Author Topic: CoreShares Investment Platform  (Read 319 times)

Hamster

  • Sr. Member
  • ****
  • Posts: 322
  • Karma: +5/-0
    • View Profile
    • Finblog
CoreShares Investment Platform
« on: May 17, 2017, 11:30:32 am »
https://invest.coreshares.co.za

Signup and FICA

All done within 30 minutes and that includes the time it took me to find a valid proof of residence document. I now have a shiny new Investment and Tax Free account :)

UI

Very simplistic. Time will only tell but so far it a very nice experience - free of fluff and NOT PINK!

Costs to Buy
Invest: R1000
Total Cost: R6

Invest: R10,000
Total Cost: R10

Invest R20,000
Total Cost: R20

...that's seriously good!

Costs to Sell
Invest: R1000
Total Cost: R6.84

Invest: R10,000
Total Cost: R11.40

Invest R20,000
Total Cost: R22.80

That would be VAT increasing the costs. So selling is 0.1% brokerage + VAT whereas buying is just 0.1% brokerage.

Investing
You can schedule a monthly debit order of min R250 or invest a lump sum of min R1000. The lump sum can be funded by either EFT or debit order. I used the latter.

Minutes later I got an email stating that the transaction was successful and that it will be completed within 3 to 7 days.

Early Verdict
Platform states that ETFs are traded once daily (I assume this helps keeping the costs down). So for the l that can make do with only CoreShare ETFs this seems hard to beat. For a more active approach I'd still go to ABSA's ETF Only.

« Last Edit: May 17, 2017, 12:30:54 pm by Hamster »

Hamster

  • Sr. Member
  • ****
  • Posts: 322
  • Karma: +5/-0
    • View Profile
    • Finblog
Re: CoreShares Investment Platform
« Reply #1 on: May 17, 2017, 11:32:45 am »
Considering all the ETFs I use in both my investment and TFSA account (DBXWD, NFEMOM, DIVTRX, PTXTEN, GLPROP) it is only DBXWD and NFEMOM that are not CoreShare ETFs. If I was to replace both of those with CSP500 and CTOP50 respectively it always seems like a no-brainer to move.

But let's give it some time and see.

Nivek

  • Full Member
  • ***
  • Posts: 227
  • Karma: +5/-1
    • View Profile
Re: CoreShares Investment Platform
« Reply #2 on: May 17, 2017, 10:28:19 pm »
Those prices are good. Any idea on the annual costs?

Hamster

  • Sr. Member
  • ****
  • Posts: 322
  • Karma: +5/-0
    • View Profile
    • Finblog
Re: CoreShares Investment Platform
« Reply #3 on: May 17, 2017, 10:31:34 pm »
Think it is 0.3%

Sent from my HUAWEI VNS-L31 using Tapatalk


RayRay

  • I've just arrived
  • *
  • Posts: 24
  • Karma: +0/-0
    • View Profile
Re: CoreShares Investment Platform
« Reply #4 on: May 18, 2017, 08:01:31 pm »
ABSA Stockbrokers TFSA would still be my first choice ITO costs (for your TFSA).

It would be very interesting to plot the effect of the 0.3% admin on your portfolio over 20 years. You are effectively adding 0.3% to the TER of every ETF, no?
« Last Edit: May 18, 2017, 08:07:09 pm by RayRay »

Hamster

  • Sr. Member
  • ****
  • Posts: 322
  • Karma: +5/-0
    • View Profile
    • Finblog
Re: CoreShares Investment Platform
« Reply #5 on: May 18, 2017, 08:46:01 pm »
ABSA Stockbrokers TFSA would still be my first choice ITO costs (for your TFSA).

It would be very interesting to plot the effect of the 0.3% admin on your portfolio over 20 years. You are effectively adding 0.3% to the TER of every ETF, no?
Yes, but since you're potentially investing more because of costs you might still be better off.

That said, we noticed the STRATE fees aren't consistent. Their document state roughly R10 min and R50 max. But, when you invest under R5000 it only charges R5. Then between R5000 and R50000 it charges nothing and for anything over that R50.

Phoned them, the guy concurred that it doesn't seem right and that they'll escalate it. So we wait.

It looked good, but now I'm not so sure - not with that STRATE charge which EE is heavily subsidising.

Jeeping my ETFs at ABSA. It's still the better one for me atm.

Sent from my HUAWEI VNS-L31 using Tapatalk


Hamster

  • Sr. Member
  • ****
  • Posts: 322
  • Karma: +5/-0
    • View Profile
    • Finblog
Re: CoreShares Investment Platform
« Reply #6 on: May 18, 2017, 08:46:52 pm »
And should you stop investing the 0.3% platform charge becomes a real problem for me.

Sent from my HUAWEI VNS-L31 using Tapatalk


jonb

  • Full Member
  • ***
  • Posts: 103
  • Karma: +2/-0
    • View Profile
Re: CoreShares Investment Platform
« Reply #7 on: May 22, 2017, 10:40:42 am »
Also had a look at this last week

interesting

I have a question though which I would love user opinions

While I keep the majority of my portfolio in a EU based account, i did keep a TFSA and smaller equities account on the Easy Equities platform ( been with them from the start )

Remember debating whether to convert to ABSA some months back and deciding to stick to it as there was nit much difference ( apart from UX )

I recently heard chatter that EE was possibly in a spot of trouble .... ? are partial investments safe on the platform ( EE hold the risk on this right? fractional ownership ) and would anyone who knows more of this perhaps advise moving to ABSA or in fact the simple CS new platform ?

Hamster

  • Sr. Member
  • ****
  • Posts: 322
  • Karma: +5/-0
    • View Profile
    • Finblog
Re: CoreShares Investment Platform
« Reply #8 on: May 22, 2017, 11:53:49 am »
CoreShares fixed their bug. I saw it per chance just now, they never bothered calling back. Anyway, new fees comparison:

Invest: R1000
Total Cost CoreShares: R11.92
Total Cost EasyEquites: R3.14
Total Cost ABSA: R 35.01

Invest: R10,000
Total Cost CoreShares: R20.92
Total Cost EasyEquities: R31.28
Total Cost ABSA: R35.03

Invest R20,000
Total Cost CoreShares: R30.92
Total Cost EasyEquities: R62.54
Total Cost ABSA: R57.67

ABSA has limit orders though which means that if you are patient enough you could get a good deal by buying at a lower price than you would on EasyEquities or CoreShares.

Hamster

  • Sr. Member
  • ****
  • Posts: 322
  • Karma: +5/-0
    • View Profile
    • Finblog
Re: CoreShares Investment Platform
« Reply #9 on: May 22, 2017, 12:00:10 pm »
Also had a look at this last week

interesting

I have a question though which I would love user opinions

While I keep the majority of my portfolio in a EU based account, i did keep a TFSA and smaller equities account on the Easy Equities platform ( been with them from the start )

Remember debating whether to convert to ABSA some months back and deciding to stick to it as there was nit much difference ( apart from UX )

I recently heard chatter that EE was possibly in a spot of trouble .... ? are partial investments safe on the platform ( EE hold the risk on this right? fractional ownership ) and would anyone who knows more of this perhaps advise moving to ABSA or in fact the simple CS new platform ?

There's a podcast somewhere (think it was the Money Show with Warren Ingram) where it was said that EE has allocated a budget for three years with which they could subsidise costs (like STRATE) to make the platform attractive and build a user base. Now those three years are just about up so we'll have to wait and see.

Moved my ETFs to ABSA a while ago and only my TFSA remains with EE. Once we can move TFSAs though I'm outta there. There is a MyBroadband thread regarding it, but basically I had to ask them to recalculate the amount of shares owed by me because what I tallied from the trade statements and what was shown to me was different. The problem just magically fixed itself. So from my personal experience and point of view - I do not trust their platform.

I also do not trust CoreShare's technical abilities. Their platform has been running for a while but the STRATE issue wasn't picked up until I queried them last week. Magically fixed also :p

You get what you pay for it seems and once EasyEquities stops subsidising STRATE fees ABSA will be the clear winner on all fronts and not just features.

RayRay

  • I've just arrived
  • *
  • Posts: 24
  • Karma: +0/-0
    • View Profile
Re: CoreShares Investment Platform
« Reply #10 on: May 22, 2017, 03:26:10 pm »
CoreShares fixed their bug. I saw it per chance just now, they never bothered calling back. Anyway, new fees comparison:

Invest: R1000
Total Cost CoreShares: R11.92
Total Cost EasyEquites: R3.14
Total Cost ABSA: R 35.01 TFSA R9.17/ETF Only R37.51 Incl VAT*

Invest: R10,000
Total Cost CoreShares: R20.92
Total Cost EasyEquities: R31.28
Total Cost ABSA: R35.03 TFSA R52.21/ETF Only R60.03 Incl VAT*

Invest R20,000
Total Cost CoreShares: R30.92
Total Cost EasyEquities: R62.54
Total Cost ABSA: R57.67 TFSA/ETF Only R100.03 Incl VAT*

ABSA has limit orders though which means that if you are patient enough you could get a good deal by buying at a lower price than you would on EasyEquities or CoreShares.
Hamster, would you mind giving a breakdown of the total cost for each platform, please? ABSA TFSA and ABSA ETF Only fees differ. Was the investment amount the total transaction including fees? Or the value of shares purchased? My fees are based on value of shares purchased.
I checked the estimated cost using Absa cost breakdown calculator. Fees based on R1000, R10 000, R20 000 share value purchase*
https://www.absastockbrokers.co.za/absa-public/baOurPricing.xsp?alpha=NFSWIX&view=smart
« Last Edit: May 22, 2017, 03:40:26 pm by RayRay »

Hamster

  • Sr. Member
  • ****
  • Posts: 322
  • Karma: +5/-0
    • View Profile
    • Finblog
Re: CoreShares Investment Platform
« Reply #11 on: May 22, 2017, 06:34:54 pm »
It was the total. So for CoreShares and EasyEquities the value including costs worked out to a nice round number. ABSA was a couple of Rands under every time since we're dealing with whole shares.

Breakdown like so?

CoreShares
R1000
Brokerage: R1.00
STRATE: R10.92
VAT: R1.67
Estimated total fees for this investment: R11.92

R10000
Brokerage: R10.00
STRATE: R10.92
VAT: R2.93
Estimated total fees for this investment: R20.92

R20000
Brokerage: R20.00
STRATE: R10.92
VAT: R4.33
Estimated total fees for this investment: R30.92

Easy Equities
R1000
Broker commission: R 1.99
Settlement and administration: R 0.75
Investor protection levy (ipl) and administration: R 0.01
Value-added tax (vat): R 0.39
Total transaction cost: R 1.15

R10000
Broker commission: R 19.94
Settlement and administration: R 7.48
Investor protection levy (ipl) and administration: R 0.02
Value-added tax (vat): R 3.84
Total transaction cost: R 11.34

R20000
Broker commission: R 39.87
Settlement and administration: R 14.95
Investor protection levy (ipl) and administration: R 0.04
Value-added tax (vat): R 7.68
Total transaction cost: R 22.67

RayRay

  • I've just arrived
  • *
  • Posts: 24
  • Karma: +0/-0
    • View Profile
Re: CoreShares Investment Platform
« Reply #12 on: May 22, 2017, 07:34:38 pm »
Thanks! For some reason, ABSA's strate fee is percentage based, and not the minimum R10.92 Ex VAT? I checked it on an order too.

I am so confused right now.