Understanding ETF Commission Fees in the Singapore Market with Tiger Brokers
Exchange-Traded Funds (ETFs) have become increasingly popular among investors in Singapore due to their liquidity, diversification, and ease of trading. One of the most significant factors to consider when investing in ETFs is the commission fees charged by brokers. In this article, we’ll delve into the ETF commission fees at Tiger Brokers, highlighting the benefits and costs involved in trading ETFs in the Singapore market.
1.Commission Fees
Even though there are no commissions, there are still pass-through fees that apply:
– Rate: 0.03% of the trade value
– Minimum: SGD 0.99 per order
This means that for every trade, you will incur a pass-through fee of 0.03% of the total trade value, with a minimum charge of SGD 0.99. This fee structure ensures that even small trades are manageable while still providing a low-cost option for larger trades.
2.Platform Fee
In addition to the pass-through fees, Tiger Brokers charges a platform fee:
– Rate: 0.03% of the trade value
– Minimum: SGD 1 per order
Similar to the pass-through fees, the platform fee is calculated at 0.03% of the trade value, with a minimum fee of SGD 1 per order. This fee supports the technology and infrastructure that allows for seamless trading and access to a wide range of investment products.
Conclusion
Understanding ETF commission fees is an essential part of optimizing your investment strategy. Tiger Brokers stands out in the Singapore market with its attractive low commission on ETF trades, supplemented by minimal pass-through and platform fees. This fee structure allows investors to keep costs low while accessing a diverse range of ETFs.