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Investment
Brokerage Fees
The charges a broker takes for executing your stock trades.
Brokerage fees can be per-trade commissions, monthly subscriptions, or hidden costs like payment for order flow. Many modern brokers offer $0 commissions for stock trades, but they still make money in other ways.It's like the fee you pay the taxi driver for getting you from point A to point B in the stock market.
Real world: When you buy 100 shares of a stock, your broker might charge a $0.65 commission per trade or a flat monthly fee for unlimited trades.
💡 Always check brokerage fees before trading — even small fees can eat into your profits over time, especially if you trade frequently.