Desktop Broker - Desktop Broker

Trading and settlement

When are the trading hours of the Australian Securities Exchange?
The Australian Securities Exchange (ASX) is open Monday to Friday from 10:00am to 4:00pm AEST.
It is closed on public holidays and weekends.
View the ASX trading calendar for more details.
What is ITS?
The Integrated Trading System (ITS) is a computer system and associated network operated by the Australian Securities Exchange (ASX) to provide a market for trading securities.

What are market phases?

Can stocks be placed in 'Pre Open' during market hours?
Yes, this usually happens prior to a company releasing a price sensitive announcement to allow investors and market participants time to assess the implication of the news and enter new orders or change their orders on the market if required.
What does 'Adjust' mean?
A security may also be placed in 'adjust' status due to the release of a market sensitive announcement.
New orders will not be accepted during this phase but existing orders can be amended provided their position is not improved in the market which means you can reduce quantities and amend prices away from the current order price (ie lower buy price or higher sell price).
What is the difference when a stock is placed on 'trading halt' compared with being 'suspended'?
When a stock is placed on 'trading halt' it means the trading has halted for that stock.
This can last up to two trading days pending an announcement by the company. The stock will go into pre open and you are allowed to enter/amend orders on the market during this phase.
In contrast, trading can be halted indefinitely when a stock is 'suspended'. No trades are allowed, new orders are not accepted and all existing orders are cleared from the market.
What are corporate action types?
The Australian Stock Exchange uses the codes below for corporate actions:
Status note Description
CB cum bonus issue
CT conditional trading
RE Reconstructed
XB ex bonus issue
XC ex return of capital
XD ex dividend
XE ex entitlement
XI ex interest
XQ ex equal access scheme
XR ex rights issue
For example, 'XD' shown against a security code means the security is currently quoted on an ex-dividend basis and that trading in this security does not carry the entitlement to the dividend payment.
If there is no code displayed alongside a security, then the security is trading on a cum basis where cum means 'with'.
Take a look at the ASX website for more information on corporate action types.

What are stock trading status types?

What is the difference between 'market depth' and 'market detail'?
'Market depth' displays the total aggregated number of buyers and sellers for a security on the ASX based on the buy/sell prices and total quantities. Priority is ranked on a price/time basis.
Depth is displayed up to five price levels.
'Market detail' displays in detail the individual price and quantity for each buyer and seller in the market. Priority is ranked on a price/time basis.
Please note that for warrants, only market depth (not market detail) is available.
Why do I sometimes see buy prices higher than sell prices in the morning before market opens?
During the pre open phase, buyers and sellers are allowed to enter their orders onto the market.
However trades are not automatically matched until the market opens. So you may see a scenario where buy and sell prices overlap.
Once the market opens, the opening price for each security is calculated using the auction algorithm.
Buyers bidding above the opening price will buy at the opening price and sellers offering their shares below the opening price will sell at the opening price.
Are trades allowed before the market open?
Trades can be reported on ITS before the market opens (eg for an exchange traded option and reporting off-market large transactions).
How long may an order remain on the market?
An order will remain on the market until it trades, expires or is cancelled by either you or the ASX.
The ASX may cancel orders from the market where:
- Stock is trading on a different basis of quotation (eg ex-dividend, ex-rights, ex-bonus etc)
- Price for the order is too far from current buy-sell spread for the stock
- The order expires
- Stock has been suspended from official quotation
When and how can I place an order?
With Desktop Broker you can trade all CHESS approved equities, interest rate securities and warrants listed on the Australian Stock Exchange.
You can place an order at any time over the internet or over the phone from 8am to 7pm AEST on any trading day.
We do not accept orders via fax or email.
How do I place an order via the internet?
To place an order via Desktop Broker website, you will need:
- the ASX code of the company you wish to trade (which you can find on the quick link 'Quote' icon)
- the quantity or value of shares you wish to buy or sell
- the price (either 'limit' or 'market to limit' price) you wish to pay for the shares
- the validity of your order (either 'day only', 'good till cancelled' or 'specified expiry date')
- your PIN
You can enter an order on the order pad by clicking on the quick link 'Trade' icon
Please note that 'market to limit' orders can only be placed during market opening hours which are 10am to 4pm AEST.
'Limit' orders can be placed at any time, but can only be executed when the market is open.
If you place an order outside the opening hours of the ASX, your order will go into a queue of orders to be placed on the market.
Orders are placed onto the Integrated Trading System (ITS) from 8.30am AEST and stop being placed at approximately 4.10pm AEST.
You can only sell shares where the registration detail of your holding exactly matches that of your Desktop Broker trading account.
Is there a minimum number of shares I need to buy?
If you do not have an existing shareholding in the security, the minimum marketable parcel you need to buy is $500 worth of shares, excluding brokerage.
You can then subsequently increase your holding by purchasing less than $500 worth of shares.
Is there a limit for online orders?
You can place orders online up to the value of $250,000.
If you want to place an order above $250,000 just call our Customer Service team on 1300 726 177. There is no limit on the maximum value of shares for phone orders.
Alternatively, you can split the order into smaller orders and place them online.
How do I find the ASX code of the security I want to buy?
It's easy! Just click the quick link 'Quote' icon , enter the company name (or part of the company name) you are looking for, then click the magnifying glass to perform a search.
What is the difference between a 'limit' and a 'market to limit' order?
A 'limit' order is where a maximum price is set on a buy order or a minimum price is set on a sell order. If the market does not reach the set limit price, the order will not trade. Limit orders can be placed at any time, but can only be executed when the market is open.
A 'market to limit' order is placed at the best opposing offer when buying shares, or the best opposing bid when selling shares. If there are insufficient shares in the market to complete your order, the remaining balance of your order will remain on the market at the best opposing bid/ask price until more buyers or sellers come in at that price.
For volatile stocks where prices are moving quickly, your 'market to limit' order may transact at a different price to the current quote that you see in the security. A 'market to limit order can only be placed when the market is open for trading.
What does 'day only' mean?
If the market is open and you place a 'day only' order, this means that your order will be valid for the rest of that day.
However, if the market is closed and you place a 'day only order, your order will be placed on the market on the next trading day and valid for the whole of that day.
If your 'day only' order is not fully filled at the end of the day, you will need to re-enter another order for the remainder if you still want to buy/sell the remaining quantity once the 'day only' order expires.
But that means you will end up paying two lots of brokerage.
To avoid this, you can change a 'day only' order to a 'good till cancelled' order by amending it by market close (4pm AEST) in your Open Orders section in the Orders section. This will prevent your order from expiring at the end of the trading day.
If your order hasn't been filled by the expiry date, you can then select 'Specified Expiry Date' and enter the date you would like your order to expire.
How long does it take to process my order after I have submitted it?
Your order will be placed straight away on the market if it passes a series of filters designed by Corporations Law and ASX Market Rules to ensure compliance.
If your order is placed outside market hours or breaches those filters, the order will be referred to a Designated Trading Representative (DTR) for evaluation before placement to the market. At times, the DTR may reject your order (eg where the order price is too far from the current market price).
STP means that your orders and amendments including cancellations instructions are processed directly onto the market without a DTR's intervention.
How can I view my open orders or check if my order has traded?
You can check your order status by clicking on the Orders section.
You can also elect to receive trade confirmation by email.
How do I amend my order?
To amend your order on our website:
1. Choose the order you wish to amend in the 'Open Orders' section of the 'Orders' page
2. Make the required change (eg quantity, price or order validity).
To amend only the price of a partially-filled order, leave the quantity unchanged. Our platform is able to recognise any partially-filled amounts and amend only the amount that is still unfilled in the market.
Are there extra charges if I amend my order?
No, you will only be charged brokerage when your order trades.
How do I cancel my orders?
You can cancel any outstanding orders either via the internet or phone.
To cancel on the website:
1. Choose the order you wish to cancel in the 'Open Orders' section of the 'Orders' page
2. Select 'Cancel'.
What happens when my buy order trades?
You will receive a contract note via email that your buy order has transacted.
Equity transactions on the Australian Stock Exchange generally settle on T+2 (ie two trading days after the trade has taken place), although some securities may settle on a deferred basis.
Payment for share purchase will be directly debited from your Bell Cash Trust.
Settlement is the process for when the shares and money are swapped through CHESS.
What happens when my sell order trades?
You will receive a contract note via email that your sell order has transacted.
The net proceeds from the sell trade will be deposited directly into your Bell Cash Trust on the settlement date (T+2).
The funds will remain in your Bell Cash Trust earning interest until you either buy more shares, or withdraw the funds by transferring it out to your nominated bank account.
What is a contract note?
A contract note confirms the particulars of your trade, including total consideration, brokerage, GST component (if applicable) and settlement date.
Can I view my contract notes online?
Yes.
Go to the Orders section and under 'Open Orders' or 'Order History' you can select from a list of orders and view their corresponding contract note in the 'Contract details' column.
How do you charge brokerage?
Desktop Broker charges brokerage when your order trades.
One brokerage fee will be charged even if your order is filled over multiple trade lines.
Please note that it is possible for this brokerage fee to be split across multiple contract notes depending on the value of the contract notes.
When can I start using the proceeds from the sale of my shares for another buy?
You can place a buy order with funds from the sale proceeds of your shares as soon as the sell trade has been booked to your order.
If I sell my shares, when can I withdraw the funds from my Cash Account?
Sale proceeds must have settled before they can be made available for any purposes other than trading.
Can I use the equity in my shares to fund a purchase?
Buy orders can only be placed if you have sufficient cleared funds in your Bell Cash Trust.
We cannot use stock held with us as collateral.
However, you can sell shares and use the sale proceeds to buy shares immediately after the transaction has been completed on the market.
What do you mean by a 'partially filled order'?
A partially filled order is a buy/sell order that has not been fully completed or filled.
Does Desktop Broker offer Conditional Orders?
Yes, we do.Please refer to Frequently Asked Questions – Conditional Orders .
Does Desktop Broker allow short selling of securities?
No.
Can I sell shares bought via an Initial Public Offering through Desktop Broker?
Yes, provided you are a Desktop Broker client.
You will need to convert your 'issuer sponsored' shares to be 'broker sponsored' with Desktop Broker
Just complete an Issuer Sponsored Conversion Request.
Once the stock holding is reflected on your portfolio holding with Desktop Broker, you can then place your sell order.
The name and address details on your Desktop Broker trading account need to exactly match the name and address details on your holding statement.
Please refer to the fee schedule for brokerage charges.
Can I sell shares originally bought through another broker through Desktop Broker?
To sell shares you have bought through another broker, you first need to transfer the shares to your Desktop Broker Account by completing a Broker to Broker Transfer Request.
What brokerage will I be charged if I place an order online and subsequently amend the order over the phone?
You will be charged the internet rate which is $18.18 for trades up to $10,000, $25 for trades between $10,000 and $25,000 or 0.1% for trades above $25,000.
What alerts are offered? How do I set them?
Desktop Broker offers price alerts, company announcement alerts, order-related alerts and trade confirmation alerts to help you better monitor your trading activities.
Alerts are provided through email and can be used by all traders regardless of the selected information service level.
You are automatically set up to receive order-related alerts and trade confirmation alerts once your Desktop Broker trading account is set up.
It's easy to set price alerts and company announcement alerts: just go to the quick link Alerts icon .
Are there any charges for alerts?
All email alerts are provided free of charge.
What does CHESS do?
CHESS is the Clearing House Electronic Sub-Register System which electronically records an investor's security holding against their HIN.
As the registration is electronic instead of using share certificate, this improves the efficiency and effectiveness of share trading.
A CHESS Statement of Holding is sent out to shareholders' registered address at the end of each month, providing the details of the shares you hold.
What does HIN mean?
Holder Identification Number (HIN) is used by CHESS to identify shareholders and their registered holdings including the broker they hold the securities with (also known as broker-sponsored).
You will be given a HIN when you open a trading account with Desktop Broker.
Any shares you purchase through Desktop Broker will be registered under this HIN. You will receive one HIN for each account opened with Desktop Broker.
What is a SRN?
Security Reference Number (SRN) is used by the share registry to identify investors holding issuer-sponsored shares. This is usually for shares obtained through a float or initial public offering.
How do I transfer shares from another broker?
You will need to fill out a Broker to Broker Transfer Request to facilitate the transfer of shares from another broker to Desktop Broker.
You can either fax or mail your signed request to Desktop Broker and once we've receive it we'll transfer the stock into your account (usually) within 48 hours.
How do I transfer shares that I own to someone else?
You will need to complete an Off Market Transfer Request to change the shares you own from one name into another.
Take a look at our fees for the charges associated with an off-market transfer.
How do I transfer shares I have bought through a float to my Desktop Broker trading account?
You will need to complete an Issuer Sponsored Conversion Request to convert shares bought in a float, if they are currently held as issuer-sponsored.
The registered name and address of the shares must identically match your Desktop Broker trading account details. The share registry will cancel the transfer if there are any differences, so you'd then have to contact the share registry and get them to change the details to rectify any differences. Only after they have changed the details, can you initiate the transfer by submitting to us the Issuer Sponsored Conversion Request.
Am I required to inform the share registry my Tax File Number (TFN)?
It is not required, although recommended, for you to inform the share registry of your TFN. If you do not inform the registry, you will be taxed to the highest marginal tax rate for any dividends you receive. Please note that we do not automatically notify any share registry of your TFN.
Am I required to inform the share registry or CHESS if my contact details change?
Yes.
This is so that shareholder correspondences (eg dividends and rights entitlement) can be delivered to you.
For issuer-sponsored holdings, if you change your address, you should notify the share registry for each parcel of issuer-sponsored shares that you hold.
For CHESS-sponsored or broker-sponsored holdings (ie shares held on a HIN with Desktop Broker), you will need to notify us. We will in turn notify CHESS.
You can change your registered address details via the My Account tab. You can send us the signed request via fax or mail.
Once your address details are changed, the share registry or CHESS will send you confirmation of the change of address.
Am I required to inform Desktop Broker if I receive additional shares as part of a Dividend Reinvestment Plan (DRP)?
No, we will receive notification through CHESS.
If your trading account does not show the updated holdings, please contact our Customer Service team on 1300 726 177 and they will help you investigate the matter.
CHESS will also send you a statement advising your new holdings.
What happens if the company whom I am a shareholder in receives a takeover bid?
If your shares are issuer-sponsored, you will need to complete and return the takeover bid forms to the appropriate share registry. If the shares are broker-sponsored, you will need to inform us in writing as your sponsoring broker if you wish to accept the offer.

Desktop Broker online share trading

Trading and settlement