Selfwealth minimum $500 to buy any new shares

[subham.paudel]

Hi,

Is it only Selfwealth who allows you to trade a minimum of $500 to buy new shares from ASX or is it with every broker?
How about Commsec(in particular) do they have any minimum price or units to be bought?

 

[Austwide]

Hi,

Is it only Selfwealth who allows you to trade a minimum of $500 to buy new shares from ASX or is it with every broker?
How about Commsec(in particular) do they have any minimum price or units to be bought?

Its set by the ASX, google {asx minimum share purchase}.

 

[subham.paudel]

So, If I am to buy any shares from ASX, it has to be $500 minimum no matter what brokerage I use?

 

[dyna]

Off topic ,but there are cheaper brokers than dear old Commsec (which I still use). Check "Stake" an online trading platform ,recently offering $3 flat fee brokerage for ASX listed securities , undercutting the next two cheapies that both charge a flat $ 9.50 per trade.

 

[Austwide]

So, If I am to buy any shares from ASX, it has to be $500 minimum no matter what brokerage I use?

Yep $500 + brokerage

 

[KevinBB]

So, If I am to buy any shares from ASX, it has to be $500 minimum no matter what brokerage I use?

The $500 minimum certainly applies if you make an initial purchase through a CHESS sponsored broker of an ASX listed stock.

However, if you have an account at a broker that doesn't use the CHESS system for each individual account, I understand that the $500 minimum doesn't apply. I'm not sure if this is all non-CHESS brokers, you can check that for yourself.

This is not a recommendation for Superhero, but this is a Link to Superhero page saying $100 minimum for Australian shares.

KH

 

[aus_trader]

The $500 minimum certainly applies if you make an initial purchase through a CHESS sponsored broker of an ASX listed stock.

However, if you have an account at a broker that doesn't use the CHESS system for each individual account, I understand that the $500 minimum doesn't apply. I'm not sure if this is all non-CHESS brokers, you can check that for yourself.

This is not a recommendation for Superhero, but this is a Link to Superhero page saying $100 minimum for Australian shares.

KH

I am assuming it must be some sort of trading platform that trades the share price only such as some of the Fx brokers out there as well as CFD brokers. The shares are not bought in your name with a security certificate from ASX, for which you need a minimum of $500.

 

[dyna]

That's right. You don't get your own H.I.N.

 

[KevinBB]

I am assuming it must be some sort of trading platform that trades the share price only such as some of the Fx brokers out there as well as CFD brokers. The shares are not bought in your name with a security certificate from ASX, for which you need a minimum of $500.

umm.. almost right, but not exactly.

Again, this isn't a recommendation, but Superhero has its own CHESS registration, and holds any shares purchased by its customers in trust. It is one of the new breed, or "disruptive" (if I can use that word) brokers entering the market. There is another one starting to advertise heavily at the moment, Stake, but I am not familiar with how Stake operates.

As far as I am aware, when you trade with a FX or CFD broker you are actually placing a bet against the broker. So, there is quite a difference between the two types of brokers.

With Superhero and other brokers who operate in the same way. you own the shares, but they are held in trust for you. The trust structure is much the same way as Interactive Brokers operates their share broking business in Australia.

KH

 

[Richard Dale]

Segregated trust accounts don't always protect you in the event of poor record keeping/business practices.

As I understand it, this is what happened with BBY with futures/options trading, and prior to that Man Financial/MF Global.

CHESS holdings mean everything is in your name.
A separate money management account with a bank means that any deposited funds are in your name.

A broker collapse just means you transfer your chess holdings to a different broker, similarly with a money management account you just do a funds transfer.

If you use other mechanisms you are adding counterparty risk to your trading.

Now what was that old saying about eggs and baskets?

 

[Dona Ferentes]

Analysis by the 10-year-old broking platform – where Millennials and Gen Z make up 71 per cent of its 120,000 users – found mining was the most attractive sector over the year, making up 42 per cent of the top 200 securities, excluding exchange-traded funds (ETFs)

Fortescue maintained its number one ranking as the most traded share among SelfWealth users, although the value of shares traded fell 13 per cent to $804 million, while BHP climbed nine spots to claim fifth place.

2022 ....................... .............................. and ..................... >>>>>>>>>>>>>>>>>> .... 2021

1	Fortescue	804	Fortescue	929
2	Westpac	677	Zip Co	864
3	ANZ	550	Afterpay	506
4	CBA	480	Flight Centre	404
5	BHP	441	Westpac	395
6	CSL	383	CSL	348
7	Pilbara Minerals	322	ANZ	338
8	Zip Co	312	NAB	251
9	Macquarie Group	272	Telstra	219
10	Flight Centre	265	Macquarie Group	208
11	Rio Tinto	213	CBA	190
12	Core Lithium	193	Kogan	180
13	NAB	193	The a2 Milk Company	179
14	Telstra	187	BHP	163
15	Lake Resources	182	Mesoblast	162
16	Novonix	181	Qantas	148
17	Brainchip	170	Webjet	134
18	Woodside	162	Woodside	120
19	Vulcan Energy Res	160	Galaxy Resources	119
20	Northern Star Res	156	Appen	116

 

[divs4ever]

i can't blame them for focusing on profitable miners , if Australia stops mining ( and exporting ) we are looking at very dark times

however the $value traded , seems to match what i have been seeing in the market data in general

so this MIGHT be a useful indicator to market health ( and investor appetite )

 

[frugal.rock]

Analysis by the 10-year-old broking platform – where Millennials and Gen Z make up 71 per cent of its 120,000 users

Reading through the 2022 list, I had to remind myself that it was the current top 20 shorted stock list...

Not impressed with Selfwealth Android platform around 3 pm to close and opens.
Seems to struggle getting data on a timely manner.

Can't confirm if iOS or Web versions suffer from the same issues.
?