Be Your Own Stock Broker

Thanks to the wide proliferation of Internet technologies over the last two decades, and a willingness on the part of authorities and exchanges to open their doors to technological integration, the role of the stock broker in the life of individual retail traders has now seriously diminished. Nowadays, the stock broker of old has been largely replaced by online trading platforms that allow investors direct access to financial markets. As a result, a new generation of well-educated and efficient stock and option traders has sprung up. So while the traditional stock broker won't become completely obsolete, his role (at least towards the smaller end of the investment spectrum) has significantly decreased.

The foremost benefit of acting as your own stock broker is that it allows you to minimize the transaction costs associated with each trade. Rather than paying a hefty stock broker commission (often greater than $100) on every trade, when trading online you'll typically pay much lower transaction costs. For example, with TradeKing, it's a fixed fee of $4.95 per trade for stocks1, and for options $4.95 ticket charge plus 65 cents per option contract.. That means when you're trading reasonable volumes of shares, the cost of commissions per share becomes negligible. Bottom line is online stock brokerage allows you to invest and be less worried about commissions eating up most of your profits.

Choosing to go it alone via a platform such as TradeKing instead of a "bricks and mortar" stock broker also enables you to react more efficiently to changes in the market, and to act on news announcements that may impact upon the value of your assets. By granting instant online access to the financial markets, and enabling features like contingent orders and trailing stops these platforms also enable the trader to automatically cash in on a profitable position at the first sign of a downturn, or close out losing positions before serious damage can occur.

The trader investing on his own accord is also in a better position to learn and understand the mechanics of the markets, compared to remote investors trading through a third-party stock broker. Because online trading forces you to more closely watch the market, over time you‘ll get a better feel for the best timing to enter and exit your trades. Furthermore, the powerful trading tools and charting capabilities offered by TradeKing can help individual retail traders to watch and predict market movements more accurately than at any other point in history.

In this regard, trading online gives you control that would otherwise lie with your stock broker, and allows you to make your own decisions rather than relying on the judgment of another individual. Thanks to low transaction costs and a direct route to the markets, by using powerful trading platforms like TradeKing's you really can become your own online stock broker. We'll allow you to trade stocks, options and other derivatives, in a secure and professional manner -- without having to go through a traditional stock broker.

Benefits Of Being Your Own Stock Broker

• Lower transaction costs
• Direct access to financial markets
• Allows for more responsive trading
• Learn and improve investment skills
• Become more aware of trading profits and losses