Advice Needed for VERY First Broker

[FIGJAM]

I've looked at COMSEC but they look real expensive to trade with or do I just not understand their price structure?

Currently I trade with OptionsXpress but I want to change as I want to trade in the American and Australian markets.

Cheers,

EDIT* actually on closer inspection, I think I may have been looking at it wrong. The price per trade is $19.95 if you are CHESS sponsored by Commsec and settle your trades through a CommSec Cash Account, CDIA or a CommSec or Colonial Margin Loan. Otherwise its $29.95 which seems expensive. Those prices have a maximum of $10k trade value if I understand correctly?

 

[McLovin]

I was interested in a IB account but the thing that turned me off them was that they don't offer a HIN, i.e the shares are not held in your name which also would be a risk if they went under, never found out whether their CMA is covered by the gov guarantee though.

If you are talking about ASX listed shares bought through an IB account, they are absolutely held in your name, the only difference is that they are issuer not CHESS sponsored.

 

[FIGJAM]

also brokerage fees in America is $65.00 or 0.75%. That seems pretty steep.

 

[CanOz]

also brokerage fees in America is $65.00 or 0.75%. That seems pretty steep.

Not with IB, they're even cheaper than ASX stocks. Generally speaking brokerage is the US is cheap as opcorn:

 

[FIGJAM]

Not with IB, they're even cheaper than ASX stocks. Generally speaking brokerage is the US is cheap as opcorn:

but as a beginner IB is a pain??

might have to take the plunge and figure it out and save in the long run.

unless i stop trading in america because its doomed

 

[CanOz]

but as a beginner IB is a pain??

might have to take the plunge and figure it out and save in the long run.

unless i stop trading in america because its doomed

Yeah but its much easier to sell short in the US...

Generally if you can't qualify for an IB account you might ask yourself "do i have the funds to risk at the moment?"



CanOz

 

[rx2]

If you are talking about ASX listed shares bought through an IB account, they are absolutely held in your name, the only difference is that they are issuer not CHESS sponsored.

I think you will find this is not true. Interactive Brokers are the custodian and hold your shares in trust for you. I trade with IB for US shares, but for ASX in my SMSF I trade through CMC @ 9.90 a trade.

I can't find the original page from IB that describes their custodian structure - but it is also spelt out on ESuperFund's website - http://www.esuperfund.com.au/shares/OptionalBrokers/IBBrokers/InteractiveBrokers.aspx