I want to know how fractional shares are priced. I'm curious about the mechanism behind it and how the pricing works for fractions of a share.
7 answers
CryptoTamer
Fri Dec 20 2024
Additionally, fractional shares may be generated during stock splits or as a result of mergers and acquisitions.
Daniele
Fri Dec 20 2024
Brokerages offer fractional shares as a solution, allowing investors to buy a portion of a share for a lower cost.
Alessandra
Fri Dec 20 2024
For example, if Stock A is priced at $400 per share, a brokerage might sell one-tenth fractional shares.
Tommaso
Fri Dec 20 2024
These fractional shares would cost $40 each, calculated as $400 divided by 11.
NavigatorEcho
Fri Dec 20 2024
Fractional shares represent a portion of a full share in a company.