How does fractional investing work?
On the Vested platform you can invest in either full or
fractional shares. When your investment is in full shares, our broker partner
(DriveWealth) will route the orders to market centers on an Agency basis. When
the investment is fractional shares, our broker partner will satisfy the order
from its own account, on a Principal basis, at the National Best Bid or Offer
(NBBO). NBBO means that DriveWealth cannot add margin to the price. So, if the
market price of 1 share of Amazon is $1000, and you purchase 0.1 share of
Amazon, you will pay $100 for the 0.1 share. Any orders for both full or
fractional shares will be executed via both methods, part as Agent and part as
Principal.
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