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The Internet is a great way to access your brokerage account morning, noon and night. Once you are logged onto our web site, you can view your balance, positions and your history.
When you place your trades via the Internet you will automatically receive half off of the stated commission rates at the time of your trade.
In order to trade online you must have an established brokerage account with us as well as signing an Electronic Investing Acknowledgement. If you would like to establish a new account with UMB Financial Services, Inc., click here to find the account that best suits your needs. If you already have an account established with us, download, and complete the Electronic Investing Acknowledgement and mail it to UMB Financial Services, Inc., 928 Grand Boulevard, Kansas City, Mo. 64106.
Online Transaction Guidelines
Placing Your Order Online
Confirming and Reviewing Orders
Settling Orders
With the growth of online investing we feel that it is very important to discuss with our customers some important rules and guidelines when entering Internet transactions through UMB Financial Services, Inc.
Online investing offers investors many benefits, including lower commission costs, quicker access to financial markets and broader accessibility to sources of financial information. Consequently the simplicity with which transactions may be placed presents greater risk to investors who might be ignoring prudent investment principles.
Market Order vs. Limit Order
Volatile stock prices and market conditions merit explanation of the importance of market orders as opposed to limit orders.
With a market order, your transaction is executed at the current market price. In fast market conditions, reports from the exchanges may not report back to you immediately as to your purchase or sale price. Consequently, it is impossible to cancel a market order after it has been placed.
The best method of protection from wide price fluctuations is the use of a limit order. A limit order allows you to establish a maximum price you are willing to pay for a stock, or the minimum price at which you are willing to sell. When the limit price is reached the order would then execute. Limit orders can be canceled or replaced prior to execution, however, until a limit order is verified cancelled by its respective exchange, the order is still a valid order.
Online Confirmations
With fast market conditions and the large volume of online securities transactions a customer may often encounter delays in receiving trade confirmations, regardless of the original order being placed as a market or limit. This does not indicate that the order has gone unfilled. If you attempt to re-enter the order you could be placing multiple valid orders for the same security that cannot be canceled. It is recommended that you verify the status of any open orders and view the account's trade history before placing a new trade. Any duplicated order that is not properly canceled will be the financial responsibility of the customer for any losses on their part.
In-House Guideline
When an existing brokerage account is modified by an Internet agreement our customers need to be aware of some guidelines when entering trades with UMB Financial Services, Inc. Our service does not accept limit orders for trades less than 100 shares. A market order is the only acceptable method for liquidating an "oddlot." Also, customers are required to have on deposit money balances and/or securities prior to the execution of trades relating to these assets.
Overview
The real time access that exists with online trading presents important responsibilities to individual investors. Knowing the guidelines for trading and comprehending the risks associated with each individual investment are key in achieving your financial goals.
We appreciate your business at UMB Financial Services, Inc. and wish you all the best in achieving financial success. If you have any comments or suggestions please do not hesitate to contact us.
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Types of orders you can place
| All or None | For orders of 101 shares or more with a limit. Specifies that the entire order must be filled at the same time or no trade takes place. This avoids multiple fills on different days resulting in more than one commission charge. However, since entire order must be executed as one trade, order has no priority on specialist's book. All or none restrictions are accepted for the day only on option orders.
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| Day Order | Limit order good only for the day it is submitted. If it is not executed by market close, it will be canceled.
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| Good-Til-Canceled (GTC) Order | Order good until it is filled or 120 days whichever comes first or until it is modified by the exchange, changed by the customer, or canceled by either the broker or exchange.
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| Limit Order | An order to buy or sell at a specific price. Order must be for at least 100 shares. Limit must be set within 10 percent of current market value, up to a maximum of five points.
You may place a limit order to buy, which means the stock is eligible to be purchased at or below your limit price, but never above it.
You may place a limit order to sell, which means the stock is eligible to be sold at or above your limit price, but never below it.
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| Market Order | An order to buy or sell at whatever price the stock is trading the moment the order reaches the trading floor. Executed immediately unless security is thinly traded. Large or mixed lot order may get multiple executions or prices.
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| Stop Loss Order | Designed to allow customers to protect a profit or limit a loss on either a long or short security position. The stop loss order is placed in the specialist's book until the security trades at, or through, the customer's stop price. Once activated, the order becomes a market order and is executed. The minimum order for stops on stock is 100 shares. When placing a sell stop, the stop price must be lower than the current market price. When placing a buy stop, the price must be higher than the current market price.
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| Stop Limit Order | Much the same as a stop loss order, except that once the security trades at, or through, the customer stop price, the order becomes a limit order. All or none restrictions are accepted. CAUTION: The market can move past a stop limit order, with or without the all or none restriction. There is no guarantee of a fill. Stop limits are accepted on all exchanges. Stop Limits are not accepted on OTC, Bonds or Options.
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| Confirming your order | Once you place your order online, you will be asked to verify your order. Please review the verification screen carefully before placing your order. If you need to change the information that you input, click on the edit button. When you have verified the trade click the "place order" button. By placing your order, you are agreeing that the order information is correct and are authorizing UMB Financial Services, Inc. to execute the order on your behalf.
If you are selling a security that is not currently held in your brokerage account you will receive a warning message. Check to make sure you have input all the information correctly before you click "OK." By clicking "OK," you agree that the quantity of shares that you have indicated will be in your brokerage account upon settlement. Make sure you endorse your certificate(s) correctly before mailing.
Once your order is placed, an order confirmation screen appears. This screen contains your order number and the details of your trade. Please print this screen for your records.
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| Confirmation sent by mail | Once your order has been executed, UMB Financial Services, Inc. will mail you a paper confirmation.
On the first business day following the execution of a transaction the trade confirmation is mailed. If you placed a buy order and do not have sufficient funds in your brokerage account, you should not wait for the confirmation to reach you before mailing your payment. When you receive your confirmation, please examine it carefully. Any discrepancies should be reported IMMEDIATELY.
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| Reviewing orders you have placed | You can view the status of your order at any time by clicking on "Order Status." |
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| Paying for Purchases | Trades placed in non-retirement accounts will settle from the balance in your money market fund, unless otherwise instructed. If you deplete your money market fund balance, you may deposit additional funds at any time by calling us with a money movement, sending us a check or wiring funds into your account.
Trades placed in retirement accounts must have sufficient funds in the money market fund at the time of placing the trade.
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| Receiving Proceeds from sales | The proceeds from a sale will be credited to your money market fund on the settlement date, unless otherwise instructed.
If your securities are not held in your brokerage account, follow the instructions below for endorsing the certificates. Securities must be received by settlement date in good form in order for the funds to be released.
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| Endorsing your certificates | Please follow these instructions when you deposit securities into your brokerage account.
- Endorse the certificate(s) exactly as they are registered on the face. The registration on the certificate must match the registration on your brokerage account. If the registrations do not match, please call UMB Financial Services, Inc., to see if additional paperwork may be required.
- Get a Signature Guarantee for all signatures.
- Write National Financial Services LLC on the line between "appoint" and "attorney" on the back of your certificate.
- Write your brokerage account number in the top left-hand corner on the front of the certificate(s).
- For security purposes, you may want to send your certificates by registered mail.
| Send to: | UMB Financial Services, Inc.
PO Box 419232
Kansas City, MO 64179-0015
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| Overnight to: | UMB Financial Services, Inc.
928 Grand Blvd.
Kansas City, MO 64106
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| Securities not in good form | When we receive securities that are not in good form or that require additional paperwork for deposit, the proceeds from the sale cannot be released until they have cleared transfer. |
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Online Trading
