While online investing is efficient and popular, the Securities and Exchange Commission warns that online investing brings its own risks.
You are able to buy and sell stocks using one of the many hundreds online brokerage houses for lower transaction costs. Investors must know whom they are trading with, what they are buying, and the underlying risks of the investment.

And then, trading is so fast that investors should take additional steps to guard against potential hazards. Many of the online brokerages offer a variety of services, including research reports and various fixed-income securities under their own sponsorship.

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