We have three order types in the BUX Zero app:
- Market Order
- Limit Order
- Zero Order (our newest way to buy stocks)
Whenever you want to purchase a stock, you’ll choose one of these three order types. But which one? Let’s run through each order so you pick the right one for your investing style.
Market Order: buy stocks as soon as possible
The Market Order is basically the right lane of the motorway: speed is the key issue here! If you want to buy a stock right away, the Market Order is your go-to choice. Market Orders are executed immediately and at the best possible market price.
With a ‘market buy’ you pay the current selling price (ask price). With a ‘market sel’l you get the current purchase price (bid price).
We charge a commission of €1 for the Market Order.
Limit Order: buy stocks at the perfect price for you
What if you know exactly what price you want to pay for a certain stock? Then you should choose the Limit Order. This allows you to set the maximum or minimum price you want to pay for a stock. You can do the same thing when you sell a stock too.
With a ‘limit buy’ you never pay more than the price you set. And with a ‘limit sell’ you never get less than your chosen price.
However, if your price is not reached within the trading day, the order will automatically expire.
We also charge a commission of €1 for the Limit Order.
Zero Order: buy stocks without commission
If you’re more interested in saving money on fees, you can invest with our Zero Order.
We collect all the zero orders and execute them at the end of the trading day. But, there is no guarantee it will be executed – we do this for your own safety!
For example, the price of a share can change a lot in one day. By the end of the trading session, your chosen stock could be much more expensive than you expected. For that reason, Zero Orders are cancelled if the price difference at the end of the day is more than 4% (for sell orders) and 5% (for buy orders).
You pay no commission for the Zero Order. Forever.
US stocks: all orders are commission free!
By the way, ALL order types for US stocks are commission-free, including the Limit Order and Market Order. The only thing you might notice is an FX premium because you buy stocks in euros, but the price is in dollars.
You can find a full breakdown of our prices here. If you have any questions, please chat with our support team in the app.
All views, opinions and analyzes in this article should not be read as personal investment advice and individual investors should make their own decisions or seek independent advice. This article has not been prepared in accordance with legal requirements designed to promote the independence of investment research and is considered a marketing communication.