Tiger Brokers Launches as Singapore’s Most Competitive Brokerage – SG/US/HK stocks

Tiger Brokers – a NASDAQ listed brokerage firm – has launched the ability to trade Singapore equities in addition to US (NASDAQ and NYSE) and HK-listed equities at the most competitive charges locally – 0.08% with no minimums until 31 December 2020.

This compares favorably to all other competitors in the market, including traditional brokerages like Maybank Kim Eng, iOCBC and DBS Vickers (minimum S$25 per trade), against Stanchart Online Trading and FSM One (minimum S$10 per trade), and against Cash Upfront accounts on DBS and POEMS (minimum S$10 per trade).

For trading Singapore stocks, the fee structure is currently at a promotional rate of 0.08% with no minimum charge until the end of the year, before reverting to S$2.88 per trade excluding SGX fees — still a very competitive pricing!

Fees for trading Singapore stocks on Tiger Brokers

As you can see, the fees are extremely competitive for small amounts of investments when compared to other brokerages, excluding SGX fees.

Tiger BrokersFSM OneStanchart OnlineTraditional Brokerages
Fees0.08%0.08%0.20%0.28%
Minimum Charge ($)0101025
1000.08 (2.88)10.0010.0025.00
2000.16 (2.88)10.0010.0025.00
3000.24 (2.88)10.0010.0025.00
4000.32 (2.88)10.0010.0025.00
5000.40 (2.88)10.0010.0025.00
1,0000.80 (2.88)10.0010.0025.00
2,0001.60 (2.88)10.0010.0025.00
5,0004.0010.0010.0025.00
7,5006.0010.0015.0025.00
10,0008.0010.0020.0027.50
12,50010102534.375
15,00012123041.25
Commission table for investment amounts from $100 to $15,000. In brackets are fees with the S$2.88 minimum.

Can you imagine paying just 40 cents on a $500 trade? It’s going to be a huge disruption to the business model of incumbents. Many new investors who are starting out with small portfolio positions will be using this platform.

As a percentage of trade value, it is also an extremely cost effective option to accumulate shares on the platform, with fees beating most of its competitors hands down.

Tiger BrokersFSM OneStanchart OnlineTraditional Brokerages
Fees
as % of trade value
1000.08% (2.88%)10.00%10.00%25.00%
2000.08% (1.44%)5.00%5.00%12.50%
3000.08% (0.96%)3.33%3.33%8.33%
4000.08% (0.72%)2.50%2.50%6.25%
5000.08% (0.58%)2.00%2.00%5.00%
1,0000.08% (0.29%)1.00%1.00%2.50%
2,0000.08% (0.14%)0.50%0.50%1.25%
5,0000.08%0.20%0.20%0.50%
7,5000.08%0.13%0.20%0.33%
10,0000.08%0.10%0.20%0.28%
12,5000.08%0.08%0.20%0.28%
15,0000.08%0.08%0.20%0.28%
Fees as % of trade value. In brackets are % with the S$2.88 minimum.

They also offer trading in US and HK-listed stocks and ETFs, with free real-time US stock market data, including deal-by-deal record and buy/sell orders.

Fees for trading US Stocks on Tiger Brokers

US Stocks trading fees, excluding ADR fees of $0.01-0.03 / Share

The fees for US stocks are also very competitive at US$0.01 per share and minimum US$1.99 per trade.

Fees for trading Hong Kong Stocks on Tiger Brokers

Trading Hong Kong stocks will only cost 0.06%++ of trade (roughly 0.17% all in) with a minimum of HK$15 (S$2.70) per trade — also very very cheap!

Is Tiger Brokers safe?

Tiger Brokers holds a Capital Markets Services (CMS) licence from MAS and counts companies like Interactive Brokers and Xiaomi as investors. They custodise their client assets in a trust account managed by a custodian bank or broking firm regulated in the various markets.

While the statement might be a little vague, I believe it should operate similarly to how Interactive Brokers operates their trading and custody infrastructure.

I’ve tried their mobile trading on the app in simulation mode and it comes pretty close to WeBull’s app interface, which is a very popular trading app globally as well.

Tiger Brokers’ app interface features paper trading, real-time order quotes for US stocks and sophisticated charting

In addition to traditional stock investing options, investors can also invest in financial instruments such as China A-shares, ETFs, futures, and stock options in the platform. You can also expect them to launch CFD trading in the future.

I will be testing it out and let you guys know with a more in-depth review of the platform.

If you can’t wait to try out their platform, you can sign up for a trading account here and onboard with MyInfo within 10 minutes.

4 Shares:
2 comments
    1. Thanks for highlighting, I think those are important to note as they might impact on Tiger’s ability to operate in the long run under heightened regulatory scrutiny. Most FIs have in place strong AML controls to prevent money laundering, which Tiger Brokers – being new to the space – might have fallen short of expectations.

      I wouldn’t bet my life savings with them, but for cheap trading thrills or accumulation of shares before transferring them out, it’s a great opportunity when the alternative is buying shares at $10-25 per trade. Of course, DYODD.

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