Decision Point: Choosing Your Broker The first decision you're going to have to make is how you're going to invest. Even though you don't currently have a portfolio, you're familiar with the way the stock market works. Over coffee one morning, you tell a couple of friends about your inheritance and ask their advice for investing. One of your friends quickly hands you a business card for his broker and suggests you use a full-service broker. Another of your friends scoffs. "You're wasting your money," she says. "Open an account with a discount broker." You want to make the best decision for your investment portfolio, but you need to understand the differences between full-service brokers and discount brokers. Consider each of the descriptions below and assess whether they apply to full-service brokers or discount brokers. Drag each description to the correct column and click Submit Full-Service Broker Discount Broker Offers professional advice, retirement planning, and tax strategies Full range of investment choices, including stocks, bonds, annuities, derivatives, and insurance Reduced commission, but generally donc nowdenersonalized Full range of investment choices, including stocks, bonds, annuities, derivatives, and insurance Reduced commission, but generally does not provide personalized Investment advice "No frills" opportunity for knowledgeable investors to trade securities at minimal cost May charge between 1% and 2% of the total assets managed Offers a selection of tools for a fee to assist you with research and trading Flat fee per stock transaction will recommend stocks for purchase, handle the purchase order, and monitor your portfolio Has large teams of research analysts to provide in-depth securities market research for clients Fewer investment products to offer the client