New to stocks.

respawn · Newbie Joined: 05 Aug 2008 Posts: 1

Hello everyone, I'm quite new to trading and I was going to purchase some shares online using a discount brokerage I signed up for. When I was about to purchase I got the message "The number of shares you have entered includes an odd lot and may be subject to a price premium." My question is, do you regularly buy odd lots becuase I tried looking for what the board lot was but I couldn't find the information.

nodoodahs · Moderator Joined: 06 May 2005 Posts: 2408

Every broker's price policies will differ.

I regularly trade in odd lots, as I tend to think in units of equity (10% or 5% of my book in this position, etc) and my account isn't big enough for 50 shares to be a rounding error.

For my broker, it makes no difference, excepting very rarely, when they have forced me to trade round lots (units of 100) on some thinly-traded issues. Even then, it was the same price per trade. This has happened maybe twice in over three years.
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