Easy Equities good or bad?

Bundu said:
www.moneyweb.co.za

After 11 years, Sygnia to introduce admin fees on its funds

Will result in total fees on many core funds close to doubling …
www.moneyweb.co.za www.moneyweb.co.za

The new fees are based on a sliding scale, depending on the size of an investor’s portfolio. For those with assets under administration of under R2 million – which will likely be the vast majority of Sygnia’s retail client base – the administration fee will be 0.35% per annum.
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/s

Actually charging a fee. So outdated.

Don't they know they're supposed to attach it to a rewards program and give it a flashy name like prosper-fee/succeed-fee/bloom-fee/flourish-fee?
 
I think it is inevitable that, at the end of the day, all these services will end up charging fees and subsequently end up increasing it. It is not limited to EE, Sygnia, Satrix or even South Africa. There has been a great move the past 10 or so years across the globe where investing was opened to the average person, many companies waving huge brokerage fees to attract small individual investors to use their platforms directly, without the need of working through a brokerage like before and paying huge fees, but the flame is busy dying out and these companies need to make money too.

I remember back in the day if you wanted to buy shares in something specifically, you contacted your broker, bank or a company like PSG, Sanlam, etc., and you opened an account with them and gave them instructions. Back in the day a R200+ transaction fee was the norm, and this fee was based on the amount you wanted to invest in a specific instrument. And there were further fees later if you wanted to sell off. Thing is, I think we will be heading back to those times. All these platforms will eventually need to make more money of face the risk of going belly up.
 
The Worker said:
I think it is inevitable that, at the end of the day, all these services will end up charging fees and subsequently end up increasing it. It is not limited to EE, Sygnia, Satrix or even South Africa. There has been a great move the past 10 or so years across the globe where investing was opened to the average person, many companies waving huge brokerage fees to attract small individual investors to use their platforms directly, without the need of working through a brokerage like before and paying huge fees, but the flame is busy dying out and these companies need to make money too.

I remember back in the day if you wanted to buy shares in something specifically, you contacted your broker, bank or a company like PSG, Sanlam, etc., and you opened an account with them and gave them instructions. Back in the day a R200+ transaction fee was the norm, and this fee was based on the amount you wanted to invest in a specific instrument. And there were further fees later if you wanted to sell off. Thing is, I think we will be heading back to those times. All these platforms will eventually need to make more money of face the risk of going belly up.
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I agree, these platforms have costs and a profit motive.
Years ago I used to buy shares through sasfin and their fees were insane. We've still got it good now
 
The Worker said:
I remember back in the day if you wanted to buy shares in something specifically, you contacted your broker, bank or a company like PSG, Sanlam, etc., and you opened an account with them and gave them instructions. Back in the day a R200+ transaction fee was the norm, and this fee was based on the amount you wanted to invest in a specific instrument. And there were further fees later if you wanted to sell off.
Click to expand...
This is exactly why the market for affordable, democratized trading platforms like EasyEquities exists.

Short-term memory is a major impediment to the longevity of businesses that start with the best intentions of serving those that previously fell outside the scope of such services.

By changing the business model to align with that of the traditional investment firms, it is regression.

X fee today, Y fee tomorrow.

It is astonishing how many businesses and investors still aren't seeing the erosion of value and strategy by pursuing short-term profiteering.

Welcome to late stage capitalism.
 
Merlin said:
This is exactly why the market for affordable, democratized trading platforms like EasyEquities exists.

Short-term memory is a major impediment to the longevity of businesses that start with the best intentions of serving those that previously fell outside the scope of such services.

By changing the business model to align with that of the traditional investment firms, it is regression.

X fee today, Y fee tomorrow.

It is astonishing how many businesses and investors still aren't seeing the erosion of value and strategy by pursuing short-term profiteering.

Welcome to late stage capitalism.
Click to expand...
If we're still talking about Sygnia, then this is 100% not what they're doing
 
Bundu said:
www.moneyweb.co.za

After 11 years, Sygnia to introduce admin fees on its funds

Will result in total fees on many core funds close to doubling …
www.moneyweb.co.za www.moneyweb.co.za

The new fees are based on a sliding scale, depending on the size of an investor’s portfolio. For those with assets under administration of under R2 million – which will likely be the vast majority of Sygnia’s retail client base – the administration fee will be 0.35% per annum.
Click to expand...

So on a small R2m portfolio they are charging you R7,000 per year.... for what????????????
 
Because of this reason, this is why I looked past the SYGNIA only FUNDS, and gambled a bit more aggressively, picking funds which hits 25% growth, compared to 10%.
 
Wrath of Khan MD said:
So on a small R2m portfolio they are charging you R7,000 per year.... for what????????????
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Yes , and no. Up until now investing in Sygnia funds through Sygnia were fee-less. Every other fund has a fee. What Sygnia is doing (rightly or wrongly) is adding a fee to their internal funds.
 
My honest view, if you can beat a lower fee with great performance, then go for it.

The only reason why I didnt moved my Stanlib preservation fund as yet, awesome growth on the selected funds, at a cost.
 
without going into the Sygnia website and hunting around.. is this 0.35% fee on your portfolio in addition to the already charged yearly fees on their products?

secondly, wtf would anyone actually invest with a South African company when these are their fees? offshore is 100x cheaper
 
Wrath of Khan MD said:
without going into the Sygnia website and hunting around.. is this 0.35% fee on your portfolio in addition to the already charged yearly fees on their products?

secondly, wtf would anyone actually invest with a South African company when these are their fees? offshore is 100x cheaper
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See #5268
 
Wrath of Khan MD said:
without going into the Sygnia website and hunting around.. is this 0.35% fee on your portfolio in addition to the already charged yearly fees on their products?

secondly, wtf would anyone actually invest with a South African company when these are their fees? offshore is 100x cheaper
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Can I move my RA and TFSA there?
 
I recall in 2020 when masses of clients exist FNB investments, they quickly dropped their monthly fees.
 
Merlin said:
This is exactly why the market for affordable, democratized trading platforms like EasyEquities exists.

Short-term memory is a major impediment to the longevity of businesses that start with the best intentions of serving those that previously fell outside the scope of such services.

By changing the business model to align with that of the traditional investment firms, it is regression.

X fee today, Y fee tomorrow.

It is astonishing how many businesses and investors still aren't seeing the erosion of value and strategy by pursuing short-term profiteering.

Welcome to late stage capitalism.
Click to expand...
A business needs to be profitable...otherwise it affects all the other good customers.

To at least make all customers pay for themselves and not cost the business money is a reasonable move.

These costs by and large are not targeting good customers, only loss making ones.
 
The Worker said:
There are rumors doing the rounds on international forums that platforms like IB, eToro and more are also considering new fees. Things may become difficult for smaller investors in future. Perhaps just buying Gold, Silver and other collectibles and keep it stashed away for 60+ years may be a better option than facing millions in fees, taxes and more on normal investments.
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With more and more regulation coming in place with all things financial there are a lot more costs for these businesses to operate so it makes a lot of sense.

That being said a sliding scale is not it for covering those costs as they should be a standard baseline across all customers, so as usual you have the rich getting richer and the poor paying for it.
 
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