Share trading costs

[xrapidx]

The last trades were listed seperately?

 

[Alton Turner Blackwood]

The last trades were listed seperately?

Yes. And the most recent sale dictates what the value of that share is.

 

[xrapidx]

Yes. And the most recent sale dictates what the value of that share is.

What I mean is the picture above is separate to the last traders....

 

[Krypt0n1te]

Can someone explain to me what this screen is all about, is it whats available to buy/sell?

View attachment 51800

That is correct, that's the amount and price guys are willing to buy at (Bids) and other guys are willing to sell at. (offers)

 

[xrapidx]

Thanks.

E.g. So basically someone is taking a chance that someone will buy his shares at 4950 for 1250 shares?

 

[hellfire]

That is correct, that's the amount and price guys are willing to buy at (Bids) and other guys are willing to sell at. (offers)

You're right, it's the bid/offer spread and not the most recent trades

 

[hellfire]

Thanks.

E.g. So basically someone is taking a chance that someone will buy his shares at 4950 for 1250 shares?

He isn't take a chance, as such. It's an asking price. Think of it like advertising in Autotrader, you have an item and an amount which you want in order to part with that item.

If you place a trade without specifying the price ("at market"), you will get the best price possible according to that bid offer spread

 

[xrapidx]

He isn't take a chance, as such. It's an asking price. Think of it like advertising in Autotrader, you have an item and an amount which you want in order to part with that item.

If you place a trade without specifying the price ("at market"), you will get the best price possible according to that bid offer spread

Yeh, thanks - I meant taking a chance by offering the shares at around 7% higher than the going price. I suppose it could be an open offer, and however it is is hoping the price hits that amount.

 

[hellfire]

Yeh, thanks - I meant taking a chance by offering the shares at around 7% higher than the going price. I suppose it could be an open offer, and however it is is hoping the price hits that amount.

Correct

 

[Alton Turner Blackwood]

Yeh, thanks - I meant taking a chance by offering the shares at around 7% higher than the going price. I suppose it could be an open offer, and however it is is hoping the price hits that amount.

This is the basis of share trading. YOU decide what the price you're going to buy or sell at. You can offer a 10c share up for R500 and theres not a goddamn thing anybody can do about it. (apart from no one buying it from you )

 

[xrapidx]

How does it actually work behind the scenes?

I have a listing for 200 for 10, and so do 10 other people

Someone decides they want 200 for 10, how do they actually get mine, or is it a first in first out type situation?

 

[HavocXphere]

How does it actually work behind the scenes?

I have a listing for 200 for 10, and so do 10 other people

Someone decides they want 200 for 10, how do they actually get mine, or is it a first in first out type situation?

The exchange automatically matches buyers & sellers.

i.e. the sellers declare they are willing to buy at R100. Buyers declare they are willing to buy at R99. If there is a gap (there usually is) then nothing happens until something changes. If a buyer & seller agree then the system processes the order.

As to your question both FIFO and pro-rata are used on exchanges. JSE should be pro-rata if I'm not mistaken. Mean you get only a portion of the shares you wanted.

 

[xrapidx]

Thnx... Learning slowly but surely. One day I'll attempt to blow some cash...

 

[hellfire]

Thnx... Learning slowly but surely. One day I'll attempt to blow some cash...

Attempt to make cash, I hope you mean.

 

[xrapidx]

Attempt to make cash, I hope you mean.

Hope so.

 

[Swa]

Where are you trading and what are the fees?

 

[Goliath]

If you sign up with Standard Bank's Online Share Trading, you get a lot of educational information on their website, as well as the opportunity to attend their free trading seminars

Standard bank much better in this regard than FNB, for a plain long term investor FNB is fine(R45 monthly fee and around R116 per trade of R15,000 or less, bigger it goes on sliding scale) but for everything else I'd rather go with STB, Absa or PSG.. As I am with FNB it was just the simpler option but regretting it now as I don't get the information I really want that Standardbank offers as standard per month!

Just my 2c...

 

[xrapidx]

Where are you trading and what are the fees?

In my case, Investec.

 

[Wag]

In my case, Investec.

With FNB and ***** scared. Bought 2 shares today and both of them are in the green after closing. Early days and still ***** scared

 

[DominionZA]

With FNB and ***** scared. Bought 2 shares today and both of them are in the green after closing. Early days and still ***** scared

How much did you start off with?
I am thinking about fiddling with this FNB thing but clueless where to start (and scared). Any pointers?