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Who Me Too'd this topic

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Good day All.

 

Thought we could share ideas on how one can minimize the costs of Trading on the Webtrader platform, since personally I'm finding the 'cost factor' alone to be stretching the overall value proposition far too thin - if not obsolete. As such, I thought i'd ask around and see how others are dealing with this issue.

 

As I'm sure many have noticed, SBK seems to be playing the role of an 'intermediary broker' for Saxo Bank here, and naturaly this means a wide range of the same old 'third party' issues:

  • I'm getting a basic level white-label version of the 'Saxo Trader Go' platform - with far less features than the original (e.g. No Trade Signals, no Saxo Live Squawk, less indicators & advanced trading tools, etc.) 
  • I get wider spreads on WebTrader than with Saxo direct, Dukascopy - or any other competitive international retail broker for that matter  (e.g. EUR/USD @ 2.0 pips vs 0.5pips for the exact same Trade)
  • I get lower leverage & Higher margin requirements on Webtrader (e.g. 2-7% MR vs 0.5-1%)
  • 3rd party Commissions, etc, etc, etc.

Fom this standpoint alone, I fail to see why a Trader with a >R10k trading account would go for Webtrader...   (any pointers here would be highly appreciated!) - especially since Webtrader consultant also dont seem to understand the competitive advantage of their own platform.

 

My main question though has to do with finding the most cost-effective way of making Deposits and Withdrawals into & from my Webtrader Account.

 

Scenario: I'm a South African, living in SA - but my Webtrader Account is a USD account

Deposit costs

  • To deposit R150k into my Trading account - I'm always advised by Webtrader consultants to just go into a Branch.
  • Bloomberg USD:ZAR rate is 1:12.85 but at the Branch I only get a 13.30 spot rate (In addition to other charges)
  • So in my account I will now have $11 278.20 instead of $11 673.15  
  • That means I've spent about R 6500.00 (incl. additional costs) on 'Webtrder admin costs' before I even start trading !

Withdrawal costs

  • After making $2000 from trading the USD/ZAR pair (with all the pain-staking issues listed above). I decide to withdraw all my funds, including the profits - and deposit them into my local savings account.
  • SBK Webtrading team suggests that I log a withdrawal request (with a 48 business hrs resolution time)
  • The funds will be converted from USD to ZAR (at 'whatever' the rate will be in 4days !) and deposited into my Local savings account.
  • If Bloomberg USD:ZAR rate is 1:12.85 (on day 4); SBK will give me a conversion rate of 12.40 (in addition to other charges, again)
  • So my new account balance ($13 278.20) will be R 164 649.68; instead of R170 624.87
  • Once again I have to spend about R 6500.00 (incl. additional costs) on Webtrader admin costs before I even access my funds ! 

So, in essence - I actually have to spend about R13 000.00 (+/- 9.0% of my initial capital) just to deposit and withdraw funds into & from my Webtrader account !!!

 

PS: All these costs do not include the 'Platform costs' (i.e. Annual 'admin' fee, 'currency conversion' fee per trade, ticket fee for opening a position, ticket fee for closing a position, tom/next rollover fees for overnight trades, interest on margin fee deductions, etc, etc, etc)    

 

Guys, please help here. Maybe there's something im missing here.

Don't just wanna jump the gun and leave before exploring all alternatives.

 

BTW : Have already considered the 'Shyft App' & 'Opening a USD account' for withdrwals, but noth only offer partial assistance...nothing really substantial. 

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