SAXO Bank - Online Trading Tool

Discussion in 'Investments' started by Dman35, Jan 6, 2017.

  1. Dman35

    Dman35 Frequent Poster

    Posts:
    38
    Hi Folks,

    I was originally using Sharewatch on-line tool to buy and sell some shares (small time stuff to be honest). However I can't remember the exact details but they stopped offer their service and was moved to SAXO Bank.

    Just have a few questions / concerns about them.

    Now I find their SAXO trader tool very good and their charges seem to be quiet good - €5 per month account management fee and as long as you make a trade each 1/4 you avoid €25 inactive fee.
    How have other people found them and is there anything I'm missing in relation to their charges etc??

    Over the last yr or two I've increased the amount I now invest. I have a EUR account so very handy to transfer money in/out of as no currency exchange, however now most of my purchases are on companies within the FTSE so when buying money is exchanged from EURO > Sterling, and then when selling Sterling > Euro. Also all dividends from these companies are paid in Sterling so that is converted back to EURO when money is lodged into my account.

    Has anyone got a Sterling A/C with Saxo?? Is it difficult to set-up etc??
    In that case I assume I would only have currency exchanges on transfers in / out of Saxo A/C back to my Irish bank A/C??

    I'm also starting to ask myself now that I've a reasonably sizable amount of money been managed via SAXO how much do I actual know about them and is my money 100% secure etc..

    I've done a bit research and there is nothing jumping up at me that makes me concerned but would be very interested in other people's opinion of them.

    Just noticed my post is quite long so sorry about...

    Any feedback / information is much appreciated.

    Regards
     
  2. dub_nerd

    dub_nerd Frequent Poster

    Posts:
    1,293
    Dman35, I also find the Saxo trader platform very usable.

    That maintenance fee is actually a custody fee of 0.12% pa, with a minimum of €5m/month, so if you hold more than €50k in shares it will be higher.

    I don't have a Sterling account with Saxo but I believe you just have to ask for one. You then make lodgements to their Sterling account. Not sure if you get Saxo's rate for conversion or your own bank's when you do this (as I've never done it). The Saxo rate is 0.5% above or below the spot price for the currency. Unless you are trading pretty frequently and/or want to hedge currency bets, I'd wonder is it worth it -- I decided it wasn't for me. Apart from anything else it complicates your tax calculations because you have to separately account for share and currency gains/losses.

    Institutional risk is something you're going to have with anyone. Saxo seemed no more risky to me than the other options. One assumes they follow the usual rules of holding client monies in separate accounts etc.
     
  3. Dman35

    Dman35 Frequent Poster

    Posts:
    38
    Tks for your reply dub_nerd.