund the account within 30 days, and also keep this amount in the account for a month so that both of you can receive the bonus. The affiliate program does not limit the number of users you can invite. Pension accounts may not participate in the program.
Summary
Choosing a good broker for fractional shares is not a simple task. To make it easier, TU experts have prepared this review. Based on the collected information, we have given scores to each company. In the Overall score table, you will learn about the best Stock Broker for fractional shares in 2024, and also advantages and disadvantages of its closest competitors.
Overall score of the best Stock Brokers for fractional shares
| eToro | Revolut | Interactive Brokers | SoFi Invest | M1 Finance | |
|---|---|---|---|---|---|
|
Overall score |
9.4 |
9.5 |
9.1 |
8.8 |
8.9 |
|
Execution of orders |
9.1 |
9.2 |
8.8 |
8.5 |
8.6 |
|
Investment instruments |
9.7 |
9.8 |
9.4 |
9.1 |
9.2 |
|
Withdrawal speed |
9.5 |
9.6 |
9.2 |
8.9 |
9 |
|
Customer Support work |
9.3 |
9.4 |
9 |
8.7 |
8.8 |
|
Variety of instruments |
9 |
9.1 |
8.7 |
8.4 |
8.5 |
|
Trading platform |
9.8 |
9.9 |
9.5 |
9.2 |
9.3 |
|
|
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|
|
|
FAQ
What factors are important when you are choosing a broker?
When you are choosing a broker, it is important to make sure it is a reliable company, consider its fees, the list of trading instruments, deposit and withdrawal methods and other factors. It is important to study a broker in detail, before opening an account with it.
Is it possible to work with offshore brokers?
It is best not to work with offshore brokers. However, if you have chosen such a company, you need to check and analyze it very thoroughly. There are offshore brokers with good reputations. Before you start working with such a company, deposit the minimum amount and start trading. Once you’ve worked with the broker for a little while and checked how it operates and how quickly it processes withdrawals, you can start depositing higher amounts.
Why is a license important for a broker?
License is the key document testifying to the broker’s reliability. It means that the company complies with the requirements of the financial regulatory authority that issued it. It is recommended that you choose brokers with licenses from top financial regulators: the USA, European Union, the UK, as these jurisdictions have the strictest licensing requirements.
Does the choice of a beginner differ from the choice of an experienced trader?
Yes. A novice trader should primarily consider the availability of educational tools and a demo account, as well as basic assets. A more experienced trader is interested in wider opportunities on advanced account types, a wider choice of instruments for technical analysis, and a greater number of trading instruments.
Best Stock Broker for fractional shares by Countries
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Team that worked on the article
Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.
The area of responsibility of Mikhail includes covering the news of currency and stock markets, fact checking, updating and editing the content published on the Traders Union website. He successfully analyzes complex financial issues and explains their meaning in simple and understandable language for ordinary people. Mikhail generates content that provides full contact with the readers.
Mikhail’s motto: Learn something new and share your experience – never stop!
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.
Olga has extensive experience in writing and editing articles about the specifics of working in the Forex market, cryptocurrency market, stock exchanges and also in the segment of financial investment in general. This level of expertise allows Olga to create unique and comprehensive articles, describing complex investment mechanisms in a simple and accessible way for traders of any level.
Olga’s motto: Do well and you’ll be well!