Take on the S&P 500 with advanced tools and data
In 2023, the S&P 500 index soared an impressive 26% with most of the gains largely driven by several mega cap stocks in the index. Among the S&P 500, the "Magnificent 7" became the most concentrated. It's ever been at 29% of the S&P 500**.
The S&P 500 index has rallied 130% from March 2020 until February 2024 to a record-high*. As we know, the index is weighted by market capitalization, which means that the movements of the largest companies have a greater impact on the performance of the index.
You can now buy a portion of S&P 500 listed stocks from only $5. Let's see what starting with just $5 could of have looked like by using the "Magnificent 7" stocks as an example.
Step1
Go to 'Markets' > 'Fractional Shares'
Step2
Pick the security you like
Step3
Select 'Limit' or 'Market' as the order type
Step4
Enter the quantity in decimals and submit the order
What is a fractional shares order?
A fractional shares order is a type of US stock order that allows investors to buy or sell fractions of a stock in decimals, instead of requiring whole shares. Fractional trading allows investors to buy and sell stocks at a lower total order cost than the minimum cost of buying or selling one whole share.
Which stocks are available for fractional trading?
To find the list of symbols available for fractional trading go to the 'Markets' tab and tap 'Fractional Shares'.
Please note that symbols in the list may be updated from time to time based on market conditions, but actions to close existing fractional shares will not be affected by the updates.
What are the fractional trading rules?
Fractional trading hours are 9:30 am to 4:00 pm ET or 9:30 AM to 1:00 PM ET for half-day trading.
The minimum order size for fractional trading is 0.0001 shares, or a minimum buy order amount of $5. Sell orders must be at least $0.01. Orders that do not meet the minimum order amount will be rejected.
Only day orders are supported. (No support for attached orders or short selling.)
Market order and limit order only. After submission you can adjust the price for limit orders. Quantity modifications for limit orders are not permitted. Modifications are not allowed for market orders.
