Advice needed on buying US stocks

[boroangel]

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??

4. Taxes
- 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!!

 

[vr666m]

Ameritrade or Etrade.
Go to their website, everything you need to know is on it

 

[atomboy]

DBS vickers can trade US stocks. You can settle in SGD or USD. Not too sure what the differences between the various local brokerages in terms of fees but they shouldn't vary too much.

 

[Paranoid]

Don't tell me you going to buy BP?

;p

 

[iMac08]

I use POEMS. with gd trading record u can get quite high trading limit. I gave up my UOB KH after they failed to inform me that i need to pump in ,if i remember correctly,10% of the trade. this is because when i want to buy,i realise i had only $1 trade limit. as a result i suffer some losses in my potential gain plus their phone support timing is crap.. Check out their sites, most of your answer can be answer there and then.

Do factor in contract costs and exchange loses when trading...is not like in SGX.

US market is fast and furious....if i can compare DJ to a Ferrari, SGX is like a QQ cherry to me....don't overtrade hor...and all the best for your investment....i think there are many gd buys now if u can hold long term.

 

[ed9119]

Ameritrade or Etrade.
Go to their website, everything you need to know is on it

I would rather pay a little more and use a local broker .... got MAS protection if anything goes wrong on broker end.... esp if you buy and hold..... you really do not want to deal with custody and share ownership issues as an individual if a foreign broker is going under.

If Lehman can go bust.... NOBODY is safe nowadays.