17 July 2026
Tiger Brokers (AU) Pty Limited, “TBAU”, allows its clients to trade certain US stocks in fraction rather than whole share quantities. Please ensure you have read, understand, and agree to be bound by the terms herein, which outlines the unique features, limitations, and risks associated with trading in and holding fractional shares.
Mechanism – TBAU acts as your agent in executing and dealing in the fractional shares on your behalf. The orders will be submitted to TBAU’s US clearing broker for execution. The clearing broker will execute both the whole share component and the fractional share component on an agency basis through its execution venue(s).
Execution of Fractional Limit Orders (Not Held Orders) – Fractional share orders will be routed by the clearing broker to upstream execution venue(s) for execution. Certain upstream execution venue(s) may only accept marketable fractional share orders.
A marketable order is an order that is immediately executable against the current best available market price. A non-marketable limit order is a limit order that is not immediately executable because its limit price is below the current best offer for a buy order, or above the current best bid for a sell order.
If a non-marketable fractional limit order is submitted directly by clearing broker to such an upstream execution venue, it may be rejected. Accordingly, the clearing broker may handle non-marketable fractional limit orders on a not held basis. This means the clearing broker is authorised to exercise reasonable discretion as to the timing of submitting the order for execution, including by temporarily holding the order and submitting it when market conditions appear to satisfy the order parameters.
However, reaching the limit price does not guarantee execution. Execution remains subject to venue acceptance, market conditions, routing delays and other operational factors.
Execution of Fractional Market Orders (Held Orders) – Unlike non-marketable fractional limit orders that may be handled on a not held basis, fractional share market orders are generally expected to be marketable and submitted for execution upon receipt. However, execution remains subject to venue acceptance, market conditions, liquidity, routing delays and other operational factors.
Execution Risks(Not Held Orders)
Clients should be aware that, for fractional share limit orders handled on a not held basis:
reaching the limit price does not guarantee execution of the fractional share order;
the order may not be submitted for execution immediately upon receipt. It may be submitted only when market conditions appear to satisfy the order parameters, and the market may move before the order is submitted, accepted or executed. As a result, the order may not be submitted, may be rejected, or may remain unexecuted;
execution remains subject to market conditions, liquidity, execution venue acceptance, routing delays, system processing and other operational factors;
the execution price may differ from the market price observed at the time the order is released for execution. However, a limit order will generally not be executed at a price worse than the specified limit price;
the order may be rejected, remain unexecuted, or be only partially executed; and
delayed submission or execution may result in missed trading opportunities.
Transfer of Fractional Shares – Fractional shares component are not transferable to another broker. If a client wants to transfer the holdings to another broker, the fractional portion of shareholdings will need to be liquidated, which may have tax consequences and will result in brokerage and fee charges.
Available products – Fractional trading is currently available on certain US stocks and ETFs, which includes but not limited to S&P 500 component stocks. TBAU may update the product lists from time to time at its discretion without prior notice.
Available Order Types – market orders and limit orders
Minimum order amount – Minimum 1USD is required to open a fractional share position. There is no minimum to close a position.
Extended trading hours – not supported.
Trading cost:
- For fractional share trading with order volume less than 1 share, platform fees are charged at 1% x Trade Value, capped at USD 1. There is no commission or pass-through fee to apply.
- For fractional share trading with order volume more than 1 share: normal US trading fees apply.
Please see the Financial Service Guide or pricing page on our website for details.
Decimal Place Recording - TBAU records the quantity of fractional Shares traded or otherwise held in a trading account down to five(5) decimal places.
Voting Rights - Clients will not have voting rights for any of the fractional portion of shares held in the account and TBAU cannot provide clients any shareholder documentation for any holdings of less than one share.
Dividend - Clients will receive payments of cash dividends. In the case of stock dividends, you may receive equivalent amount of cash in lieu of fractional portion of additional shares resulted from the stock dividends.
Corporate actions – Clients, will not be able to participate in voluntary corporate actions (including, without limitation, any tender offers or rights offerings) with respect to such fractional portion of the shares. However, clients may participate in mandatory corporate actions. Generally, TBAU will distribute interests in proportion to ownership interest, inclusive of fractional portions. But given there are different types of corporate actions and its nature can be unpredictable, different treatments of fractional portion of the shares may apply, which is at TBAU’s sole discretion, considering terms and conditions of the corporate action as well as TBAU’s and its US clearing brokers’ policies and procedures.
TBAU may update the terms and conditions as well as specifications of fractional trading from time to time with or without prior notice. Please refer to the relevant sections on our website or contact us for more details.