sharetrader
Page 6 of 10 FirstFirst ... 2345678910 LastLast
Results 51 to 60 of 92

Thread: sharesies.nz

  1. #51
    Legend peat's Avatar
    Join Date
    Aug 2004
    Location
    Whanganui, New Zealand.
    Posts
    6,435

    Default

    NZX advise that volume has increased four times since a while back.
    Their website says they did $38.8 billion last year. which is only 100 mill per day
    They say in a video that they did 1.3 billion last week.
    I see Sharesies announced they did a record 80 million in a week.
    If Sharesies are creating significan transactional volume increases , on only 80M a turnover week then they should be pushed to the side of the road. That is less than 20% value on a normal week. But it will only be 5% of the increased volume so they are a piddle in the bucket and yet are stuffing up the system.

    BBMP
    Bring Back Minimum Parcel sizes (honestly its not that much)
    For clarity, nothing I say is advice....

  2. #52
    Advanced Member BIRMANBOY's Avatar
    Join Date
    May 2011
    Location
    Wellington
    Posts
    1,556

    Default

    Long term view would seem to be that all of the new investors can only help the NZ share market. Advantages would be obvious...makes for more liquidity across the board as well as allowing access to another form of investment rather than just Term Deposits, kiwi saver and lotto tickets. Also many of the new entrants will continue on and become bigger investors as time goes by. More investors help drive up prices which benefits existing holders. Short term problems obviously for the NZX adjusting technology to cope with new growth but one assumes that will be overcome sooner rather than later. I think its great that there is another generation of investors created here. When you think about an investor just using a couple of hundred dollars it may seem a bit futile to a seasoned investor, but when you view it as a cumulative exercise and also consider the number of investors, it looks completely different. Go Sharesies.
    www.dividendyield.co.nz
    Conservative Investing and dividend producers...get rich slowly!
    https://www.facebook.com/dividendyieldnz

  3. #53
    Guru justakiwi's Avatar
    Join Date
    Aug 2016
    Location
    Canterbury
    Posts
    2,569

    Default

    Wow. So much bitterness. You’re the 2 year old who doesn’t want to share the playground.

    Quote Originally Posted by peat View Post
    If Sharesies are creating significant transactional volume increases , on only 80M a turnover week then they should be pushed to the side of the road. That is less than 20% value on a normal week. But it will only be 5% of the increased volume so they are a piddle in the bucket and yet are stuffing up the system.

    BBMP
    Bring Back Minimum Parcel sizes (honestly its not that much)
    Last edited by justakiwi; 22-04-2020 at 01:29 PM.

  4. #54
    Legend peat's Avatar
    Join Date
    Aug 2004
    Location
    Whanganui, New Zealand.
    Posts
    6,435

    Default

    Quote Originally Posted by justakiwi View Post
    Wow. So much bitterness. You’re the 2 year old who doesn’t want to share the playground.
    No I'm not bitter but its finance not tiddlywinks.

    I have followed your posts and fully applaud your investing and the strategy and totally agree that diversification is important for any portfolio
    but even you aren't buying 3 shares or 27 shares you're buying small parcels that cost $500 minimum and that's totally cool.
    I bought my first bond from Northern Territory Australia for $A500 - that was the minimum size and still wasn't worthwhile when I took exchange costs into account.

    There must have been a reason for a minimum parcel and now we know what it was.
    For clarity, nothing I say is advice....

  5. #55
    Guru
    Join Date
    Apr 2003
    Location
    Wellington, New Zealand
    Posts
    4,863

    Default

    Quote Originally Posted by peat View Post
    No I'm not bitter but its finance not tiddlywinks.

    I have followed your posts and fully applaud your investing and the strategy and totally agree that diversification is important for any portfolio
    but even you aren't buying 3 shares or 27 shares you're buying small parcels that cost $500 minimum and that's totally cool.
    I bought my first bond from Northern Territory Australia for $A500 - that was the minimum size and still wasn't worthwhile when I took exchange costs into account.

    There must have been a reason for a minimum parcel and now we know what it was.
    I tend to disagree with you on this one Peat. Technology has allowed the minimum parcel sizes to be redundant. I too used to know the term "odd lot".
    Unfortunately it is the NZX that is not up to the party here trying to run a modern system on old hard/software. The NZX have made Sharesies a market participant. More fool them if they did not see the enthusiasm that the ordinary folk had for investing in shares and being able to make their own balanced portfolios with minimal $.
    I am in the process of making my own index fund, which I will manage and invest in on my own behalf. Now with Sharesies it is possible to do something like that even with a portfolio value of even say $25k. In the past it would have been prohibitive.

  6. #56
    Guru justakiwi's Avatar
    Join Date
    Aug 2016
    Location
    Canterbury
    Posts
    2,569

    Default

    Mmmm .... I have no idea why you think that, but no I am not.

    Prior to covoid I was investing $40 a week, split between 4 holdings. One of which is USF. So every week I was buying 1 point something of a USF share, and varying small amounts of my other holdings. Lately, I have not been making regular weekly orders but buying here and there as funds permit, if I think there is some value in buying. Yesterday I bought 30 something shares.

    Which, as far as I am concerned, is also “totally cool.”

    Quote Originally Posted by peat View Post
    but even you aren't buying 3 shares or 27 shares you're buying small parcels that cost $500 minimum and that's totally cool.
    Last edited by justakiwi; 22-04-2020 at 02:02 PM.

  7. #57
    Senior Member
    Join Date
    Nov 2018
    Location
    Christchurch
    Posts
    1,063

    Default

    Quote Originally Posted by blackcap View Post
    I tend to disagree with you on this one Peat. Technology has allowed the minimum parcel sizes to be redundant. I too used to know the term "odd lot".
    Unfortunately it is the NZX that is not up to the party here trying to run a modern system on old hard/software. The NZX have made Sharesies a market participant. More fool them if they did not see the enthusiasm that the ordinary folk had for investing in shares and being able to make their own balanced portfolios with minimal $.
    I am in the process of making my own index fund, which I will manage and invest in on my own behalf. Now with Sharesies it is possible to do something like that even with a portfolio value of even say $25k. In the past it would have been prohibitive.
    How are you accomplishing this in a NZ market presence by sector / industry? The NZ50 alone is too risky with so many in that list that will be destined for bankruptcy. Will you be tracking every stock in that sector and do all the rebalancing? How about the high commissions for making trades ; which will reflect in your annual cost? If lowering risk through diversification is your strategy, i'm afraid you won't do it in the NZ market.

  8. #58
    Senior Member
    Join Date
    Nov 2018
    Location
    Christchurch
    Posts
    1,063

    Default

    Quote Originally Posted by justakiwi View Post
    Mmmm .... I have no idea why you think that, but no I am not.

    Prior to covoid I was investing $40 a week, split between 4 holdings. One of which is USF. So every week I was buying 1 point something of a USF share, and varying small amounts of my other holdings. Lately, I have not been making regular weekly orders but buying here and there as funds permit, if I think there is some value in buying. Yesterday I bought 30 something shares.

    Which, as far as I am concerned, is also “totally cool.”
    We have crossed paths many times justakiwi over the past couple of years on this forum. If you recall, I made a response that it was more likely a stock market crash were to occur and it's not so strategic to put all your $ in a timely way of investing (ie in weekly contributions like Kiwi Saver). I mentioned to the person wanting to start investing, I replied that there would be a high probability of a stock market crash in the near short or long term future because we've come a long way since 2008. Now here we are justakiwi witnessing this major global crisis. WTI crude oil has crashed to negative territory (never in history has this happened).

    What does this mean from now on? Well, to those starting to invest, i'm afraid they would be in a better position than those that have stayed invested for the past 2 or 3 years. This is the reason for the increase interest in investing as we've see by the Sharesies data.

  9. #59
    Guru
    Join Date
    Apr 2003
    Location
    Wellington, New Zealand
    Posts
    4,863

    Default

    Quote Originally Posted by SBQ View Post
    How are you accomplishing this in a NZ market presence by sector / industry? The NZ50 alone is too risky with so many in that list that will be destined for bankruptcy. Will you be tracking every stock in that sector and do all the rebalancing? How about the high commissions for making trades ; which will reflect in your annual cost? If lowering risk through diversification is your strategy, i'm afraid you won't do it in the NZ market.
    I will be using the NZ50 as a proxy. In my younger years I used to administer a passive NZ fund. Its not that difficult to do in Excel. I will have parameters so that rebalancing only has to be done weekly (or monthly) and there will be some leeway in the requirements to avoid unnecessary transactions. Brokerage on Sharesies is so low that this is immaterial. Other passive funds also have brokerage to contend with yet its not a problem for them. As with passive funds, I will not be trying to pick winners or losers. Just invest within the parameter and get the index return (including the management fee which I will pocket myself) Ie not have to pay Smartshares their 0.54% per annum or whatever it is these days.

  10. #60
    Legend peat's Avatar
    Join Date
    Aug 2004
    Location
    Whanganui, New Zealand.
    Posts
    6,435

    Default

    Quote Originally Posted by blackcap View Post
    I tend to disagree with you on this one Peat. Technology has allowed the minimum parcel sizes to be redundant. I too used to know the term "odd lot".
    Quote Originally Posted by blackcap View Post
    Unfortunately it is the NZX that is not up to the party here trying to run a modern system on old hard/software. The NZX have made Sharesies a market participant.


    If technology had made it the concept of minimum parcels redundant then its quite likely we wouldn't be having these problems would we?

    Although I do agree that NZX have miscalculated regarding the impact Sharesies has had so ultimately it is their fault and not Sharesies. Exchanges should be able to cope with much larger volumes than their daily averages
    But I still think its worthwhile some cantankerous old rissole like me pointing out where the problem (probably) arises from.

    And I've also pointed out - sometime before the Corona crash - that all these tiny investors signalled the end of the bull market. Oddly they are staying around tho so clearly we have a lot further to fall.
    For clarity, nothing I say is advice....

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •