[NEWBIE] POEMS quarterly fee?

[XiiaoJinx]

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!

 

[Garlic & Butter]

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?

 

[XiiaoJinx]

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/FinancialServices/PHILLIP_CASH_PREPAID.pdf

 

[Bedokian]

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.

 

[XiiaoJinx]

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?

 

[alexchia01]

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?

 

[Bedokian]

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?

 

[tiny]

Etf got quarterly fees meh?

 

[XiiaoJinx]

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!

 

[Steyr69]

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.

 

[Steyr69]

Philips Security is the most expensive broker in Singapore.

Why do you want to use them?

Got other alternatives?

 

[Bedokian]

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?

 

[sandwicher]

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.

 

[wahkao3]

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

 

[Mecisteus]

why cant you just use your sibling or parents account first? assuming you have a close relationship with them.

 

[XiiaoJinx]

Thanks all for answering.

I opened a PCMA account with POEMS this morning. Their fee is pretty average locally for online transaction (0.28%, $25 min), no monthly maintenance/quarterly maintenance since shares are held with CDP (clarified with them when opening the account). I thought they were really nice too and they took quite some time opening my account and going through the trading process using their online trading software.

Seems the fees and maintenance charges are for their prepaid cash account where the shares are held under their custodian compared to their PCMA account which is held under CDP.

Anyone with experience with POEMS can advise on their advantages/disadvantages over other brokers?

(BTW, I looked into the CDP/SCB combo but SCB only for 21 and above and heard their online trading platform not really top-notch yet)

 

[Bedokian]

Congratulations in opening your POEMS account.

As for me, my very first online trading portal is from POEMS, and somehow I am used to their user interface.

Along the way I have opened up accounts with other brokerages (to "support" friends, ex-colleagues and reservist buddies), and after comparing their platforms with POEMS's, I felt POEMS is better. "First love" is always the sweetest, eh?

But you may want to consider SCB after you reach age 21. I am now primarily using SCB to do my RSP on ETFs and a platform to overseas markets, although their exchange rate spread is not ideal. Once SGX finalises on reducing the lot size, I would likely be using SCB more due to lower commission charges.

 

[Middle-C]

Have you considered this?

what r the advantages of OCBC?

 

[endlssorrow]

think I will open dbs to replace poems and try how

 

[Steyr69]

Thanks all for answering.

I opened a PCMA account with POEMS this morning. Their fee is pretty average locally for online transaction (0.28%, $25 min), no monthly maintenance/quarterly maintenance since shares are held with CDP (clarified with them when opening the account). I thought they were really nice too and they took quite some time opening my account and going through the trading process using their online trading software.

Welcome to the world of Shares/Stocks.
I started very late (33) coz partly influence by my dad since young dun touch shares.
Anyway I got my own set of strategy very diff from his.

Of course they are nice coz this means biz for them. Lol.

Buy prudently and initially you are bound to run into problems buying.
I believe they set a certain buying limit for new accounts. So after some buying might hit with buying limit message.
Dont be shy to call your broker and he/she will settle for you.

Congratulations in opening your POEMS account.

As for me, my very first online trading portal is from POEMS, and somehow I am used to their user interface.

Along the way I have opened up accounts with other brokerages (to "support" friends, ex-colleagues and reservist buddies), and after comparing their platforms with POEMS's, I felt POEMS is better. "First love" is always the sweetest, eh?

But you may want to consider SCB after you reach age 21. I am now primarily using SCB to do my RSP on ETFs and a platform to overseas markets, although their exchange rate spread is not ideal. Once SGX finalises on reducing the lot size, I would likely be using SCB more due to lower commission charges.

My first n only one so far still POEMs.
Their website looks crappy enough compare to others like DBS, OCBC.
Took sometime starting to use.
But it works nonetheless.