Help a noob...

[warakawa]

I recently opened up a trading account with NAB trading, got my CHESS HIN, however I have never traded in my life. I recently found out about belldirect, and their broker fee is only $15, half that of NAB's fee. So i've decided to open an account with Belldirect, however I don't understand some of the questions belldirect's asking me.

1. do you want this account to be settled via your existing Margin Lending Facility?

2. it's asking me whether I would like Broker Sponsored Securities?

Another question is that since I already make an account with CHESS when I applied with NAB, does it mean that I don't need to make another one when buying through Belldirect?

thanks guys, I have never traded shares before, I just studied "financial institutions, instruments and markets" at uni, and am interested to do some real life trading to enhance my understanding.

 

[Julia]

If you don't understand some of the questions asked by your broker, wouldn't it be more logical to ask them than put up the questions on internet site where you will have no idea whether you are receiving the correct answers or not?

 

[JimBob]

1. do you want this account to be settled via your existing Margin Lending Facility?

Why do you have a margin loan setup when you dont know the basics of buying and selling shares? Sounds like a recipe for disaster to me.

 

[supermatt]

lol

 

[Julia]

Why do you have a margin loan setup when you dont know the basics of buying and selling shares? Sounds like a recipe for disaster to me.

I don't know, but I'd guess it's just a standard question from Bell to all new clients, some of whom would have an existing margin loan facility.

 

[gonk]

Small n posters cant post direct links so done like this
h**p://***.asx.net.au/products/shares/how/chess_benefits.htm

 

[Wysiwyg]

Small n posters cant post direct links so done like this
h**p://***.asx.net.au/products/shares/how/chess_benefits.htm

Here dude. The direct link to beginners page.

http://www.asx.com.au/resources/education/classes/shares/index.htm

 

[warakawa]

If you don't understand some of the questions asked by your broker, wouldn't it be more logical to ask them than put up the questions on internet site where you will have no idea whether you are receiving the correct answers or not?

with your logic, how do I know if the answer provided by the broker will be correct or not.

 

[drsmith]

1. do you want this account to be settled via your existing Margin Lending Facility?

2. it's asking me whether I would like Broker Sponsored Securities?

1.
Do you know what margin lending is ?

2.
http://www.asx.net.au/products/shares/how/chess_benefits.htm

You need to do the research into the broker to have faith in their activities.

 

[todster]

with your logic, how do I know if the answer provided by the broker will be correct or not.

With logic like yours i cant imagine people tripping over themselves to assist you

 

[Julia]

with your logic, how do I know if the answer provided by the broker will be correct or not.

With logic like yours i cant imagine people tripping over themselves to assist you

Exactly, todster.

warakawa, if you genuinely don't know the answer to your above question, given it's Bell who are making the rules, and whose facility you apparently intend using, I'd suggest you go away and reconsider any thoughts of putting real money into the market.

 

[Huitzii]

Hi Warakawa, to answer your first question.

Margin lending is the name given to a loan facility that enables investors to borrow against their existing assets such as share holdings, cash and managed funds to invest in additional investment assets.
http://www.belldirect.com.au/shareschool/faqs/marginlending.html
If you had searched the Belldirect's site this is clearly found.

Please before you invest any money can you improve your research skills ...I promise you that you will need A1 research skills or you might as well head off the the casino and play 2 UP it will be more enjoyable.