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Post by oldman on Oct 31, 2013 8:02:40 GMT 7
It was only recently that I realised that Lim & Tan accepts advance orders. I like this feature a lot as I do not have to key in buy and sell orders every morning. Instead, I key in the order as a GTM order. Lim & Tan describes this as Good to Maximum but most of us will remember this as Good to Month orders as these orders will stay in the system for 30 days. Do note that if any of these orders are partially filled, the order still remains in the system for a month till this is completely filled. The other good thing about this type of order is that it is usually entered into the SGX trading system as soon as this is available for entry. This way, your queues are usually right in front of others. Yes, the less people know the better! Hence, not highlighting this post in facebook! Yes, the minimum commission for Lim & Tan is $25 while some like DBS Vickers cash upfront account charges $18 minimum commission and 0.18% commission for orders above this minimum amount. For me, I use a number of brokers as I don't like putting all my orders through just one broker.  Info on the Lim & Tan advance orders: www.limtan.com.sg/page/site/public/faq-advance-order.jspwww.limtan.com.sg/page/site/public/pdf/AdvancedOrdersUserGuide_v4.pdf |
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Post by candy188 on Oct 31, 2013 10:10:23 GMT 7
It was only recently that I realised that Lim & Tan accepts advance orders. I like this feature a lot as I do not have to key in buy and sell orders every morning. Instead, I key in the order as a GTM order. Lim & Tan describes this as Good to Maximum but most of us will remember this as Good to Month orders as these orders will stay in the system for 30 days. Do note that if any of these orders are partially filled, the order still remains in the system for a month till this is completely filled. The other good thing about this type of order is that it is usually entered into the SGX trading system as soon as this is available for entry. This way, your queues are usually right in front of others. Yes, the less people know the better! Hence, not highlighting this post in facebook!Yes, the minimum commission for Lim & Tan is $25 while some like DBS Vickers cash upfront account charges $18 minimum commission and 0.18% commission for orders above this minimum amount. For me, I use a number of brokers as I don't like putting all my orders through just one broker. Info on the Lim & Tan advance orders: www.limtan.com.sg/page/site/public/faq-advance-order.jspwww.limtan.com.sg/page/site/public/pdf/AdvancedOrdersUserGuide_v4.pdfHi oldman, Appreciate the generous sharing.  Currently shopping for alternative brokers as I rely solely on 1 broker whereby my remisier stated that she will extend preferential rate of 0.2% if I manage to buy $60k value in 1 trade.  I prefer to buy gradually in smaller lots (10k to 40k depending on the value of counters) rather than huge quantity at one go. |
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Post by oldman on Oct 31, 2013 10:55:21 GMT 7
Candy188, 0.2% or 20 basis points is a good rate. Most of the brokers I deal with offer around this rate. I think Lim & Tan online rate is 0.28%. My problem is that most of the time, I buy the smaller capitalised stocks and I often get thrown a few lots and hence, it is the minimal commission that is most painful. At 0.2% and minimal commissions of $25, one needs to buy at least $12,500 worth of shares before the 0.2% kicks in. Many times, I don't have control over what is sold to me as I don't chase the price but rather let the price come down to my level. For me, the cheaper, the better. If you are a trader, yes, the commission rate becomes very important as you have to trade often. For fundamental investors, it is less of a concern. |
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Post by puregold on Oct 31, 2013 13:20:41 GMT 7
Oldman, Your problem will be worse if SGX implements board lot of 100 shares. It is good for brokers though.
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Post by candy188 on Oct 31, 2013 14:56:42 GMT 7
Candy188, 0.2% or 20 basis points is a good rate. Most of the brokers I deal with offer around this rate. I think Lim & Tan online rate is 0.28%. My problem is that most of the time, I buy the smaller capitalised stocks and I often get thrown a few lots and hence, it is the minimal commission that is most painful. At 0.2% and minimal commissions of $25, one needs to buy at least $12,500 worth of shares before the 0.2% kicks in. Many times, I don't have control over what is sold to me as I don't chase the price but rather let the price come down to my level. For me, the cheaper, the better. ==> If you are a trader, yes, the commission rate becomes very important as you have to trade often.
===> For fundamental investors, it is less of a concern. Hi oldman, Maybe my position doesn't qualify for the preferential rate of 0.2% yet or I should try out other more generous broking firms.  Currently being charged 0.275% commission. Human nature to search for the cheapest possible deals even though I am a converted fundamental investor. |
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Post by candy188 on Oct 31, 2013 15:14:20 GMT 7
Oldman, Your problem will be worse if SGX implements board lot of 100 shares. It is good for brokers though. Standard Chartered online Equities Trading with no minimum commission scheme may offer solution for those investors buying in smaller lots. Some features of SCB Online Equities Trading- NO Minimum Commission on share transaction(ie. there is NO minimum commssion of $18 to $25 imposed on purchase Spore stock) on all ONLINE Equities trading transactions. - CASH ONLY TRADES, NO ContraSCB requires you to have the money in your account before you can buy the stocks. - Stocks Are Held Through Custodian Account by SCB- flexibility to purchase shares in stagger lots and thus spread the risk, especially for those who want a huge selection of shares in their portfolio. For example $1,000 worth of shares ~~ only incurs commission of $2.00 (0.20%) if trade is executed via standard chartered, ~~~ compared to $25 minimum brokerage fee usually imposed.www.investinpassiveincome.com/standard-chartered-online-trading-pros-and-cons/www.standardchartered.com.sg/ways-to-bank/online-trading.html |
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Post by oldman on Oct 31, 2013 15:35:28 GMT 7
Candy188, thanks for the info. I especially like the first link comparing the Standard Chartered offering to POEMS. I don't like custodian accounts as it forces you to sell your shares through them. Also, if their online system breaks down, it is unlikely that you can get through to the phone lines. I rather pay more and have the flexibility to sell through other brokers. Also, I like to split my orders between various brokers as sometimes, I can buy or sell quite a bit of shares. Yes, in trading or investing, I don't trust any one.... and certainly not brokers. I will not be surprised that they can see all the orders entered through their system and which client is buying and which client is selling. |
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Post by puregold on Oct 31, 2013 15:41:41 GMT 7
A big disadvantage of SCB platform is that the shares purchased will not be in your CDP account.
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Post by kenichi on Oct 31, 2013 21:45:09 GMT 7
Hi Oldman, the GTM function is indeed useful and I was tempted to set up a Lim & Tan account just to use it. By chance, I just went to check my DBS Vickers online account and was pleasantly surprised that they now have the same GTM function as well! |
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Post by stevenlsf on Oct 31, 2013 22:47:28 GMT 7
I know CIMB has also GTM order. I have not tried. Current I use Amfraser which has GTD(up to 5 working days). Normally I key in my order every weekend.
Oldman, I believe the queue from different brokers will radeom queueing to the SGX system. GTM or GTD order makes your order ahead others from the same broker but competing to orders from other brokers.
Yes I have the same problem as you when got sold to small lots and I am also looking for small min. commission. I also heard the idle cash in L&T can earn higher interest like cash fund.
I was told SCB online system is not stable and even the officer there doesn't recommend when I checked with them.
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Post by oldman on Nov 1, 2013 4:46:06 GMT 7
Hi Oldman, the GTM function is indeed useful and I was tempted to set up a Lim & Tan account just to use it. By chance, I just went to check my DBS Vickers online account and was pleasantly surprised that they now have the same GTM function as well! Welcome Kenichi to our forum! You are right. I went to check DBS Vickers and on their direct website, they do have the GTM feature as well. However, I cannot use the cash upfront account when I go through this direct website. This means that their minimum commission is still $25 minimum and 0.28% commission above this amount. I usually go to the DBS bank website and from there link to DBS Vickers Online. Somehow, by going this way, it allows me to use the cash upfront account where the minimum commission is $18 and 0.18% commission after that. However, this path does not have the GTM feature! Also, the cash upfront account does not allow me to sell my existing shares for which I usually sell through other brokers. I think they positioned this cash upfront account for those who buy and sell within 3 days. |
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Post by oldman on Nov 1, 2013 4:52:48 GMT 7
I know CIMB has also GTM order. I have not tried. Current I use Amfraser which has GTD(up to 5 working days). Normally I key in my order every weekend. Oldman, I believe the queue from different brokers will radeom queueing to the SGX system. GTM or GTD order makes your order ahead others from the same broker but competing to orders from other brokers. Yes I have the same problem as you when got sold to small lots and I am also looking for small min. commission. I also heard the idle cash in L&T can earn higher interest like cash fund. I was told SCB online system is not stable and even the officer there doesn't recommend when I checked with them. Welcome stevenlsf! Nice to see a familiar nick. Agreed that the GTM or GTD orders will still have to fight for position with the other brokers. As the shares that I usually buy are not that popular anyway, this ensures that I usually see my lots queuing up first. If you manage to find a broker with a lower minimum commission, please let me know! Thanks for the info on SCB. Yes, I too heard similar complaints from other users as well. Key though is that I really don't trust brokers and would rather see my shares being credited into my CDP account. I don't see the logic of saving a few dollars in commissions and taking the risk that you may lose all your shares in the event of the broker collapsing. |
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Post by oldman on Nov 1, 2013 9:26:56 GMT 7
Reminds me of my experience with one local broker. Every few days when I put in an order to buy, only 1 lot is done. It only happens with this broker. After a while, I realised that something is not right and from that day onwards, I don't trade with this broker anymore. The principle of caveat emptor applies equally to brokers as it does to stocks! Sorry, I cannot share which broker this is as I still like to maintain a good relationship with all the brokers. |
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Post by stevenlsf on Nov 1, 2013 20:44:59 GMT 7
Yes, I hate "1 lot" gang. Whenever I see my order got 1 lot fulfilled and I have to calm my anger by talking to myself to get big profit next time when selling. i am also looking desperately for cheaper min. commission. will share in case I find one. |
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Post by oldman on Nov 6, 2013 7:58:06 GMT 7
I forgot to mention that most brokers have loyalty points and these usually give back 5% of your commissions. I usually trade these in for future commissions on share transactions as this is usually the best deal available.
Hence, if you pay 0.2% commission, after subtracting the loyalty bonus, the actual rate will be 0.19% or in broking terms, 19 basis points. Of course, this assumes that your trade amount attracts more than the $25 minimum commission.
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