SogoInvest In Fractional ETF Shares

New online discount brokerage SogoInvest has garnered a lot of press for its $3 trades and its managing director, Tom Dittmer, founder of the since-collapsed futures broker Refco, but it also has something to offer exchange-traded fund investors: dollar-cost averaging.

New online discount brokerage SogoInvest has garnered a lot of press for its $3 trades and its managing director, Tom Dittmer, founder of the since-collapsed futures broker Refco, but it also has something to offer exchange-traded fund investors: dollar-cost averaging. SogoInvest, which also offers a pricing plan featuring $1 trades, will allow users to buy fractional amounts of listed securities, including stocks and ETFs. Dollar-cost averaging is frequently cited as an advantage mutual funds have over ETFs, which typically have to be purchased as whole shares and are subject to transaction fees. Discount brokerage MyStockFund first offered ETF dollar-cost averaging, on the popular Nasdaq-100 Tracking Stock, or Cubes, in March.