by Rory Kelleher
A new on-line share trading service has been launched by Goodbody Stockbrokers in Ireland. The basic charges for the service will be more than 35 percent lower than normal with a minimum charge of IEP25 compared to the existing charge of IEP40.
Commission charges for on-line trading will be significantly cheaper with commission charged at 1.25 percent for on-line trades up to IEP20,000. This is compared to an existing commission of 1.65 percent on trades up to IEP10,000.
The service offers on-line portfolio valuations, on-line transaction history, a market monitor from Reuters, a knowledge center as well as the on-line share dealing service.
More than 10,000 of Goodbody's clients will be able to deal in Irish, UK and US stocks on-line and the company said the service had been tested on a closed customer base for a number of months.
"There is a growing interest in share ownership in Ireland and we intend to facilitate clients in developing their share portfolios, by providing a reliable and secure transaction service supported by the resources of the leading stock broking company," said Eamonn Glancy, chief operating officer of Goodbody Stockbrokers.
Glancy said, "Lower charges and the ability to monitor investment performance on-line are the leading factors that would encourage those searching on-line to proceed to order."
The service will have a biannual maintenance charge of IEP10. The transfer in of shares is free, while transferring out is charged at IEP10 per stock.
Goodbody said the service offers direct control and convenience in share dealing and provides clients with the ability to monitor their own accounts and track the markets.
The company said on-line trading was part of its strategy to offer services to meet the needs of a changing market. It follows the launch of Goodbody Mobile Markets and Aertel share services.
The service was developed with Accenture and Compisol Ltd. Compisol said the system is secured to the highest standard of encryption available on the market.
Trading at home, on-line, without the assistance of a broker is often referred to as day trading. It has been a growing trend in the US dominated by on-line trading houses such as E-Trade. In addition, day trading has come under increased scrutiny because of the real likelihood of serious financial loss by inexperienced traders.
E-Trade along with other on-line trading houses has launched a service in the US allowing trader to buy and sell stocks, almost anywhere, including ATM terminals.
