How do I go about purchasing shares online without a broker on Computershare?
Kite asked:
I’ve read through a few of the resolved questions, most have mentioned Computershare.
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I’ve read through a few of the resolved questions, most have mentioned Computershare.
Does anyone know how to use it? I don’t want a broker, and want to purchase online, without having to pay more than around $100 AUS for the account itself.
I also want to buy BHP Billiton shares afterwards, but that’s not so important.
January 13th, 2010 at 10:21 pm
You need to have an online broker of some sort because they need to be licensed. You don’t need a full service broker but someone like Ameritrade or Trade King will work, you may need to pay the $4.00 commission which is reasonable and they track your trades and send reports to your e-mail. Chuck P
January 14th, 2010 at 2:41 am
You can’t buy listed shares without a broker - all listed shares must go through a broker. The only shares you can buy outside of a broker are shares in unlisted companies and there you could deal directly with the company. However these shares are not openly traded and you will have trouble off loading them. This is usually only done if you are buying into a partnership of some kind etc. Penny Stocks Guide
January 16th, 2010 at 1:25 pm
Computershare is a transfer agent. Publicly traded companies hire them to handle their stock. You don’t need a broker.
You should go on their website, they have info on how to use their services.
Basically you click on buy stock direct, which will give you a long list of companies. It is time-consuming to sort through this because each company has its own plan, which you really need to check;
The rules vary, some companies require that you already own 1, 10, or even more shares, in your own name (not at a broker where stock is held in ’street name’). But many companies allow you to make an initial purchase online of various minimum amounts.
Some companies waive the large initial purchase requirement if you set up monthly direct deposit. The subsequent purchases have a minimum also but much lower.
You need to look in the plan for fees. Most charge to sell your stock, but will issue certificates at no charge. Many have a fee plus a per share charge for shares you buy.
My advice is to find stocks you like that do not charge a fee for investment. Then set up a monthly investment amount — this has the benefit of ‘dollar cost averaging’, meaning when the stock price is down you get more shares for your money, when its up fewer shares.
I’ve invested this way for 12 years. SJ