The arrival of discount brokers is a game-changer for retail investors.

Personally, I saw an immediate shift in margin trading account opening towards Interactive Brokers at the 16th batch of my Early Retirement Masterclass. This comes with little surprise since IB is offering competitive margin financing rates at ~50% cheaper than incumbent margin account providers in Singapore!

With the significant reduction in investing cost (now $2.50 per trade instead of $25 levied by traditional brokers) comes the question:

Can investment strategies could be turned-over at a much faster pace?

My original training materials suggest holding onto an investment strategy for at least a year for 2 reasons;

  • minimise brokerage expenses and
  • focus on collecting dividend income as passively as reasonably possible.

Thanks to discount brokers, students are now curious as to whether they can update their portfolios with the latest stock list on a monthly frequency instead.

Fortunately, this is an empirical question that I can now answer with Pyinvesting.com.

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