I realise that Bank Shares are hot right now and a pretty solid investment. Though for a newbie, which bank would offer the most value. I've heard that NAB and ANZ are growing pretty fast, and haven't really heard much about Commonwealth Bank or Westpac recently in the news. Are NAB and ANZ the ones to go at this stage. Any other shares you would recommend at the momment. Thanks.
I'm happy with my small amount of commonwealth shares. They are showing steady upward growth over the 3 weeks or so i've held them. I bought based on a casual conversation with FIL. This is not a recommendation or suggestion, but merely an observation on my personal holdings. you should of course do your dd and work out how CBA (or any bank) fits into your overall plan, and your risk profile. i'm also very happy with bhp.
Is CommSec the way to go for new starters to shares? I find their "cost" or fees very confusing, can someone please flesh this out...thanks.
archangel, i've made 4 buys, and paid 29.95 each trade. i don't know if that's cause my volume on each trade was very small, or cause my total trade volume is very small.. in honesty, i haven't fully looked into how they charge or why.. it's just a cost of business *edit* actually, I paid that much because of the size of my trades. i don't know how one becomes "preferred" - maybe lots of trades, or extra fees on top, i don';t know, however, it seems fairly simply beyond that: Share trades Internet Preferred1 $19.95 up to $10,000 transaction value $29.95 (up to $25,000) 0.12% (above $25,000) Share trades over the Internet $29.95 up to $10,000 transaction value 0.31% (above $10,000) so basically, if i do any traes up to 10K, i pay 29.95. if i do trades over, say a 20K trade, it will cost around 62. Although, to me, that seems quite expensive. on a 200K trade, around 620.
If you open up a cba trading account and deposit $5000 into it the fees are much less than $29 per trade - They are around $17 per trade.
With ComSec you need to open a Commonwealth Direct Investment Account(CDIA) account and nominate that account as your settlement account to get the preferred rate of 19.95 for trade value less than 10,000AUD. Go to this place to download the form to open the account. Commonwealth Securities Ltd.
While the CDIA PDS refers to $5000 initail deposit to kick off the account, you don't need to keep the money there after setup. I keep $10 in mine just to make sure I'm covered for any surprise fees. I'd much rather have the $5000 invested, or at a minimum, reducing the loan balance on one of my LOCs.
