Less than two weeks after it cut stock-trading commissions to zero, Charles Schwab says it is planning to let investors buy and sell fractions of shares, according to The Wall Street Journal.
The offering is intended to attract younger investors to the discount brokerage firm and should be launched with several other new programs, according the report.
“I wanted to take commissions out of the formula,” the brokerage’s eponymous founder told the Journal on Thursday. “We’ve been on that path for 40 years,” he said, before mentioning that the firm wants to add next-gen clients.
Fractions of stocks could be popular with investors who, for example, cannot afford to buy a full share of Amazon stock, now trading at about $1,790.