Anyone Uses CMC Market for Stock Trading?

Hi everyone, I'm fairly new to the stock market. Had held a couple of stocks before for a few years and that's it

Just came back to do some trading few weeks back, only equities atm.
I wanted to be able to trade in different markets and keep all my money in one pool, was using Nabtrade but their fees are high especially for international trades
So far I've traded AU, US and UK stocks

Based on my few weeks experience with CMC I can't say I'm fully satisfied
Their website can be quite unstable from time to time, there's been a few instances that the site won't refresh for up to 10 mins
Their Android app also pretty bad, you can do trades fine not nothing else

Does anyone might have recommendation of any other broking services that you think is better?
I'm in Perth so any company with a longer Customer Service hour is better

Thanks!

Related Stores

CMC Markets
CMC Markets

Comments

  • +1 vote

    Try IBKR if you want to trade US markets. Or if you know how to properly manage risk try CMC CFDs

    •  

      Thanks I'll look into it. Don't think I wanna do CFD just yet, just wanna get myself comfortable with the stock market first :)

    •  

      Looks like some good rates there

      •  

        I'm going through their site now, they even have a "pro" trading platform for free (AFA I can tell) but It's so complicated that's out of my league atm lol

    •  

      Been using IBKR for HK stocks for a while and not having a problem with it, but keen to try if there's anything having even lower fee.

  •  

    I use CMC for stocks in AU, US and EU, holding about 10 stocks / ETFs at a time. Price wise they are pretty good AFAIK and I think the charting and tax reporting tools they have a pretty decent. I haven't seen anyone better that would meet my needs. They haven't messed up any trades (had that experience with commsec waaay back) so I really can't complain.
    I agree a few stability issues here and there, but generally as an investor not a super active trader I can deal with that.
    I wouldn't go near their CFD service personally, too risky for me given I haven't put in the time to understand them and seem to be lots of people who stuff those up.

    •  

      https://www.ozbargain.com.au/node/574992#comment-9486272
      I've got into a problem with CMC trading a stock, have you even had a similar problem?

      •  

        Afraid not sorry :(
        … any strangeness I've had has sorted itself out overnight (eg money going back into my account from a unfilled day only trade)

    • +1 vote

      CFDs are simple if you know how to manage your risk and margin. You only have to put up 20% for most Aussie shares IIRC and there are holding costs involved. So basically if you want to buy $1000 of X shares you put up $200. If the value of your shares held then go down by $200 (so it's essentially worth $800) they will liquidate (or close) your position. The holding costs will also factor into the position value so if stock value + holding costs < $800 = account liquidation.

      The problem with (and reason why most people warn you away from CFDs) is that most traders overleverage. For example, with ETFs, margin requirement is 0.2% so that same $1000 will let you open a position on the ASX200 index worth $500,000. This means a 0.2% swing (very common) in the ETF value in the opposite direction to your trade (ignoring overnight holding costs on the $500,000) will see your account liquidated and leave you wondering where your $1000 went 🤣.

      IMO CFDs are useful for quick directional plays. Just make sure you do not overleverage and understand how the holding costs factor into your trade. If you plan on trading ETFs also be aware that they trade nearly everyday and react quickly to news so it becomes a nearly full time job unlike just buying and holding regular shares.

      • +1 vote

        Interesting, appreciate the explanation! Sounds a great tool when you are confident about a stocks upcoming movement to amplify gains.
        That ETF margin is crazy :D, but for stocks I understand the lure now.

        •  

          CFD means that traders are trading a derivative of the underlying asset. They don’t actually own the underlying asset. CFD allows traders to trade with leverage like 1x, 2x, 3x, etc, and short selling. Traders don’t have use leverage when they go take out a long position.

      •  

        Your name really checks out lol
        would you recommend IBKR for CFDs or ones like eToro?

        • +1 vote

          IBKR doesn't do CFDs but they have futures trading and options. They do trade most share markets though which makes them appealing i.e. they have the ASX, US, UK, Hang Seng, Shanghai etc as well as OTC for penny stocks and the commodities markets (futures).

          For CFDs I'd recommend CMC or IG since they've been around the longest. CMC has the largest amount of tradeable shares IIRC.

          For crypto and derivatives, I'd suggest Binance.

          • +1 vote

            @TheAccountant: Thanks man! Very complicated stuff, I thin I'll take it slow lol
            CMC don't seem to have very good review online haha

            • +1 vote

              @Leedian: Good idea. Pick up the basics with vanilla share trading, learn how valuations work, how to read charts and trading volume and when you find something that works for you look into leveraging margin and options etc.

              Good luck!

  • +2 votes

    I thought CMC was alright until they froze my account 3 months then closed it for no reason. They never gave me a reason why, and wouldn't let me touch my shares or money the whole time. I called many times and no one at the call centre had any answers. All I got was "the security team is reviewing your account and it shouldn't take much longer".

    I think the issue was that I tried to enable options on the account while I was overseas. The application should have taken a few days, instead I was calling for weeks and told "it will be processed in a few days".
    A few weeks later I tried to sell some shares and found out I couldn't, and when I called to ask why I finally learned that something was up with my account.

    It was absolutely absurd that they took so long with no communication. Didn't tell me it was frozen, didn't say why, didn't check anything with me, didn't let me access my funds, didn't give me any indication how long it would take.
    Then one day they sent an email telling my to have everything transferred out within 2 weeks. A tight timeframe given most brokers take at least a few days to open new accounts and a few more to process transfers.

    Now I'm with SelfWealth. When I made the account someone called to welcome me and ask if needed help getting set up, and gave me their details to get in contact whenever I had any questions. Much better experience

    •  

      Wow.. so they closed up your account without even asking you questions?
      I was looking at SelfWealth but they only do AU stocks which doesn't work for me atm (WA time sucks)

      • +1 vote

        Yep. I asked a few times if I could talk to anyone about it and was always told no. Just to wait an unspecified time. And I was trying to sell the week before the covid crash, so I got to helplessly watch my accounts almost halve thanks to them, while being stonewalled as to why. And of course I could no longer just walk into their office and talk to someone anymore.

        I thought they were pretty good before, but that was an absolute nightmare.

        I heard SelfWealth is adding international trades in the next few months, maybe look into that.
        At the moment I also use IG for international shares, but might consolidate to SW when available, for CHESS etc.

        •  

          I should really think about moving to another broker once I can get my transaction sorted out
          As I type the shares that I might not have should has fallen down close to the price I bought them, $1k profit gone if I can't get them to honor the sale

          I found that the London market is pretty good in term of timing, works out open between 3pm to 11pm WA time

    •  

      Damn that IS scary and sucky. I'll be making sure not to access them from overseas or over a VPN then :-O .

  • +1 vote

    I use CMC been with them almost 7 years, never had a problem on the 'website' i agree the app is terrible.

  •  

    Was with CMC until Bankwest decided they want to close my account. Moved to Selfwealth since then, much better price and fixed fee at $9.5 even on large orders.

    I use IG for international trades, almost zero fees.

  •  

    I saw the referral system on CMC CFD Account only after the opened the account just now (the one time I don't check on OzBargain, arghhh!) :(
    Can someone pm me your referral code so that I can try to get the referral bonus?
    Thanks in advance.