Or investors can create their own folio. Investors actually own the stocks in these portfolios, complete with company voting rights, as well as fractional shares. Further, these marketplace-savvy investment vehicles allow investors the ability to delete stocks they may not want, or enhance their holdings of others. For example, Philip Morris could be removed from a Dow 30 folio, if an investor considered tobacco stocks undesirable. In its place, an investor could buy more of another stock within the portfolio.
Investors can also change allocations, or automatically rebalance their portfolios.
Orders that it can't match are sent out to the market to keep costs down, so it does not present itself as a firm designed for investors concerned about trading line queues. For added assurance, psychologically speaking, and for market appeal, investors can construct up to five dummy portfolios to see how their portfolio choices would do in the real market. Our program is for people who've been thinking of opening an online account, but who want to do it conservatively with a diversified basket of stocks. We are also selling risk level and portfolio characteristics rather than individual stocks. Since making its business announcement in April this year, it says it has been approached from all members of the investment community, even a mutual fund company, about striking up a partnership.