How to Trade US Fractional Shares
Keen to invest in your favourite US stocks and ETFs, but have insufficient capital?
Want to make your idle cash work for you but can't afford the initial investment?
Don't fret as moomoo's new feature has got you covered! With US fractional shares, you can gain exposure to these leading US companies with an initial investment of as little as US$5.
What are fractional shares?
Fractional shares allow you to own less than one whole share of a company, such as buying 0.1 or 0.2 shares.
Why trade fractional shares?
Fractional shares allow for investment with lower starting capital, making it more accessible to individual investors. For instance, with only S$100, an investor can purchase 0.23 of a share of Nvidia (NVDA) at US$432.99 per share.
Fractional shares make it easier to build a more diversified portfolio with lesser capital. With $100, investors can assemble a well-diversified portfolio comprising 0.14 shares of Apple, 0.18 shares of Amazon, 0.07 shares of Microsoft and 0.11 shares of Tesla.
There are a few things to note when trading fractional shares:
Fractional trading hours are 9:30 am to 3:58 pm ET, or 9:30 am to 12:58 pm ET for half-day trading.
The minimum order size for fractional trading is 0.0001 shares or US$5.
Only day orders are supported (order amendment, attached orders and short selling are not supported for fractional trading.)
Fees:
Orders smaller than 1 share will not be charged a commission fee or other regulatory fees (including settlement fees, SEC fees or trading activity fees). However, there is a platform fee of 0.99%, up to a maximum of $0.99 per order.
Orders of 1 share or more will be charged the standard US stock trading fees.
For details about the fee structure, please refer to the related Fractional shares trading in the US stock market-moomoo Help Center.
Try fractional trading on moomoo now!
This presentation is for informational and educational use only and is not a recommendation or endorsement of any particular investment or investment strategy. Investment information provided in this content is general in nature, strictly for illustrative purposes, and may not be appropriate for all investors. Read more
