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[NEWBIE] POEMS quarterly fee?

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Old 07-02-2014, 09:09 PM   #1
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[NEWBIE] POEMS quarterly fee?

Hi,

Newbie question, 19yo here with around 10k that I want to put into ETF's.

Can anyone advise if POEMS is a good broker to go with? I plan to hold the ETF's for the long term. Here is poems fees which includes:

Quarterly Maintenance Charge S$16.05 per quarter
(Quarterly trading activity is assessed at Mar, Jun, Sep, and Dec month end)
Waiver Condition: At least 1 trade per quarter for the account

Does this mean that if I hold my ETF for a year I will incur $16.05 x 4 charge just for letting it sit in my philips account? Isn't this outrageously expensive for such a small volume?

To the best of my knowledge only POEMS has a quarterly maintenance charge for holding shares. Can anyone currently with POEMS advise if they incur this charge and why you are still sticking with POEMS despite it?

Thanks!
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Old 07-02-2014, 09:13 PM   #2
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if you buy SGX counters, they will be held with CDP. And CDP dont charge any fees.

I think the $16.05 refers to foreign markets purchases?
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Old 07-02-2014, 09:36 PM   #3
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if you buy SGX counters, they will be held with CDP. And CDP dont charge any fees.

I think the $16.05 refers to foreign markets purchases?
I thought of that also but according to this page below foreign counters have OTHER charges of $2.14 per counter per month??

I don't get why POEMS charges so much for holding shares for their customers.

SOURCE(scroll down to page 3): http://www.poems.com.sg/FinancialSer...SH_PREPAID.pdf
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Old 07-02-2014, 09:46 PM   #4
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This is the POEMS Cash Prepaid Account, in which Philip will be your shares' custodian, as opposed to Phillip Cash Management
Account, where CDP will hold your shares (and which I am using).

Naturally, being the custodian of your shares they will charge a nominal fee.
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Old 07-02-2014, 09:49 PM   #5
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This is the POEMS Cash Prepaid Account, in which Philip will be your shares' custodian, as opposed to Phillip Cash Management
Account, where CDP will hold your shares (and which I am using).

Naturally, being the custodian of your shares they will charge a nominal fee.
Oh, so the trade off between the POEMS Cash Prepaid and the PCMA account is that the Cash Prepaid offers lower commissions but charge for holding shares and the PCMA account offers higher commissions but no charges for being the custodian since it's held under CDP?
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Old 07-02-2014, 10:07 PM   #6
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Hi,

Newbie question, 19yo here with around 10k that I want to put into ETF's.

Can anyone advise if POEMS is a good broker to go with? I plan to hold the ETF's for the long term. Here is poems fees which includes:

Quarterly Maintenance Charge S$16.05 per quarter
(Quarterly trading activity is assessed at Mar, Jun, Sep, and Dec month end)
Waiver Condition: At least 1 trade per quarter for the account

Does this mean that if I hold my ETF for a year I will incur $16.05 x 4 charge just for letting it sit in my philips account? Isn't this outrageously expensive for such a small volume?

To the best of my knowledge only POEMS has a quarterly maintenance charge for holding shares. Can anyone currently with POEMS advise if they incur this charge and why you are still sticking with POEMS despite it?

Thanks!
Philips Security is the most expensive broker in Singapore.

Why do you want to use them?
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Old 07-02-2014, 10:09 PM   #7
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Oh, so the trade off between the POEMS Cash Prepaid and the PCMA account is that the Cash Prepaid offers lower commissions but charge for holding shares and the PCMA account offers higher commissions but no charges for being the custodian since it's held under CDP?
Have you considered this?
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Old 07-02-2014, 10:11 PM   #8
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Etf got quarterly fees meh?
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Old 07-02-2014, 10:29 PM   #9
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Philips Security is the most expensive broker in Singapore.

Why do you want to use them?
They are the only broker that allows NSFs to create a securities account I think, and my trade volume will not be high (just 1 time purchase of ETF for long term)

Have you considered this?
I considered but they only seem to consider youth studying in local tertiary institutions instead of NSFs? Some more, youth investors are not allowed to trade in ETF's which are classified under SIPs? Let's say I want to buy STI ETF, but I can't under OCBC's rules.

If any of you can advise on a local broker that allows NSFs to register an account (19yo) I will be more than interested to check them out.

Thanks!

Last edited by XiiaoJinx; 07-02-2014 at 10:31 PM..
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Old 08-02-2014, 10:39 AM   #10
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Hi,

Newbie question, 19yo here with around 10k that I want to put into ETF's.

Can anyone advise if POEMS is a good broker to go with? I plan to hold the ETF's for the long term. Here is poems fees which includes:

Quarterly Maintenance Charge S$16.05 per quarter
(Quarterly trading activity is assessed at Mar, Jun, Sep, and Dec month end)
Waiver Condition: At least 1 trade per quarter for the account

Does this mean that if I hold my ETF for a year I will incur $16.05 x 4 charge just for letting it sit in my philips account? Isn't this outrageously expensive for such a small volume?

To the best of my knowledge only POEMS has a quarterly maintenance charge for holding shares. Can anyone currently with POEMS advise if they incur this charge and why you are still sticking with POEMS despite it?

Thanks!
POEMs acts as a Buy/Sell vehicle. They charge a transaction fee for any Buy/Sell activity going thru them. Same for other brokers.

Once you bought the shares, it will be held by CDP.
The CDP will be the only one who knows how much shares you got.

If you apply IPO via ATM....you got the shares....it will be held in CDP....brokers wont have this info coz you never go thru them.

You can Buy shares from Broker A n sell thru Broker B. No problems.
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Old 08-02-2014, 10:40 AM   #11
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Philips Security is the most expensive broker in Singapore.

Why do you want to use them?
Got other alternatives?
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Old 08-02-2014, 04:02 PM   #12
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They are the only broker that allows NSFs to create a securities account I think, and my trade volume will not be high (just 1 time purchase of ETF for long term)



I considered but they only seem to consider youth studying in local tertiary institutions instead of NSFs? Some more, youth investors are not allowed to trade in ETF's which are classified under SIPs? Let's say I want to buy STI ETF, but I can't under OCBC's rules.

If any of you can advise on a local broker that allows NSFs to register an account (19yo) I will be more than interested to check them out.

Thanks!
STI ETF was labelled as an Excluded Investment Product just last year, and CPF allowed this for CPF-IA. So maybe can buy?
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Old 08-02-2014, 06:27 PM   #13
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IMO, those POEMS, FSM, Philips securities and what nots are good to have, but money suckers.

Maintenance fee, quarterly fee, managing fee, this fee what fee. Before you start earning any money, you've already minus 3-5% of your profits to those brokers.

Say your ETF earns you (remotely) 6% returns.

6% returns, less fees 3%, less inflation 3%. You earn nothing. You'll need supernormal profits to get some real money.

Try CDP/Standchart. No fixed "monthly/quarterly/annual" fees. You manage your own portfolio. Save some money for yourself.
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Old 08-02-2014, 06:45 PM   #14
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IMO, those POEMS, FSM, Philips securities and what nots are good to have, but money suckers.

Maintenance fee, quarterly fee, managing fee, this fee what fee. Before you start earning any money, you've already minus 3-5% of your profits to those brokers.

Say your ETF earns you (remotely) 6% returns.

6% returns, less fees 3%, less inflation 3%. You earn nothing. You'll need supernormal profits to get some real money.

Try CDP/Standchart. No fixed "monthly/quarterly/annual" fees. You manage your own portfolio. Save some money for yourself.
yep, buei ta han their fee this fee that. Everything also need fee.

not as if i pay the fee liao my portfolio will have superior performance. must boycott this kind of broker
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Old 08-02-2014, 07:27 PM   #15
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why cant you just use your sibling or parents account first? assuming you have a close relationship with them.
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