How Do You Buy | Stocks And Bonds

Enter the number of shares or a dollar amount (fractional shares).

To trade either asset, you typically need a brokerage account. You have three primary options: how do you buy stocks and bonds

: Participate in auctions through TreasuryDirect or a broker. Enter the number of shares or a dollar

Place a "Market Order" (buy immediately at the current price) or "Limit Order" (buy only at a specific price). : Place a "Market Order" (buy immediately at the

: Buy existing bonds from other investors through your broker’s trading platform. Summary Comparison Stocks (Equity) Bonds (Debt) Your Role Part-owner of the company Lender to the issuer Profit Source Price appreciation & dividends Fixed interest payments (coupons) Risk Level Higher volatility; potential for total loss Generally lower; risk of default or rate changes Maturity None; hold as long as you want Fixed date when principal is returned

: Self-directed platforms like Charles Schwab , Fidelity , and Interactive Brokers allow you to buy and sell individual stocks and bonds.

: Some companies offer Direct Stock Purchase Plans (DSPPs) to buy shares without a broker.