Interactive Brokers - SGD now available for funding - Part 2

[RedsYWNA]

Yup, nothing legally binding absolutely. I think for most of us here that are under a 7 digit networth, the trustworthiness of a local broker vs ibkr etc isn't worth taking into account yet. The chances of IBKR going the way of MF Global is exceedingly low.

One thing I might do if I ever get to a large enough portfolio, is to diversify brokers by shifting the "never to be touched" index fund portion into a "closer to home" broker like dbs just for peace of mind.

I split my local and foreign portfolios......For local shares, I went with Tiger and DBS Vickers (including SRS). For foreign shares, I went with IB US. I think IB US is still available on joint account, for people who want SIPC protection up to USD 500k.....

Personally I think the chances of IBKR blowing up is less than 0.1%, Haha

 

[streetfighter]

IBKR is a broker like MF Global, the one that goes belly up & customers lose their cash. Many people also said unlikely for MFG to go belly up, but well it did.

Then ibkr sg is also fully owned by IBKR which is a us listed entity. So not sure if that’s a fair comparison

 

[reddevil0728]

Yes, I mean those foreign ETF listed in SGX like S27, TID, HST etc.

Actually for DBS Multiplier, I had tried with CPF before a few mths ago. Its counted for the DBS Multiplier tier. Havent tried with SRS, but since CPF can, I am sure SRS can too. In fact, i read somewhere that SRS is eligible.....

Hmmm really? Could it be possible that something else got recognised?

 

[RedsYWNA]

Hmmm really? Could it be possible that something else got recognised?

No leh, because I got the max S$30k tier, so it has to be buying of shares via CPF.....

 

[RedsYWNA]

IBKR is a broker like MF Global, the one that goes belly up & customers lose their cash. Many people also said unlikely for MFG to go belly up, but well it did.

Actually I think all got back their money on MF Global, albeit it took longer?

 

[guicamacho]

Hmmm really? Could it be possible that something else got recognised?

I don't think SRS is eligible at this stage. Also, a bit of pain having to open a new SG account to transfer current assets from old (AU/US) account.

Some automation is well needed in that part...

 

[reddevil0728]

I split my local and foreign portfolios......For local shares, I went with Tiger and DBS Vickers (including SRS). For foreign shares, I went with IB US. I think IB US is still available on joint account, for people who want SIPC protection up to USD 500k.....

Personally I think the chances of IBKR blowing up is less than 0.1%, Haha

I mentioned earlier if u get someone with ibkr us account to refer you for some new sign up promo, can open account with ibkr us apparently

 

[reddevil0728]

IBKR is a broker like MF Global, the one that goes belly up & customers lose their cash. Many people also said unlikely for MFG to go belly up, but well it did.

I didn’t say ibkr wouldn’t go bust.

I’m just saying dbsv even though it’s a subsidiary of dbs, there’s no legal obligation for them to guarantee your investment holdings. Just like ibkr.

Just that ibkr us got SIPC protection.

It’s the insurance that matters not the backer.

 

[reddevil0728]

No leh, because I got the max S$30k tier, so it has to be buying of shares via CPF.....

This is interesting. But may not be the real reasons, so it’s still a “risk” to try if that’s one’s intention

 

[reddevil0728]

I don't think SRS is eligible at this stage. Also, a bit of pain having to open a new SG account to transfer current assets from old (AU/US) account.

Some automation is well needed in that part...

???? Did you quote wrongly?

 

[streetfighter]

No, not the cash fully, was reported in news.

Actually I think all got back their money on MF Global, albeit it took longer?

 

[RedsYWNA]

No, not the cash fully, was reported in news.

So cash may not have been recovered fully, but the shares were intact? Dont think it makes sense to leave a lot of cash with brokerages. Max for me is around USD 5k cash. The rest are all in shares/ETFs

 

[cyberzhen]

Can anyone advise me on cash withdrawal on IBKR SG?
I open account this month on 3 Dec and deposit 1k. Converted some into USD. Now I'm trying to do a test for withdrawal. Cash balance SGD90 but it is showing $0 available for withdrawal. So strange.

 

[RedsYWNA]

This is interesting. But may not be the real reasons, so it’s still a “risk” to try if that’s one’s intention

Its easy to test, with the new DBS Multiplier tracking. Just buy, say small units of Sg stocks via CPF, and see if it gets tracked.

I recall when I exceeded the $30k tier for CPF trades, the bulk of the transactions was recognised under 'investment'.

Personally, dont think its worth it to use this method to hit the S$30k tier, just that I thought June 2020 was a gd time to use my excess CPF to buy some SG stocks and ES3. The additional 3.8% interest was just a small, nice bonus.

 

[xoleman]

In an unlikely event that IBKR SG closes its business in SG likes Schwab did, what would happen to all the shares? Are they transferred to the main company in the US automatically? Was it an easy process? I don't want to fly over to the US just to do the processing lol.

 

[hellvolhardzelinsky]

I'm trying to buy STI (ES3) on IBKR.

I just created my account and everything is approved but when I try to buy, this error came out.
"This account cannot trade this security due to REgulatory Restrictions.
Your account is eligible to upgrade to margin account."

I'm only receiving this error for ES3. When I try to get VWRA, it's fine. My base currency is USD. Do I need to do anything to get ES3?

 

[reddevil0728]

Can anyone advise me on cash withdrawal on IBKR SG?
I open account this month on 3 Dec and deposit 1k. Converted some into USD. Now I'm trying to do a test for withdrawal. Cash balance SGD90 but it is showing $0 available for withdrawal. So strange.

Usually the withdrawal hold after deposit should only be for a few days.

Did you deposit anything additional after 3 Dec?

 

[reddevil0728]

In an unlikely event that IBKR SG closes its business in SG likes Schwab did, what would happen to all the shares? Are they transferred to the main company in the US automatically? Was it an easy process? I don't want to fly over to the US just to do the processing lol.

I guess we will only know when that happens if that happens?

Ibkr sg only recently set up shop here. But they have been serving locals for a long time via their us entity.

 

[reddevil0728]

I'm trying to buy STI (ES3) on IBKR.

I just created my account and everything is approved but when I try to buy, this error came out.
"This account cannot trade this security due to REgulatory Restrictions.
Your account is eligible to upgrade to margin account."

I'm only receiving this error for ES3. When I try to get VWRA, it's fine. My base currency is USD. Do I need to do anything to get ES3?

Ur account with ibkr sg?
Did your enable trading permission on sgx?
Do you have sgd?

 

[hellvolhardzelinsky]

Ur account with ibkr sg?
Did your enable trading permission on sgx?
Do you have sgd?

Nope, my account is not with IBKR SG.
I have SGD in the account.

I have trading permissions to SG, UK and US.


Now I see the problem... my friend's referral wasn't from IBKR SG. May I know what's the difference?
Should I continue using the account?

My plan was to get ETF on this account to get 100K USD in the future.