Is there any problem in having 0 cash in your brokerage account?
Let's say that you have a brokerage account with 000 and you want to invest that money in some financial product.
Is there any problem in investing the whole 000? I mean, is the ongoing charge (and other periodic expenses) retrieved from your brokerage account? Should you leave 0 or so to avoid being in the red, like in a normal bank account?
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Brokerage firms do not charge a fee based on what investments you hold in your account. The k could be all in cash or only in securities or split up in a blend of cash and securities.
Now if you meant that you are withdrawing the cash from your account then you'll have an issue with minimum account size if your broker requires one. Brokers can also charge other fees such as a monthly fee for not generating X amount of commission dollars.
The short answer is to check with your broker.
Check your specific brokerage fee schedule. But no, there shouldn't be a problem doing this in most brokerage accounts in the market.
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