August 5, 2021

12 thoughts on “Why My Stock Transfer from Lim & Tan Securities to Standard Chartered Bank?

  1. I think u are mistaken, The custodian fee is not paid to Lim n Tan but the custodian bank like Citigroup or some US entity. So even if Lim n Tan go bust, Your share are still safe,

    1. Oh… good to know. But my broker is unaware of that, and he did not tell me. Any links or webpage to confirm that for reading purposes?

    2. Further check, I think if your shares is under the custody of the brokerage firm, then it is under their ownership, and if anything happened, they are responsible not the bank.

  2. Hello, but you know SCB trading platform is like in dinosaur form now! Really provides the basics only and the platform is not the most stable. Used to be the cheapest trading platform if you are a priority customer but not anymore with the emergence of IB, Tiger, Moomoo~

    1. Hi Nightmare Angel, thanks. And you are right, that trading platform is very basic. Likewise L&T is also only basic platform. In fact, I also sign up for TD Ameritrade. But the different is the wealth lending part and the people serving you.

  3. Morn Brolf,

    if it makes you feel better, if you are to tx out from your custodial say, DBS treasures, the outbound is $100+/counter.

    on the other hand, tx inwards to the bank as custodial is usually free, so far, have not encountered any one that charges. coz they want your biz and generally generates other upsell leads

    oh yes, i am guessing you are at least SCB priority now, dont forget to apply for their visa infinite card (for the free priority pass lounge visit. no use now, but when travel resumes =)

    1. Hi BroFC, wow… can imagine the out transfer fees is ex compared to the in.

      Thanks for the heads up for the visa infinite. I checked, and they did have this service.

      It will come in handy if travel resumes.

  4. Hi Rolf

    Haha there shouldn't be any transfer in fees one from receiving party as far as I know. Because for shares kept in custody will have monthly fee liao, and they also want to garner assets under custody. Nevertheless you have icing on the cake in form of money or credits.

    1. Hi STI, actually for SCB, they confirm that there is an admin/handling fees for in transfer as well, that is different from the custody fees. Yes indeed, the money credit is the main icing on the cake.

  5. Hi Rolf,
    Used SCB Priority for local equity in the past (think they were the first to offer this ready-cash, custodian service, with the lowest rate in the market then and no minimum), but now use DBS Treasure. Reason: have to call SCB (not the RM, but a separate department) for things such as preferential offering acceptance/excess application. For DBS, can do this easily on line on my own.

    But maintain existing equity holding in SCB for the wealth lending purpose as what you mentioned (also have unit trust holdings with them for similar purpose). Use the borrowing to invest in dividend paying bond/balanced funds, but not equity (which is too volatile for me). For lower rates, I either invested directly in Euro ("zero" rate, just pay for the spread!) denominated funds or in S$ funds but changed to either Euro/Japanese Yen when the exchange rate is favorable, i.e., enjoy lower rates while waiting for opportunity to revert to S$ for forex gain. Have used DBS for similar leveraged investments and more, such as corporate bonds IPO or corporate bonds mispriced by market. DBS is better & more helpful for this purpose.
    Have also taken equity loans from both SCB & DBS for corporate bonds investment, But this is because they happen to offer the best rates for equity/housing loans at particular times, not linked to the wealth lending aspect. For equity loans, opted for fixed rate to reduce risk posed by SIBOR fluctuation.

  6. Hi retiree5559,

    Thanks for your timely message. I pull back my SG shares transfer except for gold O87 and another stock, for the reasons of the rights/pref off/etc. Thank you for the advice.

    The rates I was told as follow.

    USD/SGD – 1M LIBOR/SIBOR + 1.1%pa (or 0.88%pa for Accredited Investor)

    EUR/CHF/JPY – 1M LIBOR (floored at 0%) + 0.6% (or 0.38% for Accredited Investor)

    Not sure what is “floored” for EUR/CHF/JPY. Their wealth lending is still affected by SIBOR/LIBOR and not fixed rate.

    Thanks for the advice on the forex, it is useful and clever strategy.

Leave a Reply

Your email address will not be published. Required fields are marked *

%d bloggers like this: