I've been doing a bit of research on trading stock and want to get into the stock market. I've got a Plus500 account as well as a selfwealth account but I never considered anything else. I'm looking for advice on trading platforms or accounts that are good for beginner traders. My friends suggested Commonwealth Trading Account. Does anyone else use or know of a good platform?
Thanks.
Investing/Trading Platforms & Accounts
ayad on 13/09/2018 - 14:51
Comments
For investing in US shares I using "Stake" (www.stake.com.au). They have zero brokerage fees: They charge $0.70USD for every $100AUD (min $2USD). Only when you transfer funds between AUD and USD, not on each trade.
These are the small fees (USD) passed through to the relevant regulatory authority on share sales. SEC Fee (sell side only): $0.231 per $10,000 of sales proceeds. TAF Fee (sell side only): $0.000119 per share (maximum of $5.95)
If you have shares in the US and want to transfer, they also can help. Zero dollar on transfer of USD or US Shares.
Minimum transfer between AUD to USD is $50AUD.
Express funding: 0.5% (min $2USD)
Card Funding: 2% (min $1USD)I find CBA (and most other banks) charges like a wounded bull.
I got an email from stake.com.au mentioning new withdrawal fees, any insight on that? how's your experience been with stake?
From the Stake email on the withdrawal fee:
On 5 October, we’re making some updates to withdrawals on Stake.
What's happening?
You can now send USD directly to your local bank account.
When withdrawling you'll be able to see the spot FX rate and FX fee separately.
You can no longer withdrawal from your Stake AUD wallet on Stake. To withdrawal from your AUD wallet, login to your Macquarie Cash Management account via Macquarie’s Online Banking Portal.
All withdrawals will have a $2USD fee. This covers the banking charges we incur on these transactions.So far Stake has been pretty smooth. I've been looking for ages for a provider in Australia (and US) that can help me transfer US stocks to Australia without charging an arm and leg and with minimal conditions. Stake seems to have fit the bill at the moment. I haven't had to make any withdrawals (or sell my shares) yet but I'd happily pay US$2 for withdrawals as I used to pay through the nose (from memory it was AU$10-20) when directly transferring proceeds from sale in the US to my AU bank account and that is on top of the really weak buy/sell rate from the bank.
If you want to buy US stocks you can have a look at stake.com.au (i haven't used them yet)
thank you. how does it compare to nabtrade?
not sure, I honestly only just started. stake doesn't charge any broker fee, and they relatively low fees for other kind of transactions.
thanks though! and best of luck
Are you trading or investing?
PLenty of auusie brokers around, I use Etrade, there is also nabtrade and commsec and a heap of others. or head over to hotcopper.com.au or topstocks.com.au and do some reading around there. :) For other instruments like forex for e.g. you might try FP markets or IC markets, both allow you to set up a free demo account so you can paper trade before committing.If you mean physical brokers…the fees. I just discovered commsec today and it seems to provide good tools for trading but not trading itself. I'm thinking for using it as a tool but making the actual transactions on self wealth. Definitely considering nabtrade for international stock. sorry if i sound noob it's because I am. Appreciate your comment though
"I just discovered commsec today and it seems to provide good tools for trading but not trading itself. "
I don't understand this comment. :) Commsec IS a trading platform. I'm not sure what markets and instruments they offer but you at least be able to trade the ASX and options and probably some leveraged stuff as well (but stay away from those until you have a few years under your belt).
as in i'd use it for information on a trade i will execute on selfwealth.. if that makes sense. nvm though i think i've confused myself xD really appreciate the directions though mate. just a poor young man trying to stay afloat
@ayad: Hey we've all been there so my advice is to stick with it but before committing real money…learn learn learn and then learn some more. Try to discover your trading psychology (long term, options, CFD's, forex etc etc). Define what it is you want to achieve and then try to learn what vehicle will get you there.
Whatever way you go just be sure to understand that yes, you can be quite successful trading the markets (regardless of what others might say) BUT it not a get rich quick thing, take a serious approach and commit yourself to a 3-5 year learning process before giving up. Think of it like you would a university degree only at the end you wont have any debt and wont be scrounging for a job. :) But if you rush into it and play with real money before you are ready and (God forbid) you do end up in debt because you succumbed to 'fear and greed' then you will have done it the wrong way and might be put off trading for life.
Plenty of free resources and great info out there these days. The real battle is internal.
@EightImmortals: great advice bro! I'm definitely not in it to get rich quick I see it as a life long essential skill.
I'm kind overwhelemed with the amount of resources out here even though it's great. What did you start with? What would you recommend? I've started with 'What has worked in investing' by Tweedy, Brown which is a great source but challenging for me. Also got Tony Robbins Unshakeable. Any suggestions will be much appreciated
@ayad: I haven't heard of Tweedy Brown so can't comment and Tony Robbins is more of a motivational/success guy rather than a specifically trading guy. There's no reason you cannot apply their knowledge to success in any endeavour, including trading. As you say, it can be quite overwhelming for a newbie so just not to be frustrated by the whole lot of it. Just nibble it one bite at a time and start with free resources. babypips.com is a great one for starters and even has structured courses you can work through, again for free.
@ayad: Are you looking to trade or invest? If you want to learn how to get started with trading go through the babypips school and listen to all of the Chat With Traders / Futures Radio ep's.
Where are people managing ETFs? Kinda want to set up a direct debit to purchase smaller amounts weekly. Such a thing?
Not sure, you could setup a stock account and DD to that each week then manually purchase every month or so? That way you have a bit more control and if the markets go pear-shaped you can hold off on buying for that period. If it were all automatic it would just happen regardless. Mind you it will all even out over the long haul, say 20 years but not sure what your goals are.
There will be brokerage for ETFs so weekly probably isn't a good idea unless you are putting in a lot each week. Vanguard etc do have versions of their funds where you can put in via BPay for a slightly higher management fee. But personally I prefer the ETFs and just buy every 2-4 months.
I find Interactive Brokers a good platform/broker for US Stocks
I am also beginner in stock trading and using selfwealth from couple of months. I found it is quite cheap ($9.5 flat fee) and easy to use. Initially for first 3 months you get premium membership free where you learn from others how which stock to invest to make more profit.
Now I am looking for plus500 also an alternative options to do stock trading & CFD.
A friend of mine use IG.COM