DriveWealth’s unique Fractional share program allows you to purchase securities in dollar amounts rather than share quantities. Please be advised that trading in fractional shares has unique risks and limitations that you should understand prior to participation in DriveWealth’s Fractional Share Program.

Pricing            There is a fee associated with the purchase and sale of fractional shares on the DriveWealth platform. All transactions in fractional shares are subject to a commission of $0.99/trade.

Rounding       DriveWealth rounds the amount of fractional shares you can purchase and own in your account down to the nearest four decimal places.  This may affect your purchase of a fixed dollar amount order. For example, if you order $100 of a security, your transaction may not total exactly $100 due to rounding (it could be a penny less, but would never be more than the order amount, prior to commission charges).

Rounding may also affect your ability to be credited for cash dividends, stock dividends and stock splits. For example, if you own .0001 of a share of stock that pays a one cent dividend per share, we will not credit your cash balance a fraction of a cent.

No Limit Orders        DriveWealth will only accept market orders for fractional shares at this time.

Trade Capacity and Execution        DriveWealth executes the full share portion of customer orders on an agency basis, routing them to market centers. To satisfy your fractional share portion of order, DriveWealth will sell to you from our account, on a principal basis, at the National Best Bid or Offer (“NBBO”) as of the time of your order. Thus any order that is for both full and fractional shares will be executed in a mixed capacity: part as agent, part as principal. The compensation will be the same rate charged full share orders. DriveWealth may make a profit or incur a loss on the fractional share trade.

DriveWealth may execute your fractional share orders on a principal or riskless principal basis. In the event we are acting as principal, we will trade with you at the then current NBBO. If we act as riskless principal, we will trade with you at the price we received in the market. Your confirmation will disclose how we acted.

If you enter an order solely for a fractional share, DriveWealth will execute your trade against its proprietary account at the then current NBBO. Orders entered outside of regular trading hours cannot be executed.

Transfer of Fractional Shares Fractional shares are not transferrable. If you close your account or transfer your account to another firm, the fractional share will need to be liquidated, resulting in potential commission charges. Fractional shares cannot be put into certificate form and mailed. They will need to be sold. The commission charge for liquidation may match the value of the fractional share if less than our minimum commission.

Voting Rights Holders of fractional shares will not have voting rights for the fraction of a share owned, even if more than .50 shares are long in your account.