why you deposit so frequently? i deposit once then trade or hold for several years and when rate is good then only i convert gain back to MYR for personal use.....the starting capital will always be there. exchanging in and out will.cost you money

you save few hundred out of how much you deposit?? if i deposit RM100K how much I save then??

that's about 1% or less....yes thats alot of money saved.

How much is brokerage for buying US stocks via IBKR?? any fixed minimum brokerage?

currently our local bank rate is 0.40% or minimum usd25.00 per order.....means if you buy (let say) usd3K worth of stocks (by right) brokerage is 0.40% × usd3K = usd12.00 but bank will still charge usd25.00 (that's minimum brokerage) so technically to get more out of your money every order preferable must be over usd6K or else you will end up paying more than you should have (in my example that will be extra usd13.00)

This post has been edited by livina2011: Jun 7 2020, 01:00 PM

using my earlier example.....if i buy from local broker a usd6K worth of US stocks will cost usd25.00 brokerage......how much will IBKR brokerage be? (take the highest).

i suspect the more you trade on IBKR will be more expensive compare to local broker (not sure just a guess)

if that's the case high net worth individual will have big problem. imagine if they want to deposit Rm300K they need to do 10 times Rm600K do 20 times? correct me if i'm wrong (maybe due to capital control?? am guessing)

@Ramjade and @dwRK nice to know there is such option for the rich. i thought IBKR cater smaller investor

Btw off topic....after wacthing this https://www.theedgemarkets.com/content/news...ing-era-najib-0

I realised we should invest more overseas.....i have zero hope for our future recently

i have just visited IBKR HK website.....I notice their maximum per order is 1% brokerage for both tiered & fixed brokerage pricing......but our local broker brokerage is 0.40% does that means if big single order means local broker is much cheaper? (60% cheaper)

IBKR
if i buy usd20,000 worth or 5,714,285 shares of usd0.0035 stocks my commission is usd0.35
if i buy usd20,000 worth or 10,000 shares of usd2.00 stocks my commission is also the same usd0.35

LOCAL BANK
if i buy usd20,000 worth or 5,714,285 shares of usd0.0035 stocks my commission is usd80.00
if i buy usd20,000 worth or 10,000 shares of usd2.00 stocks my commission is same usd80.00

if this is the case i think IBKR win's very big compare to what our super expensive local bank charges. if my calculation is correct, (correct me if i'm wrong)

BTW this calculation is TIERED basis (not FIXED)

This post has been edited by livina2011: Jun 9 2020, 09:11 AM

which part is wrong? IBKR $2.00 or $0.0035 stocks?

This post has been edited by livina2011: Jun 9 2020, 10:48 AM

after looking at their example i find the calculations is very complicated for both rate. But looks like FIXED commission is cheaper than TIERED (based on their sample).......am I correct??

hey bro thanks alot for clearing everything up......i failed my LCCI many years ago......i guess i'm not a qualified accountant......thanks again......finally

from your illustration, for penny stocks trader the cost seems EXTREMELY high......no wonder local doesn't allow penny stocks at all (not much profit for the bank i guess)

one downside is the risk........your money won't be in malaysia......if anything happen your money it will be in US jurisdictions.....inheritance problem, or if the US SEC deem you are terrorist, involve in money laundering, etc.....and block you from repatriating your money back to malaysia then many problem ahead (what i'm trying to say is it will be up to US SEC not BNM or SIDC) or cross border risk

This is the only risk i can think by using non local broker (so far)

This post has been edited by livina2011: Jun 9 2020, 11:36 AM

so you mean @Raymond_ACCA below calculations is wrong?? should be correct i think 100,000 x $0.0035 mah....no??

"Say stock is USD0.1 per stock.
IBKR: 100,000 units = USD350"

This post has been edited by livina2011: Jun 9 2020, 12:12 PM

so you are saying for 1,000,000 unit of $0.01 the commission is usd$100 instead of $3,500? (i get what you mean the max is 1% of value or whichever is lower)

Based on usd10,000 value and 1,000 unit quantity
By quantity comm. is usd35.00
By value comm. is $100.00

IBKR will take the lowest which in this case is usd35.00

Hope I'm correct

i need to lower the quantity to make my point.....lol

so my assumption is correct or wrong??

This post has been edited by livina2011: Jun 9 2020, 03:51 PM

$3.50 based on 1,000 x $0.0035?? jezz christ......you made me look really stupid.....lol (i am )

what if i buy usd10,000 value of stocks and quantity 28,571 unit of $0.35 stocks.

$10,000 value at 1% = $100
28,571 unit at 0.0035/share = $99.99

Based on my calculation IBKR will charge me usd$99.99 not usd$100.00......finally i look smarter......lol

This post has been edited by livina2011: Jun 9 2020, 04:32 PM

please say i'm correct or else i'll

if i buy 28,571 unit at $0.35 a value of usd10,000 IBKR charges me $99.99 but local bank charges for a usd10,000 order (no matter what quantity) is only usd40.00 that's 60% cheaper than IBKR.......no??

This post has been edited by livina2011: Jun 9 2020, 04:32 PM

@Raymond_ACCA

How fast money reach our local bank after request withdrawal from IBKR? any limitation i.e max amount withdrawal per day, max request per month

can we request usd to our local usd local bank account?

yes you can......open screen record video, open BP perform transaction then screenshot that video. BP have not thought of that yet......lol

This post has been edited by livina2011: Jun 10 2020, 07:23 PM

11am in malaysia is 11pm in the US you need to know what you are buying frankly. simple indicator like historical price, PE, Sector, Is it high or low risk, etc.....You might over pay for your stocks and left holding the bag when music stops and left with no chair