Brokers for the Unaware

Brokers are trying to put up an image of themselves as people who will help you with your stock investments at a cheap price. Only some brokers can actually identify with this description. Most brokers have hidden fees, make selections so they benefit more than you, and have terrible customer service. (this isn’t just an annoyance, it can cost you your fortune) One thing you really have to watch out for in a broker is whether or not they’re in the business to make as much money as possible, or to help people out to their fullest extent. There have been countless reports of brokers not following direct orders just so they can get that new car they’ve been eyeing. In the first place, I wouldn’t invest large amounts of money in stocks because it’s so risky. And if you really need a broker, make yourself clear that you want to check over all of his ideas before he carries them through. Otherwise you could end up with a ton of stocks that are obviously going to fail, with your broker being completely oblivious. Also, when you’re not in constant access to your portfolio and your broker, give them some instructions in case of emergencies. What if you go on vacation only to come back in the middle of a crash and your fortune gone, all because your broker just couldn’t push a few buttons?

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