The CommSec minimum deposit amount to open a real trading account is 0 (zero) US Dollars. The Minimum Deposit for 1st time traders might vary based on the trading account type selected. Deposit activation can be up to 72 hours*
Finding a reputable list about CommSec minimum deposit local or worldwide can be a difficult process, especially finding a complete list from a trustworthy reputable source.
Below is an in-depth Minimum Deposit Review regarding this regulated Forex company, which will assist traders to make an informed decision, when it comes to funding your trading account.
CommSec does not appear to have a required minimum deposit amount to open a broker account, however, there are certain stipulations when it comes to shares trading.
As such, your initial purchase of any shareholding must be at least $500 worth of shares, known as a ‘minimum marketable parcel of shares.
CommSec may then allow you to purchase smaller amounts of shares to top up existing shareholdings. For example, if you hold $500 worth of shares in XYZ you may be able to purchase a smaller amount of XYZ to increase your existing holding.
It is important to note that CommSec can only consider CHESS-sponsored securities with CommSec when reviewing your holdings. Any issuer-sponsored holdings or holdings with other brokers cannot be accounted for by CommSec.
CHESS (Clearing House Electronic Sub Register System) is the computer system used by the Australian Securities Exchange (ASX) to record shareholdings and manage the settlement of share transactions.
There are several advantages to having your shares CHESS sponsored by CommSec, you can:
- Automatically keep track of your portfolio and its market value online
- Immediately place sell orders online without the need to provide additional information, such as an SRN (Security Reference Number), because all the required information is at hand
- Generally, place a buy order without a deposit if you have sufficient CHESS holdings already sponsored by CommSec
- Update your personal information with CommSec, once, rather than updating separately with multiple share registries
- Top of Form
Deposit fees and deposit methods
CommSec does not rely on the traditional deposit methods to trade on a user account, but the broker relies on a payment process called a T+2 settlement.
When you buy or sell shares, a process called T+2 settlement takes place where ownership of the shares is exchanged for money between the buyer and seller. This occurs on the second business day after the trade takes place.
Step by step guide to deposit the minimum amount
Using the abovementioned T+2 settlement, deposits (which will consist of funding to your account from shares trading) will occur in the following ways:
- When buying shares, the broker will automatically debit your linked bank account 2 business days after your trade. Make sure you have sufficient funds by 8 AM that day. If the broker cannot debit the required funds on T+2, you may be charged a late settlement fee.
- When selling shares proceeds will be automatically credited into your linked bank account 2 business days after the trade. It may take another business day for you to be able to access those funds.
- An estimated settlements calculator is available on the CommSec website in the Home section
- If clients wish to buy and sell on the same day, the broker can use a system called contra settlement to cover the difference between the trades
Pros and Cons
|No minimum deposit requirement||Deposits only available from Commonwealth Bank Account|
|Deposit currencies only consist of AUD|
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What is the minimum deposit for CommSec?
CommSec does not have a minimum deposit in the traditional sense. As such, your initial purchase of any shareholding must be at least $500 worth of shares, known as a ‘minimum marketable parcel of shares’.
How do I make a deposit and withdrawal with CommSec?
CommSec, unlike other brokers provides you an automatic trading limit of $25,000 which is allocated to leading stocks.
Within this limit, $7,500 can also be used for non-leading stock. The trading limit allows you to place orders up to these values without any deposit requirements.
Funds will be payable by you on the morning of settlement, which is two (2) business days after your buy order has executed (T+2).
To increase your trading limits you need to place a deposit via a Commonwealth Bank Account, or through shares vales. The amount of your deposit should be 50% of the amount by which your trade exceeds your trading limit.
For example, if you wish to buy $10,000 of non-leading stock, this is $2,500 above your automatic trading limit for non-leading stock, so a deposit of $1,250 will be required.
Does CommSec charge withdrawal fees?
How long does it take to make a withdrawal?
Withdrawals can take less than ten minutes, as a Commonwealth Bank account holder, however, when transferring to other bank accounts, the transfer period can be up to 10 business days.
Traders whose nominal currencies includes such options as ZAR (Rand), will incur conversion fees.