To have a fully functioning account, brokerages are required to have your signature on file. However, you orders aren't executed until the market opens. After you open your account, you can log onto the Internet, go to your brokerage Web site, and enter orders by completing the online form. You can access your account at any time, check all your investments, and monitor your investments by using online news or quote services. In other words, if your brokerage firm fails, your investment is covered.
Investors are wise to look into the background of a brokerage firm before investing.
The table below shows a few examples of the features that online brokers offer. These additional benefits change regularly, so check at the online brokers Web site before you open an account. Thomson MarketEdge Reports, delayed stock quotes, and real-time quotes for a low monthly fee. Free dividend reinvestment. Check-writing privileges, investing game, news, and delayed quotes.