What is fractional investing?
Written by Joe
Updated over a week ago

Fractional investing allows you to own as much or as little of a share in a company as you want. You can own a share of Tesla, Apple or Google for as little as $1!

When purchasing fractional shares, you can purchase based on dollar amounts rather than purchasing whole shares.

As a result, fractional amounts can only be traded via market orders.

As the US market operates on a books and records basis, shares are grouped at the bank level who report the holdings to the exchange. The fractions are split between you and the brokers' clients - you and others using Douugh.

Finally, voting rights can’t be split with the same level of granularity as shares, so owning a fraction of a share will not allow you to vote.

They do, however, pay dividends proportional to the amount you own.

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