Imagine you’re at a pizzeria, and you can’t decide between the hawaiian, pepperoni or BBQ chicken. So instead of purchasing three whole pizzas, you order a slice of each. That’s how fractional shares work.

Fractional shares are simply a fraction of a full share. Most companies issue shares as single units, but now with some brokers, you can buy a fraction of a share the same way you could buy a whole share. This means an investor can access expensive stocks they wouldn’t usually be able to afford.

Tips and tricks

Find a broker that offers fractional shares. That way you can own your own little slice of Google without paying over a thousand dollars for the whole share.

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