Author Topic: ABSA's world trader accounts are now live  (Read 13244 times)

Patrick

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ABSA's world trader accounts are now live
« on: November 18, 2015, 08:37:54 am »
I'm busy playing in the demo account section. Only thing I don't like, is that there are custodian fees of 0.1% p.a. otherwise it looks pretty good.

Here are the fees:

Fawkes85

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Re: ABSA's world trader accounts are now live
« Reply #1 on: November 18, 2015, 08:49:25 am »
What is bps?

czc

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Re: ABSA's world trader accounts are now live
« Reply #2 on: November 18, 2015, 09:04:50 am »
What is bps?

Basis points, I think. 25bps is 0.25%
« Last Edit: November 18, 2015, 09:09:20 am by czc »

Fawkes85

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Re: ABSA's world trader accounts are now live
« Reply #3 on: November 18, 2015, 09:56:57 am »
Thought as much. Made it look not too bad. But then you look at the minimum fee and suddenly it doesn't look so cheap anymore. Think I will just stick to DBX

czc

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Re: ABSA's world trader accounts are now live
« Reply #4 on: November 18, 2015, 11:02:21 am »
Patrick does that allow you to trade on that particular exchange, say the London Stock Exchange? Or are you buying some sort of eft of that exchange?

JohnnyH

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Re: ABSA's world trader accounts are now live
« Reply #5 on: November 18, 2015, 11:15:59 am »
Jis that 20$ minimum is going to be a killer (for me). I was hoping to invest ~R10k (~700$) pm direct offshore, but that would mean my minimum cost is something like 2.5-3%!! Hectic

It looks like their cost structure is almost identical to the STD Bank WebTrader account.

Ai.

Patrick

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Re: ABSA's world trader accounts are now live
« Reply #6 on: November 18, 2015, 02:21:15 pm »
Patrick does that allow you to trade on that particular exchange, say the London Stock Exchange? Or are you buying some sort of eft of that exchange?
It allows you to trade directly on the offshore exchange.

Jis that 20$ minimum is going to be a killer (for me). I was hoping to invest ~R10k (~700$) pm direct offshore, but that would mean my minimum cost is something like 2.5-3%!! Hectic

It looks like their cost structure is almost identical to the STD Bank WebTrader account.

Ai.
Yeah, you need to trade big to make it work. $5000 is a 0.4% fee. For the US it's not a precentage, so even if you trade a $100 000 it's still only $20, which is 0.02%. Really cheap. I think the way to use it, is to move a chunk of funds at once, following a local sale or something like that. You have R1m a year to play with before needing SARS approval.

It's not a great solution for monthly offshore investing, unless you play in the big leagues. I won't be happy with the solution unless they drop the custodian fees to zero.

The other thing I'm waiting for is a competitor to the DBX trackers at a much lower TER. All the other ABSA funds are around 0.10% to 0.15%. If they could bring international trackers in at anywhere near that I would throw money at it, as would many other people I think.

Edit, the $20 minimum is based on the $0.03 per share, so if you buy 1000 $0.01 penny shares, you'll pay $10 for the shares, and $30 for the transaction! Rather buy expensive shares then!
« Last Edit: November 18, 2015, 04:41:49 pm by Patrick »

Fawkes85

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Re: ABSA's world trader accounts are now live
« Reply #7 on: November 19, 2015, 02:10:31 pm »
Any tips if you want to invest in India?

Patrick

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Re: ABSA's world trader accounts are now live
« Reply #8 on: November 19, 2015, 02:25:49 pm »
No idea, personally I'm looking at moving a bunch of cash into VWRD:

TER of 0.25% and great country diversification:


South Africa is in there too, way down the list at 0.8%
« Last Edit: November 19, 2015, 02:54:42 pm by Patrick »

Fawkes85

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Re: ABSA's world trader accounts are now live
« Reply #9 on: November 19, 2015, 02:48:31 pm »
Anyone using iTrade, Imara SPReid or PSG? According to the picture I attached you can buy international equities through them too.

DeonC

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Re: ABSA's world trader accounts are now live
« Reply #10 on: February 07, 2017, 10:08:46 am »
Patrick, did you use Absa world trader to buy your VWRD? If not, what platform did you use?

Thanks


PlatinumWealth.co.za

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Re: ABSA's world trader accounts are now live
« Reply #11 on: February 07, 2017, 10:49:57 am »
How does this compare to Sanlam's Itrader?

I am yet to find a broker to match the Itrade platform besides IG markets.
www.PlatinumWealth.co.za <- South African Investment and Finance forum.

Patrick

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Re: ABSA's world trader accounts are now live
« Reply #12 on: February 07, 2017, 10:56:36 am »
Patrick, did you use Absa world trader to buy your VWRD? If not, what platform did you use?

Thanks
Hi Deon, I used an interactive brokers account. Other people here have used that or Degiro which is the cheapest if you have a Euro bank account.

There's only one thing wrong with the ABSA offering. There's a custody fee of 0.1% annually.

JohnnyH

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Re: ABSA's world trader accounts are now live
« Reply #13 on: February 07, 2017, 12:54:00 pm »
Patrick, did you use Absa world trader to buy your VWRD? If not, what platform did you use?

Thanks
Hi Deon, I used an interactive brokers account. Other people here have used that or Degiro which is the cheapest if you have a Euro bank account.

There's only one thing wrong with the ABSA offering. There's a custody fee of 0.1% annually.

I have been looking into Degiro as well. I see you can open an account with a UK bank account as well. Also, the fees to buy ETFs are really low on Degiro, very nice!

Patrick

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Re: ABSA's world trader accounts are now live
« Reply #14 on: February 07, 2017, 01:58:05 pm »
Not only low, they are free for a number of ETFs, including the Euro equivalent of VWRD. I'd use them too if I had a Euro bank account, but mine is in dollars and the conversion fees would be higher than the 0.08% I pay in commission.

I nearly forgot:

-VERY IMPORTANT!-
If you do use Degiro, just make sure you use the custody profile not the standard profile. The standard profile allows them to loan your shares out for their revenue. They get the reward and offer you a few features in return, BUT YOU TAKE THE RISK!
« Last Edit: February 07, 2017, 02:01:57 pm by Patrick »