Buying Stock for Long-term Online, Best Sites?

PuppetMaster · #1 03-22-2004, 03:25 PM

Im looking to purchase some stock for long-term, atleast one year.
What is the best way to go about this? I would perfer the conveinance of buying online...

MaxPower · #2 03-22-2004, 04:08 PM

I don't really consider one-year to be long term. If you will need the money within the next 3-5 years, you shouldn't be investing it in the stock market.

Anyway, you can open an account at any of the discount brokers. I use Ameritrade and have been satisfied with them.

Here is a link to a broker comparison

squiffy · #3 03-22-2004, 05:42 PM

PartyPoker is outstanding. Invest mainly in AA, KK, QQ and AK suited. I used Ameritrade, which has been fine.

squiffy · #4 03-22-2004, 05:46 PM

Good point. But he did say AT LEAST one year, implying that he may hold for longer than a year, which may meet your definition of long-term.

I don't see anything wrong with intermediate term investing. Though you make a good point, you can't guarantee that at the end of a year you can sell for a profit. You could be stuck longer.

PuppetMaster · #5 03-22-2004, 06:35 PM

[ QUOTE ]
Good point. But he did say AT LEAST one year, implying that he may hold for longer than a year, which may meet your definition of long-term.

I don't see anything wrong with intermediate term investing. Though you make a good point, you can't guarantee that at the end of a year you can sell for a profit. You could be stuck longer.

[/ QUOTE ]
Yes, I could easily leave a stock in for many years to come. I was just trying to point out that Im not looking to day trade, which is what most sights seem to be based towards.

Im just learning the market and Im planning on investing in some of the more stable stocks. Right now Im looking at Fox, Krispy Kremes, Lucent.

deathtoau · #6 03-22-2004, 06:49 PM

If you are looking for long-term holdings in big companies, I recommend you look into Dividend Reinvestment Plans and Direct Investment Plans.

Most allow you to set up the account with little or no fee and allow you to purchase shares directly from the companies without broker commissions. Then you can add funds at any time for no additional cost. Typically, the only time you actually pay commissions is when you sell share. The downside of these plans is you have set dates to buy shares (you can sell at any time), but if you are dollar-cost averaging, that is not as big a deal. Check out the investor relation's page of the companies you are interested in and look at the costs involved. With no broker fees and with free dividend reinvestment, you might save considerable expenses.

BadBoyBenny · #7 03-22-2004, 06:59 PM

I've heard that sharebuilder.com offers a cost format that allows you to invest in drip fashion without having large fees. Don't use it myself though. If you are truly looking for the convenience of an online broker, I doubt that DRIPs would work for you, but deathtoau makes good points. Dollar Cost Averaging is a very effective way to invest and DRIP's offer that at lower costs than any broker will give you.

MaxPower · #8 03-22-2004, 07:06 PM

Drips are excellent. I'm in one now and will be getting into another one soon. I'd like to get about 4 of them an keep contributing to them for many years, but I am being very carefull about chosing the companies.

They are complicated to get into and manage so it might not be the best for a new investor.

I looked into Sharebuilder once, but I didn't think what it offered was that great.

deathtoau · #9 03-22-2004, 08:22 PM

[ QUOTE ]
They are complicated to get into and manage so it might not be the best for a new investor.

[/ QUOTE ]

Of course, for a new investor everything in the Stock Market is complicated.

For more information on DRIPs go here

deathtoau · #10 03-22-2004, 08:27 PM

For my online brokerage account, I use Scottrade. $7 market orders and $12 limit orders is about as good as you are going to do and the service has been really good. Plus they have offices all over the country if you need to see a real human being and not get stuck in automatic email/voicemail hell.