How do the internet trading (investor) negotiate with brokerage house about the brokerage fee? how much will it be? best rate for internet trading?

All stock investors are welcomed to share ideas.

If you got a lot of $$ then can negotiate for lower fee. But min will still be RM 40.

day trader can easily get charged with lower fee???

This post has been edited by 12bDreamChaser: Jan 1 2008, 06:28 PM

For OSK Online trader,


http://www.osk188.com/page.jsp?name=RateRevision

actually brokerage fee of 1,2 n 3 are negotitiable according to the web page... not only cash upfront trade...
jz to make it clear..

---

Added on January 2, 2008, 12:14 amif a osk online trader trades...
let say RM3k,
his brokerage fee is= 3000 * 0.6%= RM18 ??
or hav to pay the minimum fee (RM40) ???

This post has been edited by 12bDreamChaser: Jan 2 2008, 12:15 AM

transaction figure : RM3000
brokerage fee = 3000 * 0.6% = RM18

but min brokerage is RM 28 for online order and cash upfront account,
so brokerage fee is RM 28

clearing fee is 3000 * 0.03%
stamp duty not change.

I had heard majority of the online site impose a RM28 min, mine one also Rm28. Commission rate remains the same at 0.42%.

Anybody got other rate or min amount? Somebody posted Maybank impose a Rm40 even for online trade.

This post has been edited by cherroy: Jan 2 2008, 02:15 PM

jfapex and hlebroking - rm12 min brokerage

It is confirmed still the same? no adjustment?

u comfirm?
i found nothing from their website.
no update, announcement and news.

osk charge is sure RM28 for online and cash upfront account
Rm40 for normal trading.

TA Securities. Online Trading . Minimum brokerage =RM12

Based on lastest input,

RM28 min for online transaction:
OSK
HwangDBS
RHBInvest

I might be wrong, just getting some information through fellow forumers. Thanks for those contribute the information.

This post has been edited by cherroy: Jan 2 2008, 04:53 PM

Cash Upfront Trades here refers to what?

yup.. rhbinvest is rm28

wa... hlebroking - rm12 min brokerage??? confirm ka??? if like that, wanna change broker house d....

anyone got info on maybank? too busy today at work to make the call...

if change brokerage house, can we transfer the shares, or have to sell off first?

anyone free to reply me?

mine still rm12 itradecimb

Cash upfront account is another type of trading account, the trading limit is base on how much money inside.
i.e. u put in RM1000, then u only have buy limit RM1000.
normal trading account is RM1000 get buy limit RM2000 or RM3000, depend broker firm.

maybank commission through broker/remisier is min rm 40 per transaction

online is 30% discount - so rm 28 min per transaction

commission rate remains at 0.49% for online transactions

i just called them and they told me it's RM28

you use call broker or online one? mine is online

I been using Itrade all the while, I sent them email for enquiry and their staff called me

i think rm28 for buy and sell together

if only buy should be around rm14 minimum (brokerage + stamping + clearing)
same for sell

its good what they dont raise it

This post has been edited by greddym3: Jan 3 2008, 07:46 PM

i don't think so...general consensus is rm 28 per transaction minimum, not including stamp duty etc.

but if you've got one that has min rm 14 per transaction - please let us know - we will all migrate beramai-ramai

This post has been edited by KingRichard: Jan 4 2008, 08:56 AM

still rm14...im not kidding

Confirm? which online portal are you using that got Rm14?

itradecimb

it's upto RM30+/- per transaction for itradecimb, i bought yesterday..it will show brokerage at 13+ when you buy, but you should check the settlement page and see there is a hike in the actual cost you thought you bought it for, it's actually upto RM30 or RM28. ..

i havent tried selling any but im guessing thats going to be the charge anyway for selling too, so its going to be RM56-60 gone..

anyone can confirm this, pls?..

I checked with Maybank

Its Rm 28 for online
Rm 40 for Remisier

So pretty much same with the rest

yup..except for Hong Leong..seems to be RM12, according to another forumer..

I called Maybank just now. Same as what you wrote.

Anywhere got cheaper?

This is in the stock exchange thread.

Yah, this is what i received from HleBroking <Bravo>:-

Dear Valued Customer,

In recognition of your continued support, we are pleased to inform you that our minimum brokerage for online share trading will remain at RM 12. As per our earlier announcement, our intraday rate has been reduced from 0.15% to 0.10% with effect from 2nd January 2008. That means you get lower rates and higher profits when you conduct your online share trading with us.

We would also like to take this opportunity to wish all our valued customers a very Happy New Year. We look forward to serving you better and forging ahead together in this coming year.

Should you require more information do give us a call at 03-2168 1000 or email to helpdesk@hlgs.hongleong.com.my

Regards

HLeBroking

This post has been edited by smartly: Jan 9 2008, 02:22 PM

I spoke to someone from CIMB and they acknowledged Hlebroking's cheaper rate, but they couldnt do much to change theirs for now, as it's a management decision. so its fixed at RM28 for now.

As for Hlebroking, maybe we should all move in hordes there.. then all other banks will bring their rates down..

i feel a bit slow with HLeBroking's system after the annoucement. Not sure whether thier system have been flooded with greate respond from the audience.

I am happy with the hleborking . Transfer money to the online trade also easy using hlbank online banking. Withdraw fund also the same within 2 days from hlebroking to hlbank.

Just called up Apex.. their minimum transaction fee is still at RM12, going up to RM28 probably next week.

looks like HL offers lowest brokerage fee.

hopefully they stay that way. If they switch to minimum $28 after 1-3 months, its like a ploy to attract people to switch to their firm.

I heard that they need to implement the RM28 across (RM40 then internet trade give 30% become Rm28). If HL still giving RM12 then a lot of others investment house will complain to SC. So let wait and see.

I think Hong Leong Bank is better

HL advertised a big big RM 12.00 brokerage fees ad in Biz Star

somehow i agree with sharesa & cherroy, it could be a marketing gimmick. it is unfair to other investment house.
brokerage fees should be set at the same rate (maybe can give some incentive if customer buying in a huge lots)

I disagree with this point. Brokerage houses should set whatever rates they want to set. If they want to provide service for almost free, they should be allowed to for healthy competition. I don't understand why there must be a minimum, because minimum only protects big brokerage houses, not the smaller ones who can offer cheaper alternatives like just online trading only and minimum broker calling services.

most of the investment houses offer "free joining", as part of their marketing to lure more customers

some that i know gives a good interest yield if you were to keep your money in their trust (of course, they can use your money to invest in market & generate more cash to them, it is a win win situation to them)

Agree & disagree.

I fully agree investment house should be free to charge whatever commission they like, to promote free market and competition which will only benefit both side ie. investment house needs to be competitive to stay on business while consumers get the lower charges.

I disagree on the part HLebroking is charging at RM12 while others Rm28. If really want to have healthy competition around and just like recent abolishment of minimum commission rate (previously 0.42%) why bother to set or push higher the minimum of Rm40 & Rm28, the previous min Rm12 is fair enough and investment houses don't have much complaint about it.
It is the gov move that contradicting itself. If really want to have a mininum of Rm28 then should set across, otherwise, when this is allowed then soon after others will be lowering back to Rm12, then what's the point of previous RM40 & Rm28 set? It become violating the gov & SC rules already (not to say this RM40 and RM28 is good, just it contradicting itself)

So either set across all the same or let them set their own. Currently scenario (HLebroking case) is in between. If it stay like this for HLebroking case without reprimand by the SC/gov, gov become 'no face' already. (some sort like you can set whatever you want, (HLebroking) still can slip through the loop hole)

This post has been edited by cherroy: Jan 12 2008, 02:03 PM

To be honest, when it was announced during the budget the new rates will apply from Jan onwards, there was no further clarification and even the brokerage houses couldn't confirm the actual rate until the last possible moment.

Welcome to Bolehland, get use to it already.

SC/gov only come out the statement on 31 Jan (afternoon some more) about the new rules which going to applied on 2008.

just opened hong leong account..now can register hlebroking!!

im also just opened HL account, but from white paper they gave to me,
it state that brokerage charge is RM12 untill further notice

This post has been edited by mmusang: Jan 17 2008, 11:34 AM

This line doesn't sound good.

Just afraid when all 'fish' are into the net already, then close the 'net'. Just my guess.

i am thinking about the same thing, too

no free lunch in this world

KLSE Stock Review

Public Bank eBroking also has a minimum service charge of RM12. I've been trading using PBeBroking for many years and they have served me well. I rather go with Public Bank than Hong Leong coz Public Bank is stable already and doesn't need to raise its service charge in future to get more income. Hong Leong is just doing this to get a larger market share so one can never be sure when they will raise prices. Earlier in the tread of discussion i had posted the 15 largest stock broking houses in the country and Hong Leong wasnt on the list.

Calculating Stock Trading Cost 2008

To be fair, i have been with Hong Leong's eBroking and OSK for quite a while, so far i think thier service rendered is okay and satisfied. I guess is same thing apply to Public Bank, you will never know when they will raise thier brokerage fee...In this industry the fittest survive, if you can afford to play this game & survive, you win, if you can't then too bad. No one is right or wrong, anyone can do anything to boost sales. I will do the same if i have one, up to individual preference and no siding.

Found this at HLeBroking site:



More details, please surf around at:

http://www.hlebroking.com/v2/

public bank got ebroking??? mind to share more..
i coundnt find the link..

This post has been edited by aretla: Jan 27 2008, 03:57 PM

Yeah it does. It operates slightly differently from other companies. Once you open a trading account with Public Investment Bank you will be given access to their share trading page which will be linked with your Public e-banking.

http://klsestockreview.blogspot.com/

HongLeong is good. However i wish it can have more feature like CIMB i*itrade, providing the chart analysis

Doesn't really make much different for min brokerage fee of RM28 or RM14.
What's important for me is the brokerage rate currently at 0.42% for m2u.

u can ask the remisier to revise the rate for the online trading, since this is fully negatiate now
I just got the 0.1% for daytrading, 0.3% for online trading, with min RM12 from cimb....& the cimb back has offered RM8.88 per click (per session per trade) for upfront (pay before buy) for any amount
but my vol is very big & active, almost 1 to 2m at least per mth
however, if u r not active trader/investor, no need to ask for this, just make sure the value u want to buy per counter at leat worth RM6667

This post has been edited by asiatrader98: Mar 7 2008, 10:37 PM

Today when I browsed through The Star newspaper, I saw an ad where Jupiter offers minimum brokerage fee as RM8
with cash upfront account.

The lower the commission, the better is, but excessively encourage people to do intra-day trading is not a way to promote healthy investment habit in stock market. After all short term gain is peanut compared to long term gain. I had seen plenty of 'dead body' around especially those with margin trade and short term trade one.
The more people do with short term trade like intraday trade, the higher the market volatility is, which investment banks and Bursa are the ultimate winner of it.

This post has been edited by cherroy: Mar 11 2008, 11:24 PM

nofear0720: Thanks! 0.05% brokerage fees!!!!!

---

Added on March 12, 2008, 6:18 pmAnyone used jupiter before?

This post has been edited by vaxen: Mar 12 2008, 06:18 PM

ya, anyone used jupiter before? is it new?

i am interested with jupiter and already registered .. but to sign the aggrement, is it only in KL? i am actually from melaka .. tq .

Never heard of jupiter, update us how it goes after your frist trade
hehe..

i found out in the star paper...can tell more on it..anyone have join?Jupiter

This post has been edited by gr44: Apr 4 2008, 11:15 AM

We need volume to drive the market, speculators create the perfect volaitlity to get teh market moving. Look at the market now 10 mths before and after, bearly anyone wants to trade in the KLSE.

The market is completely directionless and illiquid to begin with, no one is bothered looking at equity market.

This is after all a free market, there is only so much you can control the market and this is the only path to a mature market not guided by greed and emotion but by thinking.

Without volatility you alo expose your market to foreign institutions whom have the money to buy in to local stocks, which in the end the losers are Malaysian investors. They are free to manipulate the market at their whim and fancy.

Look at the FCPO market, BMDB has raised the initial margin rates through the ceiling to control the market at RM 15,000 per contract.

Which sane investor would dump Rm 15,000 into the market?

For locals this maybe the truth, but from what I see on my daily papaer work it seems like foreign hedge funds are having their own party! Rm 15,000 is nothing, so is losing it cause its clients money and their clients r loaded.

Yup, it is a free market.

But with only speculation and intraday trading, it won't bring the market very far, it only will lead to potential bubble in making while clients are the losing end, (only investment banks gain through commission), by then damage is more severe than low liquid market.
It is because when share price is not moving up, any gain is because other person's loss, just like futures market, it is a zero sum gain. One loss is substitute by one gain, there is no net gain in the process, in fact, it is a net loss after deducting the commission. That's why KLSE keen to promote and try to increase the volume as well apart of liqudity side. Futures is good for hedging but nowadays this derivatives product become a money making machine for investment house with people speculate on it.

It must strike a balance to have a healthy market which will only prosperous to all. Purely driven by speculation, only good for short term, long term wise, don't bring much benefit to the economy. So instead of lowering intraday commission, why not lowering across all the commission so that investors have cheaper 'loading' and increase the turnover rate as well as increase the liquidity of the market.

Volume can drive the market, but without corporate earning improvement and economy growing, volume can't drive the market higher. You need fundamental issue to support the share price to higher level. Market can be driven by volume alone.

Just my 2 cents.

did the jupiter link with maybank ? else how to pay through m2u ?

looks like Jupiter is a new brokerage firm
they are advertising aggressively to attract new customers.

I opened an account with them during the atic exhibition
they even paid the RM10 cds a/c fee for me

Hlebroking...

Rm12+0.42%+0.1%+0.03%=Rm12+0.55%...

Jupiter already is an old broking firm, just not that famous, if not mistaken.

I know this is out-of-topic, but anyone knows what is the current clearing free rate?? Is 0.03% or 0.04%?? If it is not standard for all investment company then anyone knows what is the clearing rate for public investment share?

Hows the service? Is the GUI user friendly?
Can you describe more from your usage?

Dear All,

Let say within a day, i purchase the same counter in 2 transactions:

1. (0.50 x 10000 shares) + 0.42% = 21
2. (0.50 x 10000 shares) + 0.42% = 21

Will I be charged RM 42 or charge the minimum of each transaction which are RM40 + RM 40?

Thank you.

I just received a Contract Note and noticed that Maybank has reduced its brokerage fee back to RM12 from RM40. Anyone know when this happened and why? My guess is competition had something to do with it

For a single day transaction, they will add together (for the same stock) and treat it as one contract before start to calculate the commission.

Even you buy 1000 times x with 1 lot each, you won't be charged 1000 x min commision.

Hi Cherroy,

Thanks a lot for the clarification. Appreciated.

Regards.

Guys,

I'm actively using CIMB i trade account. But i still get charged @ minimum RM28 per transaction, which mean, i need to buy RM6667 worth of share to 'breakeven'

Can i ask for further discount, maybe ask them to give me minimum RM12 like most other trading portal?

TQ

No, once they implement min Rm28, then it is Rm28 across.

The only way is switching the broker you are using.

Ok, after taking into account many factor like:-
a. brokerage fee
b. availability of existing account
c. strong background of company.

I have decided to open another broker with Public Bank online trading.
I will be operating both account at the moment, but i plan to phase out CIMB itrade in one year time.

I will do most of my buying in PB.

I believe the purpose of volume is not to drive the market higher. The ability to drive market higher is not an aim of the stock market.

The stock market's aim is to value companies as accurately as possible. There are many theories to this, but what all theories have in common is that you need volume to determine the price correctly. The more people buy and sell, the more accurate the price would be.

You want people to buy stock when they think it is underpriced and you want people to sell when they think it is overpriced. No matter how little or how many shares they can buy. This is done buy short term traders.

Actually, if only long term buyers are in the market, this is what will cause bubbles. Everyone buy and keep, nobody sells.

What I meant volume is those 'goreng' volume in the market which is artificially make up by those syndicate. Those volume is purposely drive up the share price only in order to lure people into it or as a bait which has nothing to do company fundamental.

PB have changed their minimum (recently?) to RM12 right?

Have you looked at their trading platform to see what its like yet?

Wow, now that is what I've never heard before. Long term buyers causing bubbles? Maybe commoddities but never share markets.

Only effect long term buyers will do is bring up to a price of a counter to where it becomes the actual price they deemed perfect for their share before they sell it. Long term buyers have no reason to keep a share once it reaches their target, and more long term buyers will not pay more than what they think the share is worth.

Bubbles are caused by speculation that something would be worth more tomorrow than what it is today, without any valuation of what the underlying principle of what the item is valuated at other than it's past price.

Ever heard of the village and the monkeys story? That is how a bubble is formed.

Long term buyers do not create bubbles.

This post has been edited by skiddtrader: Jun 20 2008, 04:14 PM

No, i have not seen their trading platform. Anyway it doesn't matter, because i got CIMB platform for any additional information.

I just do my buying in PB. Any analysis or news, i can get from CIMB

Also, i just subscribe to I CAPITAL research and economy update. Paid RM720 ringgit for that!!! anyway, nevermind la.

As i told u guys, this next few years is learning curve. When you learn, you have to pay ma. Nothing is free.hahaha


This post has been edited by Neo18: Jun 20 2008, 04:01 PM

It is the first time, I heard long term buyers are the one causing bubbles.

Historically proven, it is those speculators are the culprit for those bubbles making range from 2000 tech bubble, US subprime, China stock market bubble recently. Those bubbles are being created by greed of people/investor/speculators. Those speculators keep on buying because they anticipated price will go even higher so with buying continous pile up so does share price, commodities price etc. They don't care about fundamental or valuation as long as there are takers/buyers at higher price then they can make profit out of it. And with easy profit and this cycle role on, bubble become bigger and bigger until the bubble is too big and can't sustain then bursting, then all bloods across the street, just like subprime recently causing massive billions and billions of loss on banks and investment banks.

Long term investors don't mean they won't sell, but mean they intend to keep it for long term in the first place when initial buy. They are not the one going in and out of the market frequently which reduce the volatility of the market. In fact, they are the one cuhsioning the down trend effect and stablise the market.

Long term investors don't mean they are buying blindly also which create buying force that create any bubbles. They generally look for value as it is meant to keep for long term.

Another point is long term investors doesn't mean they fall in love with the stock forever, when profit is enough or see price way beyond the fundamental price then will sell to realise those profit.
Typically case would be Warren Buffett that everyone knew he is a long term investors, but he still sold petrochina shares he owns previously because he saw it is too expensive to hold on already.

It is my understanding that bubbles are caused by vegetable sellers, fish sellers, and rubbish collectors.

You know a bubble is happening when every time you see these people, they want to talk to you about buying shares, and only buying because no one is selling.



This post has been edited by howszat: Jun 20 2008, 04:16 PM

Oops, I think I have stirred something here.

I agree, bubbles are caused by speculators thinking the worth of the thing/share/commodity will increase in the future.

What I meant was, I do not agree with the government's action of increasing the minimum brokerage fee. This will only chase volume away.

The usual reasoning is: "We want to encourage long term investing and not speculation." Increasing the brokerage fee is not the answer to this. The answer is education. People must learn that the stock market is not a casino. Pick a number and hope the roulette ball stops there.

I apologise for saying long term buyer creates bubbles. I take it back.

I just disagree that low brokerage costs will excessively promote speculation. Speculators will always speculate whatever the brokerage costs are.

Btw, what is the story of the village and monkeys? Never heard of that before.

Actually I quoted the wrong story for an example of bubbles. It should've been the Dutch Tulip story found here.

While the Monkey Story actually relate more to syndicate play and people's greed. The story is here.

Sorry for the mistake of the story. ^^

jupiter started as jtrade I think, at that time they focus too much on IT technology and failed to surface out, then later when they started marketing as jupiter, things get better, by now they are an ok online trade ....

whats the online brokerage rate for public bank now? i know CIMB has the RM8.88 brokerage but then must put in cash RM10k into account at all times. Maybank still has the promotional RM8.

Public Bank's rate still at RM12?

Maybank's RM8 promotional rate is only for their Cash Trading Account. It doesn't apply for their Margin Trading Acc.

Means u need cash in the account before u can even queue to buy.

You mean 1 to 1 ?

yes.

Oh ya, on a different note, you can't purchase Maybank shares if you use the Margin Trading Acc. Can any1 confirm if this is true?

Yes, margin account cannot purchase Maybank shares, and at least also cannot purchase shares with an exclamation mark "!", eg PN13 shares etc.

With cash account, I think all shares can.

I was told by my friend too. It is strange why Maybank restricted te user to purchase teir own share!