STAKE adds Instant Funding for a 0.5% fee, to help buy the dip

    STAKE is an investment platform that allows you to trade stocks on the US NASDAQ and Australian ASX markets.

    Today they announced a new feature that addresses one of the challenges retail investors have had when buying stock on the US Exchange.

    If you spot an opportunity (like a stock dipping in value) and have a strong conviction that your company of choice is not going bankrupt and ultimately will recover and grow over the long term, then you may need to move fast before other traders also hit the buy button and the price moves rapidly.

    When trading on STAKE, you need to fund your account from an Australian bank account and this transaction between your bank and the US bank can take as much as 24hrs, leaving you with a large window to miss the best price.

    To address this, STAKE is allowing you to instantly fund your account and buy the US stock at the drop of a hat. To accelerate this transfer it will cost you a 0.5% fee, which could be a sizeable amount, so you’d need to be fairly confident your instant trade will be worth the penalty.

    It’s not exactly clear what costs STAKE incurs by moving the funding faster, if there’s some kind of temporary bridging finance to make the funds instantly appear at the other end, then resolved at a later date and therefore the 0.5% is covering costs for STAKE.

    Typically STAKE offers low fees, so this new feature is something to consider, but won’t be right for all.

    To make this work, the next time you make a deposit or transfer, simply select the ‘Instant’ speed option (0.5% fee) and you’ll then immediately have the buying power to acquire stocks as desired.

    STAKE says this is just one of many updates coming to you shortly. Stay tuned.

    I’ve been using STAKE to buy $TSLA shares for a number of years now and this is definitely a challenge I’ve come up against, so nice to see STAKE offers solution.

    If you’re keen to try STAKE, consider using our referral code

    Jason Cartwright
    Jason Cartwright
    Creator of techAU, Jason has spent the dozen+ years covering technology in Australia and around the world. Bringing a background in multimedia and passion for technology to the job, Cartwright delivers detailed product reviews, event coverage and industry news on a daily basis. Disclaimer: Tesla Shareholder from 20/01/2021

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