Saxo capital markets

[makoshark]

momo,
The first 2 are "order type" Eg limit order (buy/sell only if prices reaches this level) and "duration" Eg. GTC (Good till cancelled).
These are standard options for most platforms.
You can google the terms to find out more info on the differences.

Can't help with the rest as I don't have a Saxo account.

My advise would be to make an appointment to see someone from Saxo and run through the usage with them.
You can go down are around 4pm on a weekday to get them to show you how the different options work as since it is 4pm, the London exchange would be open for you to see how the live streaming works.

[choozm]

4. What is the trading hours in SG time for London Stock Exchange (LSE)? Where/how do you check if it is a non-trading day?

You can find out on POEMS website here: http://www.poems.com.sg/index.php?optio ... Itemid=207

[choozm]

2. The prices shown in Saxo are delayed by 15min. If I just want to login and buy immediately at the current price, how should I go about doing so?

May be submit your order at the current Ask price?

3. How to see the exchange rate (exchange to SGD) used by Saxo when you buy? Or rather, how to know the total cost (including commission) in SGD? I need to know in order to plan my buy orders.

I don't see exchange rate used by Saxo (may be there is but not to my knowledge). So I use Google Currency Conversion to estimate amount required and set aside a small amount of buffer money for exchange rate.

5. How to see whether the correct amount of dividend has been credited into your Saxo account? I read from choomz's blog before that Saxo seems to withhold a certain portion of the dividend (although they eventually credit it back).

For dividend per share, check the ETF website or the exchange website (e.g. London stock exchange website). Multiply the amount of share for your stock by dividend per share, you have the dividend you deserve.

Go to Share Dividends tab, it will show the amount of share for your stock, currency conversion rate, tax percent, tax amount. Tax amount is the amount withheld by Saxo, so you know this is the amount Saxo should credit back to you if it is not supposed to be deducted.

6. It seems like you can just use internet banking fund transfer (eg DBS as it can indicate the Client ID as the sender's name) to deposit cash into the Saxo account. Do you guys use ibanking fund transfer or mail a cheque? It appears to me that ibanking is more convenient. Any comments?

I send a cheque. Last time the broker told me to print screen the ibanking transfer as a proof of transfer. It is too troublesome. May be they have changed the process but I have not tried ibanking transfer.

[Private Investor]

I am planning to open a SCM account to buy iShares MSCI Europe (IMEU) at LSE

This ETF's trading currency is GBP

Any suggestion what base currency should I choose when I open an account, taking into account of the quarterly divdend in GBP? Should I set the base currency as SG$ or GBP?

[momo]

I am planning to open a SCM account to buy iShares MSCI Europe (IMEU) at LSE

This ETF's trading currency is GBP

Any suggestion what base currency should I choose when I open an account, taking into account of the quarterly divdend in GBP? Should I set the base currency as SG$ or GBP?

The currency of the dividend should be EUR?

I'm not sure which base currency one should open the account in... For me I just opened in SGD. The EM ETF (IEEM) trading currency is GBP, while dividend is USD. Never really think so much...

[choozm]

I am planning to open a SCM account to buy iShares MSCI Europe (IMEU) at LSE

This ETF's trading currency is GBP

Any suggestion what base currency should I choose when I open an account, taking into account of the quarterly divdend in GBP? Should I set the base currency as SG$ or GBP?

My saxo account base currency is SGD.
For iShares MSCI Europe (IMEU) at LSE, trading currency is GBP. The dividend is in EUR and it is converted to SGD.

[Private Investor]

Interesting combination. Trading currency is GBP & the dividend is in EURO. Think just to make thing easier, open the base account as SGD

[Private Investor]

Q. Are foreign securities kept with the CDP usually?

Quote from Lim&Tan website "Q32 What will happen to my shares after I have made payment for it? The shares will be kept in safe custody by L&T 's Foreign Broker."

SAXO - according to my fact finding, securities are kept with a custody bank (which bank? unknown)

I have emailed them and their reply is that they are the custodian of the foreign stocks

[Private Investor]

I understand that ETF domiciled in Ireland (e.g iShares) the divident tax is 0%

I checked with SAXO for iShares MSCI Europe (IMEU) traded in London Stock Exchange. I am surprised to know that there is a withholding tax of 10 percent applied for UK market.

According to them, the dividend that you receive in your account is already net of the tax charges

Is that true that there is a dividend withholding tax for iShares MSCI Europe (IMEU) traded in London Stock Exchange?

[momo]

See http://mamakstallinvestor.wordpress.com ... f-in-saxo/

I too would like to know more about dividend withholding tax. Where can one find such information?

Is the dividend declared on iShares UK website the dividends that we'll receive in our Saxo account? Or is it like what choomz posted in his blog, in which we need to pester Saxo to refund back our rightful dividend?

[choozm]

I take the "Dividend rate per share" from iShares website http://uk.ishares.com/en/rc/funds/IMEU/ ... and-yields and multiply by the number of shares I have, then multiply again with the currency conversion rate Saxo used, the result equals the dividend amount in SGD I received. This means no dividend withholding tax was charged, as far as I can tell.

ETF is treated differently from stocks in London Stock Exchange (LSE) in some areas. For example, ETF in LSE does not attract stamp duty while normal stocks in LSE do.

[Private Investor]

Hi choozm

Since your last post in your blog, does that mean now you don't need to pester Saxo to refund you the dividend withholding tax. It will be auto-refund after 1-2 months?

[choozm]

Hi choozm

Since your last post in your blog, does that mean now you don't need to pester Saxo to refund you the dividend withholding tax. It will be auto-refund after 1-2 months?

Hi Private Investor,

Now Saxo does not withhold any tax for the LSE-listed ETFs that I hold. They credit 100% of the dividend into my Saxo cash account on dividend pay date, so I don't need to pester them anymore. I should update my blog. Thanks for alerting me.

[Private Investor]

Now Saxo does not withhold any tax for the LSE-listed ETFs that I hold. They credit 100% of the dividend into my Saxo cash account on dividend pay date, so I don't need to pester them anymore. I should update my blog. Thanks for alerting me.

Thanks. I will check with Saxo again

[Hulumas]

Now Saxo does not withhold any tax for the LSE-listed ETFs that I hold. They credit 100% of the dividend into my Saxo cash account on dividend pay date, so I don't need to pester them anymore. I should update my blog. Thanks for alerting me.

Thanks. I will check with Saxo again

How is Saxo's services so far?

[Private Investor]

Hi,

1. Anyone can help explain what these 2 fields mean? Thanks.

Market Oder - Tells your broker to buy a certain amount of stock at the best price
Limit Order - To buy a certain number of shares at or below a set price


G.T.C - Good Till Cancel. The price you bid will be valid until the day you have cancelled it.
This is something I found local brokerage firms don't have. Every night i have rekey in the price that I want to a particular shares again
Day Order - Price valid for 1 trading day
One Week - Price valid for 1 week
One Month - Price valid for 1 month
End of Week - Price valid for 1 trading week