"Silver-Securities Connect" Three Steps

After all the way higher, the stock market entered a correction. But the hot market in the stock market in early May once again allowed investors to appreciate the money-making effect of the stock market. Many new and old investors are gearing up for a share of the bull market.

Although the most important thing in making stocks is to grasp the market situation, like any investment product, investment cost is also an important factor that cannot be ignored when investing in stocks. Especially for those small investors who like short-term operations, if a stock is sold for a few cents, the impact of transaction costs on their profit returns is not so much. In order to reduce the investment cost of stocks and increase the profit margin, the easiest way is to find a securities company with convenient investment and low cost.

The first step: lock the "Bank-Securities Connect" securities companies

Lock the two keywords "convenience" and "cheap", we first narrow the scope to the securities companies that cooperate with banks to carry out "Bank-Securities Connect" business cooperation . We all know that there are currently two ways of transferring funds for stock investment - "Bank-Securities Connect" and "Bank-Securities Transfer". In comparison, the transfer method of "Bank-Securities Connect" is more suitable for small and medium investors.

There are three reasons. First, "Bank-Securities Connect" combines the capital account and the bank card account into one, which brings great convenience to investors from the point of view of transferring funds. For example, in the method of "bank-securities transfer", if you have selected several stocks for investment, you must first transfer your funds from the bank account to the security deposit of the securities company through the bank terminal, Internet banking, telephone banking, and self-service terminal. account, and then issue an operational instruction to the broker to purchase stocks. If you sell stocks, the funds will remain in the securities company's margin account, and you need to transfer it to your corresponding bank account.

Second, the funds in the "Bank-Securities Connect" account can be called at any time. In the general "bank-securities transfer" business, funds can be transferred between capital accounts and bank accounts only during the trading hours of the stock market. "Bank-Securities Link" is different. The funds in the account are stored in the bank's current account and can be called at any time within 24 hours.

Third, some banks now bundle the "Bank-Securities Connect" business with other additional services. For example, in the "Bank-Securities Connect" business co-operated by Industrial Bank and Industrial Securities, as long as a certain amount of funds is met, the funds in the account will automatically enter the state of "call deposit", and more interest income can be obtained in periods of light market conditions.

Step 2: “Negotiate” commissions with brokers

We meet the condition of convenience, and our next step is to compare the commission rates of various securities companies. The reporter found through interviews that there are great differences in the commission rate standards formulated by different securities companies. If investors want to find a securities company with favorable rates, they can choose from three angles.

The first is to pay attention to whether the bank has any promotional activities for the "Bank-Securities Connect" business recently. For example, Shanghai Pudong Development Bank is currently launching a preferential promotion of the "Bank-Securities Connect" business in cooperation with Everbright Securities. The commission rate for investors can be reduced to 1‰, and VIP customers can also get a lower commission rate. Moreover, customers who newly open "Bank-Securities Connect" business at Shanghai Pudong Development Bank can also enjoy the first two months of commission-free treatment.

The "brother" relationship between the bank and the securities company can also be considered as a consideration in choosing a good-priced securities company. For example, for the “Bank-Securities Connect” business between China Everbright Securities and China Everbright Bank, the commission rate is as low as 1‰, which is far lower than the 1.6% rate standard for other “Bank-Securities Connect” businesses. Last month, Industrial Bank and Industrial Securities also launched similar promotions, with the lowest commission rate reaching 0.888‰ (the event has ended).

The third idea is to find a small securities firm. In contrast, in order to attract more customers, small securities companies are often more willing to play preferential "price cards". For example, the staff of Huaxi Securities stated that the commission rate can be reduced to 0.8‰, and if the customer has a large amount of funds and active transactions, the minimum can reach 0.6‰. The account manager of Taiyang Securities told reporters that as long as the amount of funds meets certain requirements, the commission rate can be reduced to 0.8‰.

However, investors need to be reminded that the preferential rate given by some securities companies is the concept of "net commission", that is, in addition to "net commission", investors may also A certain percentage of other fees need to be paid, such as securities regulatory fees. Before signing the "Bank-Securities Connect" agreement, investors must check with the account manager whether they need to pay other fees in the process of trading, and make a comprehensive assessment.

In addition, the "Bank-Securities Connect" congestion has occurred from time to time recently, and this phenomenon has an inevitable connection with the network system of securities companies. The trading seats and network conditions of securities companies are also factors that cannot be ignored when you choose a securities company, and do not lose more profit opportunities because of greed for cheap.

The third step: go through the formalities and enter the actual combat

I believe the above information is enough for you to make your own choice among many banks and securities companies. Then take the third step and enter the actual combat stage.

If you are a "newbie" in the stock market, the actual combat naturally begins with applying for a shareholder account. It should be noted that applying for a shareholder account can only be done during the trading hours of the stock market, and the location can be selected at an agency of the China Securities Depository and Clearing Center, such as the business department of a securities company, some branches of ICBC and China Merchants Bank. Qualifications for agency. However, the shareholder accounts handled by different agencies are different. For example, the Industrial and Commercial Bank of China only opens accounts on behalf of shareholders of the Shanghai Stock Exchange, while securities companies can open shareholder accounts in different markets. The fee for opening a new capital account is RMB 40 for A-share accounts in Shanghai and RMB 50 for A-share accounts in Shenzhen. However, some banks and securities companies will launch some preferential measures, such as "buy one get one free" bundled sales of accounts in Shenzhen and Shanghai stocks. You can check the relevant preferential information first, which can also reduce the expenses of opening accounts.

Next, you can go to the selected bank branch to apply for "Bank-Securities Connect" business. Like opening a shareholder's trading account, opening the "Bank-Securities Connect" business also needs to be done during the stock market trading hours. However, recently, Shanghai Pudong Development Bank and its partner brokers have launched a service for accepting the "Bank-Securities Connect" account opening business on weekends. In this way, as long as you have a stockholder code card in Shenzhen and Shanghai, you don't have to wait in line to open an account through "Bank-Securities Connect" during the trading hours of the securities market. Nowadays, many securities companies will arrange account managers in large bank outlets and find them for help, which can also play a significant role in quickly opening the "Bank-Securities Connect" business for you.

If you are a newly opened shareholder account on the Shanghai Stock Exchange, the next day after you complete the account opening procedures, one more task you need to do is to go through the "designated transaction" procedures. The method of "designated transaction" depends on different securities companies. Some companies only need to call customer service to complete the transaction, while others require you to go to the bank in person.

Some people may ask the question, I am already a customer of a securities company, and now I want to switch to another securities company, how should I go through the procedures? If you open a shareholder account in Shanghai stock market, then you need to go to the original securities company business department to cancel the designated transaction. Remember that you cannot conduct any stock transactions on the day of revoking the designated transaction; you can go directly to the new trading day on the second trading day. The securities company has handled the designated transaction. If you own Shenzhen stock, you need to go through the "transfer custody" procedure. Before doing so, you must first know the Shenzhen custody seat number transferred to the business department of the securities company, and then go to the original securities company to apply for "transfer custody". The "transfer of trusteeship" of the stock on the trading day is completed.