Yesterday, online mobile broker Tiger Brokers added SGX trading capabilities to its platform. At launch, it will be the cheapest way for retail investors to trade SGX-listed stocks with a 0.08% trading commission and no minimum charges. Currently, it also offers investors the ability to trade the US and HK markets.
The current promotion of 0.08% will be up to 31 Dec 2020 and will definitely shake up the brokerage industry in Singapore as most brokers have a minimum commission of $25 and the better ones like Standard Chartered and FSMOne start at $10 (0.08% commission for FSMOne too). In order for a retail investor to exceed the $10 minimum commission, one would have to trade at least $12,500 worth per trade.
For investors who trade smaller amounts <10k, Tiger Brokers seems to offer the lowest cost per trade (ie. lowering barriers to entry for new investors). For a trade value of $5,000, Tiger Brokers would charge a commission (excl. sgx fees and gst) of $4 vs $10 for FSMOne.