I am a 18yo student looking to invest around $7000 (one time) in IWDA. I found out that SCB Trading Account is the cheapest but I do not reach the minimum age of 21. Should I use FSMone first and move to SCB when I'm 21? - Seedly
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Anonymous

Asked on 01 Jul 2020

I am a 18yo student looking to invest around $7000 (one time) in IWDA. I found out that SCB Trading Account is the cheapest but I do not reach the minimum age of 21. Should I use FSMone first and move to SCB when I'm 21?

Hi, I am a 18Yo student looking to invest around $7000 (one time) in IWDA(world ETF).

After doing research and maths, I found out that standard chartered trading acc is the cheapest for the long term(5-10y+) as they do not charge custodian fees.

BUT the problem is that SCB minimum age is 21 which means I'm not eligible.

Should I just put $7000 in vanguard world ETF using FSMone and then move to IDWA with SCB when I'm 21?

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Summer N
Level 3. Wonderkid
Answered on 08 Jul 2020

Hello, you should use Kristal instead! They do not charge brokerage or commission fees for the first 50kUSD, and you only need to be 18 to open an account. IWDA is available on their platform.

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James ng

08 Jul 2020

Hi, IWDA is not available on Kristal
Thank You!
Can you clarify
I wonder if
This is so helpful šŸ‘
What about
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Alex Chua
Alex Chua, Sophomore (Engineering System Design) at SUTD
Level 6. Master
Answered on 01 Jul 2020

Some of the brokers have Youth Investor program ( such as DBS, FSM, etc). You can check their requirements.

As most people would recommend, DCA. I am just going to say otherwise because we have the time in the market.

  1. You have to agree that the world is very volatile now. Do your research about the world current climate. My call is the world index will drop soon. Why? Do your own diligence. Be skeptical to what others said

  2. Recalculate the amount you are willing to put aside for at least a decade or longer. Do a put and ignore

  3. Note the cost of etf.

  4. Challenge: You may want to split your capital into half = put 2 etfs. One is the world. Second is a more targeted etf. It can be a country index or a market index (e.g tech...)

Whatever choice u choose, be prepared to lose your money

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Question Poster

03 Jul 2020

Do young investor programs have cheaper fee? I tried to research on it but I couldnā€™t find any information
Alex Chua
Alex Chua

04 Jul 2020

Sad to say, not that I know of. What I have gone through is risk profiling through dbs vickers Poems provide service priorities I am not sure of the others
Thank You!
Can you clarify
I wonder if
This is so helpful šŸ‘
What about
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Tan Wei Ming
Tan Wei Ming, Writer at Frugal Youth Invests
Level 7. Grand Master
Answered on 01 Jul 2020

Hi. Though a one time investment in IWDA is preferred in an rising market. I do not recommend this strategy due to uncertainty in the market. I would suggest the practice of Dollar Cost Averaging on Interactive Brokers. If I am not wrong, the minimum account maintenance fee is waived for teenagers like us. It would have been US$10 every month if you are 26 years old.

Do consider the above instead of all in.

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šŸ‘
0
Thank You!
Can you clarify
I wonder if
This is so helpful šŸ‘
What about
Post