Hi all...wonder if any experts can help me on this...
Ok...I am ready to take the plunge now to buy some US stocks...but I would like to find out some information from those who have regularly bought US shares.
If I would like to buy US stocks, what are some of the processes and the impt points to take note of?
1. Which local brokerage should I use so that there will not be a lot of charges? Would that be POEMS or DBSVickers? I understand there is Interactive brokers online but somehow I feel safer with a brokerage with a local office? I understand I need to get in touch with my broker to sign the W8BEN US tax form and return them regardless of which brokerage. That allows us to trade.
2. What will some of the charges be?
- I read that some brokerages charge custodian fees, which are fees you pay just for them to 'hold' it for you.
- Trading fees. I won't be trading too much anyways...but I would like to knwo what are the charges for buying and selling the stocks and which brokerage would be the better option for this.
- Any other charges I might have missed out on?
3. Bank account holding USD.
- I have some USD in a foreign currency account which I believe will have to be tied to the trading account. Is there a minimum amount you need to keep for the brokerage to operate, other that the amount required by that particular bank?
- Say I put them in DBS, can it be linked to any brokerage or the money is supposed to be kept with the brokerage??
- May I know what are the potential taxes I have to be aware of, when keeping the stocks or selling them?
- Are there like dividend taxes etc?
If anyone can offer some advice that would be greatly appreciated! Thanks!!