What? There should be no technical reason why a broker couldn't auto-invest an order for me to buy 10 shares of VTI every month. Why would an alternate system be needed? The brokers that currently support auto-invest are just making it weirder by allowing for fractional shares.It would be a hard no for the first. The market works by bidding on whole shares. You would need to build a alternative system built around bidding fractional shares for specific buckets of cash. That would be lots of work. You would move from a continuous auction to a closed book exchange using a reverse Dutch auction. Closed book exchanges have been out of fashion for over 30 years.Does Vanguard -- or any broker -- allow one to auto-invest in ETFs based on whole number of shares (instead of dollars)? For example, buying 10 shares of VTI every month?
If not, does anyone allow you to invest only in whole shares (e.g. to specify to invest approximately $X, but rounded down to the nearest whole share?
The second system would be very odd and arbitrary. Not wrong, but nobody really thinks about individual shares when constructing a portfolio.
Statistics: Posted by Phaedrus — Fri Sep 20, 2024 11:09 pm