Hi Sifu,

I am new to ETF and all these stuff you mention here. So I am willing to start and learn from bottom up.

I have my etrade account (US) from previously company and still active.
I have some fund there and would like to invest. I am not good in selecting which company to invest, how, when to buy and sale and etc.

So I looking for something not that risky. I know investing have some of it risk. I am looking to minimize that.

I read that this forum here have many sifu investing in ETF when the best way to avoid high fees+commission+exchange.

Since I am from Penang, Malaysia. What is the best way for a dummy like me to start with?

Any ABC steps?
eg.
1) open an account.. which is the best one to open and with whom?
2) what is the best way to transfer fund into it n USD or GBP with the minimal exchange rate tax?
3) what is the fund to invest in.. eg. monthly minimal transaction fee and etc?
4) any idea when to sell as well in term to avoid the any downturn ... I mean cut loss strategy...


I read about kristal.ai from Singapore which focus on ETF with no transaction fee, no mgmt fee. They only charge 0.007 bps for the transaction other thing which is under USD50K is free. Anyone heard of it?

Thanks Sifu(s).

Your ABC soup is on the first post ya.

Hi, I wonder using Maybank global trade account able to trade US ETF? Any specific reason to go for tradestation? Due to lower commission? Thanks

Yes lower fees. More choices. Mbb got selective exchanges only. But if you very infrequent trade, maybe easier and don't have to worry about additional estate planning.

This post has been edited by dwRK: Aug 25 2019, 01:25 PM

Dup

This post has been edited by dwRK: Aug 25 2019, 01:25 PM

I see. If we use Maybank global trade then dont need to go through the hassle to transfer money to sg and transfer back right?

is it cheaper if we open ameritrade account in singapore and but the index fund?

RM to USD is done in house by MBB using their expensive bank rates.

I must backtrack a bit let the stock ppl answer, and for you to double check with mbb agent. My experience only with mbb investment bank doing futures trading.

More expensive. TDAMERITRADE can only hoot on US exchanges... so 30% withholding tax, and higher commissions. Also withdrawal fee $25 vs $0.

This post has been edited by dwRK: Aug 25 2019, 01:49 PM

Convert at in house exchange rate as mentioned by dwRK (more expensive by about 3%)
Higher commision charged per transaction. Say (USD10 vs USD3)
- I am not sure how much maybank charges.
X% of dividend fees to be paid to maybank
Possible quarterly platform charges.

If you feel like paying them all the above charges, by all means continue to use them.

A little hassle to by going the SG route to save lots of money in the long run. But worth it in the future.

This post has been edited by Ramjade: Aug 25 2019, 02:12 PM

Understand now. Thank you all the sifu for the useful insights!

I edited my post.

TDAMERITRADE only $7 commission i think. so we use Instarem there will be no 30% withholding tax is it?

US gov tax you 30% for dividend generated on US soil.

Ppl hoot Irish domiciled US based etf because Ireland got tax treaty with US, so pay only 15% tax.

TDAMERITRADE is US exchanges only...so ppl go, example Tradestation Global to buy Irish domiciled etfs that's traded on German exchange... also tradestation fees are cheaper

This post has been edited by dwRK: Aug 25 2019, 02:42 PM

I see, thanks for the explanation. You all very pro on all these details

alex, you have move to tradestation and yr first page is still capetrader. .

i just want to know which the trading account that should be open generally?
if tradestation..... what are the criteria? do i need to travel to kl?

as for fund transfer from Malaysia bank to eg. using cimb babk to tradestation, what is best method to avoid high fees and commission?

thanks

Depends on which market you want to buy. Read back a few page about why Captrader is cheaper than tradestation and why tradestation is cheaper than Captrader.

Cash. Do not use margin unless you are OK with borrowing money and invest.
There's 2 tradestation, tradestation and tradestation global. If you want the Whitelabels of Interactive broker use tradestation global. Fnd it with USD5000. That's the criteria. Travel to KL only if you want an Instarem account (they only service Klang valley. Not sure if they service Penang or JB.

You will find many problems using Malaysians banks to transfer to the virtual bank account no given by interactive broker. Main reason is interactive broker deals with Forex. Since Malaysians govt doesn't like forex so most Malaysians banks don't let you deal with interactive broker.

Cheapest options is direct instarem > Interactive broker. Apparently there are some currency you can't direct Instarem. For me I use the following method Malaysian banks > Instarem > SG banks > FAST tranafer (IBFT) to Interacrive broker virtual bank account in SGD > convert to whatever currency I want using interactive broker own exchange (at spot rate - cheaper than money changer at cost of USD2/conversion)

A little bit of inconvenience to save on those pesky fees for long term. SG banks not problematic when come with dealing with interactive broker unlike Malaysian banks.

Hope this answer your questions.

This post has been edited by Ramjade: Aug 25 2019, 08:43 PM

Thank you very much for long explaination. Greatly appreciated.

So basically I need the following

1. open instrarem account for malaysia.
2. open Singapore bank account eg maybank or cimb?
3. open tradestation account with IB... which is the right website ? so do we need tradestation global?

If eg. CIMB Malaysia to CIMB Singapore, money transfer I assume the exchange rate and fee is higher, right?
So instrarem is to be use to save cost.

Yup I am from Penang.. instrarem in KL only.

Yes. If you don't want to open SG bank account, can only use instarem for EUR. IB doesn't accept USD from instarem. Later when you want to sell, maybe costly send money back from interactive broker > Malaysia.

Take a 3 days leave and go down to KL to open an account with instarem. Yes to save significant money. Avoid USING any Malaysian banks to transfer money. Cimb SG - > Cimb MY as rates not bad but not Cimb MY - > Cimb SG.

Thanks for advice. what is procedure to get instrarem sign up?
If I apply online which address should i fill up? I don't have KL address.
Could I apply online only aetup a day to travel to kl for interview?
Usually what they will ask?