5 Rules for Wealth-Building With Fractional Shares

Can you get rich investing $5 at a time? Or, a better question: With stock prices of many companies soaring into the hundreds and thousands, how does one invest $5, exactly? Here's the answer. If you can't afford a whole share, just buy a piece of one.

Fractional investing is the practice of buying stock shares in units of less than one. The advantage for new investors is clear; rather than devoting thousands right off the bat to set up a diversified portfolio, you could dip a toe in the investing waters with just a few bucks. As an example, you could buy a fractional share of an exchange-traded fund (ETF) that tracks the performance of the entire stock market, like Vanguard Total Stock Market ETF, for around $5.

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Source Fool.com