A few years ago I took advantage of a Sharebuilder promotion code that offered $50 to new accounts after your first trade. I opened an account, deposited $50, and purchased $50 worth of IYT, which is the iShares Dow Jones Transport. Average ETF. When I received the $50, I withdrew it, netting me $50 for a little bit of work. A few people did this several times but I only did it twice.
The downside of the strategy was that while scheduled trades cost only $4 at Sharebuilder, real time trades cost $9.95 (all sell orders are real time trades). My plan was to keep the shares for decades, to let it appreciate, and then sell it whenever I needed it. Today I learned about a promotion code, sent out on flyers, for five free trades at Sharebuilder with the promotion code HVC09NY.
The promotion code is for market trades only, limit trades still cost $9.95. I run a small risk of being hosed by the market but it does let me close things out cleanly. The code appears to give five trades on one account and only one per person, so I’m stuck with one Sharebuilder account.
If you’ve been waiting to exit a position and balked at the $9.95 commission, now is your opportunity to exit it for free. One step closer to simplifying our finances!