- Cheapest Online Trading in Singapore: Tiger Brokers
- Brokerage Platforms with the Best Market Access : Saxo Markets & Interactive Brokers
- Best Online Trading Platform for Beginners: Saxo Markets
- Best CFD Trading Platforms: City Index & IG
- Best Brokerage for International Markets: Interactive Brokers
- How to Choose an Online Brokerage Platform
Cheapest Online Trading in Singapore: Tiger Brokers
|Tiger Brokers Fee||Min Commission||Industry Average Fee||Industry Average Commission|
|US||$0.01||USD 1.99||0.27%||USD $15-$29|
|HK||0.06%||HKD 15||0.21%||HKD $100-$200|
|The U.S.||Hong Kong||Singapore||Australia||China|
|Products||Stocks, ETFs, Stock Options, Futures||Stocks, Warrants, CBBCs, Futures||Stocks, ETFs, Rights Issue, Futures, REITs||Stocks||A-shares (in HKEX Northbound Trading)|
Tiger Brokers has the lowest commission fees on the market, an easy-to-use platform, and live prices for the US and Singapore, making it a great option for new and seasoned investors. The commission charged for every trade is just 0.08%, which is much lower than other online brokers who charge around 0.08%-0.28%. Furthermore, Tiger Brokers have dropped their minimum fee for trading until December 31st, 2020, when it will return to S$2.88. This is still impressively lower than average in Singapore, which is S$25. New customers can also enjoy 5 commission-free trades for stocks denominated in USD and HKD, a free 30-day period of market data for US markets, and up to a S$100 trading voucher for deposits S$2,00 and over. Moreover, Tiger Brokers charges neither a custodian or currency conversion fee, and it's fairly quick to open an account (1-3 days).
For those looking to invest abroad, Tiger Brokers' platform gives customers real-time access to markets in the United States, Hong Kong, China and Australia. For trading in the US, you can invest for as little as USD $0.01 commission with a minimum fee of USD $1.99 per trade. For those who prefer to trade in Hong Kong, Tiger Brokers' minimum fee is only HKD $15. This is the most attractive rate in Singapore, as most firms charge around HKD $100-HKD $240. Trading futures is also simple, as there are built-in features on their platform to give customers support with these deals. With low trading fees, an user-friendly platform, and access to current market data, Tiger Brokers is a great platform.
Best Market Access on an Online Trading Platform in Singapore: Saxo Markets
|* Saxo min. SG: S$0- For new customers (Until Apr 30th, 2021); US:$3-$4; JPY1,000-1,500; HKD60-90; EUR6-12|
|* figures based on min. advertised spreads|
Saxo Markets is the best online brokerage in Singapore because it combines low cost, great market access and easy user interface into one platform. First, Saxo charges just 0.08% commission on trades, with no minimum cost for Singapore stocks ($4 for US stocks), roughly a quarter the cost of what most of its competitors charge. Not only that, Saxo doesn't charge any hidden fees, i.e., no inactivity fee, no platform fee, no maintenance fee, etc. Saxo is currently holding a great promotion (until April 30th, 2021) where new customers will not have to pay a minimum commission to trade SGX equities. Because of these features, Saxo can be effective not just for long term investors, but also for frequent traders who invest S$100,000 or less.
On top of it's low fees, Saxo offers online trading in 36 global markets, and market leading commission rates for the major international markets such as the U.S., Hong Kong and Japan. Through its Saxo Rewards programme the broker also charges even lower commissions for investors with funding of at least S$300,000 (S$300,000 platinum, S$1,500,000 VIP). Additionally, Saxo is one of the best platforms for trading foreign currencies, since its FX spreads are consistently among the lowest available, beating competitors by a significant margin. Finally, our analysts found Saxo Markets's trading platform to have the most intuitive user interface.
Honorable Mention For Best Market Access: Interactive Brokers
In terms of trading securities in non-Singapore markets, Interactive Brokers's commission levels are hard to beat. This is attractive to investors that may feel limited by the number of stocks on the Straits Times Index and feel inclined to consider other options. As you can see in the table below, Interactive Brokers has the lowest commission costs for any region outside of Singapore. Still, Saxo is the best option for those who want access to every market including Singapore.
Lastly, Interactive Brokers charges a monthly minimum fee of S$10 for accounts between S$2,000 and S$100,000. Though this cost can be offset with trading commissions, it can still be a meaningful cost if you are trading only a few thousand dollars in total.
|Interactive Brokers||Saxo Markets Classic|
|U.S. Stocks Commission Fee (Min. Fee)||$0.0035 ($0.35)||0.04% - 0.06% ($4)|
|Hong Kong Stocks Commission Fee (Min. Fee)||0.08% (HKD 12)||0.15% (HKD 90)|
|Japan Stocks Commission Fee (Min. Fee)||0.050% (JPY 80)||0.15% (JPY 1500)|
Best Online Trading Platform for Beginners
Saxo Markets offers the best online trading platform for those who are looking to invest online. With SaxoTraderGO, their platform designed for less-experienced traders, customers gain access to a variety of tools to help them research the best products to trade. For example, their Fundamental Analysis Tool analyses company indicators to help you determine whether or not you want to invest. Interactive learners can also benefit from annotation features to save and take note of listings, graphs and more. Furthermore, the platform synthesizes both in-house and third-party research to constantly feed you up-to-date information, whether you are on your mobile or desktop.
Saxo Markets also delivers some of the lowest fees in the market (for, among others, Singapore, the US, Hong Kong and Japan), has the largest international market scope, and allows you to trade a variety of products like stocks, bonds, ETFs, mutual funds, foreign exchange, futures, etc. Finally, prior to opening an account you can both preview the platform on their website and try a 20-day demo trial to practice using the platform. Although beginning to trade online can seem daunting, Saxo Market will supply you with all the tools you need to get started at low rates.
|Market||Commission Fee||Minimum Charge|
|Hong Kong||0.10%-0.15%||HKD 60-HKD 90|
|Japan||0.10%-0.15%||JPY 1,000-JPY 1,500|
|EU||0.05%-0.10%||EUR 5-EUR 8|
Best Platforms for CFD Trading
Contracts for difference (CFDs) allow individuals to speculate on the future price of an underlying asset, without actually owning the asset. CFDs are also traded on leverage, giving traders additional buying power. For these reasons, they are popular among experienced traders in Singapore. Below we highlight two platforms that stand out for CFD trading.
Best Online Brokerage for Trading CFDs: City Index
|City Index||Saxo Markets (Classic Pricing)||IG|
|CFD Commission for Stocks & ETFs:|
|Index CFD Spread:|
|US SP 500||0.4||0.4||0.4|
|US Tech 100||1||1||1|
|Hong Kong 50||10||5||5|
City Index is a great option for expert traders who seek a trading platform for buying and selling CFDs exclusively. CFDs are basically instruments for margin trading, meaning you are borrowing to invest more money than you have on hand. As such, it can dramatically increase both your gains and losses. Because of this nature, CFD trading is generally most advisable for seasoned experts.
When it comes to trading CFDs, City Index stands out as one of the lowest cost options. While Saxo Markets' platform is still the cheapest for some options, City Index's CFD offering provides a more diverse CFD market access and its commission fees and CFD spreads are both competitive with Saxo's. City Index also offers a robust and competitive trading platform for forex trading. However, Saxo is still a better fit for investors who seek access to a diverse set of asset classes (e.g. equities, ETFs, bonds, etc.) with market leading commission.
Honorable Mention for Trading CFDs: IG
IG is another leading brokerage with CFD offerings. While it's commission fees are generally higher than those of City Index, it offers a few features that make it worth considering. First, IG allows investors to adjust their exposure by trading fractions of a contract (e.g. 0.5 contracts of spot FX EUR/USD). Furthermore, IG offers Knockout CFDs, which are a unique product that allows traders to determine their maximum losses before entering a position. This product automatically adjusts margin requirements based on the user's specific "knockout level", or maximum loss.
IG also offers a comprehensive CFD education platform through IG Academy, which helps new traders get up to speed and even practice risk-free with an account with simulated funds. Finally, IG's collaboration with Singapore Airlines allows users to earn KrisFlyer Miles on every trade. For more information, please refer to the toggles below.
|IG||City Index||Saxo Markets (Classic Pricing)|
|CFD Commission for Stocks & ETFs:|
|Index CFD Spread:|
|US SP 500||0.4||0.4||0.4|
|US Tech 100||1||1||1|
|Hong Kong 50||5||10||5|
|Monthly Aggregated Contract Value (USD)||Monthly Bonus KrisFlyer Miles Payable||Total KrisFlyer miles after 1 year for each tier|
How to Choose an Online Brokerage Platform
When it comes to choosing an online brokerage to invest with, there are a few key important considerations to make. First, it is crucial to make sure that the brokerage allows you to access the types of investments that interest you. For example, some investors may seek to pursue CFD investing. Other investors may be interested in access to investments in a wide variety of international markets. Perhaps most importantly, it is important to compare the cost of using each investing platform. We strongly recommend that you compare the commission fees and spreads of the top brokers in order to find an affordable platform that doesn't significantly cut into your total earnings.
Summary Table of Online Brokerage Commissions
Below, you'll find a summary table of SG trading platform fees. Being aware of these fees will help you determine which broker provides the cheapest rates for trading on their platform. For more information about a particular broker, you can read our reviews or click "Learn More" to get connected with the platform.
|Online Brokerage||Min. Fee||< S$50k||S$50k-S$100k||> $100k|
|City Index (CFD only)||S$10||0.08%||0.08%||0.08%|
|IG (CFD only)||S$15||0.10%||0.10%||0.10%|
|i*Trade||S$25||0.275%||0.22%||0.28%; min $15|
|Maybank Kim Eng||S$25||0.275%||0.22%||0.18%|
|Lim & Tan Securities||S$25||0.28%||0.22%||0.18%|
The table below provides commission, minimum fee and market access information for online brokerages that will let you trade in a variety of global markets. To help you compare brokerages across various markets easier, we laid out fees for US, HK and Japan markets.
|Online Brokerage||US Commission & Min. Fee||Japan Commission & Min. Fee||HK Commission & Min. Fee||# Intl. Markets|
|Tiger Brokers||$0.01/trade; min. $1.99||N/A||0.06%; min. HKD 15||4|
|Saxo Markets||0.06%; min. S$4||0.15%; min JPY 1,500||0.15%; min. HKD 90||36|
|City Index (CFD only)||$0.15/share||0.05%||0.15%||26+|
|IG (CFD only)||$0.2/share||0.20%||0.25%||30+|
|Interactive Brokers||$0.0035/share; min. $0.35||0.05%; min. JPY 80||0.08%; min. HKD 1||24|
|Standard Chartered||0.25%; min. $10||0.25%; min. JPY 1,000||0.25%; min. HKD 100||10|
|U Trade||0.275%; min. $19||N/A||0.28%; min. HKD 139||4|
|Poems 2.0||$20 (flat)||0.18%; min. JPY 1,500||0.18%; min. HKD 100||21|
|iOCBC||0.3%; min. $30||0.75%; min. JPY 3,000||0.25%; min. HKD 240||26|
|KGIFraser||0.3%; min. $20||0.5%; min. JPY 1,500||0.275%; min. HKD 100||15|
|i*Trade||0.275%; min. $15||N/A||0.275%; min. HKD 125||6|
|Citibank Brokerage||0.3%; min. $25||N/A||0.3%; min. HKD 120||3|
|DBS Vickers||0.18%; min. $25||0.35%; min. JPY 3,000||0.18%; min. HKD 200||7|
|RHB Securities||0.3%; min. $20||N/A||0.25%; min. HKD 115||7|
|Maybank Kim Eng||0.28%; min. $12.50||0.5%; min. JPY 3,000||0.25%; min. HKD 100||9|
|Lim & Tan Securities||N/A||0.8%; min. S$70||0.18%; min. HKD 100||12|
|TD Ameritrade (thinkorswim)||S$14-S$15(USD10.65) for US stocks, USD10.65 + $0.81 per contract for options|
|FSMOne||0.08%; min. $8.80||N/A||0.08%; min. HKD 50||12|
Other Things to Consider When Choosing an Online Investing Platform
There are many other factors to consider. For one, it might be useful to actually check out the user interface of each broker’s offering to see if you can understand and operate them easily. Some of the brokers like Saxo and POEMS have quite user-friendly platforms, while others have websites that look quite outdated. Furthermore, for sophisticated traders who care about live-data API connection and margin financing, it might be crucial to understand the different product offerings in the market to make sure that they get the best deal on everything they care about. Not every broker will provide this information upfront; but usually, companies that have the best rates tend to make the most disclosure.
Additionally, some brokerages have teams of analysts that provide research reports for companies and markets, which could be valuable to some investors depending on their investment style and aptitude. Finally, if are interested in investing directly in local startups or SMEs or would prefer to allow the experts to build your portfolio, it is worth considering crowdfunding platforms or robo advisors.