Interactive Brokers, the automated global electronic broker, has launched fractional shares trading for European stocks and ETFs.

The US company, which set up a Dublin office in January 2021, said clients can now buy and sell fractional shares of eligible US and European stocks and ETFs.

With fractional shares, there is no minimum for European shares, and investors can invest in US shares with as little as $1, irrespective of the stock price.

Steve Sanders, EVP of marketing and product development, said Interactive Brokers offers cash quantity stock orders, which lets clients place orders in a specific cash amount.

He explained that fractional shares will automatically be bought or sold if the cash amount does not line up with a whole number of shares. 

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Popular US shares can be pricey to buy on a per share basis. For example, the per share price for Alphabet/Google on Nasdaq is currently $2,225, Microsoft is $273 and Apple is $150.

Sanders added that fractional shares trading is available on all of Interactive Brokers’ trading platforms including IBKR GlobalTrader, its mobile trading application.

“Interactive Brokers was the first big broker to introduce fractional trading in US shares and it’s been very popular with our clients,” Sanders added.

“Adding European fractional shares gives investors the opportunity to trade across markets in a more affordable way, in addition to the benefit of investing in more stocks to help clients achieve diversified portfolios.”

European stocks and ETFs listed on select exchanges, and with average daily volume above $5m and market cap above $5bn, are eligible for European fractional shares trading.

Interactive Brokers Inc is quoted on Nasdaq, and has a market cap of $25bn. Its share price is currently $60, down from $80 at the start of the year.