Standard Chartered - Only Online Trading in town with no minimum commission

Status
Not open for further replies.

tkwei123

Member
Joined
Apr 8, 2004
Messages
183
Reaction score
0
have anyone seen this blog post?
http://www.lioninvestor.com/standand-chartered-online-trading-account/

The other key difference is that the shares will not be held in cdp under your own name but held as a sub-account under Standard Chartered Bank’s name. What this means is that you will not be able to sell shares that you bought here using your other trading accounts. Similarly, you will not be able to use this account to sell the shares you bought using other accounts.

huh? really ah? can anyone confirm?
i'm a bit interested... but the above would be a deal-breaker for me...

the t&c link didn't mention anything like that
http://www.standardchartered.com.sg/promotion/online-trading/tnc.html
 
Last edited:

ngeo12

High Supremacy Member
Joined
Oct 10, 2005
Messages
27,010
Reaction score
0
what's the news?
is it only a promo preiod or perpetual?
or does user get jeapadized by the way order is sent to the floor?
 

Paul Lee

Supremacy Member
Joined
Jan 1, 2000
Messages
5,431
Reaction score
9
I won't be surprise if they do that. Cos then they force you to sell through them and earn the 'sell' commission as well.

After seeing that big impressive wrap-round advertisement in the Sunday Times, I went to the website to find out more but could not do in 5 mins and give up. The banner ad link send me to a useless and irrelevant link. That speaks a lot about SCB.

Yeah. I'm biased but nothing I have seen or heard has made me changed my mind about them.

huh? really ah? can anyone confirm?
i'm a bit interested... but the above would be a deal-breaker for me...

I think its true. While I cannot find any specified mention of a 'sub-account', I did come across the following in the FAQ on its on line trading.

SCB said:
27 Can I trade securities I purchased from other brokers?
No you are not able to.

Very cryptic with not much information. However the only reason I can think of that you are unable to trade securities purchased from other brokers is if your securities are kept in a custodian account with SCB - just like what happens when you trade foreign securities.
 
Last edited:

MikeDirnt78

High Supremacy Member
Joined
Jun 16, 2002
Messages
31,158
Reaction score
550
have anyone seen this blog post?
http://www.lioninvestor.com/standand-chartered-online-trading-account/



huh? really ah? can anyone confirm?
i'm a bit interested... but the above would be a deal-breaker for me...

the t&c link didn't mention anything like that
http://www.standardchartered.com.sg/promotion/online-trading/tnc.html

there is no free lunch. the bank is the custodian for your shares.

the conclusion is simple.

if you plan to buy <$10k worth of shares, then go for the SCB. the no min commission and multiple foreign markets to choose from are the biggest attractions.

if you plan to buy bigger amount, then go to your normal broker.
 

ngeo12

High Supremacy Member
Joined
Oct 10, 2005
Messages
27,010
Reaction score
0
there is no free lunch. the bank is the custodian for your shares.

the conclusion is simple.

if you plan to buy <$10k worth of shares, then go for the SCB. the no min commission and multiple foreign markets to choose from are the biggest attractions.

if you plan to buy bigger amount, then go to your normal broker.

what's the difference between bank holding and CDP holding my shares?
 

tkwei123

Member
Joined
Apr 8, 2004
Messages
183
Reaction score
0
there is no free lunch. the bank is the custodian for your shares.
thanks for info
in that case... its no deal for me
in addition to what Paul posted about the limited selling option,
what's going to stop them from charging a mthly or annual "custodian fee" in future?
 

tkwei123

Member
Joined
Apr 8, 2004
Messages
183
Reaction score
0
what's the difference between bank holding and CDP holding my shares?
for bank - u can only sell those shares thru that particular bank
for cdp - u can sell those shares thru any broker that your cdp a/c is linked to

actually, my 1st point is not very complete
i think u would be able to get the bank that's holding your shares to transfer them to your cdp a/c... and i'm very sure there'll be some transaction fees involved. :s27:=:p
 

Garlic & Butter

Supremacy Member
Joined
Dec 30, 2010
Messages
6,801
Reaction score
3
on paper it looks good n cheap... 0.2% for SGX, 0.25% for foreign markets..

if SCB is the custodian.. then i see that theres actually no delivery of shares involved.. but merely you are opening a position against the bank
 

Chua Zhiming

Senior Member
Joined
Apr 26, 2007
Messages
2,405
Reaction score
0

MikeDirnt78

High Supremacy Member
Joined
Jun 16, 2002
Messages
31,158
Reaction score
550
what's the difference between bank holding and CDP holding my shares?

both are equally safe custodian of shares purchased. AFAIK the only big difference is, you are not the registered holder of the shares if you keep with SCB. ie you cant attend AGM and receive annual reports. that means you are relinquishing a control position of the shares of your company. frankly speaking this is not really important to small time investors. a minority shareholder is still a minority shareholder. you cant really influence the company with your votes.
 

ngeo12

High Supremacy Member
Joined
Oct 10, 2005
Messages
27,010
Reaction score
0
for bank - u can only sell those shares thru that particular bank
for cdp - u can sell those shares thru any broker that your cdp a/c is linked to

actually, my 1st point is not very complete
i think u would be able to get the bank that's holding your shares to transfer them to your cdp a/c... and i'm very sure there'll be some transaction fees involved. :s27:=:p

still don't understand your first point.. :s13: do it mean when I sell, the potential buyers must be users of that bank, thus a much smaller market, than the entire market of CDP?

I only use one bank to buy and sell.. my portfolio is small.. :s13:
 

MikeDirnt78

High Supremacy Member
Joined
Jun 16, 2002
Messages
31,158
Reaction score
550
still don't understand your first point.. :s13: do it mean when I sell, the potential buyers must be users of that bank, thus a much smaller market, than the entire market of CDP?

I only use one bank to buy and sell.. my portfolio is small.. :s13:

duh. have you bought foreign shares before?
 

athletic91

Master Member
Joined
Sep 23, 2007
Messages
4,944
Reaction score
5
so if company offer dividends, is go to SCB or to us?
 

Garlic & Butter

Supremacy Member
Joined
Dec 30, 2010
Messages
6,801
Reaction score
3
although u had "bought" the shares, the shares will be credited/ delivered to SCB instead of CDP.

this means SCB is the custodian of the shares. usually shares bought on SGX are kept in CDP. shares bought from other markets are kept by the brokerage as custodian

you will not be involved with CDP.. all transactions only between u n SCB

now only wondering if the "shares" exists physically or its merely an open position
 

tkwei123

Member
Joined
Apr 8, 2004
Messages
183
Reaction score
0
still don't understand your first point.. :s13: do it mean when I sell, the potential buyers must be users of that bank, thus a much smaller market, than the entire market of CDP?

I only use one bank to buy and sell.. my portfolio is small.. :s13:
i'm very sure that, with time, your portfolio will grow

potential buyers are not limited to bank users... u can sell at whatever market price there is...
scb just act like your broker who also keep your shares for u
and as what garlic butter said... :)

as pointed out, i also wonder about entitlements as well... dividends.. rights.. bonus... share offerings in a related company...
how would all these work ??

btw, straitstimes did an article today on this new scb platform - but no mention of scb being custodian of your shares
 
Last edited:

tkwei123

Member
Joined
Apr 8, 2004
Messages
183
Reaction score
0
now only wondering if the "shares" exists physically or its merely an open position
lol... i'm wondering that too...
for a short-term trader, it wouldn't really matter
but for myself, who hardly trades and invest mostly for passive income, its a big consideration...
 

Paul Lee

Supremacy Member
Joined
Jan 1, 2000
Messages
5,431
Reaction score
9
From the comments I am seeing, I think its obvious that SCB did or is doing a bad job promoting their online trading platform.

Yes it attracted a lot of attention with its 0.2%, no minimum commission sale pitch but between all of us here (and many of us are hardly novice when it comes to trading shares), none of us seems to know what the correct situation is.

For example, does the promotion period refers to the '2 free trades' (I suspect this to be the case) or does it refers to the '0.2% no min comm' thingy? Again no one knows.

If I'm very very free, I may call up the customer service later to clarify.
 

Garlic & Butter

Supremacy Member
Joined
Dec 30, 2010
Messages
6,801
Reaction score
3
its 2 free trades "worth $100" wor..
so $50 a trade on average...
so for those high value trades... the comm sure will bust above $50/100 easily

a $50,000 trade will attract a $100 comm liao
 

tkwei123

Member
Joined
Apr 8, 2004
Messages
183
Reaction score
0
the no min. comm. is the biggest draw for me

so paul, i save u the trouble and call them myself :)
firstly, the tel no. given on the promo site - 1800 747 700 - is NOT the no. to call
it should be 1800 242 5333
1st operator gave me the run-around, promising the trading side will call me back... its been 1hr.. no call back...
2nd operator gave me the correct no. to call...

this is what i got;
************************************************************
The min. comm. is an ongoing thing... its not a promo..
the promo is the 2 free trades

The custodian of your shares is confirm - SCB will keep your shares
there's no custodian fees
but if u prefer to move your shares to CDP, u can request SCB to do so and they'll arrange it - again, no fees for this
************************************************************

for myself, the 2 free trades promo is no biggie... i'll standby and see what are the actual experiences...
(i'm secretly hoping for the no min. comm. practice to catch on) :p
 

MikeDirnt78

High Supremacy Member
Joined
Jun 16, 2002
Messages
31,158
Reaction score
550
************************************************************
The min. comm. is an ongoing thing... its not a promo..
the promo is the 2 free trades

The custodian of your shares is confirm - SCB will keep your shares
there's no custodian fees
but if u prefer to move your shares to CDP, u can request SCB to do so and they'll arrange it - again, no fees for this
************************************************************

its funny you dont believe what i told you. =:p

and would you believe a CSO which is probably just worked a few days back than someone who has more experience in the stock market?

by the way from the statement SCB gives you, they does not provide a complete explanation to you. i leave it to you to find out.

so if company offer dividends, is go to SCB or to us?

seems that not many people are aware about this custody thing. SCB trading platform works the same way like any other trading platform. if you have not noticed, you can choose the other brokers like phillip or UOBKH to be your custodian when you signed up the account. thats why sometimes you will see nominees like phillip or UOBKH under the shareholding statistics of a company. so in future, you might see standard chartered too. :D

yes you are entitled to ALL the corporate actions. but you need to settle with standard chartered. no longer through CDP.
 
Last edited:
Status
Not open for further replies.
Important Forum Advisory Note
This forum is moderated by volunteer moderators who will react only to members' feedback on posts. Moderators are not employees or representatives of HWZ. Forum members and moderators are responsible for their own posts.

Please refer to our Terms of Service for more information.
Top