Setting up brokerage account for another

[Guest JoelS]

Hi all,

 

I have been researching setting up a brokerage account for my girlfriend. I have been looking for a provider:

 

- Relatively cheap on commission as a % of trade value

- With a decent user interface

- With no minimum amount or a low minimum - (sub 5k here to begin with)

- Caters to international clients (not a US citizen).

 

I could wrap it up with my stuff but I want to keep it simple and for her to have control over the process.

Any suggestions or advice would be much appreciated. I keep encountering roadblocks for the smaller investor.

 

Many thanks,

 

Joel

[jawn619]

Hi all,

 

I have been researching setting up a brokerage account for my girlfriend. I have been looking for a provider:

 

- Relatively cheap on commission as a % of trade value

- With a decent user interface

- With no minimum amount or a low minimum - (sub 5k here to begin with)

- Caters to international clients (not a US citizen).

 

I could wrap it up with my stuff but I want to keep it simple and for her to have control over the process.

Any suggestions or advice would be much appreciated. I keep encountering roadblocks for the smaller investor.

 

Many thanks,

 

Joel

 

A lot of brokerages require you to show ID and do some sort of background check so there might be hurdles for non U.S. citizens. Robin hood would be what you're looking for.

[Guest JoelS]

Thank you Jawn619. I agree that Robin Hood is a good option for a beginner but my understanding is RH doesn't provide a lot of detail on unrealized gains/losses/performance etc? Is that accurate? I am with Wells Fargo and the information they provide on performance etc is very useful for tax/review purposes. It would be great to set up an account and be done with it.

 

I have also heard Charles Schwab is a good option for internationals, once you go through the effort to provide the documentation. I just don't want to go through the hassle of starting the process only to find out it can't be done.

[innerscorecard]

I would suggest Vanguard, Fidelity or Schwab.

 

But beware handling your girlfriend's money. I don't know anything about you or her, but mixing control of money without marriage (and sometimes even with marriage!) often ends badly. Remember the story of Buffett almost losing money when he bought stock for his sister.

[wachtwoord]

Wait until she has 5k (or 10k above 26) and have her open a IB account herself. It's the cheapest and below that she'll just bleed fees anyway. She can use a simulation account (real markets with play money) until she has the required amount and is confident enough to use it.