Trading is one of the great things that can help you earn more money in a short period. However, trading is not a child’s play and requires different strategies. With that said, there are numerous types of trading as well. For example, you have got share trading, crypto trading, stock trading, commodity trading, forex trading, CFD trading, etc.
Traders can choose different types of trading based on their preference, trading style, or strategy. However, one of the most popular assets that traders in Singapore like to trade between are stocks. Today, we will talk all about stock trading in Singapore.
Best Stock trading Brokers in Singapore
What is stock trading?
Before we tell you about what stock trading is, we would like to inform you about what are stocks. So, let’s begin. The term “Stocks” refers to a share of different companies. And when you buy stock(s) of several companies, you invest in them. It also means you become one of the owners of those companies.
By buying stocks of different companies, you become an equity owner of those companies. When you purchase or invest in numerous companies, such as Berkshire Hathaway, which is one of the mot expensive shares of all time ($427,450/share), you get a certificate of ownership as well.
However, you must know that the equity percentage depends upon your initial investment in that company. Moreover, sometimes the word stocks and shares are interchanged in trading. However, you must know that there is a slight difference between them.
- The term “Shares” refers to investing in a single company, whereas, stocks are shares of different companies, as specified earlier. You can say that Stock trading is a parent of Share trading.
- Stocks trading in Singapore has gained popularity as Singaporean traders have found this way of trading profitable. Moreover, the stock market is growing day by day, and reached nearly $13 trillion in 2020.
- However, stock trading requires patience as the stock market is volatile and around 80% of it is automated.
- Moreover, stocks trading in Singapore requires a reputable broker or a platform that can help Singaporean traders with some of the essential things to earn more money.
With that said, numerous Singaporean trading platforms allow stock trading in Singapore. But, as trading is associated with risks, you must choose only the best ones.
Top stock trading platforms in Singapore
Some of the best stock trading platforms that are reputable amongst the community of traders in Singapore are specified below.
1. Saxo Markets
One of the best platforms that allow stock trading is Saxo Markets. The financial assets and markets accessible through the platform are enormous. From bonds, and stocks, to CFDs and Forex, all are available on the trading platform. Moreover, the trading platform is super easy to use and comprehend. All this makes a perfect stocks trading broker for novice traders in Singapore.
The average commission fee is low and ranges between 5$ and 1$, and commission rates of 0.08% to 0.03%. A low commission fee allows you to earn more. In addition, with Saxo Markets, you do not have to pay an inactivity fee, which many trading platforms have.
Moreover, the platform has professional market research tools and educational resources that can help you get familiar with the platform. And help you understand the latest trend and situations in the forex market.
- Tight spreads on currency pairs.
- Overall great layout and user interface.
- Wide range of financial assets.
- Easy to use and comprehend tools, such as charts, indicators, margin calculators, etc.
2. Tiger Brokers
Tiger Brokers is also great when it comes to stock trading in Singapore. The platform is trusted by millions of people across the globe, which makes it a trustworthy broker. Tiger Brokers has several financial derivate options, such as futures, Swaps, and Options.
Moreover, the platform has a low commission, only 0.03% per trade. This standalone feature makes it one of the great platforms for beginners. It is because they do not want to initially spend more but earn more.
In addition, the account opening process is relatively fast. With that said, you can open your trading account within 1-3 days with Tiger Brokers. Furthermore, the best part about the platform is that you can enjoy commission-free trade for 3 months. However, this is if you are a new user.
- Easy withdrawals and deposit methods.
- Intuitive layout.
- Low minimum deposit, which is about $15.
3. Interactive Brokers
When it comes to ETFs, interactive Brokers remain top on the list. With Interactive Brokers, you can trade between over 40 ETFs and that too, without any commission. The platform is exceedingly user-friendly, and there is no inactivity fee. All this allows you to earn a hefty profit.
However, it is worth mentioning that the commission on stocks is relatively on the lower side as well. For example, the commission fee for a single Singaporean stock is $2.50. However, the perks and security provided by the platform are excellent.
The spreads are without a doubt, the cheapest when it comes to trading in currency pairs. For EUR/USD, the spread is only 0.1 pips, while the average of other brokers in Singapore is between 0.7-and 0.8.
Furthermore, the platform also has a tight spread of only 0.3 pips on the GBP/USD currency pair.
Usually, other brokers have an average spread of 0.9-1 pips on this currency pair.
- Advanced research tools.
- Low commission fees make it ideal for both pro and amateur traders in Singapore.
- Does not include any account opening or minimum deposit.
- No withdrawal fee on the first withdrawal of each month.
Moomoo is another stocks trading platform in Singapore that traders can trade on. The overall trade fee and commission are low. To be specific, the commission charge for Singaporean stock is 0.03%.
Moreover, the first three months are commission-free. In addition, the overall fee for trades outside Singapore is also low.
- The average trade fee that the broker charges for a single order per US stock are only $0.0049.
- Such a low fee allows traders in Singapore to trade with worldwide traders, and enhance their portfolios.
These are some of the best stock trading in Singapore platforms. Make sure you read customer reviews of the broker you are considering working with. As it would help you avoid any inconvenience in the latter.