Best online stock trading singapore
Assuming you are all ready to kickass in your investing journey, there are a few things you need to consider to get started. Very much like opening a savings accountthere are a few factors one should look out for. The brokerage fee is charged by the platform provider to conduct transactions between buyers and sellers. Most brokerage firms charge based on a percentage of the size of transactions and involve a minimum fee, whichever is higher.
We will compare them to provide you with the cheapest brokerage account later in this article. The CDP securities account is where all the stocks you bought are deposited.
One can be using multiple brokerage firms to trade, but all the stocks bought will be stored in one CDP securities account. Stocks deposited in a CDP account belong to your name. In contrast, stocks in a custodian account belong under best online stock trading singapore name of the brokerage firm. We best online stock trading singapore a table of best online stock trading singapore popular best online stock trading singapore firms in Singapore and their fees.
All the trading fees comparison are based on online or mobile trades carried out in Singapore market using the below 3 types of trading methods:. Base on the above comparison, we can see that the rates are rather close to each other for CDP accounts. Holding your stocks in a custodian account is cheaper as compared to holding them in the CDP, but one will risk losing all his stocks should he trade with a custodian account that ends up going bankrupt.
Lastly, for those looking for cash upfront service. Cash up front requires an investor to deposit cash upfront into an account with the brokerage firms before he is able to buy stocks. The reason that it is generally cheaper is due to the risk of a customer not paying for the shares he bought being zero.
The main difference, however, is that for DBS cash upfront investments you own the shares while for other banks, the bank is the custodian for your shares. Turns caffeine into digestible finance content. You can contribute your thoughts like Ming Feng here. Manage your money for free today!