Trading On The Singapore Exchange: Before you can do anything, you must first open up a broker’s trading account through a securities brokerage firm. Doing this gives you the ability to sell and deposit both securities and stocks. There are two different types of accounts that you can create:
- A cash trading account – any transactions that you make on securities and stocks that are listed on the SGX Singapore Exchange will come out of a central depository account or CDP. The reason for this is that it acts as a safe that keeps all of the securities and stocks that you have bought safe. Once you have opened up a cash trading account, you are able to put in transactions for securities and stock via the brokerage firm that you opened the account with.
- A sub account – the securities and stocks that you purchase are held within a nominee account of the brokerage firm that you opened the account with. Each and every transaction has to go through the brokerage firm.
No matter if you submit sell or buy orders on securities and stocks, they must always go via the securities brokerage firm. When a trade is completed, you are required to pay a certain amount of commission for this privilege – either to the brokerage firm itself or to the actual dealer.
In addition to providing the more traditional assisted services, more and more securities brokerage firms are now also providing trading platforms where you can trade for yourself online. Some the biggest brokerage firms offering this service include:
- UOB Kay Hian
- CGS CIMB Securities International Pte. Ltd.
- RHB Securities Singapore Pte. Ltd.
- DBS Vickers Securities
- Philip Securities Pte. Ltd.
- iFAST Financial Pte. Ltd.
- OCBC Securities
- KGI Securities (Singapore) Pte. Ltd.
- Maybank Kim Eng
- Lim & Tan Securities Pte. Ltd.
Applying For An Online Trading Account
If You do not live in Singapore, then you are considered to be a foreigner and are required to submit the following documentation in order to be able to open a trading account:
- An official document proving your name and address
- Your passport
- A CDP linkage form
- A trading account application form
If you are a Singapore native, the process is slightly different, with you being required to show some different forms of identification, such as an NRIC, in order to prove your identity.
However, even to be able to apply for a trading account in the first place, there are some certain criteria that you must first meet. These include not being un discharged from bankruptcy, being 18 years of age or older, and having a current or savings account with UOB, Standard Chartered Bank, OCBC, Maybank, HSBC, DBS / POSB, or Citibank.
Once you have completed the process of setting up a trading account with a securities brokerage firm, it will then be linked up to your CDP account. This process can take as long as 2 weeks, but once it is done, you are then free to begin trading securities and stocks on the Singapore Exchange (SGX).
Which Crypto Is a Better Investment: Ethereum or Bitcoin?
Ethereum or Bitcoin: Bitcoin (BTC) already has an edge and is known as the “face of cryptocurrencies.” For several years,…
White Label Facebook Ads…Serious Benefits For Agencies Who Want To Grow!
If you’re looking to grow your business, Facebook Ads are a powerful tool that can help. With over two billion…