stock broker commission

stock broker commission
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11 years 6 months ago - 11 years 6 months ago #11388 by stock broker commission

stock broker commission was created by stock broker commission

S$25 is what you pay as a minimum if you buy or sell shares thru your broker online.
I have turned to StanChart which charges 0.2%, instead of a minimum. It's great for making opportunistic small trades for illiquid stocks.

I thought I should share this with you all. As the image below shows, I bought 1,000 shares at 44.5 cents a share. The comms was only 89 cents!!!!

It was some weeks back on a slow market day when I queued for 20,000 shares and someone threw just 1,000 to me.

Last edit: 11 years 6 months ago by niadmin. Reason: headline

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Janet
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11 years 6 months ago #11403 by Janet

Replied by Janet on topic Re:stock broker commission

Me too using StanChart because there is no minimum commission. However, some of you who like contra-plays, this StanChart platform is not for you. You can't contra. In the 1st place, before you can execute a trade of $x, you must have at least the $x as the balance in your bank account with StanChart. The money will be reserved for payment on due date. U can't touch it. (btw, I am always long for a long time. :-)

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Guest
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11 years 6 months ago #11466 by Guest

Replied by Guest on topic Re:Re:stock broker commission

I have went down to the bank personally to understand how does this work, and decide not to take my risk for just the minimum commission. This is what I find out during my enquiry session. I need to open an account with the bank. I need to open a security investment account throught the bank. My existing share if I want to trade will need to transfer to the investment account with the bank. If I am using the security to buy the other currency stock, I need to transfer my money from Singapore dollar bank account to the foreign currency account. There are two type of personal account, that I can open. 1) with passbook, the minimum sum in it is 3k, which is not what I found in the Bank internet page. 2) internet account, you don't have passbook, not even the ATM card. Your only access is internet, and counter service. Which you need to pay $5 per withdrawer of money. Reason for give up the idea of trading through standard chartered. 1) Pre-requirement is opening an account, but their account service is totally non-competitive with other banking service that I am currently using. 2) The trading become a nominee account and directly to CDP. Thus the stock does not belong to me, but SCB. To CDP you don't own the stock, thus if the bank was kaput, then you might not get your money nor even your shares. 3) The trade can only done through SCB, thus if their system is down, then you can't do any trade, as their line service definitely unable to cater for those sudden on-line service transfer to line service. Unlike currently, I have the freedom of trading by UOBkayhian, DBS vickers, etc. One is down, I can used the other account to trade. 4) You cannot lend out your shares for SCB. Thus the CDP 4% lending out fees which you can enjoy if your share is being borrow by someone is also being taken out from your benefit if you transfer to the nominee account. And others right like financial report, voting rights, etc. all are not within you anymore and this are all transfer to SCB.

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Janet
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11 years 6 months ago #11467 by Janet

Replied by Janet on topic Re:stock broker commission

I just keep things basic -- I want the lower broker commission cos I sometimes buy small quantities of illiquid stks, or sometimes I kena thrown a few lots when I Q-ed.
Opening account == no hassle, was over in 15-20 minutes.

Other Bank services --- no need. I just want to trade online.

Online trading service down? I have never encountered this with any broker. It's 99% reliable.

The shares are kept in nominee acct of SCB, true, but no problem for me.

As for SBL $ from CDP... it's a matter of luck and not assured.

StanChart go kaput? Hahaha.....

Anyway, to each his own. Many won't want to use SCB for whatever reason. Me, I am ok, just want to save on commissions.

btw, when I want to buy a stock worth >$10,000, I will use my regular broker -- OCBC. Helps to keep my remisier going.

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TERRY
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11 years 6 months ago #11468 by TERRY

Replied by TERRY on topic Re:stock broker commission

While I agree there are some limitations/issues with StanChart's online trading platform, I am an ocassional user. It's for strategic reasons. One doesn't have to 100% use SCB if and when it's not convenient or not beneficial. That's why I also have accounts with DBS V etc, and I use them too.

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Guest
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11 years 6 months ago #11479 by Guest

Replied by Guest on topic Re:Re:stock broker commission

Maintain two account then you must be careful not to trade wrongly, when you have share in the nominee account, you can't sell by normal CDP, if you remember wrongly and done it, it is equivalent to short selling, and you need to bear the cost for short selling. Yes it is free to transfer from CDP to the nominee account of standard chartered, but when you want to transfer out, you need to pay $10.70 for 1000 shares transfer, which will be more then your lower commission. Thus, when there is news like the standard chartered going to be kaput like the lehman brothers, and you decide to transfer out your share back to CDP, then all what you save from the minimum commission is not even able to cover your transfer out cost.

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