We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

SVS Securities - shut down?

Options
1117118120122123653

Comments

  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    adeel26 said:
    Is any body using X-O here. I just opened an account with them. How long does it take to transfer the money using in account transfer option?
    Many of their staff are currently homebased. Will take as long it takes given the circumstances. 
  • johnburman
    johnburman Posts: 727 Forumite
    Part of the Furniture 500 Posts
    Fully accepted masonic.  And that may explain how they make money, and answers my question
    BUT there should be to no detriment to you.  Why?  See the Best Execution rules below with my emphasis.
    So to put bluntly, why should I care where my stock is bought or sold, as long as I get the 'best' price? 

    As a PS, I only buy/sell at best XO.  My reading of thie T&C s is that this is not really encouraged/liked by them.  I wonder why?
    [e.g. they say Market (At Best) Order You place an Order to execute your transaction at the best possible price. This may be necessary if you want your Order to be executed in any event. However, certainly with less liquid products, you may receive a worse price than what you anticipated. We therefore strongly advise you to use this Order type with care.]

    ++++++++++++++++++++

    2. Best execution As an investment firm, DEGIRO has a legal obligation to ensure that Orders are executed on the basis of best execution. For this purpose, DEGIRO makes use of its below described Order Execution Policy or the order execution policy of third party brokers. On the Website DEGIRO shows for which exchanges Orders are sent ‘Direct to market'. Orders in relation to Financial Instruments for which such exchange is the reference exchange, will be send to that exchange. DEGIRO will send such Orders directly, using its own membership of the exchange or the membership of another broker, or send these Orders to another broker with the instruction to execute the Orders on the specified exchange. Orders that are sent 'Direct to market', will be executed by DEGIRO in accordance with the DEGIRO Order Execution Policy. DEGIRO can also send Orders to a third party broker, to be executed under the order execution policy of that third party broker. DEGIRO will in such case require from such third party broker, that the order execution policy of the third party broker, complies with the best execution requirements that apply to DEGIRO. DEGIRO will on a regular basis check the order execution policy of the third party and compliance therewith by the third party broker. DEGIRO will also on a regular basis monitor the quality of execution by the third party broker and disclose the results hereof on the Website. On a yearly basis, DEGIRO will reconsider its policy with regard to the use of third party brokers as here described. The third party brokers will make their own selection of execution venues, based upon their own preferences and selection criteria. DEGIRO will on a regularly basis monitor the execution venues used by the third party brokers. Usually, a third party broker will make use of various places of execution, such as regulated markets, MTFs, OTFs, SIs, market makers, liquidity providers, investment institutions and others. You agree and expressly instruct that the third party brokers may execute orders outside the trading venues regulated market, MTF and OTF. For a short description of the consequences hereof, you are referred to the Order Execution Policy below. Investment Services Information DEGIRO B.V. is registered as an investment firm with the Netherlands Authority for the Financial Markets (AFM). 7/910 DEGIRO will not receive third party payments in any form from the third party brokers that it makes use of. At this moment, DEGIRO uses Morgan Stanley as third party broker as described above. On the Website, DEGIRO shows for which exchanges, Orders are sent to ‘Morgan Stanley SOR'. DEGIRO will send Orders in relation to Financial Instruments for which such exchange is the reference exchange, to Morgan Stanley, to be executed by Morgan Stanley using the order execution policy of Morgan Stanley. DEGIRO has ensured that the order execution policy of Morgan Stanley, enables DEGIRO to comply with the best execution requirements applicableto DEGIRO. DEGIRO will regularly monitor the order execution policy of Morgan Stanley. DEGIRO will on an annual basis, for each class of Financial Instruments for which Orders are executed in this way, investigate the quality of execution obtained from Morgan Stanley. The applicable information will be available on the Website.    
  • masonic
    masonic Posts: 27,181 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Fully accepted masonic.  And that may explain how they make money, and answers my question
    BUT there should be to no detriment to you.  Why?  See the Best Execution rules below with my emphasis.
    So to put bluntly, why should I care where my stock is bought or sold, as long as I get the 'best' price? 

    As a PS, I only buy/sell at best XO.  My reading of thie T&C s is that this is not really encouraged/liked by them.  I wonder why?
    [e.g. they say Market (At Best) Order You place an Order to execute your transaction at the best possible price. This may be necessary if you want your Order to be executed in any event. However, certainly with less liquid products, you may receive a worse price than what you anticipated. We therefore strongly advise you to use this Order type with care.]
    I agree that under normal circumstances it shouldn't really be to your detriment. You will get the reference price from the national exchange, whereas they will try to better that price through alternative channels and profit from any saving they can make at no loss to yourself. I mention the conflict of interest because order execution is not immediate, and I didn't see any requirement for them to synchronise the order they placed at the venue of choice with the reference price they obtained from the national market, so introducing a little extra delay could work further to their advantage in some cases, but obviously wouldn't be in your best interests. I have no idea whether they would ever do such a thing, but theoretically they could. I agree, at best orders would give them the least scope for any funny business.
  • johnburman
    johnburman Posts: 727 Forumite
    Part of the Furniture 500 Posts
    masonic thanks.  When doing XO transactions at best I check with the "national exchange" [LSE for me only] and the timing of the transaction there is the same as the deal.  so unless it is miliseconds, no delay.
    The point is, I think, for a XO only client, buying at best, what we need is a sensible XO platform, CHEAP transparant charges, and a stable compnay regulated by the FCA or overseas regulator who is sensible, and stricter than the FCA and consumer focussed.  So who have we got:

    De GIRO
    Trading 212 (UK and Bulgarian regulated)
    Fineco  (Italian regulator)

    or in the UK only
    X-O
    iWeb
    Share Shop

    Trading 212 looks the best.  Awful website, but no commisison or extra hidden charges (no hidden FX charges they say), and dual regulation with FSCS cover.  Its not a newcomer to the scene and does do basis XO transactions, and if you want to do CFDs or FX they do that too.  
  • masonic
    masonic Posts: 27,181 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Share Shop
    Do you mean The Share Centre? If so, that's soon to be integrated into Interactive Investor.
    Trading 212 looks the best.  Awful website, but no commisison or extra hidden charges (no hidden FX charges they say), and dual regulation with FSCS cover.  Its not a newcomer to the scene and does do basis XO transactions, and if you want to do CFDs or FX they do that too.  
    This would be my least worst option of the ultra-cheap ones (mainly due to FSCS protection) had it not been for my awful experience with them in regard to their ever-changing T&Cs.
  • manorhouse
    manorhouse Posts: 149 Forumite
    100 Posts First Anniversary
    This site is now becoming educational and i thank you two for that.
    Not sure if i am reading correctly but i can not deal with Degiro without setting a limit ( which i prefer in most cases anyhow when  i use Iweb , bell or jarvis )
    I would not have fancied Trading 212 so thanks for that , lets discus more of them .
    Unlike myself a self thought plumber ( not the Plumbing had a good apprenticeship , and investing is a much harder way to earn a few bob )
    But i enjoy the challenge .
    Do you chaps work in the industry as your knowledge is deep.
  • Do the posters looking at ultra-cheap platforms do a huge volume of trades? Or is it just a habit of trying to cut costs wherever possible?
    I don't trade very much. When I figure out what I'm paying for platforms per year (in dealing commissions + holding charges + anything else), as a percentage of total value of my investments, it's miniscule. Yes, if I could cut it further, without any serious downside, why not? But if there are real downsides, in terms of stability of the platforms used, it doesn't make much sense.
    OK, perhaps other people trade more often than me. However, if they do, doesn't that make it even worse for them, than it would be for me, to be unable to trade some of their investments for an extended period?
  • manorhouse
    manorhouse Posts: 149 Forumite
    100 Posts First Anniversary

    This up fro DEGIRO THIS MORNING .

    The point of posting is SVS were not as careful often a broker would ring and advised very risky aim investments .
    I always thought just because they had bought in principle at a secondary placing and just wanted to shift .
    ( At a profit )
    Degiro vs Svs ? UK vs Holland ???



    New appropriateness tests for options and futures

    Dear client,

    In accordance with DEGIRO’s product governance, we are introducing new appropriateness tests for options and futures. Additionally, we are also adding new appropriateness tests for Structured Products. These tests are in place to verify whether the relevant products are appropriate for you to trade based on your level of knowledge in these products. You can find all the new tests on the “Product Settings” page under “Settings” in the trading platform. 

    From the 4th of May onwards, you will be required to have passed the relevant appropriateness test if you want to trade a specific product group. If you are trading options, futures or structured products regularly, please take the time to complete the relevant test before 4th May. For every test, you have a set of 5 questions where you have to answer 4 answers correctly to pass the test. After the 4th of May, you will not be able to open new positions in options, futures or structured products without having passed the test for the corresponding product group. You will still be able to close existing positions in those product groups, even without having passed a test.

    Kind regards,

    DEGIRO
  • bowlhead99
    bowlhead99 Posts: 12,295 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Post of the Month
    edited 20 April 2020 at 9:51AM
    The point of posting is SVS were not as careful often a broker would ring and advised very risky aim investments .I always thought just because they had bought in principle at a secondary placing and just wanted to shift .
    ( At a profit )
    Degiro vs Svs ? UK vs Holland ???
    UK regulations (which evolve from time to time) and the European equivalents have guidance on assessing appropriateness of a product type for an individual. Different firms will implement that in different ways with their own policies to meet their obligations - but if they can give you a 'test' (even if the answers to the test are in a FAQ or blog elsewhere on their own site), it is easier to defend themselves from criticism that they are allowing retail customers to access riskier or complex products (like structured products, derivatives including options or futures etc) without understanding the risks that might be faced.

    UK guidance is here:
    https://www.handbook.fca.org.uk/handbook/COBS/10/2.html

    However, whether a product type is appropriate for an individual (e.g. you have enough understanding of what a share is and what a share price is, to be allowed to buy shares) is quite different from calling you up and saying we have a truckload of these halfpenny AIM shares which might rocket, I'm sure you don't want to miss out, how many can I put you down for? But if you say you want to get bulletins on what new IPOs are available, it's fine for them to email or call you when one comes up. 

    Separately from the 'appropriateness' rules for different product types, when it comes to promoting and recommending stuff or even allowing the purchase of it on a public website, there are a whole bunch of rules about investments which are subject to restrictions on retail distribution (e.g. non-mainstream pooled investments  or non-readily realisable securities or speculative illiquid securities and so on) where financial promotions are not allowed.

    The FCA rules are easy to find in plain English so you can find out what the rules are but it doesn't mean that UK operators breaking the rules from time to time (or routinely) don't exist - they may exist and be under investigation or they may exist but the FCA doesn't know they need to be investigated.  Likewise you can expect that other countries have companies breaking the rules too, but the difference is that the rules in those countries might not be so obvious to you as they are not always easy to find in plain English, and if you want to complain or be compensated for a problem, being a non-local and not speaking the native language won't help your position. 

    For what it's worth, the rules in the Netherlands for what firms are supposed to do when running a brokerage business are broadly consistent with what the UK rules are - that's why 'passporting' of regulatory permissions around the EU is allowed and customers can choose to buy their services from service providers across EU internal borders. It is feasible that this could change in the longer term when the UK has extricated itself more fully from the EU, because although we want EU business, maybe we won't want it enough to prioritise it over other political or economic ambitions.

Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.9K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.9K Work, Benefits & Business
  • 598.8K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.