Fractional shares make it easier for investors to buy stocks or ETFs with any amount of money, even as little as $1. This option is beneficial for beginners or those with limited budgets. Benefits include the ability to invest all your money, receive dividends in proportion to your investment, build a diversified portfolio, and use dollar-cost averaging. Some drawbacks include having to sell fractional shares when transferring to a different broker.

Charles Schwab offers Stock Slices for fractional share investing in the S&P 500 with as little as $5 per slice. Fidelity allows investors to purchase fractional shares of over 7,000 stocks and ETFs for as little as $1. Interactive Brokers offers fractional shares on its Pro or Lite platform. Robinhood allows the purchase of tiny fractions of shares for stocks over $1 with a market cap above $25 million.

Firstrade offers commission-free stock and ETF trades, including fractional shares for over 4,000 stocks and ETFs. Vanguard allows fractional share investing in its own mutual funds and ETFs. Tastytrade provides fractional shares for thousands of stocks and ETFs with a $5 minimum purchase requirement. SoFi Active Investing offers fractional shares for over 4,000 stocks and ETFs starting at $5. WellsTrade’s Stock Fractions program offers access to hundreds of stocks and ETFs with a minimum order of $10.

E-Trade allows dividend reinvestment into fractional shares but does not allow the purchase of partial shares. Merrill Edge permits dividend reinvestment in fractional shares but does not offer direct fractional share purchases.

Read more at Yahoo Finance: Best brokers for buying fractional shares