Jump to content
  • 0

Trading charges and commissions on trades made in an ISA. Please clarify!


aftrade

Question

Hi, 

 

I'm new to this so please do excuse me for my ignorance.

Can you please explain what commissions/fees/charges and how they are applied when placing a trade to buy shares of an Australian company on the ASX from an ISA account? 

For example, if I was to buy £5,000 worth of Australian shares priced at AU$0.0.450, exactly how and at what stage will the fees/commissions/charges apply? I've had a look at my statements but even then the figures just do not add up for me.

From the fees/commissions page on your website I've understood the following:

  • AU$10 commission is applied for trading Australian Shares - at what stage will this commission be applied? After the conversion of currency?
  • Foreign Exchange fee of 0.5% - at what stage is this fee applied and is it applied to the total sum?

So going buy the above example and the below assumptions, I would assume the fees/commissions/charges are applied as following:

Assumptions

GBP £1 = AU$1.83
Amount being spent t buy shares = £5,000
Share Price of stock = AU$0.0450

Calculations

£5,000 = AU$9,150
Foreign Exchange fee of 0.5%, so 0.5% of £5,000 = £25, now total is £5,025
AU$10 commission for buying Australian shares - now total is £5,025 + AU$10 (£5.47 according to above exchange rate) = £5,030.47

Then you have your custody fee of £24 every quarter for the entire ISA account no matter how much is being held in it in terms of capital and gains? Is this correct?

Would really appreciate if you can clarify and break this down for me. 

Thanks

Link to comment

8 answers to this question

Recommended Posts

  • 0
15 hours ago, aftrade said:

Thanks for your answer Fletch. I've just checked their commissions page again and you're right, its 0.1% for Australian shares with a minimum of $10, I miss-read it the first time. 

I just want to make sure I'm aware of all the commissions/fees/charges upfront and not have last-minute surprises!

 

Hi @aftrade @Fletch, that is correct. the fees are stated on the link below:
https://www.ig.com/uk/investments/share-dealing/costs-fees

All the best - Arvin

Link to comment
  • 0

Now when it comes to selling the shares I listed in the example above (Australian Shares), is there just the Foreign Exchange fee? Do I also have to pay the AU$10 commission for selling Australian shares? Are there any other commissions/fees/charges I'm missing out or not aware of when it comes to the selling side?

 

 

Link to comment
  • 0

Commission fees apply to both sells and buys. I was under the impression that the commission on Australian shares was 0.1% with a minimum of $10 rather than a flat fee - at least that's what is claimed on their charges page

  • Like 1
Link to comment
  • 0

Thanks for your answer Fletch. I've just checked their commissions page again and you're right, its 0.1% for Australian shares with a minimum of $10, I miss-read it the first time. 

I just want to make sure I'm aware of all the commissions/fees/charges upfront and not have last-minute surprises!

 

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • image.png

  • Posts

    • Ryan Anderson: Evaluating AI Impact on Market Dynamics Building on the foundational understanding of artificial intelligence influence, Anderson further analyzes specific sectors where AI is making a tangible difference. He highlights C3.ai, a company specializing in AI solutions for real-world problems, as a crucial player in the market. Its ability to offer predictive maintenance for military aircraft and smart meter management for utilities exemplifies how AI can enhance operational efficiencies and drive growth. Furthermore, Anderson notes Microsoft strategic expansion into AI-enhanced cloud services. By leveraging AI, companies are not just improving their existing operations but are also setting the stage for new business models and revenue streams. For investors, this means that selecting stocks isn't just about looking at current profitability but understanding potential future gains from technological adoption. Ryan Anderson: Harnessing AI Investment Opportunities with OzFinTrade In the conclusion of his analysis, Anderson turns his focus towards practical investment strategies that leverage the insights discussed. He advises investors to look beyond the buzz and hype of AI to understand the fundamental value that these technologies bring to various industries. To facilitate this, he has developed the OzFinTrade app, a platform designed to provide investors with in-depth analysis and real-time market data, focusing particularly on companies leading the AI revolution. Anderson encourages investors to use the OzFinTrade app not just as a tool for tracking investments but as a resource for continuous learning and adaptation in a market that is increasingly driven by technological innovation. By integrating comprehensive market insights with user-friendly technology, Ryan Anderson OzFinTrade app endeavors to empower investors to capitalize on the AI-driven market trends that will shape the economic landscape of tomorrow.
    • ADI Elliott Wave Analysis Trading Lounge Daily Chart Analog Devices Inc., (ADI) Daily Chart ADI Elliott Wave Technical Analysis   FUNCTION: Counter Trend MODE: Corrective STRUCTURE: Flat POSITION: Minor wave 2 of (3).   DIRECTION: Bottom in wave 2.   DETAILS: Looking for support to be found within the end of MG2 at 180, we will start looking for long afte we finally find support on top of TL2 at 200$.         ADI Elliott Wave Analysis Trading Lounge 4Hr Chart, Analog Devices Inc.,  (ADI) 4Hr Chart ADI Elliott Wave Technical Analysis   FUNCTION: Counter Trend MODE: Corrective STRUCTURE: Flat POSITION: Wave {c} of 2.   DIRECTION: Bottom in wave 2.   DETAILS: As we saw on the Daily, we touched equality of {c} vs. {a}. we can expect another leg lower to ideally take wave {a} low out, to then start turning higher.            On April 23, 2024, our trading lounge conducted an extensive Elliott Wave analysis of Analog Devices Inc. (Ticker: ADI), providing a detailed breakdown of its daily and 4-hour chart patterns. This analysis aims to offer precise insights into ADI’s market behavior, which could assist traders and investors in making more informed trading decisions.   * ADI Elliott Wave Technical Analysis – Daily Chart* Our study reveals that Analog Devices is currently in a counter trend phase with a corrective flat structure, specifically positioned in Minor wave 2 of a larger Intermediate wave (3). The key focus is on identifying the bottom of wave 2. The analysis predicts finding support near the MG2 zone around $180. A bullish outlook is anticipated post-establishing a strong support level, especially above the TL2 at $200. * ADI Elliott Wave Technical Analysis – 4H Chart* The 4-hour chart analysis complements the daily insights by delving deeper into the specifics of wave {c} of Minor wave 2. Consistent with the daily observations, wave {c} has reached a point of equality with wave {a}, signaling a potential completion of the corrective pattern. A final leg lower is expected, ideally surpassing the low of wave {a}, setting the stage for a bullish reversal.   Technical Analyst : Alessio Barretta   Source : Tradinglounge.com get trial here!  
×
×
  • Create New...
us