Brokerages: Answers to your frequently asked questions

In this article, The Ascent answers some of the most frequently asked questions regarding brokerages, such as "What is a brokerage account?" and "How do brokerage accounts work?"

This article also covers and defines the different types of investments one can make with a brokerage account, including:

  • Common stock
  • Preferred stock
  • Bonds
  • REITs
  • Money market accounts and CDs (certificates of deposit)
  • Mutual funds
  • ETFs
  • MLPs

The Ascent breaks down the costs associated with a brokerage account, including: broker fees, transaction fees, and management fees, and explains the differences between cash vs. margin brokerage accounts, and discount vs. full-service brokers.

In addition to the above, this article explains what you should be looking for in a brokerage account, as well as how to open a brokerage account. 

The Ascent also provides a detailed review of some of the most popular brokerages.

Learn more about The Ascent here.

https://www.fool.com/the-ascent/buying-stocks/brokerage-beginners-guide/

 

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