Comsec reduces online trading fee to $14.95
Comsec has immediately struck back at Westpac by offering online trading at $14.95 via its Commonwealth Direct Investment Account (CDIA).
Key differences in these offers are as follows :
1. Comsec requires the customer to establish a CDIA with an intial deposit of $5,000 while Westpac do not require the establishment of a specific bank account.
2. Westpac’s $15 brokerage applies for online trades up to $15,000 and thereafter $28 up to $30,000. Comsec charges $14.95 for online trades up to $10,000 and thereafter $29 up to $30,000. For online trades greater than $30,000 both brokers are charging 0.1% per trade.
So, who’s next ?
Those who offer online trading as their core business will certainly feel the impact of this round of discounting. Those institutions offering an online broking service in addition to other financial services will be better placed to compete as they have additional services to cross sell to their online trading customer base.
Online brokers offer a number of services in addition to online trading at discounted rates. These range from margin trading and access to international markets to real time portfolio management and access to float allocations. For a comprehensive review of online brokers and the fees and services they offer, visit www.brokerchoice.com.au.