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Questions & Answers - Australian Shares


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+ Does my SMSF have to use a specific Broker to trade CHESS Sponsored Australian Shares?

Clients of ESUPERFUND are permitted to invest in Australian Shares. The Preferred Broker to invest in Australian Shares for ESUPERFUND clients is CommSec. You are permitted to establish additional Broker Accounts for your SMSF with any Broker desired to invest in Australian Shares, in addition to our Preferred Broker.

+ How is the Preferred Broker Account established for my SMSF?

Documentation to establish your selected Preferred Broker will be included with the documentation forwarded to you when you submit your online application to establish a SMSF. The documentation is completed for you making the account opening process easy.

+ When can my SMSF begin to Trade?

On average it takes approximately 3 weeks to establish a SMSF. When your SMSF has been established a "Final Setup Package" will be mailed to you with all the SMSF Setup details including your SMSF's Share Trading Account Number and Password allowing you to trade Australian Shares. At that time you will be ready to start trading for your SMSF.

+ Is my SMSF obligated to Trade Shares?

No. It is important to understand that the Investment decisions for your SMSF always remain with you as the SMSF Trustee giving you total control of your SMSF. You are under no obligation to trade Shares if you elect not to do so. The CommSec Trading Platform is established for you to be used only if you want to trade CHESS Sponsored Australian Shares. It is completely permissible never to trade for your SMSF if you do not want to and this is no way affects your annual fee.

+ Can my SMSF Trade Shares?

Yes. Your SMSF can trade shares to the extent that it is in accordance with the SMSF Investment Strategy and is properly minuted. See here for details on the Investment Process. In fact most large retail Super Fund do exactly this and is part of a prudent investment strategy. This means that if you determine it is appropriate for your SMSF to trade 10 times or 1,000 times per year this is a decision you as the SMSF Trustee must make. However always remember the objectives of your Investment Strategy when making any Investments including risk and return, diversification and liquidity.

+ What is the CommSec Brokerage Fees?

Brokerage fees to trade Australian Shares with CommSec can be found here.

+ Are there any fees to receive Live Data when I login to CommSec?

No. Live Pricing Data is absolutely FREE with the CommSec trading platform. This is a major saving to you compared to other discount brokers who only provide 20 minute delayed share price data and charge if you actually require Live Data, typically in excess of $100 annually.

+ What Education and Research is available with CommSec?

CommSec provides clients with valuable Equities and Research Information, absolutely FREE. Details can be found here.

+ Are there fees to execute Conditional Orders?

Conditional Orders are instructions based around a set of criteria or market conditions (referred to as a 'trigger') that must be met before your trade is actually submitted to the market for execution. When the trigger criteria specified is satisfied, the Broker will submit your order to the market. Whilst there is no guarantee that the trade will be executed the aim of Conditional Orders is to protect your profits or ensure you do not miss trading opportunities when you are busy. By setting Conditional Orders including stop losses you can BUY and SELL ahead of time. Conditional Order fees are FREE with CommSec.

+ How do I settle BUY and SELL Shares with CommSec?

To place a BUY Trade under the CommSec Trading Platform you simply need to click "Trade" and then "Buy" when you are logged in to your CommSec Trading Account. When you BUY ASX Listed Securities with CommSec, the Trade will be settled from the Transaction Bank Account (up to certain limits detailed here). Importantly when you place a trade, the funds are accessed automatically from the Transaction Bank Account to settle the trade. Trades are settled under the T+2 settlement system. That is, trades are settled 2 days after placing your trade. It could not be easier. In some cases where trades are above predetermined levels you may need to transfer monies from your Transaction Bank Account to your CommSec Trust Account before you can BUY Shares. When and how this needs to occur is detailed here.

To place a SELL Trade under the CommSec Trading Platform you simply need to click "Trade" and then "Sell" when you are logged in to your CommSec Trading Account. When you SELL ASX Listed Securities, the settlement proceeds will be automatically deposited into your Transaction Bank Account. Trades are settled under the T+2 settlement system. That is, trades are settled 2 days after placing your trade. It could not be easier.

Trade confirmations will be forwarded via email and post for each trade. Confirmations can also be viewed and downloaded from the Trade Confirmations page in the CommSec Login Area. Please note that CommSec requires that all Trade Confirmations are mailed to you when you execute a trade. There is no fee for mailed Trade Confirmations for ESUPERFUND clients.

+ Is Trading with CommSec Safe?

Yes. All Shares purchased through CommSec are CHESS Sponsored and owned in the name of your SMSF under its unique HIN. This is a very important point and gives you peace of mind that your SMSF is the direct owner of all Shares purchased. Neither ESUPERFUND nor CommSec own any of your SMSF Shares and have absolutely no access to your Shares or in fact any Fund Asset. So in the very unlikely event ESUPERFUND or CommSec cease to operate or become insolvent all your Fund Assets including Share Holdings are totally protected because your Fund is the direct owner of the Assets.

+ Who do I contact if I have a query about my CommSec Account?

If you have any queries about your SMSF CommSec Account please contact CommSec on 13 15 19. This is a dedicated number for ESUPERFUND Clients separate to the retail division of CommSec, giving you priority service. Please do not contact ESUPERFUND directly in relation to queries about your SMSF CommSec Account as unfortunately we will be unable to assist you with your queries.

+ How do I login to CommSec?

To login to the CommSec Trading Platform click here.

+ Can your SMSF use Other Brokers to invest in Australian Shares?

Yes. You are permitted to establish additional Broker Accounts for your SMSF with any Broker desired to invest in Australian Shares, in addition to our Preferred Broker. However if you establish additional Brokers for your SMSF with Non Preferred Brokers to invest in Australian Shares, data will not be accessible by ESUPERFUND and you will need to source and provide this data to ESUPERFUND annually. In addition ESUPERFUND provides a Client Login Portal to clients with real time data of all your SMSF Investments. Where you elect to use Non Preferred Brokers to invest in Australian Shares, that we do not receive daily data on, we will not be able to report details of these Shares in real time.