Tuesday, October 1, 2019

Charles Schwab Singapore is closing by end of this year

Singapore's Charles Schwab account users have been notified that Charles Schwab Singapore will be closed by the end of this year. All account users is required to transfer their securities to other brokers, or liquidated. The parent company Charles Schwab United States is not affected, (Ali's Schwab account is held in Schwab US)

In 2017, opening Charles Schwab in Singapore to provide services focus for Asian customer. Formerly an options broker named OptionXpress, which was acquired by the Charles Schwab, then renamed as Charles Schwab Singapore. The company then provided more investment instrument such as stocks and mutual funds. Unfortunately, it is only in operation for two years, then will be closed soon. The company spokeswomen said that Charles Schwab will now focus on growing its business in Hong Kong, China, Latin America and Europe.

In current situation, brokerage industrial is very very competitive. Brokerage commission price cutting war was just happened in few years back. Nowadays investment is so easy and convenient for investors with emerge of internet and digital world, whose want to pay expensive brokerage? But comparing Schwab commissions is not the most expensive, it should not be an only factor of closing operation. However, its minimum requirement for opening account is at high side and it requires $25,000 USD. Therefore, it not attracted the local small retail investors.

All its account holders were asked to liquidation, Ali is wondering why not transfer the account to their parent company? 🤔? Won't that more convenience to users?
Singapore Finance Regulations are more strict now, may be this is the reason at behind. The Regulations may not allow them to transfer the Singapore account assets to other countries.

The following are comparison of each broker:

Or you may open account of Singapore local securities firm: Phillip Securities Pte Ltd
More about the Phillip Securities: https://aliinvest.blogspot.com/2019/09/blog-post.html

A suggestion here, if you have sufficient fund, please open two brokers. If one of them has a problem, you can immediately move the assets to another broker because it will takes some time to open a new account a new broker. Opening two brokers at the same time can also diversify the risk.

Finally, to open an broker account, please use Ali's referral link. All new users who have successfully opened an account and deposited funds can join Ali Whatsapp Broadcast for free. thank you very mush.

Read more:

Brokerage Charles Schwab closing Singapore office two years after launch

Charles Schwab to close Singapore office

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