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Singapore Online Stock Brokerage Account Fees Comparison (2022 Edition)

Here is the comprehensive list of the fees charged for Singapore stock brokerage accounts in 2022.

In order to start investing, we need a stock brokerage account. This enables us to buy listed securities, such as stocks, REITs, ETFs and bonds, on the Singapore Exchange (SGX), as well as on other major global stock exchanges. As there are many stock brokerages we can use, one of the major factors many of us compare is the commission fees that they charge.

Read Also: Step-By-Step Guide To Opening A Stock Brokerage Account In Singapore

Types Of Fees When Investing In SGX-Listed Stocks

There are typically four main types of fees that we have to pay for when we invest in stocks in Singapore. These are

1) a CDP Clearing Fee of 0.0325% of your contract value is imposed by the Central Depository (CDP);

2) an SGX Trading Fee of 0.0075% of your contract value is imposed by the SGX;

3) an SGX Settlement Fee of $0.35 or equivalent in foreign currency per contract; and

4) a Commission Fee (and other fees) imposed by individual brokerage accounts when you make a transaction.

In addition, we also have to pay GST of 7% on these four charges.

The only cost component that may vary depending on the brokerage that we use is the commission fees charged by them. It is also the largest cost component when we buy and sell stocks. If we buy stocks listed on overseas exchanges, there may also be different fees associated with our trades.

Read Also: Stock Brokerage Account Fees: How Much Does It Cost For Singapore Investors To Invest In US Stocks And ETFs

Stock Brokerage Account Commission Fees Comparison

In Singapore, there are nearly 20 online stock brokerage accounts that we can use. With all of them vying for our business, commission fees that they charge can be highly competitive. Most brokerage houses charge commission fees that range in a relatively narrow band of 0.08% to 0.28% of your contract value. Commission fees for offline trades (if you make trades by calling your broker) are usually higher than online trades. For many online brokerages, there may not even be such an option.

Here is the list of major stock brokerage accounts in Singapore, and the commission fees that they charge.

Minimum Commission Fees Trading Fees
Under $50,000 $50,001-$100,000 Above $100,000
CGS-CIMB Securities Cash Account (CDP) $25 0.275% 0.22% 0.18%
Pre-funded ^ (Custodian Account) $18 0.18%
Citibank Brokerage ^^ Pre-funded (CDP) No minimum 0.12%
DBS Vickers Cash Account (CDP) $25 0.28% 0.22% 0.18%
Pre-funded (CDP) $10 0.12%
FSMOne (Pre-funded Custodian Account) $8.80 (flat fee)
HSBC ^^^(Pre-funded Custodian Account) $25 0.25%
KGI Securities Cash Account (CDP) $25 0.275% 0.22% 0.18%
Pre-funded (Custodian Account) 0.18%
LIM & TAN Securities Cash Account (CDP) $25 0.28% 0.22% 0.18%
Pre-funded (Custodian Account) $18 0.18%
Maybank Kim Eng Cash Account (CDP) $25 0.275% 0.22% 0.18%
Pre-funded (Custodian Account) $10 0.12%
OCBC Securities Cash Account (CDP) $25 0.275% 0.22% 0.18%
Pre-funded ^^^^ (Custodian Account) $18 0.18%
Phillip Securities (POEMS)  Cash Account (CDP) $25 0.28% 0.22% 0.18%
Pre-funded ^^^^^ (Custodian Account) $8 0.08% – 0.12%
SAXO Capital Markets (Pre-funded Custodian Account) $5 0.08%
Standard Chartered (Pre-funded Custodian Account) $10 0.20%
UOB Kay Hian ^^^^^^ Cash Account (CDP) $25 0.275% 0.22% 0.20%
Pre-funded (Custodian Account) $10 0.12%
Interactive Brokers (IBKR) Pre-funded (Custodian Account) No minimum 0.08%
Tiger Brokers Pre-funded (Custodian Account) $2.88 0.08%
Futu Holdings (moomoo) Pre-funded (Custodian Account) $2.49 0.06%
ProsperUs (by CGS-CIMB) ^^^^^^^ Pre-funded (Custodian Account) No minimum 0.10%

Note: All prices are listed in SGD.

^ CGS-CIMB charges a $20 administrative fee per quarter for its custodian account.

^^^ HSBC charges HSBC Premier clients 0.18% (min commission of $25), and HSBC Jade clients 0.15% (min commission of $18). HSBC does not charge a custody fee.

^^^^ OCBC Securities charges a CDP Quarterly Sub-account Maintenance Fee of $15.

^^^^^ Phillip Securities charges a commission rate based on our asset value rather than the amount we trade. For those with $0 to $29,999 in assets, the brokerage rate is 0.12% (min $10); for those with $30,000 to 249,999 in assets, the brokerage rate is 0.10% (min $10); for those with over $250,000 in assets, the brokerage rate is 0.08% (min $8). There is a custodian fee of $16.05 per quarter if there are no trades within the quarter.

^^^^^^ UOB Kay Hian charges a CDP Quarterly Sub-account Maintenance Fee of $15.

^^^^^^^ ProsperUs (by CGS-CIMB) charges a commission rate based on our assets held with them. For a Rookie account (with assets of under $20,000), the brokerage commission is 0.10%; for All-Star account (with assets of between $20,000 to $50,000), the brokerage commission is 0.08%; for Hall of Fame account (with assets above $51,000), the brokerage commission is 0.06%.

Read Also: Interactive Brokers (IBKR) Opens Singapore Office: Here’s What It Means For Investors In Singapore

Pre-Funded Accounts

Many online brokerages only offer pre-funded brokerage services. Pre-funded accounts, also commonly termed cash collateralised accounts or cash upfront trading (CUT) accounts, require you to pre-pay for your investments in order to enjoy a lower commission fee.

As you can see in the table above, majority of the pre-funded accounts charge a lower brokerage trading fee as well as a lower minimum trading fee. You also have to note that majority of the pre-funded accounts will credit your stock holdings with their custodians rather than your own CDP account.

Read Also: Stock Brokerage Account Fees: How Much Does It Cost For Singapore Investors To Invest In US Stocks And ETFs

CDP-Linked Accounts VS Custodian Accounts

Another consideration when investing in stocks is where they will ultimately be held – in your CDP account or a custodian account.

In Singapore, when you open your first brokerage account, you’re usually asked to open a CDP account as well. Many of you may overlook this account as you’re only dealing with your brokerage firms.

What actually happens when you buy and sell shares is that they are either kept in your CDP account or custodian account. The SGX manages investors’ CDP accounts, while individual stock brokerages manage their custodian accounts. When investing via pre-funded accounts, for its lower brokerage fee, your stocks will typically be kept in a custodian account. When investing in overseas-listed stocks, your holdings will also be kept in a custodian account.

You can only have one CDP account, but many custodian accounts with the individual brokerage houses.

Read Also: Custodian Account – What You Are Giving Up In Exchange For Lower Commission Charges

Stock brokerage accounts that credit your investments into your CDP accounts generally charge higher commission fees. Custodian accounts are able to offer a more cost-effective solution because of the following reasons:

– You can sell the investments in your custodian account with the same broker. This means you are obliged to be loyal to them, unless you pay a fee to transfer your shares out of the custodian account.

– You are more likely to continue future investments with the existing stock brokerage firm, especially if majority of your investments are in a custodian account managed by them. This way, you can also monitor your investments more conveniently, in one account. You may also be kept within the ecosystem, investing in other products.

– As your shares are held with the stock brokerage firm, they will have to handle transactions on your behalf. They may potentially earn additional fees from these transactions, if they happen, in the future.

This is why it’s important to understand the difference between the two accounts, and ensure to check if your stock investments with the brokerage account would be held in a custodian account or your own CDP account.

Choosing A Stock Brokerage House To Make Your Investments

Very often, new investors choose their stock brokerage accounts based on recommendations made by peers or their parents, or end up choosing the brokerage arm of the bank they already have an existing financial relationship with.

The “best” brokerage account doesn’t just offer the cheapest commission fees. Beyond just the commission fees that the stock brokerage firm charge, you should look at factors that provide added convenience and value to your investing journey.

These could include:

Access to overseas markets: Does your stock brokerage account give you access to major overseas markets that you wish to invest in?

Web/mobile layout: How user-friendly is the web or mobile app?

Charts provided: Are the charting tools comprehensive/ useful?

Technical Indicators: Does it have all the tools you require?

Broker assigned: Do you prefer having a dedicated broker that gives you timely market updates?

Speed of live information: Delays with information provided make a big difference especially when it comes to trading.

Investor education: Does your brokerage house provide educational materials, or seminars for its clients?

Access to analyst reports: Does the brokerage firm have a strong research team that will provide you high quality research reports on listed companies?

Read Also: 8 Factors To Consider When Choosing A Stock Brokerage Account In Singapore

Finally, there are no limitations to setting up stock brokerage accounts with different brokerage houses. You should test-drive several stock brokerage accounts before settling on one that you intend to use as your primary account.

This post was first published on 14 July 2017 and updated to include the latest information for 2021 stock brokerage fees in Singapore.

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