Our unique fractional share program allows you to purchase securities in dollar amounts rather than share quantities.
As the US market operates on a books and records basis (compared to the Australian Holder Identification Number (HIN) system), shares are grouped at the bank level who reports the holdings to the exchange.
This means that the broker (in this case DriveWealth) can assign rights to shares through a books and records system. This allows share ownership to be split between various clients of that bank.
With this, you can purchase and sell dollar amounts of a share for any amount between US$50 to US$500,000. For example, you can purchase US$5000 of shares in Amazon, Inc (AMZN) and you would receive approximately 5.917 AMZN shares (based on a share price of US$845).
Note: In most instances, the dollar amount executed will match the dollar amount requested. However, due to market movements, a fractional order may be executed for a few cents less than the requested dollar amount (never more).