EasyEquities Blog

The benefits of Fractional Share Investing!

Written by Romi Appel | May 8, 2015 8:57:00 AM

Fractional ownership is an efficient, smart way of investing which offers many advantages. Take a look at the main ones below.

1. Portfolio diversification – never leave money out of the market
Trading in whole shares is not always an efficient way of doing things. As you may already know, many investment platforms only allow you to trade whole shares since trading on a securities exchange doesn't allow for fractional ownership. This can be very limiting.

2. Our technology means less waste for you
At EasyEquities, we're efficient. We believe that every single cent should be hard at work for you, earning returns. This is why we put so much work into developing technology that supports investment in fractional share rights (FSRs). By investing every Rand possible, your portfolio is maximizing its earning potential. Technology really has made the process both easier and more profitable.

3. Equal opportunities are available to all investors
Since we don't require minimum deposits or investments, every investor has the opportunity to diversify their portfolio regardless of their budget. This means that an investor with a portfolio of R2 500 receives the same diversification benefits as an investor who has a portfolio worth R250 000. We offer everyone the benefit of automatic, perfectly allocated dividend reinvestment where dividends paid out to you can be used to invest in more FSRs, with every cent able to be used.

Click here for more info on Fractional Share Rights (FSRs).