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DISCOVER THE DEEP DISCOUNTER WHEN SHOPPING FOR A BROKER

 DISCOVER THE DEEP DISCOUNTER WHEN SHOPPING FOR A BROKER
 /NOTE TO EDITOR: The following is being provided as background for


a column or feature by York Securities Inc./
 NEW YORK, May 20 /PRNewswire/ -- You may save a quarter if you buy a tube if toothpaste at a discount store instead of your neighborhood pharmacist. The brand is the same at both places.
 The same truth holds for a can of peaches, a gallon of gasoline or 100 shares of a blue chip stock. As in comparing apples to apples, the stock you buy is the same whether you buy it at Merrill Lynch or, for example, a deep discount brokerage such as Manhattan-based York Securities, Inc.
 The savings to the investor relate to commission rates. It goes something like this: While one of the "big three" discounters, such as Charles Schwab, will charge less than half the commission of a full- service broker such as Merrill Lynch, you can save about half again at a deep discounter, such as York Securities.
 York is considered a "bare bones" broker, a kindred soul to the "pipe rack" clothing retailer (Syms, Hit & Miss, at al). Bare bones means York's commissions are 20 percent to 70 percent less than Schwab and the other major discounters because you do not get, or pay for, research or advice. Even more important, York has a strict no-extras policy. This means, unlike many full-service and discount brokers, York does not charge for such items as postage, handling of trades, opening or closing an account or transfers or stock certificates. Nor does it have a nuisance charge called "inactive account fees." The latter means you are charged for not making enough trades during the year to satisfy your broker.
 "When investors comparison shop for a discount broker they should find out about the extras in addition to determining the commission structure," David J. Corcoran, president of York Securities, said.
 York is a deep discount brokerage by definition of Mercer, Inc., a publisher that tracks discounters. Mercer has identified the country's 30 least expensive discounters and classifies them as deep discounters. The criteria are a variety of stock transactions, ranging from trade of 100 to 5,000 shares at prices ranging from $1 to $100 per share.
 Corcoran reviews the most important guidelines for those who shop for a discount broker:
 1. Look out for extra charges. A broker's commission should be its only charge.
 2. Do not expect investment advice or research from a discount broker.
 3. Since all trade executions are handled electronically, the quality of service is no better at a full-service brokerage than it would be at a deep discount firm.
 4. A broker's advertised minimum commission does not mean that every trade is at the same discount level. Compare your typical trade with a number of brokers, and do not forget to ask about the extras.
 5. Think about the oft-repeated quote by Mark Coler, president of Mercer, Inc. "If you don't need investment advice from your broker, you have to be crazy or very rich not to consider a discounter."
 York Securities, Inc., was founded by David J. Corcoran in 1979. The firm is a member of the New York Stock Exchange and other major stock, futures, options and commodities exchanges. Thomas Curran is vice president and manager of the trading desk.
 York is located at 160 Broadway, New York, N.Y. 10038. Tel: 212-349-9700 or 1-800-221-3154. Fax: 212-619-1593.
 -0- 5/20/92
 /CONTACT: Leon Kafka of Leon Kafka Public Relations, 212-489-1717, ext. 261, for York Securities/ CO: York Securities Inc. ST: New York IN: FIN SU:


TQ-SM -- NYW001 -- 2156 05/20/92 08:01 EDT
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Publication:PR Newswire
Date:May 20, 1992
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