ThinkMarkets is a new addition to the SA online broking market and its decision to pick SA as its beachhead into Africa was based on a detailed analysis of the local market.
Is this not already an over-crowded market?
“Not at all,” says Ridwaan Moolla, ThinkMarkets regional director for SA. “Most of us at ThinkMarkets in SA are veterans of the broking industry, and we understand the true costs of investing – which are not always obvious to the client, from trading commissions to withdrawal and admin fees. If you add these up, your total costs can be as high as 4% to 5%, which is way too high.
“There’s a huge opportunity for someone like ThinkMarkets offering access to a wide range of local and international markets at razor-thin fees.”
So what are those fees? Just 0.25% of the investment amount, with a minimum of R30. That applies to JSE share purchases and sales. There are zero commissions when trading CFD (contracts for difference) shares and indices.
And, importantly, there are no withdrawal, admin or other hidden fees.
It’s not only low costs that ThinkMarkets believes will grab the attention of traders and investors.
“You have to do more than provide a platform for people to buy and sell financial assets,” says Moolla. “We want to make savings and investment more accessible to the mass market. Our education tutorials are brilliant and explain what are sometimes complex subjects in a simple way.”
For more seasoned traders, the key concerns would be costs, speed of trade execution and the comfort of knowing that the broker is not betting against you – a well-documented practice among some brokers who will hit your stop-losses and miss your take-profit levels to their own financial benefit.
“Our policies do not allow us to engage in practices like that,” says Moolla. “If you are not doing all within your power to assist your clients build their wealth, then you are working against them. We do that through the offering of education, research based on great investment ideas and strategies – some of them unconventional – and at low costs.”
Why culture is important
Culture is important in a broking firm, says Moolla: “We are targeting all segments of the market, from those with low risk appetites to day traders and everything in between. But more than that we want to expand the SA trading and investment market, and we are doing that through our online tutorials, daily and weekly market reports and research which is geared to creating investment ideas calculated to grow the wealth of our clients and give them a great experience in doing this.”
Moolla adds that any new arrival to the SA market must establish its credibility and win the confidence of its clients.
“Our proposition to clients is based around doing the fundamentals well: very low costs; secure and fast trade execution across a broad range of local and international markets and asset types; excellent technology to make the customer experience a smooth one; and segregated trading accounts that remain under the control of the client.”
With that offering, Moolla has little doubt that it will become a force in the SA broking community in short order.
ThinkMarkets offers clients the following:
- Tight spreads, low- to zero commissions and a variety of account types, tailored to client preferences;
- A company licensed in Australia, UK, Japan and SA;
- The ability to trade across multiple asset classes, including CFDs on currencies, CFDs on equities, cryptocurrencies, commodities, indices, futures and now JSE stocks, exchange traded fund (ETFs) and exchange-traded note (ETNs);
- A proprietary mobile trading app that allows clients to trade and manage their positions from their smartphones. The trading engine uses the latest technology to provide the best pricing and execution speed;
- Client funds are held in segregated trust accounts;
- Zero commission for CFD shares both locally on the JSE and international shares, indices and cryptocurrencies;
- Investment in all JSE shares, ETFs and ETNs with brokerage at 0.25% minimum R30. Premium clients investing over R250 000 receive exclusive benefits and pricing.
To find out more or sign up, click here.
Brought to you by ThinkMarkets.
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