Several years ago, I began investing a portion of my tiny income, and I do mean tiny, into stocks through a website called Sharebuilder.com. The company, allowed an individual to purchase a small number of shares, including fractional shares. This was great. Then a few years back, the company was bought by Capital One. Which was no big deal, we continued business as usual. Capital One, or Crapital One, as one financial guru likes to refer to them as, operated the discount brokerage as a separate business.
Now it is 2018, and Capital One has decided to rid itself of the discount brokerage, they will still offer brokerage services, just not discount services. Earlier this year, Capital One announced that those with accounts in the former Sharebuilder will have their accounts transferred to E*Trade. That’s right E*Trade. Now that is where the problem is. Well, I say a problem, but it is a problem, that we can survive, although reluctantly.
Here is the deal. those fractional shares, will be no more. They cannot be transferred. So at the close of business on August 8, 2018, any remaining fractional shares, will be automatically sold and the cash put in the accountholders. There is one option that an account holder can do right now. That is to sell those fractional shares between now and August 8, with no transaction fees. That is what I did for some of my shares. For example, I had a fractional share of Simon Property Group, a company I very much wanted to keep, but I can’t afford to get a full share. So I went ahead and sold that high dollar stock and added to the my Walmart stock, I now have one full share of Walmart, and on August 8, the fractional share over that one share will be sold, leaving me with just one share.
At least, I will still have one share in the new E*Trade account when I get that next month. Something else I did, was increased, with the cash I had on hand from the sell of partial shares, which included the partial share (over the one full share) of Berkshire Hathaway class B, and used the rest to buy seven more shares of Youngevity International (YGYI) to bring my holdings of this stock to nine shares.
Disclaimer: Kevin Surbaugh is an independent sales representative of Youngevity (YGYI) and is a shareholder in the publicly traded company. <BR> He also has positions in Coca-Cola (KO), Berkshire-Hathaway (BRK.B); (BRK.A), and WalMart (WMT), but has no positions in any other stocks mentioned, and no plans to initiate any positions within the next 96 hours.
— go ahead share your thoughts with me now, my ears are open. I’m always eager to hear what you think.