 Trading Information
What can I trade?
You can trade CHESS eligible securities listed on the Australian Stock Exchange (ASX) or securities approved by your margin lending partner if you are trading through a margin account.
If you wish to trade in CHESS eligible warrants listed on the ASX, you can download the ASX Understanding Warrants Booklet and Client Agreement Form. Otherwise, simply click here to contact us and we can send you an Understanding Warrants Booklet and Client Agreement Form.
The ASX Business Rules require that you sign this agreement before you are able to trade in warrants.
How do I pay for shares?
You pay for the shares you purchase straight from your bank account via Direct Debit. Cleared funds in your account are required.
We cannot accept buy orders if you do not have sufficient funds in your account to cover the trade. For more details see Opening an Account.
Likewise when you are selling shares, you must inform us if you currently do not own the shares you are wanting to sell (short selling).
If you operate a margin account, your loan balance must be enough to cover your purchase order.
What type of orders are acceptable?
You can place orders At Limit or At Market. At Limit orders can be Good-for-Day or Good-till-Cancelled (Good-till-Cancelled orders stay in the market for 21 days, until cancelled or executed.) At Market orders will be Good-for-Day. Neither At Market orders placed when the market is closed, nor At Market orders for securities trading at prices of less than 50 cents can be accepted.
How can I place my orders
You can place BUY and SELL orders by email, fax, or SMS. If you prefer, you can place your order by phone with one of our Equities representatives (brokers).
Enjoy the simplicity of a straight forward brokerage fee schedule, there is no additional brokerage charge for placing an order using your margin loan.
Can I place an order when the market is closed?
Yes. You can place orders by email, fax, or SMS at any time. Orders entered after the market is closed are automatically queued for placement when the market opens the next trading day. We even accept at Market orders out of markek hours, we will then enter limit orders corresponding to your market orders into our trading platform, and endevour to get them filled as early as possible in the trading day.
Can I change or cancel an order?
Yes, as long as the order hasn't been executed. When you place a request to change or cancel an order, it is important to know that the request cannot be guaranteed. The order may have already been executed or partially filled by the time the request reaches the market. If the order has been partially filled, then what is remaining of the order can be cancelled or modified. No additional brokerage is charged for modifying a partially filled order.
How will I be notified of trade executions?
You will be sent an electronic confirmation by email once your order is executed, followed by a Contract Note in PDF format (requires Adobe Acrobat Reader, download here for FREE) in your email and in the post (if you have selected to receive contract notes by post).
How much does it cost to buy or sell shares?
Enjoy the simplicity of a straight forward brokerage fee schedule and trade from as little as $35 or 0.4% a trade and that's dealing with a broker!
There is no additional brokerage charge for placing an order using your margin loan.
You also get access to value added information:
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Quotes for Australian securities |
| FREE |
News |
| FREE |
Charting |
| FREE |
ASX Company Announcements |
| FREE |
Company Profiles |
How can I begin trading?
You must open an account and have the necessary cleared funds or sponsored stock in the account before you can place an order to buy or sell.
If you’d like to use a margin loan, you’ll need to open a separate margin account with us and have your margin loan application approved by the margin lender.
Will I receive statements?
Yes, but it depends on the platform you use. Some platforms require you to log on and download your statements and records.
With most margin accounts, you will be able to log on for instant access to your balances and generally also receive monthly statements from the margin loan provider detailing the value of your portfolio and your loan balance.
What is CHESS?
CHESS stands for Clearing House Electronic Sub-register System; the ASX's computer-based share transaction and settlement system. It provides a central book entry register using electronic transfer of share ownership – your holdings are recorded in a secure database. Instead of holding physical share certificates, you receive an easy-to-read holding statement, similar to a bank statement. You no longer have to send in your share certificates when you decide to sell.
Please note: Share transactions are normally settled 3 days after trade date (T+3).
What is sponsorship?
All shareholdings on CHESS (Clearing House Electronic Sub-register System) have a sponsor. The sponsor will be a broker or an issuer. You can be sponsored on CHESS by more than one broker or issuer and maintain holdings in the same security under different sponsorships. When you are buying and selling shares through us, we must be the sponsoring broker.
However, if you’d like to operate a margin account, the sponsoring broker will be the margin lender and they’ll use your share portfolio as security (collateral) to the loan.
What if I hold shares but don't have a broker?
All CHESS shareholdings have a sponsor – either broker or issuer. To trade with us, we will need to be the sponsoring broker for your shareholding. If you wish to sell these shares through your account, you will need to transfer the sponsorship of your shares by completing a CHESS Transferring Sponsoring Broker Form. Your adviser can arrange the transfer for you, If transferring securities, please allow extra time for your current broker/issuer to send documentation to us.
If you wish to use these shares as security for your margin loan, you’ll need to transfer the sponsorship of these shares to the margin lender.
Can I trade certificated shares?
No. From December 1998, almost all certificated holdings became issuer sponsored and any certificates you hold in relation to those holdings will no longer be valid. When this happens, you should have been issued an issuer sponsored holding statement (similar to a bank statement). This move is now largely completed and share certificates are no longer valid. There are some holdings however that have remained certificated and these securities cannot be traded through the ASX. If you are unsure please call the Australian Stock Exchange.
Can I trade overseas securities?
Generally this is not recomended, trading overseas securities via an overseas based account can add foreign exchange risk, as the investments would not be denominated in Australian Dollars. It is possible to gain some exposure to some overseas markets via index Exchange Traded Funds and Warrants with less risk than an overseas account.
Will I get access to public issues (floats) through you?
Well no actually, as we are not able to provide that service, we recomend you contact Novus Capital for that.
What is Market Depth?
Market Depth is a tool widely used by stockbrokers and market professionals. The Market Depth facility shows a snapshot of live information of the queue of buyers and sellers up to 10 price levels deep for securities on the ASX (with the best prices and their volumes at the top of the screen). By better understanding the 'market' of buyers and sellers, investors are in a better position to optimise the prices at which they place trades.
Whis is the definition of a Sophisticated Investor?
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