What does minimum brokerage amount mean?

To answer your qn, no it doesn't 'stack'. It's whichever is higher.

Say you buy (or sell) $1k worth of stocks. Fees would be either $10 or 0.25%(which is $2.5), but since $10 is higher, you'll be charged $10 instead of $2.5

but conversely if you buy $5k worth of stocks, fees would be either $10 or 0.25% (which is $12.5)

Therefore you will be charged $12.50 in the second case.

Paying more fees eats up your returns because you will have paid more to both buy and sell. But do bear in mind although 4k is ideal like what Wei Ming said, it's important to consider your portfolio and diversify too! Especially when you're new. Because losing 4k on a BAD stock is going to WAYYY worse than paying extra in transaction fees.

Hope this helps! Do check out my YT channel as i do cover a litt about investing too and good luck!

Brokerage is the fee/commission you pay to the stockbrokerage. It is based on a percentage of the stock transaction amount, regardless buy or sell in most cases in SG.

It means that if the 0.25% of the stock transaction amount is less than $10, you still pay $10 as that is the minimum (Plus GST).

So typically people will buy or sell at the amount that minimises the brokerage fee.