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echo: aust_biz
to: Paul Edwards
from: Lindsay McKeon
date: 1995-09-05 16:09:40
subject: Buying SHares

DY> I am interested in buying a small number of 
DY> shares.  Can anyone tell me 
DY> what is the smallest amount in $ or in 
DY> quanitity that one can buy.  Can 

 PE> The short answer is 100 shares.  You could get 100 Adelaide
 PE> Brighton Cement shares for around 100 * 1.40 = $140, plus
 PE> brokerage (minimum $60) = $200.  It's not a good idea to do
 
I think a marketable parcel is the smallest quantity you can buy.
 
What constitutes a marketable parcel depends on the cost of the
individual stock. For example, I think it's 2000 shares below
25 cents, 1000 from 25-50 cents ... etc.
 
100 shares is the parcel size from $5.00 - $10.00, I believe.
 
You are correct that buying small parcels is a bad idea, because of
the high minimum brokerage. Probably $2000 is the minimum anyone
should buy, IMHO.
 
If you need to buy or sell smaller parcels, there are private client
brokers with lower minimums. I know of some with $30 minimums, below
Pont's $60.00 flat rate but higher as a percentage for larger orders.
 
LM.
 
PS.. most brokers want at least a couple of thousand bucks to open
an account.
 
LM.

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