Anyone had recommendation of trading accounts? Don't they have some free offer?
Was looking to get some EFTs soon.
Trading Account Recommendations (Commsec?)
yjun355 on 18/03/2020 - 14:25
Comments
Yes.
restricted to asx only fyi
I’m wondering why people recommend self wealth? Is it because it’s the cheapest?
My worry, and I invest a bit, with the cheapest is, their long term viability. I mean, who wants to go with a broker who goes broke? Investing is kinda risky enough without having to worry about your broker too in my opinion.
So even though I don’t recommend blindly going with the big banks, coz their expensive, self wealth just seems a step too far into the cheap region for me.
I personally use CMC markets.
I’m wondering why people recommend self wealth? Is it because it’s the cheapest?
It's because they make referral money out of it.
Ah, of course, self interest always comes first. How could I be so naive!
And here I am giving advice pro bono
Not me, I recommend it because it's one of the cheapest platforms in Australia and because the guy who started the company used to work at a Big 4 bank but left to do his own thing — that takes guts.
The free trades from referrals is just a possible bonus, and I say "possible" because I recommend frequently online that people visit the OzBargain random referral page.
I also don't mind the platform itself, but I've never used Commsec or any other Big 4 trading platform so maybe it's not as good, but for me the $9.50 flat fee for trades is good enough for what I want.
what happens if your broker goes broke?
you hold the shares - they're just "brokering" a deal to buy or sell them for you.
ah thanks, and the money in your trading account? is that also secured?
@cloudy: Yep. Its an ANZ account.
ANZ covered under https://www.apra.gov.au/list-of-authorised-deposit-taking-in…@toniyellow: Cool, i'm just weary from stories I heard when I was younger like BBY and Opus Prime collapse, and investor money/shares misused etc.
If you are chess sponsored the broker doesn't hold the shares.
Agree though, cheapest may not be the best option. The $10 trade difference is no biggy on a $5k-$10k trade when you are expecting 5%+ capital gain per year.
expecting 5%+ capital gain per year
More like -50% capital loss per year right now.
Edit
If you are in the market that is@Mad Max: I'm down 30% from my peak on paper but still in profit (just). Last year I was up 20%. For me over ~20 years it averages out at 5% CG and 5% dividends plus franking credits.
I use CMC too and my spouse uses CommSec with a CDIA account for lower trade fees than their usual rates. CMC are cheaper fees but I don’t think they are direct market access so they can profit out of your trades (market maker) and can be quoting slightly different prices to the market at that second. CommSec are direct access so you buy from the seller direct not via the broker but more expensive. Both good tho
Your banks, if you want quickest set up. You won’t notice extra fee if you are just doing a few trades long term
This ^
Unless you doing a number of trades each few days, the price difference on the brokerage is not that bad (~$10 per order).
Also, if it’s your banks trading platform you can move cash around a lot quicker. Some 3rd party can take up to 2 days to clear the funds into your trading account.
using commsec for blue chip, passive investing trades. that's all you have to do in this climate really.
Hope you are using the account to sell some shares. Don't catch a falling knife…
If you are only doing ETFs then you might as well look at Comsec Pocket App.
Search NABtrade. There's a deal
No risk using Selfwealth as the shares you own are in Chess in your name.
Only negative I see is that to place a buy trade at a certain price you need the full amount in the Selfwealth trading account that does not pay any interest. And the share price may not get to your buy price so you may end up not filling the trade.
And the process to put money in the account takes up to 3 business days so you cannot do it on the spot.Thanks.
Which one did you end up opening?
JUst with commsec as already cba client. This one had too long process and too slow. Needed some docs that had to be certified, etc.
SelfWealth.