Using SCB as ur trading platform....

[Keverus]

Just curious..when using SCB...it's not counted as a CDP account rite?

SCB is the custodian holding our shares rite?

in that case, if use SCB...can still buy ETFs?

whats the differences I should be aware of?

would it be easier to go to DBS vickers, ocbc securities or uob kayhian?

 

[lushiris]

http://forums.hardwarezone.com.sg/s...ading-town-no-minimum-commission-3265890.html

start reading~

 

[Shiny Things]

Just curious..when using SCB...it's not counted as a CDP account rite?

SCB is the custodian holding our shares rite?

in that case, if use SCB...can still buy ETFs?

whats the differences I should be aware of?

would it be easier to go to DBS vickers, ocbc securities or uob kayhian?

1) Correct, it's not.
2) Correct, they are.
3) Yes, you still can.
4) Stanchart brokerage is cheaper, but you can't contra-trade or short-sell (which is a mug's game anyway), so it's better for buy-and-hold investors.
5) No, no, no, no, no. All the local brokers (aside from SCB, and DBS's cash-upfront account) suck. Don't encourage them.

 

[FreDeRicK]

5) No, no, no, no, no. All the local brokers (aside from SCB, and DBS's cash-upfront account) suck. Don't encourage them.

Just wondering, why do they suck? Newbie here.

 

[Decarn]

Just curious..when using SCB...it's not counted as a CDP account rite?

SCB is the custodian holding our shares rite?

in that case, if use SCB...can still buy ETFs?

whats the differences I should be aware of?

would it be easier to go to DBS vickers, ocbc securities or uob kayhian?

If you are only buying a small amount, SCB is preferred because of its low commission. Things might change dramatically if SGX decide to allow unit share trading.

 

[Shiny Things]

Just wondering, why do [the local brokers] suck? Newbie here.

Two main reasons:
1) They charge too damn much. $28 is extortionate for simple trade execution (compare it to $2.50 at IBKR, or 0.20% with no minimum at SCB), and none of them want to cut their prices. Part of the reason brokerage costs are so high is linked to...
2) Contra trading. Whether you want to or not, you pay the funding cost for a contra trade as part of your brokerage (and also the cost of covering the brokerage's losses when people default on contra trades). If you're a buy-and-hold investor, paying that contra charge is a waste of money. If you use the DBS cash-upfront account, or the SCB cash account, you don't have to pay that hidden contra charge.

One other one, though this is more of a whinge than an actual reason not to use them:
3) Their platforms all look like they've fallen through a wormhole from a mid-1990s Datek or Ameritrade office. You'd think they could take some of their extortionate brokerage fees and spend it on developing decent platforms.

 

[Mecisteus]

If you are only buying a small amount, SCB is preferred because of its low commission. Things might change dramatically if SGX decide to allow unit share trading.

Not really true. The unit share is beneficial if brokers do not impose a minimum commission. Otherwise, small time investors should enjoy the no minimum commission from SCB while it still lasts. In times of high volatility (taper, no taper, pre-debt limit crisis, post-debt limit crisis are events that have been going on in circles) period like now, SCB platform is highly recommended.

 

[SpinFire]

Fees, fees, fees.

 

[alexchia01]

Just curious..when using SCB...it's not counted as a CDP account rite?

SCB is the custodian holding our shares rite?

in that case, if use SCB...can still buy ETFs?

whats the differences I should be aware of?

would it be easier to go to DBS vickers, ocbc securities or uob kayhian?

The main difference is who is holding your shares.

CDP - the government is holding your shares.

SCB - a company, usually a bank, is holding your shares.

CDP is not profit driven, so there is no holding fees and no requirement from you to keep your holding free.

SCB bank, on the other hand, is profit driven, so usually there is a requirement from you to keep your holding free; like must trade x number of times per month to waive the holding fee.

If you are a frequent trader, then SCB is the way to go.

If you only buy once in a while, CDP is the way to go.

 

[Shiny Things]

The main difference is who is holding your shares.

CDP - the government is holding your shares.

SCB - a company, usually a bank, is holding your shares.

CDP is not profit driven, so there is no holding fees and no requirement from you to keep your holding free.

SCB bank, on the other hand, is profit driven, so usually there is a requirement from you to keep your holding free; like must trade x number of times per month to waive the holding fee.

This is not right. It's not even wrong.

The CDP is not "the government". It's a private company owned by the SGX, which is also a private company, and it absolutely is profit-driven - that's why they charge fees for transfers, old statements, etc. etc. etc. etc.

Stanchart is profit driven too, but they don't have any required account minimums. Where on earth did you get that idea?

If you are a frequent trader, then SCB is the way to go.

If you only buy once in a while, CDP is the way to go.

The first one is probably right, though it depends on how good their execution platform is. The second one is just wrong - Stanchart custody is absolutely fine if you're a smalltime trader.

 

[alexchia01]

This is not right. It's not even wrong.

The CDP is not "the government". It's a private company owned by the SGX, which is also a private company, and it absolutely is profit-driven - that's why they charge fees for transfers, old statements, etc. etc. etc. etc.

Stanchart is profit driven too, but they don't have any required account minimums. Where on earth did you get that idea?

The first one is probably right, though it depends on how good their execution platform is. The second one is just wrong - Stanchart custody is absolutely fine if you're a smalltime trader.

I got this from experience.

Stanchart is currently trying build their clientele, so they will give promotions and waive fees.

You cannot denial the possibility that one day, they can change their mind to start charging holding fees, which is what most SCB are doing.

CDP, no matter what, cannot anyhow start charging holding fee because of SGX and government intervention.

But Stanchart can just change their mind today, start charging holding fee tomorrow and SGX has no power to stop them because it's not under their jurisdiction.

I'm not saying Stanchart is bad, just that if they are good to you, they can be very good. But one day, they decide to play punk, you are petty much in their mercy.