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10 Best Brokerages and Trading Platforms in Singapore (2022)

Best Trading Platform Singapore
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Investing is one of the most important things everybody has to learn in order to build a financially secure future. Investing your money is much better than saving it. Saving money will only generate a little interest, while investing will help you grow your money by purchasing assets that generate income and appreciate.

These asset classes include stocks, bonds, futures, property, and art. You should start investing as early as possible to allow a long time for your compound interest to accumulate. Brokerage trading is an excellent place to begin investing.

However, most of these trading platforms can be pretty overwhelming for beginners. In this post, we have compiled a list of the ten best online investment brokerages platforms to help you know where you can start. Let’s take a deeper dive.

What is a Trading/ Brokerage Platform?

A trading platform is a platform that allows investors to buy and sell investment products. These products include:

1. Forex (FX)

Forex trading involves the movement of prices of the major currency pairs in the world. Examples include EUR/USD and SGD/USD.

Forex trading is similar to going to the money changer. So when you buy USD/SGD, you are essentially purchasing USD in exchange for SGD, which you are selling.

2. Commodities

Commodity trading involves natural or grown commodities such as silver, gold, oil, and agricultural products.

In commodity trading, you have to be aware of the products’ economic, political, and weather environment.

3. Equities

Also known as stocks and shares, these are securities that signify part ownership of a company.

If you have stocks for a particular company, it means that you are part-owner of the company.

Before purchasing any equity, you have to use fundamental analysis to understand the type of business you are involved in. Some stocks offer dividends which is a massive part of your total returns.

4. Bonds

Bonds are fixed-income financial instruments because you are entitled to a fixed periodic payment when you own a bond.

When you invest in bonds, you are a lender to the borrower who will pay back your money in interest earned in the principal.

5. Index

An index is a financial measure of a specific portfolio of securities. For example, in Singapore, the Straits Times Index (STI) monitors the performance of 30 companies that are listed on the Singapore Exchange.

The 30 companies were selected as the best indicators of Singapore’s economic health. You gain indices exposure through financial instruments known as CFDs or ETFs.

6. ETFs

An ETF, short for, Exchange-Traded Fund is a collection of securities that track or replicate the performance of an index. They can consist of different asset classes such as commodities, stocks, bonds, or an above mixture.

ETFs are marketed as security and have a buy and sell price traded at an exchange.

7. CFDs

A CFDs (Contract for Difference) are financial instruments that contract between you and the brokerage firms to exchange the value of an asset between the time you open a position and when you close it.

Most brokerage firms offer CFDs on mains asset classes such as equities, FX, and commodities.

8. Mutual Funds

Also known as unit trusts are a pool of money collected from investors who have then invested in a diversified range of securities such as stocks and commodities.

The funds collected are sued to buy different securities types if considered a safe investment tool.

9. Futures

Futures are contracts that obligate the traders to transact a particular asset at a predetermined date and a specific price.

You can buy futures on various asset classes such as commodities, forex, indices, and equities.

What Are the Pros and Cons of Brokerage?

Pros

  • Access to an extensive network of trading solutions
  • You can quickly move money within your online brokerage account to buy different securities
  • Access to online research tools to help you make better investment decisions
  • Offer a reduced fee structure for banking services

Cons

  • Investment returns are not guaranteed
  • Any investment you fund might lose value based on the stock market conditions
  • Most financial advisors charge brokerage fees for their planning services
  • Do not have lending products
  • Brokerages do not offer in-office services, i.e., no cashier’s checks or cash withdrawals.

How Do Online Brokerages Work?

Online platforms are where the traders and the financial markets meet. The best online brokers give investors more accessible access to the international markets.

You will need a brokerage firm as the middleman between the financial markets and the trader to trade on these platforms. A retail trader cannot easily access the big stock market.

There are different types of online brokers. Some will directly trade the stock on your behalf, while others will offer you to trade on financial derivatives. It is, therefore, quite essential to understand the type of broker you decide to trade with.

Which Trading Platform Should You Choose in Singapore?

Platform Commission fees in $US Commission fee in SGD Minimum Investment in S$
Saxo Markets 4 5 3,000
Tiger Brokers 1.99 0.08% of Trade Value 1
Moomoo (By FUTU) 0.99 0.99 0
Interactive Brokers 1 2.50 0
City Index 15 10 0
TD Ameritrade 0 US$ 0.70 3,500
Saxo Regular Savings Plan 4 5 2,000
Philip Capital (POEMS) 3.88 0.08 % on SG stocks 1,000
IG 10 10 0
UOB kay Hian 20 18 0

Which Are the Best Online Trading Platforms for Beginners?

1. Saxo markets

2. IG

3. TD Ameritrade

Which Are the Best Trading Platforms for Advanced?

1. City Index       

2. Tiger brands

 

Finance Economics

A deeper look at the best trading platforms in Singapore.

1. Saxo Markets: Best Overall in Singapore

Saxo Markets is a popular choice among many investors because it’s the best trading platform Singapore. It is the leading online trading platform due to its wide range of trading tools, which offer different trading assets from regular bonds and stocks to more advanced options such as CFDs and Forex.

The platform also offers regular saving plans for their clients and managed portfolios that cater to those who prefer a passive investor lifestyle.

They also offer a rich learning hub with inspiring and educational content with market data to help you in your investment journey.

Pros

  • Ideal for beginners
  • Wide range of trading tools
  • Offer an array of investment assets
  • Offers regular saving plan
  • Manages portfolios for the client who does not want to trade for themselves
  • Educational investing materials

Cons

  • No demo brokerage account, just the cash account
  • It does not support MetaTrader, which is the world’s most popular trading platform
Annual Fees 0.12% on brokerage accounts holding positions in ETFs, Stocks, and Bonds
Minimum Investment Saxo markets require a minimum investment of S$3,000.
Investment portfolio
  • CFDs
  • Forex
  • Futures
  • Bonds
Promotion You can enjoy a S$0 commission fee when trading ETFs on Saxo Markets. The offer is valid till 31 Dec 2021, where only specific market exclusions apply.

 

2. Tiger Brokers: Best for New Investors

Tiger brokers are among Singapore’s best platforms due to their competitive commission fees and access to the global markets. Tiger brokers offer 0.08% of every trade with no minimum fee charged on Singapore stocks,

This online trading platform has access to markets in the USA, Singapore, Hong Kong, China, and Australia.

Pros

  • Competitive trading fees across different trading markets
  • Tiger brands do not charge deposit /withdrawal fees, custody fees, inactivity fees, or maintenance fees
  • Tiger brands have access to different stock markets globally
  • Wide range of tradable asset classes
  • Features advanced trading tools that will help you make better investment decisions. It has a customizable dashboard. Real-time market access and a superior charting software
  • Tiger brands have sign-up perks and different rewards when you trade

Cons

  • You require high trade volumes to unlock rewards and perks
  • The platform does not have live chat support
  • It has limited education resources for traders

 

Annual Fees No annual fees
Minimum Investment Tiger brokers require a minimum investment of S$1.
Investment portfolio
  • ETFs
  • Stock market
  • Warrants
  • CBBCs
  • REITs
  • Futures
  • Cash Upfront trading
Promotion If you would like to start trading with tiger brokers. Click here to start today.

 

 

3. Moomoo: Cheapest Online Trading  Platform

Third, on the list is Moomoo which is one of the best trading platforms in Singapore. The platform features a list of tools that help you find the hottest stocks in the market.

Moomoo is an excellent choice for new investors with a low trading fee. The platform is also equipped with many features such as real-time data, pre and post-market trading, and customizable stock screeners with free level 2 quotes.

Pros

  • No minimum deposit to open an account
  • Commission-free trading in Hong Kong, US, and Singapore markets
  • Has advanced research and analytics tools such as a customizable screener that help you make the best decisions while trading.
  • Offer a free to use a demo account before opening a cash account
  • Features complimentary perks when you sign up for an account

Cons

  • Moomoo offers limited securities. It does not offer bonds, mutual funds, and digital currencies
  • Traders can only access individual margin accounts only

 

Annual Fees No annual fees
Minimum Investment No minimum investment.
Investment portfolio
  • Stocks
  • Options
  • EFTs
  • ADRs
  • REITs
  • Cash Upfront trading
Promotion When you apply for a Moomoo account, you will get one free Apple Share and enjoy unlimited commission-free trades for the first 180 days with free access to market data on different stock exchanges. T&C applies.

 

 

4. Interactive Brokers: Best for International Trading

Interactive Brokers was listed on the NASDAQ in 2007 and opened its offices in Singapore in July 2020 before many investors knew that IBKR was from Singapore since it has a vast base in Asia.

If you are from Singapore, you will be an Interactive Brokers Pro used where you can enjoy all that the app has to offer. The platform features advanced technology such as the IBKR algorithm, APIs, and tools that Lite users cannot access.

Pros

  • IBKR Pro and Lite do not require you to have a minimum balance to trade
  • Interactive Brokers offers low fees in the market, starting at 0.08% of trade value in Singapore stocks
  • The platform has a wide range of securities and options in more than 13 markets
  • Advanced trading tools to help you optimize your trading strategy with live updates, portfolio tracking, and over 100 order types and algorithms you can choose from.
  • Low margin-lending rates

Cons

  • Interactive broker platform is not easy to use, especially for beginners
  • IBKR Pro charges an inactivity fee for account maintenance if you do not meet their minimum trading volumes.

 

Annual Fees No annual fees
Minimum Investment No minimum investment.
Investment portfolio
  • Stocks
  • Options
  • Futures
  • Future options
  • SSFs
  • ETFs
  • EFPs
  • Warrants
  • Funds
  • Fixed income
  • Cash Upfront trading
Promotion You can apply to be an IBKR Pro user here and access more than 40 ETFs with no trading fees. T& C apply.

 

5. City Index: Best for CFD and FX Brokerage

At number five, we have City Index, founded in 1983 as the trading brand of NYSE-listed GAIN Capital. It is the leading CFD and FX broker and, with top-tier financial authorities, authorize it around the globe. They include the Monetary Authority of Singapore (MAS), the Australian Securities and Investments Commission (ASIC), the UK’s Financial Conduct Authority (FCA), and the Securities and Exchange Commission (SEC).

With over 38 years of global presence, City Index is one of the best online brokers available for Singaporeans. It is considered safe and trustworthy for both investors and active traders.

Pros

  • Offers over 4,500 CFDs, including equity and crypto
  • No deposit fees for bank transfers
  • Quality and trustworthy platform for both newbie and experienced traders and investors
  • Offers valuable market research and investment education for its users

Cons

  • Not great for beginner traders

 

Annual Fees No annual fees
Minimum Investment $100 minimum deposit to open a brokerage account
Investment portfolio
  • Spread betting
  • FX on MT4
  • CFD Trading
  • Cash Upfront trading
Promotion New City Index users enjoy a one-year all-access membership to the Wall Street Journal worth S$480. But only when you deposit S$6500 when opening the account. T&Cs apply.

 

6. TD Ameritrade: Best for Investors for A Well-Researched Trading Platform

TD Ameritrade is one of the most prominent stockbrokers in the United States. Founded in 1975, the brokerage firm is regulated by the best authorities like the Financial Industry Regulatory, Security and Exchange Commission (SEC), Commodity Futures Trading Commission (CFTC), and Singapore Monetary Authority.

TD Ameritrade is a safe broker with a long track record in stocks and a solid banking background.

Pros

  • Has a User-friendly trading platform
  • It has a wide variety of order types
  • It has low trading fees
  • Features a free demo account for educational purposes before transitioning to a cash account
  • It also has many educational videos
  • Ideal for beginner traders
  • The platform has excellent customer services with live chat, phone support, and fast response
  • No minimum deposit
  • Low minimum commission fee of US$0.99 for US stocks

Cons

  • High withdrawal fees for wire transfers
  • Has high fund fees

 

Annual Fees No annual fees
Minimum Investment No minimum investment
Investment portfolio
  • Fixed income investments
  • Mutual funds
  • Trade stocks
  • Options
  • Futures
  • Forex
  • Cash Upfront trading
  • Managed portfolios
Promotion TD Ameritrade offers rewards for any referral that opens and funds their account. You can refer about 50 people in a month. Terms and conditions apply.

 

7. Saxo’s Regular Savings Plans: Best Regular Saving Plan

Saxo’s Regular Savings Plans is one of the best trading platforms available for investors in Singapore. It has partnered with Lion Global and BlackRock to offer professionally managed savings plans.

Saxo’s Regular Savings Plan require a monthly contribution of S$100 and charge low brokerage fees for professionally managed brokerage accounts. The platform is ideal for investors who want to invest gradually without worrying about the timing of the market.

Pros

  • It is ideal for investors looking for professionally managed RSO
  • Professionally managed brokerage account at S$100 each month

Cons

  • No ideal for individuals who cannot contribute $100 every month
  • Not great for individuals who prefer the cheapest savings plan

Annual Fees 0.25% for Lion Global and 0.75% for Black Rock
Minimum Investment The minimum monthly contribution per month is S$10
Investment portfolio
  • ETFs
  • Bonds
  • Stocks
  • Alternative investments
  • Cash Upfront trading 
  • Managed portfolios
Promotion If you would like to open a Saxo Regular Savings Plan, click here.

 

 

8. Philip Capital (POEMS): Best for Local Singapore Market

Philips Capital is a Singapore broker with over 45 years of experience and in over 15 countries. The brokerage firm has access to over 40,000 products in 26 global markets, with the major one being the Singapore securities market. The reading platform features chart-live, Stock Screener, News Research Reports, Market Watch, and other tools that will help you make better financial decisions while investing.

Pros

  • The platform has a global reach
  • Has a range of tools to help you make better investment decisions
  • Trading platform available on both mobile and web
  • Offer specialist services and financial education across Singapore
  • Competitively priced commissions
  • No platform fee
  • Allows you to have different methods for account funding 

Cons

  • Has high minimum funding of $1000
  • Not ideal for beginner investors

 

Annual Fees No annual fees
Minimum Investment Minimum deposit of $1,000 to start trading
Investment portfolio
  • Mutual funds
  • EFTs
  • Shares
  • Forex
  • Managed Portfolios
  • Trading CFDs
  • Gold
  • Securities
  • Structured Warrants
  • Bonds
  • Blue chip stocks
Promotion When you open a new POEMS account, you enjoy the US0 commission fee and receive a free live price quote for more than five markets.

 

9. IG

IG is an award-winning trading platform and is one of the best online trading platforms with over 45 years of experience and an impressive track record. It is listed on the London Stock Exchange and has several regulatory approvals from top jurisdictions across the globe.

IG is one of the most extensive CFD and Forex traders globally, with over 17,000 markets and 104 forex pairs.

Pros

  • Great for trading CFDs
  • Has a huge variety of FX trading pairs
  • No minimum funding
  • Low platform fee

Cons

  • It does not offer the best trading experience
  • Not ideal for newbies

 

Annual Fees No annual fees
Minimum Investment No minimum investment
Investment portfolio
  • Trading CFDs
  • Forex
  • Cryptocurrencies
  • Commodities
  • Options
  • Indices
Promotion You will receive up to S$388 upon account opening and make a one-time deposit with IG.

 

10. UOB Kay Hian

Last on this list is UOB Kay Hian, one of the best online brokerage platforms in Singapore. This platform requires no minimum investment to start an account and is present in seven markets.

UOB Kay Hian is backed by reputable banks in Singapore, such as Danish Investment bank hence an excellent place to consider starting your investment journey.

Pros

  • Available in 7 markets
  • Offers lower commissions for Cash Upfront brokerage accounts. With the minimum fee, you can effectively trade large volumes
  • You can use Paynow for Instant trade funding

Cons

  • Available in few stock markets when compared to other platforms on this list

 

Annual Fees No annual fees
Minimum Investment No minimum investment
Investment portfolio
  • Bonds
  • EFTs
  • UTC
  • FX
Promotion When you open an account with UOB Kay Hian, you will be rewarded with Complimentary SGC Market  Access. Term and conditions apply.

 

Finance graph

How to Choose the Best Trading Platform?

Getting the best online broker aligned with your education needs, investment goals, and learning style will enhance your success as an investor. While most platforms provide you with the chance to invest online, there are a few things that you need to consider before choosing your preferred trading platform.

Some of the things that you should look out for:

1. User-Friendliness of the Platforms

The user interface of a trading platform will affect your investing experience. Different platforms offer apps on the desktop, IOS, and Android. Before you settle for any, make sure that the interface is easy to use for you. Ensure you choose a platform that suits your usage and stylistic needs.

2. Brokerage Trading Fee

Investors consider the various trading fees charged by the trading platforms. It would help if you did not always look for the platform with the lowest trading fees; also, consider how often you plan to buy and sell shares.

Most online brokerage firms state the minimum commission fee per trade, but it depends on the trade volume.

Also, consider how much you plan to invest; you will find that in most platforms, the more you invest, the less your trading fees will be.

3. Ease of Opening An Account

You will also want to look put to the account application process. Online brokerages in Singapore allow Singaporeans to use SingPass MyInfo to sign up for an account. This eliminates the need to fill in many forms and supporting documents.

4. Minimum Funding

Before you settle for a specific trading platform, you should have a budget ready so that you can suit a platform that fits your budget.

A lot of online brokerage platforms have minimum funding requirements, while others do not require minimum funding. So be sure to choose one that works best for you.

5. Products You Can Trade

When browsing through the different online brokerage accounts, you first have to consider the trading products you plan to invest in. If you plan to invest in stocks in markets globally, you need to choose a platform that offers products from different markets.

If you want to trade in products such as CFDs and REITs, look for a trading platform that will allow you access to these products.

6. Research Materials and Insights

It is always best to go with brokerage firms that provide news and research materials prepared by professional analysts to help their investors interpret market movements and understand the performance of stocks.

Some trading platforms also hold events and webinars where traders and investors share their views on the market’s direction.

How Do I Sign Up for An Account?

Here is a step by step guide on how to open your online brokerage account:

1. Determine the Type of Account You Want

You have determined the reason for your investment. There are taxable online brokerage accounts and IRA accounts as well. It is important to note that you can open multiple accounts to spread the risks on your money.

2. Compared the Different Costs and Incentives

Most people consider the standard trading fees while choosing a platform to invest in. However, there is much more to trading fees. Be on the lookout for hidden costs and look for a broker who provides educational materials to help you in your investment journey.

3. Choose A Broker That Fits Your Needs

Before opening your account, do not hesitate to use the online brokers’ website’s chat option if you have any questions. If you would like, you can even call the support line for their new customers. This will also help you gauge the level of support the platform offers its customers.

4. Start Your Application Process

Once you have made up your mind, you can now start the application process. Whichever trading platform you decide to go with, there is some basic information you will be required to fill before opening your account.

5. Fund Your Account and Start Investing

Once you have opened your account and it’s now approved, you can now start trading. To trade, you have to put some money into your account. There are different ways to do that, but linking your bank account to your brokerage account is easiest.

Related Questions

1. Which Is the Best Trading Platform in Singapore?

Saxo Markets.

Saxo Markets is the best online broker in Singapore because it combines low commissions, excellent market access for its customers, and an easy-to-use User Interface which makes it great for advanced traders and newbies.

The minimum fee makes the platform ideal for large volume trading.

2. Which Trading App Is Best in Singapore?

Saxo TraderGO

This app has an easy-to-use interface and gives you access to Saxo Markets, the best trading platform in Singapore.

3. Who Can Open an Online Trading Account?

In Singapore, you have to be 18 years old and above, must not be an un-discharges bankrupt, and have a bank account.

4. How Much Do I Need to Pay to Open A Trading Account?

The initial deposit differs from one trading platform to another. However, brokerage firms offer different funding tiers for the different risk appetites and budgets.

Other brokerage firms do not require an initial deposit when opening an account.

5. What Is the Difference Between Stocks CFDs and Stocks?

The main difference between CFDs and Stocks is that you do not own the underlying shares with CDFs, while if you trade in stocks, you own the underlying shares.

6. Are Stock Trading Apps Free?

Yes. Stock trading apps are free on Apple Store for IOS and Play Store for Android

7. What Is the Difference Between Cash Upfront Trading and Cash Account?

Cash up-front trading requires you to pre-fund your account before you start trading. Cash upfront trading incurs lower commission fees since the stocks bought are held by the brokerage firm.

On the other hand, cash account trading makes use of the cash available in the fund. With a cash account, you can only trade for what’s in your account.

8. What Is the Difference Between A Custodian Account and A CDP?

With a CDP account, your stocks are purchased with your name, and you become the owner of your stocks.  With custodian accounts, the stocks purchased are stored under a brokerage firm. A custodian account allows you to have lower trading fees.

It is important to note that you are not the rightful owner of the stocks bought with custodian accounts.

Methodology: How We Chose the Top 10 Trading Apps

Here are the criteria we used to choose the best brokerage in Singapore.

1. Trading Fees

Different platforms charge different trading fees. We chose platforms that offer the fairest minimum commission fees for investors against their trading Volumes.

2. Trading Platform Ease of Use

The top 10 trading platforms mentioned above are easy to use for most investors. A user-friendly platform increases the investors’ comfort while trading.

3. Account Opening

Online brokerages require a minimum deposit while opening an account, while others do not. Be sure to confirm before opening one.

4. Educational Tools

Educational tools help investors make better investment decisions and study market movements. When a platform has well-researched educational materials, they allow investors to learn much faster on trading basics.

5. Withdrawal and Deposit Time

Different brokers have different durations for withdrawing money from their platform.

Conclusion

Choosing the best trading platform can be quite a task. You need to consider trading fees, products offered, withdrawal charges, and minimum deposit required.

You also have to consider your risk appetite and your investment budget before choosing your desired broker. If you are a newbie, remember to choose a trading platform with enough educational materials and one that is easy to use.

Key Takeaways

  • Saxo Markets is the best overall trading platform in Singapore and is the best for beginners as well
  • City Index has the most extensive access to CFD trading and Forex pairs in the market
  • The cheapest trading platform on the list is Moomoo
  • TD Ameritrade is the best platform for US stocks

If you are looking for a personal loan to start your investment, contact us at Loan Advisor. We will send you different quotes from Singapore’s top licensed lenders customized to your needs to choose the best in just a few hours.

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