# Fractional Shares

*Saving & Investing — Finicade finance glossary*

Fractional shares let you buy a slice of a share, so a $50 contribution can go into a $600 stock. They removed the last real minimum from investing and make regular contributions and precise allocations possible for small accounts. The caveats are administrative: fractions usually can't be transferred to another broker without being sold, they may not carry voting rights, and some brokers batch fractional orders rather than executing them immediately.

**Also known as:** fractional investing, partial shares

**Related terms:** [Brokerage Account](https://finicade.com/glossary/brokerage-account), [Dollar-Cost Averaging](https://finicade.com/glossary/dollar-cost-averaging), [Dividend Reinvestment (DRIP)](https://finicade.com/glossary/dividend-reinvestment), [Stock (Equity)](https://finicade.com/glossary/stock), [ETF (Exchange-Traded Fund)](https://finicade.com/glossary/etf)

Source: https://finicade.com/glossary/fractional-shares