• long running

Open Trader $5 Per Trade (under $5000) ASX CHESS Sponsored

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Not sure if this warrants a new post, mods delete if not

Open Trader has increased their threshold for $5 brokerage to trades of up to $5000 as opposed to the previous upper limit of $2500.
Mixed reviews based on the previous thread Link

UP TO $5,000 - $5.00
$5,000 to $15,000 trade - $15.00
over $15,000 trade - 0.10% of value

Related Stores

Open Trader
Open Trader

Comments

  • Any reviews

    • I use both OpenTrader and SelfWealth and the OT's UX is so much better

      SelfWealth are planning to introduce trading of US shares on their platform soon, so I guess OT have reduced their brokerage fee as competition.

      The charting of OT is good but they charge quite a steep fee after the trial two months. If only they could provide free charting then they would get heaps more customers

      • question:

        1. Are my shares and money in the bank account safe if this company Open Trader went down

        2. My shares are at Commsec atm, is it easy to transfer btw two? Any charge to do that and how long.

        3. Do i need to have enough money in the bank at the same day of trading? As commsec allow 2 days.

        • +9 votes
          1. Shares are held under your own HIN, so even in the extremely unlikely event that we fold, you will always own them and just need to transfer to another broker. Cash if yours too, we partner with Macquarie so you're safe there

          2. Super easy to move across, just need to complete a broker to broker form - usually actioned within 72 hours. No fee to do this as long as the names/entity types are the same, so your moving shares for John Smith to John Smith, and not the Smith Family SMSF.

          3. Money needs to be in your Macquarie account before transacting

          Let us know if you need answers to anything else :)

  • Yeah would like a review of this as well.

  • I use it. Good for a buy and hold index investor. This new pricing is cut throat competitive and I'm loving it.

  • How does the UX compare to self wealth

    • Think self wealth is $9.50 per trade regardless of the size of the trade whereas Open Trader is $5 for trades under $5k and $15 or 0.1% for trades above $5k

    • I use both and prefer the Open Trader UX. You can configure dashboards to your preference. It uses the charts and screener from tradingview. Biggest plus over SelfWealth is that ASX data is live.
      Open Trader works best on on a larger screen. Tablet at least, laptop/pc would be better. You can run it on mobile but I find that a pain. They've said they're working on a mobile app. But honestly, I prefer to trade on a larger screen anyway with all the information I need in front of me to make an informed decision.

  • Well. I guess it's time to say goodbye to Superhero lol. Jumping stockbrokers like I'm jumping Sim cardss

    • Why? Superhero is flat $5 for all trades and free for etfs

      • Because Superhero is not chess sponsored individually.

        • What is the specific advantage of being CHESS sponsored at the individual level rather than the institution level? Genuinely curious

          EDIT: found my answer CHESS sponsored individually you own them directly institutional level "If the company goes under, your ownership of the shares isn’t as clear as if they were CHESS Sponsored."

          • @coolhand: You can easily transfer shares between CHESS sponsored brokers

            • @Meovel: Here though you cannot transfer shares between Selfwealth and Open Trader, as Selfwealth is their sponsor. Rest all should be fine I guess. Also the customer service is non existent, mostly email communication, but that is passable.

              • @gajpal: Does this mean that you can't transfer any shares purchased on OT to SW? Or did i read that wrongly.

                Would have thought a broker to broker transfer would be possible?

              •  

                @gajpal: We're working hard on getting more people into customer service. We've tripled our count since March and have some amazing people that came across from CMC, CommSec and other leading brokers along with super smart grads. The pace of growth across our business has been crazy, and we hope that we'll be best in this category soon too.

              •  

                @gajpal: Just a correction. OpenMarkets is the sponsoring broker, which provides the protection under the national guarantee fund. And yep you can transfer in and out as you wish between platforms

            • @Meovel: is there a cost involved in doing this?
              so you could also move away from OT down the track too, if you wanted to sell for example to avoid the % of value type fee? or is this not something generally done?

          • @coolhand:

            What is the specific advantage of being CHESS sponsored at the individual level rather than the institution level?

            Not your CHESS, not your stocks.

      • Because the limit orders and live pricing with super hero will be ending in Jan; or else pay monthly fee ($9?)

        • Pretty sure you have to pay for live pricing with open trader too. Not sure about limit orders.

          • @coolhand: Live pricing is free on Open Trader at the moment. That will probably change down the track. I have seen mention of a subscription fee on the website but the rep confirmed in the previous deal that it's currently free.

            • @LJackson: is that the same for limit orders ? only temporary free ?

              •  

                @phunkydude: Limit orders and stop losses will always be free. In fact , we've got some cool enhancements coming your way in both these areas that will stay free. Live pricing - we're currently paying for it, but will look to pass through ASX and/or chi-x live data fees at some stage. We won't make a margin on that.

  • Interested. Cheaper than interactive brokers for that trade amount.

  • Can you do instant fund transfer into the account?

    • The account is funded by transferring money into a Macquarie cash management account, which isn't instant from another Macquarie account and can take a few hours. Other Macquarie accounts are Osko-enabled though.

      At the moment it seems like OpenTrader only checks the balance in the Macquarie CMA at the beginning of the business day, so your funds have to be in by then in order to trade that day.

      • Thanks, this missing feature is the only gripe I have on these low cost platform.
        Superhero seems great with payid feature but need to pay monthly fee for limit orders

      • Yep, it’s overnight transfers into Macquarie CMA only (apparently because it’s an older product on older infrastructure) which is disappointing

        • No it's actually quicker than overnight. Fund transfers from my Macquarie savings account to the Macquarie CMA arrive in under 4 hours.

          • @lanceteer: does the CMA account shows up on the macquarie normal savings account login ?

            or need to request for it to be linked ?

            • @phunkydude: When you sign up for OpenTrader and get to the part of submitting details to Macquarie, they'll ask if you have a Macquarie ID. If you provide it then, it'll be linked to your existing Macquarie ID and the rest of your accounts.

          • @lanceteer: This is my only Macquarie account, so I was talking about transfers from other banks, not between accounts

      • +2 votes

        We wish it was easy to fix! But we've got some cool plans for a workaround and part of this will mean a different bank. We want to fix this more than you guys can imagine :):)

        • Just a feedback that my Macquarie account is linked to both Stake and Opentrader, and Stake always receive the cash a lot quicker than Opentrader. For example today I transferred cash to Macquarie account at 1-2pm, then Stake received in the account at 4pm whereas Opentrader still showed 0, so there must be a way around this.

          Also can we get notification when cash in Opentrader account? Selfwealth and Stake have this handy feature.

  • Great post OP!

    I've signed up to OpenTrader when it was posted on OZB for the first time when the limit was 2.5k. It took me about 2 solid weeks to actually have everything processed and account opened ready for trading. I would say it's a good platform for "speculative" trading as it does exactly what it offers. It is quite basic but the tools for charts and analysis are sufficient for beginner traders IMO. Just keep in mind that the prices you see are delayed about 15min unless you're being quoted.

    It's a very no-nonsense trading platform that is better for people who want to trade stocks a bit more frequently IMO. Unlike Commsec, it doesn't give comprehensive guidance and "education" but is more analysis-oriented. From what I understand, you won't get IPO offers or anything like that either.

    It's linked to a trading account by Macquarie Bank with no fees. You fund your activities through that bank account they open.

    So far I've had no problems with it and have been trading on it for about a month or so.

    • How does SelfWealth compare to this? (If you've used it)

    • Can you use an existing Macquarie account? Or link it to your existing internet banking if they force you open a new account?

      • If it's anything like thinkmarkets, then if you have a Macquarie CMA you'll be able to… But have to sign some additional paperwork

      • What blighst said. I’m not sure because I’ve never had an existing Macquarie account but it is one of their cash accounts for trading. I would assume you would be able to.

    • +2 votes

      @stemcellsss love that you've touched on education, keep your eyes peeled tomorrow - we have something dropping tonight that will help here ;)

      • Would love to know more about this

        • +1 vote

          We delayed it to next week - compliance needs to have more time to go through it :) if you've signed up to OpenTrader, you'll get an email on this next week!

    • +1 vote

      IPOs were working on with our friends at Selfwealth - will be next year

    • +1 vote

      Oh and it's live prices - not sure why you're seeing delayed. Might be worth raising a support ticket 😉

      • that’s awesome to hear you guys are taking on our feedback :P much appreciated!

        Maybe one day you’ll consider implementing some referral bonuses too? I’d like to recommend OpenTrader to a few friends 🥺 👉👈

  • Still waiting for free brokerage like they have in the USA.

    • I'm tipping superhero will offer free brokerage on any ASX listed shares by mid next year (not just ETFs).

      If you're ok with not having individual CHESS ownership of your shares then you'll get your wish soon enough 😉

      • What are the ongoing implications of buying with Superhero?

        Is it possible to transfer shares to a CHESS sponsored broker at a later date or do you have to cash-out if you leave Superhero?

        • Is it possible to transfer shares to a Chess sponsored broker at a later date or do you have to cash-out if you leave Superhero?

          Broker to broker transfer is coming. Believe it is on their website.

      • no free limit order is a deal breaker for a lot

        • If you are trading high value and high volume or short term trading then the answer is yes.

          Imagine if you buy the index today (okay index might move 1% or 2% on the day) but over 10 - 30 years if the index goes up 50% or 100% it really doesn't matter that much.

          • @netjock: Yeah index is fine, for individual stock especially low value one rate fluctuates a lot.
            Also only worth in small trades. In high value trades the loss from non-limit order shall be greater than the $5 brokerage saves, not to mention independent HIN.

          • @netjock: Even for high value and low volume trades, if you are not careful you can lose ~1% per trade using market orders compared to carefully placing limit orders.

            • @mrvaluepack: Horses for courses, ~1% over 20 years is a big deal. I guess so for some people.

              I would suggest taking wrong risks and losing your capital would be worse. I can show you a few trades that ~1% wouldn't matter because it was bad timing and a crap company.

              • @netjock: It depends on the size of the order. 1% on a $5k order is nothing while 1% on a $50m or a $425m order is a substantial amount of cash.

                • @whooah1979:

                  1% on a $50m or a $425m order is a substantial amount of cash.

                  if I was an institution would I be on OzB looking for a deal on brokerage? Like I said horses for courses.

                  If I was buying at that size I'd be looking at institutional brokers who could get me a block of that size (direct, not on market) without moving the market 5% on a deal of that size.

                  You'd probably get fired trying to enter an order of that size on a limit order on the ASX. You'd be signalling to all the market that you've put a floor on the stock or you know something that other people don't know.

        • Wait no free linit order with Open Trader? How much does it cost to place a limit order?

      • Hope so. But the US free brokerage model they sell your trading data to high frequency traders so they can in theory front run. That is illegal in Australia.

      • Not going to happen, Selfwealth and Superhero all trade through Open markets they are not participants. They need to pay OM a fee for each trade, to offer free brokerage the broker needs to be taking money elsewhere either through order flow (terrible for customers), earning money on cash in settlement account or from product issuers and market makers (note there could be other means).

        Superhero may be able to earn a commission on cash in settlement account but OM would own the order flow which means they would be getting any revenue, i'm sure they would be taking their cut before any goes to Superhero.

        interestingly, OM seem to be happy to sign up brands that are now competing with Open trader basically putting added pressure on their margins.

        back to your comment if any of the 3 were to go free, Open Trader would have the strongest position being the ASX participant.

        • You are right.

          Everyone wants stuff for free (Facebook / Instagram) then shock horror when they find out they don't own their data and they are the product offered for sale.

  • Do they offer referral bonus?

  • well thats coz superhero launched so they had to lower their price, i still think the best is selfwealth with fixed price 9.9 per trade no matter how big you buy.

    • Nah most people invest in parcels of $5k, and OpenTrader has got nails into Selfwealth's coffin here.

      • whats the spread like?

      • +2 votes

        Just for the record, we think Selfwealth is an awesome platform which has revolutionised the Australian market. We have a long list of things that we're working on in collaboration.

        We believe that were in different categories, and as has been mentioned, we cater for more active traders that need streaming live data, analytical tools and low latency connectivity.

        The reason why we changed our brokerage is we've had heaps of people ask and it's easier to say - it's not actually in response to any one in the market. We run our own race, and we see our competitors as the big banks. Fwiw, we overtook nabtrade last month by volume!

  • What about thinkmarkets ? Better option for >$5000 trades maybe?

    • Their pricing for 5k-10k is too high at $15 considering you can just split for e.g an $8,000 order into parcels of $4,000 and pay $10 in brokerage for two trades as opposed to $15