Bonds

If you have any questions or require some explanation, please contact us on stock exchange trading days on the following number: +44 (0) 1332 895 070 or make use of our contact form.

Fees at FINRA, NYSE and BondDesk

1. Add an order to an order book at a stock exchange or an ECN before trading the order
2. Orders, which are immediately traded with respect to an existing sales order (bid order) or offer in an order book at a stock exchange or an ECN

Fees with MuniCenter

Fees for municipal bonds are only charged to the seller.

Fees for corporate and government bonds are charged to both sides.

Information on trading in bonds in the USA:

• Commission/fees apply to all kinds and types of orders
• As part of issuing the order, the full trading fees are always shown as final prices. They include all the stock exchange and other outside expenses.
• Any changed orders are treated as the cancellation and replacement of an existing order by the new order. At certain stock exchanges, this can create a situation where the current minimum commission due for changed orders is handled in the same way as for new orders.
  Example: You issue an order for bonds with a nominal value of USD 10,000.00. You than adapt the current order and receive a statement covering the remaining USD 10,000.00 in nominal value. In this case, the minimum commission will be due for each of the statements involving USD 10,000.00. Any orders, which remain overnight, are viewed as new orders for the purposes of calculating the minimum order on the following day.
• Value-added-tax (VAT), in many cases also called the consumer tax or the tax on goods and services, is calculated separately for the services concerned.

Information on trading in bonds in Europe:

1. Handling expense are currently set at 0.00 – however, changes may be introduced.
2. The stock exchange may also charge a fee of EUR 2.00 per order, which goes beyond the set permissible ratio between order and trade of 5:1. In this ratio, any new and amended orders will be taken into account, but no cancellations.
3. External fees are calculated based on the trading value. The trading value is defined as follows: the nominal value multiplied by the price in percent and divided by 100.

• Commission/fees apply to all kinds and types of orders
• As part of issuing the order, the full trading fees are always shown as final prices. They include all the stock exchange and other outside expenses.
• Any changed orders are treated as the cancellation and replacement of an existing order by the new order. At certain stock exchanges, this can create a situation where the current minimum commission due for changed orders is handled in the same way as for new orders.
  Example: You send an order for 200 ounces, of which 100 ounces are traded. You adapt the order for the remaining 100 ounces and this order is also traded. The minimum fee is charged in this case for both trading procedures each involving 100 ounces. Any orders, which remain overnight, are viewed as new orders for the purposes of calculating the minimum order on the following day.
• Value-added-tax (VAT), in many cases also called the consumer tax or the tax on goods and services, is calculated separately for the services concerned.

Information on trading in bonds in the Hong Kong:

• Commission/fees apply to all kinds and types of orders
• Stock exchange fees, stock exchange tariffs, CCASS handling fees and CCASS custody fees are included in the fees. State stamp tax (0.1%, rounded up to the next whole number (1.00: this only applies to shares) and SFC transaction taxes (0.003% applies to shares and option certificates) are passed on directly to the customer. Please note the details in your account statements.
• Any changed orders are treated as the cancellation and replacement of an existing order by the new order. At certain stock exchanges, this can create a situation where the current minimum commission due for changed orders is handled in the same way as for new orders.
  Example: You issue an order for bonds and receive a statement with a nominal value of USD 20,000.00. You than adapt the current order and receive a statement covering the remaining USD 10,000.00 in nominal value. In this case, the minimum commission will be due for each of the statements involving USD 10,000.00. Any orders, which remain overnight, are viewed as new orders for the purposes of calculating the minimum order on the following day.
• Value-added-tax (VAT), in many cases also called the consumer tax or the tax on goods and services, is calculated separately for the services concerned.

Example of calculations for bonds:

Trading value = nominal x price in percent ÷ 100

Example of calculations:

The nominal value = EUR 1,500,00
The price = 106.62 %
Total value = 1,500.00 x 106.62 ÷ 100 = EUR 1,599.30

Commission of 0.25 % = 1,599.30 x 0.0025 = EUR 3.99 / but minimum fee EUR 6.00

Commission of EUR 6.00

The stock exchange also charges a fee of EUR 2.00 for each order, which goes beyond the set permissible ratio between the order and trade of 5:1. In this ratio, new and amended orders are taken into account, but no cancellations.

Example of calculations:

Four orders are transmitted and each of them is changed once. Trading takes place and a fee of EUR 6.00 is charged. The calculation takes place as follows:

4 order and 4 amendments = 8 orders, with 1 trade.
This provides a ratio of orders for trading of 8:1. The difference between the ratio of 8:1 and the permissible ratio at the stock exchange of 5:1 is 3 (8:1 – 5:1 = 3).

3 x EUR 2.00 = EUR 6.00

stock exchange fee: EUR 6.00

Do you need some information on the transaction fee for a particular product? Then send us an e-mail using our contact form.