what brokerage firm do I use?

I am looking to put $2000-3000 into stocks every 6 months. I am leaning towards canadian banks, a couple canadian Oil trusts, and maybe cn rail to start. My plan is to invest then hold onto the stock for years. do I go online and use my banks discount brokerage or go to a brokerage firm and have a meeting with them?

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  • 1 decade ago
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    There are two ways to go: if you want good advice as to what to invest in, perhaps you should consult a full service broker. My experience has been that their advice is not all that good, as they often think more about their commissions than your well-being, and they prefer to swap stocks back and forth between their various clients to avoid paying fees. Typically, they will give you a list that consists of 90% buy, 7% hold and 3% sell. This is obviously not the way to go: the buys and sells should be close to the same. This sort of advice will actually cost you a lot more: the commissions will be a lot higher, and the losses will be higher too. Always ask about any recommendation: "Do YOU own this?" if the answer is not "YES, I do", don;t buy the damned thing.

    The other way to go is to pick your own stocks and mutual funds, and for that, the best bet is a discount broker like Scottrade , Tweedy Browne or Schwab.

    Might I suggest that you appear to be the sort that 'falls in love' with a particular company or type of investment. My experience is that this is NOT the way to go, because oil and transportation are fairly volatile sectors, and tend to rise and fall rapidly. The goal is to MAKE MONEY, not sigh and say to your self every time you pass a freightcar or a filling station "I own that".

    Think of stocks as staplers or razorblades, and pitch them out when they cease to do what you bought them for. Be merciless!

    Me, I would check out mutual funds, perhaps in a variety of areas, such as energy and transportation, but not an excessive amount in these, and large cap international stock. The US dollar seems to be headed downward, so perhaps Canadian/European/ Emerging Market might be a good idea. Mutual funds are run by guys with a lot more experience than you or I, and there is always an index to compare them tom which you MUST do. Do NOT fall in love with the mutual fund company, either Scottrade and Schwab and T.Browne have hundreds of funds you can invest in with NO COMMISSION.

    Oh yes, when some disaster hits, like 9-11: DO NOT SELL. You will be screwed. A good investment will recover, wait a few months until a sign appears of emerging trends.

    I would subscribe to a good mutual fund newsletter. Hilbert has a newsletter that ranks the best, well worth the price.

    Good luck!

    You can arrange to invest a set amount in whatever you wish with nearly any brokerage firm.

    Here are some mutual funds you might check out

    very aggressive: UNWPX EWW PGJ ILF GOLDX

    aggressive: FXI EWS EWP EWD UMEMX

    about average: EZU VGK FEZ IEV JSVAX

    more conservative: ICF REACX IYR OBRTX FIUIX

    The ones with five letters are no-load open end mutual funds

    The three letter ones are traded like stock on the NYSE

    Please, learn how to invest before you lose a bunch. The idea is to make wise choices and check them every three months or so. Most unexperienced people lose money learning.

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  • 1 decade ago

    Go online and use your banks discount brokerage and get them advice. Remember, stock is long time investment

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  • Anonymous
    1 decade ago

    well all of teh above answers are wrong what you need to do is do a search for CANADIEN online brokers for you will be considered a "foriegn investor" if you use the NYMEX. The one that I think Canada uses is the Toronto Exchange. Look at the link below to use a reference and good luck to you

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  • 1 decade ago

    Dude! Where in Northern Alberta? I have relatives in Hines Creek.

    But I don't know the answer to your question. I would look at online options like eTrade that are more favorable to small investors and offer great diversity of options.

    Maybe we're related?

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  • Anonymous
    1 decade ago

    TD Ameritrade.

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  • 1 decade ago

    your best option is a on-line broker, and for me tdameritrade.com the best!

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  • Anonymous
    1 decade ago

    good question not that I care

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