Once upon a time, trade was only undertaken through the stock brokers. These knowledgeable men would make suggestions and undertake the buying along with selling of the shares on behalf of the client. With the evolution of the internet, the role of the brokers have taken a backseat as they are restricted to buying and selling of large quantities of stock. This could be of large corporations or big businessmen. The average person no longer needs to avail the services of a stock broker as he can trade online. One of the criteria which he considers is the best online brokerage facilities, which some broking houses tend to offer. In fact, there are some major advantages associated with online stock trading.
The first and foremost benefit of this form of trading is cost. Brokers make their living out of this and they have years on experience and bring about a new dimension to the trading of stocks. All this is bound to be effective, but comes at a cost. In this regard, they tend to charge an upfront fee, and in some cases, may demand a certain percentage of your earnings. They may also have other fees added as per the terms of exchange, which is at the sole discretion of the stock broker. On the other hand, in case of online stock trading, a flat rate of brokerage is levied on each transaction, which when compared works out to be cheaper.
The second major benefit of online trading of stocks is to trade as many stocks as you like. Brokers are entitled to a minimum amount of allotment and an individual is forced to adhere to it. This forced the individual traders to trade in the amount of stocks. On the other hand, if you trade on your own, one can buy stocks as per their wishes. The third benefit of online trading is that you tend to have full control over the financial deals. In fact, this is one of the biggest complaints one encounters with a broker. Quite often, it was noticed that they would refuse to perform a transaction, which was a poor investment. This works out to be double edged sword. Imagine such a scenario where you take a risk and it pays off enormously. This can seldom be expected when you deal with stock brokers.
Since its primitive days, the stock market has come a long way. Now with a single click of a mouse, one can trade online sitting in the comfort of their room. One of the biggest positives associated with online trading is that the locus of control is shifted from the brokers into the hands of an individual. So, in a way, your financial security is in your own hands.
So, resort to the online form of trading at the earliest, as the benefits are huge!
Hi. I’m Designer of Blog Magic. I’m CEO/Founder of ThemeXpose. I’m Creative Art Director, Web Designer, UI/UX Designer, Interaction Designer, Industrial Designer, Web Developer, Business Enthusiast, StartUp Enthusiast, Speaker, Writer and Photographer. Inspired to make things looks better.
0 comments:
Post a Comment