Trading Platforms

When choosing a platform to invest with you have to take fees and taxes into consideration.

All investment platforms charge fees. The average fees and taxes paid by South African investors is around 3% per annum.

In South Africa the main expenses incurred in trading shares are:

Brokerage Fees

You can only buy shares on the JSE thru a brokerage firm recognised by the JSE. This is a percentage of the value of shares that you buy.

Strate settlement costs

Strate is the technology used to carry out the trade transaction.

Investor protection levy

This fee ensures continued regulation of the JSE to protect investors.

Value Added Tax (VAT)

Brokerage Fees and admin fees carries a VAT charge.

Securities Transfer Tax

This is Tax charged by SARS only when buying shares.

Monthly admin fee

This fee has the biggest impact and can range from R 60 – R 200 per month. Some brokers offer no admin fees.

Platforms

I Buy shares thru my personal bank platform and Easy Equities. Easy Equities offers equities, ETFs, baskets and bundles.

Other ‘safe’, low-cost funds, advisors and platforms include:

· Gray Capital

· 1nvest

· Satrix

· Sygnia

· 10X

· CoreShares

· Nedcore, and

· OUTvest.

· Your local bank

If you would like to start trading, open up a demo account on Easy Equities to test your skills and familiarize yourself with the Investment world.