Re: Noob question: transaction costs
[ QUOTE ]
My question is: what is an acceptable % cost incurred for stock/ETF purchasing. At what point does dollar cost averaging become unattractive b/c of the money lost doing multiple transactions?
[/ QUOTE ]
Never, with the right broker. Some charge commission per share. They might get cheaper with bigger orders, but you still pay per share. The benefits of averaging are going to outweigh any difference in a few bucks of commission.
|