CIMB has just come up with a new promotion to attract new customers in the highly competitive stock brokerage market. This one is interesting enough to make even the current no commission guys like Standard Chartered be on their toes.
By trading with cash upfront, you will pay only 0.12% or a minimum of $12 on every trade for brokerage commission. That’s a lot lower than most other firms which generally do 0.18% or a minimum of $18.
[Free Ebook] How should you invest your first $20,000?
We asked 14 Singapore finance bloggers to share what they would do if they could go back in time and invest their first $20,000. They can no longer rewind time, but you can learn from their experience and hopefully start with a better footing.
The New CIMB Promotion
To work out the numbers, a $10,000 trade will be required to hit the minimum of $12.
($10,000 * 0.12%) = $12.
For a similar trade, it will be $18 for the 0.18% promotions.
If you compare to brokerages which currently offer no minimum commissions, but higher percentage of 0.2%, you actually pay less with CIMB for a $10,000 trade, ($10,000 * 0.2%) = $20.
In fact, for trades above $6,000, CIMB’s 0.12% looks more appealing at this point of time. Furthermore, the cash balance enjoys 0.8% interest, which is pretty attractive for a savings account in the current market.
On a side note, it seems that UOB Kay Hian is running the same promotion of 0.12% and $12 min.
However, the offer is only up to 31st October 2014, so be quick if you want to enjoy the offer.
For more comparisons, visit our Stock Brokerage Comparison Page!