Shares you never sell

Discussion in 'Sharemarket Investing Platforms, Tools & Services' started by MTR, 5th Feb, 2020.

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  1. Fargo

    Fargo Well-Known Member

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    Stake use OFX, I have entered details with ANZ and St George to compare cost but never pressed enter because it was much more expensive with them. Of course the higher the amount the more the savings diminish. The FX rate was similar but fluctuates.
     
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  2. MWI

    MWI Well-Known Member

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    CommSec told us to forward details, only when settled share entitlement documented and changed (all that legal name changes, conversions, allocations and so on).
    In addition US company is in process registering our shares we will receive of US shares for exchange of ours, so no need to fill in any forms as this part is taken over by the US company which is looking after the paperwork. So shares will be fully tradeable upon closing of the transaction contemplated in the Agreement, without any additional waiting period.

    The only nuisance is the process is taking quite a while, but for now we are very happy with current outcome. Fingers crossed.;)
    We could trade existing stock now (after the announcement), but in US stocks...
     
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  3. Fargo

    Fargo Well-Known Member

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    I think Stake is instant, I just place my order and go to bed when I sell the funds are available when I wake up. The problem is the order is automaticly cancelled. It is only good for one day and their can be large gaps between buy and sell bids. making it hard to low ball 3 and 10% daily movement is common. Been down 10% one day and up 30% 2 days later.
     
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  4. Fargo

    Fargo Well-Known Member

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    Some brokers refund some of the FX fees as I guess it takes a whiles to process and the rates may have changed. They charge extra to cover themselves. Don't know about comsec but I expect they are like our other big banks and behind in their technology as share holders demand dividends instead of investing for the future.
     
  5. MWI

    MWI Well-Known Member

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    Thank you for that explanation, will note this and need to discuss then...
    Are these gaps on large or smaller amounts, sorry for asking?
    Gee, now looking at 7 figures sell in low market capitalization company currently, may be hard to sell indeed, may take longer... say a month or a year, or longer and such vast spreads?:(
    Will need to discuss this sell process or may just do it in small parcels over time?
    As you realise certain announcements also warrant sometimes even daily sell or buy, fluctuations in such companies are not uncommon so more to think about.
    10%-30% movements of say 7 figures in US $ is huge IMO.
    So many things to consider may need to discuss the strategy with my tax lawyer (possible for one of us to go to pension phase later in the year, thinking of $1.6 threshhold excess better to do it when it is lower member balance, and if there is a huge then rise in investment that may be captured in the pension phase - hence less CGT to pay proportionally as some would be tax free, rather than wait for spouse to enter pension phase so many years later). Do you know what I mean by that?
    Well anyway thank you for your help and it's a nice problem to have, IMO!;)

    On separate note quite few years back it took me about a month to sell one ASX share portfolio. As it was ASX shares it was easier and trading in a channel so very luckily for me no need to drop the price, kept selling high when others entered low.
     
  6. geoffw

    geoffw Moderator Staff Member

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    If you go with Stake, you're probably better not to go with the free level. Subscribe to the minimum paid level. The reason is that the free level gives the option of market orders only. You can't set a minimum price and wait until somebody pays that price. With the low liquidity you're talking about, that may lose you money.

    If the company is newly listed, you're possibly going to have a lot of other people trying to sell at the same time, so this may not matter. It depends on how anxious you are to sell.
     
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  7. willair

    willair Well-Known Member Premium Member

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    I know some long term investors that only have one asx listed from the start in the early 1990's and they purchased from above $6-00 up too $14-00 and started with 5000--drp's all the way till a few years ago through all the blow-up's GFC when it went from $95--00 into $24-60 and living the dream..

    [​IMG]
     
    Last edited: 6th Feb, 2020
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  8. MWI

    MWI Well-Known Member

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    Thank you @geoffw.:)
    For sure I would like to set minimum price so noted. The company already exists in US, just being taken over. You see since it was private IPO in AUS we had no liquidity (hard to sell), now this opportunity will change the game for some...
    No need to sell any or all, just I have seen great high and low fluctuations in a year or really in few days within a year (17x in day or two, then back to mean - still undervalued IMO) so I thought I may take advantage of that, or at least pull out the capital invested? Plus the low AUS $ helps if one is to take some profit and liquidate since initial IPO purchase in AUS $.
    Will be interesting to see if many sell once all receive the allocations, perhaps opportunity to buy some more, time will tell?;)
     
  9. MWI

    MWI Well-Known Member

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    So true,
    I know of one couple who made a killing on Flight Centre (they were initial investors...).
     
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  10. Phar Lap

    Phar Lap Well-Known Member

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    ...or Berkshire Hathaway. ;)
     
  11. PandS

    PandS Well-Known Member

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    Lowest Cost Online Trading and Investing | Interactive Brokers
    is the cheapest and the most reliable for international, they been around for a long long time
    all crisis comes and go these guys still around
    you can buy $25,000 USD worth and it cost you $5

    Can be a pain to setup though America money law is tough
    a lot of institution use IB

    I have an account but took me a few weeks to set it up
     
    Last edited: 6th Feb, 2020
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  12. Fargo

    Fargo Well-Known Member

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    Why does it say on the link 0.8 commission or minimum 6 AUD per trade. The example given shows 20k costs AUD 16 , a $60 trade would be 10% commission. Under the tiered trading you are even charged 10 USD a month if you don't trade and whole bunch of other complicated fees when you do trade. Then when you sell and buy again you would be charged again and if you had gains the cost would be higher on the way out and when you go in again would it not ?
     
  13. PandS

    PandS Well-Known Member

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    Commissions | Interactive Brokers

    if you buy the odd shares here and there and hold IB probably a bit over killed but if you into trading other instruments where each ticks counts and each trades cost bugger all it a good platform

    Cost me $4 - $5 to buy or sell a 170K future contract depend where the index trades at a time.

    index at 6900 x 25 ~ 170K contract
     

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    Last edited: 7th Feb, 2020
  14. Swuzz

    Swuzz Well-Known Member

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    A share you would never sell would want to be paying a healthy dividend!
     
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  15. timetoact

    timetoact Well-Known Member

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    That's a good point.
    My CSL shares will probably get sold down over several years (for CGT reasons) at some point a few decades from now with the funds transferred to higher yielding investments.

    So not a "never sell" but close enough to it, I'll take the high capital growth over dividends for the time being.
    Hey, on cost of purchase the dividend will actually be looking amazing by then, but that's a bit of false economy in my eyes...
     
  16. Swuzz

    Swuzz Well-Known Member

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    So "shares you never sell until you do"
     
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  17. timetoact

    timetoact Well-Known Member

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    exactly! :p

    Or "Shares you never sell until you've made it and want to buy a big yacht"
     
  18. moridog

    moridog Well-Known Member

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    Gawd I bought csl with my DD a couple of years ago, we have 50! Lol wish I’d had more money!
     
  19. Redwing

    Redwing Well-Known Member

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    Dearly Departed?
     
  20. moridog

    moridog Well-Known Member

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    Lol, dear daughter! She has worked since she was fourteen and has to save half her pay, I would buy a parcel of shares whenever she had a thousand saved up. The CSL minimum was 50 so I subbed her.
    She’s just turned 18, finished school about to start Uni, and removed my account from her payroll. Needless to say, she hasn’t saved a cracker since:(
     
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