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Help CenterFind Your WayBuy/Sell Daily ProductsIntraday ProductsFAQ
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IntroductionMarket AbbreviationsStock Market StatisticsThinking about Your Financial FutureSearch for AdvisorsFinancial CalculatorsFinancial MediaFederal Agencies and Programs
Investment PortfoliosModern Portfolio TheoriesInvestment StrategyPractical Portfolio Management InfoDiversificationRatingsActivities AbroadTrading Markets
Investment Terminology and InstrumentsBasicsInvestment TerminologyTrading 1 on 1BondsMutual FundsExchange Traded Funds (ETF)StocksAnnuities
Technical Analysis and TradingAnalysis BasicsTechnical IndicatorsTrading ModelsPatternsTrading OptionsTrading ForexTrading CommoditiesSpeculative Investments
Cryptocurrencies and BlockchainBlockchainBitcoinEthereumLitecoinRippleTaxes and Regulation
RetirementSocial Security BenefitsLong-Term Care InsuranceGeneral Retirement InfoHealth InsuranceMedicare and MedicaidLife InsuranceWills and Trusts
Retirement Accounts401(k) and 403(b) PlansIndividual Retirement Accounts (IRA)SEP and SIMPLE IRAsKeogh PlansMoney Purchase/Profit Sharing PlansSelf-Employed 401(k)s and 457sPension Plan RulesCash-Balance PlansThrift Savings Plans and 529 Plans and ESA
Personal FinancePersonal BankingPersonal DebtHome RelatedTax FormsSmall BusinessIncomeInvestmentsIRS Rules and PublicationsPersonal LifeMortgage
Corporate BasicsBasicsCorporate StructureCorporate FundamentalsCorporate DebtRisksEconomicsCorporate AccountingDividendsEarnings

How Can You Buy a Stock?

There are many services online and custodians that that can facilitate stock trades. Anybody can buy shares of a publicly traded company, but it must be done through a brokerage firm or a custodian. Brokers and brokerage firms act as middle men between the buyer and the seller. Some brokerage houses such as E-Trade, Ameritrade, or Charles Schwab offer low-cost services online to anyone with a checking account, and offer no personal advice. Other brokerage firms focus on the human element, offering investment advice and making additional money through long-term client relationships and the commissions and fees that result from portfolio management. Continue reading...

What is a Discount Broker?

Discount Broker is a financial organization that places trades at a discount to a full service broker, and also often will serve as a custodian for assets. With the onset of online trading platforms, the discount brokerage industry has seen plenty of growth over the last few years. In many cases, however, a discount broker will not offer any investment advice - hence the discounted price for trading services. An investor that wants a lot of personalized service should probably consider a full service broker over a discount broker, since a discount broker literally only focuses on trade execution and will not provide additional services, like research and advice. Continue reading...

Where Should I Open an IRA?

IRAs can be held at many kinds of institutions, even those that you only see online. It is completely your choice! IRAs can be opened at almost any large bank or brokerage firm, giving you plenty of options. Many online services make it possible to open an IRA from your phone or computer. Be sure to compare them because there are some distinctions, such as fee structures and the investments available within the account. Some institutions will only offer their proprietary funds, while others will let you access almost any investment on the market that is allowable inside of an IRA. Continue reading...

What is Bitcoin lending?

The cryptocurrency community has opened up creative options for making money in the form of lending platforms. A few forms of lending exist for cryptocurrencies at the time of this writing. One way to do it is to make your funds available in a lending market facilitated by an exchange, such as Poloniex, where you can name your interest rate and allow other traders to use your funds for trading on margin. Continue reading...

What Should My First Savings Vehicle Be?

Start basic, and just open a savings account at a bank or create a brokerage account at a major custodian (Charles Schwab, Fidelity, for example). As a rule of thumb, you should have six months’ worth of living expenses in this account. Another good rule of thumb is to avoid touching this money at all costs, and never invest this money in risky assets like stocks. It’s better to keep the money as liquid as possible, so even buying Certificates of Deposit (CDs) may not be the best idea. The purpose of this money is not to make you rich – this is your safety net. Continue reading...

What are My SEP IRA Investment Options?

SEPs are able to hold a wide variety of investment options. SEP IRA investment choices are determined by the financial institution at which your SEP IRA is established. When opening a SEP IRA, be sure to find out what investment options each financial institution offers, and what the charges for various transactions are. Some custodians will only offer a small range of options, or it may be limited to their proprietary mutual fund family. Others will allow you to invest in any securities that they can trade on their brokerage platform. Continue reading...

How Should I Invest my First Thousand Dollars Saved?

If you already have an emergency fund, you should put your $1,000 into a brokerage account and buy an ETF. Keep it simple – buy an ETF that corresponds to the S&P 500, and leave your money there for as long as possible. What Should My First Savings Vehicle Be? Should I Trust an Article Such as “Five Best Ways To Invest For Income?” Continue reading...

What is FINRA?

FINRA stands for Financial Industry Regulatory Authority, and they regulate securities firms in the United States. FINRA has no political affiliation and is charged with governing all business dealings conducted between dealers, brokers and all public investors. In other words, the rules that dictate how your financial advisor interacts with you are set forth by FINRA. In all, FINRA oversees more than 4,500 brokerage firms, approximately 160,000 branch offices and more than half a million registered securities representatives, as of 2016. Continue reading...

What is a Broker-Dealer?

A broker-dealer is an entity that engages in the trading of securities, and can act as both an agent and a principal. Brokerages, investment banks, commercial banks, and other financial institutions can act as a broker-dealer. Broker-dealers are important to the liquidity of the markets, since they hold inventories of securities for various amounts of time to help facilitate trading, short-selling, and margin accounts. Continue reading...

What Does Maintenance Margin Mean?

A maintenance margin is the minimum amount of equity an investor must keep in a brokerage account to cover margin balances. Under the regulatory guidance of NYSE and FINRA, an investor has to have in equity at least 25% of the total market value of the securities in the margin account. Depending on which brokerage firm the account is held, the maintenance margin requirements could be higher. According the the Federal Reserve’s regulation titles “Regulation T,” when a trader buys on margin they must maintain key levels of equity throughout the life of the trade. Continue reading...

What are My Keogh Plan Investment Options?

Keoghs can hold a wide range of investments, and it will mostly depend on your plan trustee. Keogh plans have the ability to include many investment options, from stocks to bonds, certificates of deposit to cash value life insurance, and so on. Keep in mind that Keogh Plan investments are usually determined by the financial institution at which your Keogh Plan is established. When opening a Keogh Plan, be sure to check what investment options the financial institution offers, and how much in fees and commissions they would charge for these investments. Standard ERISA rules apply, so all employees must be offered the same options. Continue reading...

What is Cash Collateral?

Cash collateral is liquid cash and cash equivalents designated as collateral for loans and debts of various sorts. One frequently used example of cash collateral is cash used in short selling of securities in a brokerage account. While securities equal to significantly more than the required cash margin can be substituted for cash, the most cost-effective and least risky way to maintain margin requirements is with cash and cash equivalents. Continue reading...

How Do I Calculate my Net Worth?

Calculating your net worth is a simple and worthwhile endeavor, and should be done once a year to measure your progress. Generally speaking, your net worth is the sum of all of your assets, minus the sum of your liabilities. For example, to calculate your net worth, you would need to add up the dollar values of all of your assets – usually consisting of your house, your cars, savings accounts, retirement accounts, CDs, cash, etc…, and your most valuable possessions (you don’t need to include your desk lamp into the calculations). Continue reading...

What is a Mortgage Broker?

Mortgage brokers act as agents for consumers looking for the best deal possible on a home mortgage loan. Lenders at banks may not be able to find the most competitive interest rates out there. Mortgage brokers can help consumers become more educated about the various kinds of loans out there, some of which are subsidized by the government. Mortgage brokers find and place mortgage loans with consumers who need it to buy a house. Continue reading...

How Much Money Should I Set Aside for Emergencies?

Research suggests that more than half of adult Americans do not have sufficient savings needed for emergency purposes. Here’s a startling but true piece of information: most surveys conducted in the past few years indicate that more than half of adult Americans do not have any kind of emergency fund at all, and even fewer have enough to cover three months of living expenses in the event of an unexpected event, like job loss or health emergency. Continue reading...

Best Day Trading Guide

Day traders, by definition, trade on a very short-term time frame, seeking to generate profits by opening and closing positions hour-by-hour and having the majority of their positions closed by the end of the day. Short-term profits and income are the goals with most day-traders, and the term is used more and more for “amateur” traders who trade from home and treat it as their primary occupation without being part of a brokerage firm. Day trading has become more and more prevalent for independent, non-affiliated investors who trade from their computers at home for hours a day. Continue reading...

Who is the best custodian for my investments?

Custodians are the institutions which hold your securities for you and provide some related services. Some will have various arrangements and relationships with exchanges and broker-dealers, and some may do everything in-house; such things have bearing on what your investment options are, how much equity you must have for margin, what kind of fees you pay for various services, and so on. Different custodians tend to structure their fees and services to a particular type of clientele or a particular account size. You may outgrow the custodian you have, or you may discover that there is a better, more affordable option for an account like yours. Continue reading...

What is a Mortgage Company?

Most mortgage companies today are brokerages that do not underwrite or fund the loans themselves. They help to place customers with the most competitive loans that make sense for their situation and personal finances. Many small mortgage companies went bankrupt in the housing bubble of 2008. Mortgage companies are known as loan originators since they pair customers with loans that suit them and get the process started. Some companies also fund mortgage loans, but most are basically brokerage services that do not lend the money themselves. Continue reading...

Where Do I Buy Life Insurance?

There is no clear-cut answer this question. There are many companies that offer life insurance and countless salespeople and brokers anxious to sell an insurance policy. You should buy your Life Insurance from a company that is reliable, financially stable, and reputable. You can find a policy yourself online or through an agent or advisor. Of course, you must do research and analyze the companies which you are considering very carefully. It is of utmost importance to be sure that your insurance company has policies that suit your needs and are not a scam, especially since this may be some of the most important insurance you can own. Continue reading...

What are Best Online Brokers and Trading Platforms?

This article provides an in-depth exploration of the best online brokerage accounts and trading platforms in 2023, offering low costs, exceptional trading experiences, cutting-edge mobile apps, and more. Let's delve into the details of these top contenders and how they cater to different investor needs. Fidelity Investments: The All-Rounder Fidelity Investments stands as a beacon of excellence, securing its position as the Best Overall, Best Broker for ETFs, and Best Broker for Low Costs. Continue reading...