How much commission do I need to pay per trade?The commissions you pay differ between the various products and Exchanges. We offer very competitive rates across all products. The commissions and margins required may change from time to time based on Exchanges requirement and the company discretion. Please call us at (65) 6671 1818 or email us at [email protected] if you need further assistance.
Can I appoint someone to trade on my behalf?Yes, you may wish to appoint a Power of Attorney ( POA ). You and the appointed party are required to sign the Power of Attorney Form. In the event that you wish to revoke your mandate, you can send us a letter of mandate revocation.
The POA and the beneficial owner must be related in either one of the following ways:
- Immediate family members / Relatives
- Employer - employee relationship or
- Licensed persons (financial advisory or fund management Services ).
What is futures trading and how different is it from share margin financing?Futures trading allows you to trade various futures contracts listed on futures exchanges & over-the-counter (OTC) Commodities / foreign exchange on a margin basis. The transactions in futures are usually highly leveraged. You may need to put in only a very small percentage of margin deposit instead of paying for the full contract value. You are not allowed to trade without a margin deposit.
What is long and short position?Buying a futures contract is called taking a long position. Selling a futures contract is referred to as taking a short position. A long futures position profits when the futures price goes up, and a short futures position profits when the futures price goes down.
How do we calculate profit and loss?As in all trading activities, buying low and selling high earns you profits. Short selling is also an alternative when you have a bearish view of the market. The basic formula (excluding commission) for calculating profits and loss is as follows:
Profit / Loss = (Selling Price- Buying price) X contract size
How do I place orders?All orders can be placed through phone or executed through our E–trading platforms.
What are "Spot" and "Futures" prices?Spot price is the price in the cash market (where one buys and sells goods 'on the spot' just as we make purchases from a shop by paying cash) while futures prices are prices of the same commodity at a future date. The difference between spot and futures prices is the cost of carry i.e. interest cost, storing, insurance etc.
How do I place a trade via phone call?Simply call our Dealing desks, state your account number, order, contract month (Futures trading), quantity, and order buy or sell.
How can I confirm that the orders I placed are done?You may call our Dealing desks to confirm the trades done.
Will I receive confirmation for my trades executed?You will receive your daily, monthly and quarterly statements via email or hardcopy. The daily statements reflect the previous day’s trades, open positions and your account balances marked to the previous market close. Your trading activities and commissions are summarized in the monthly and quarterly statements. No daily statements will be sent to dormant accounts.
How do I know my Net Position?You may call our Dealing desks to check on your Net Position.
What are margins?Margins are likened to a performance bond – a good faith deposit – to ensure the ability of market participants to honour their financial commitments and cover any obligations which may arise out of the trading activities.
When will I have a margin call and how much do I need to top up into my account?Margin Call will be initiated when the total net equity ( cash + unrealized Profit and Loss ) falls below the maintenance margin. Your open positions are marked-to-market to the closing prices each trading day. At most times, the Initial Margin (IM) is sufficient to buffer some losses. However, when your losses deplete your equity below the Maintenance Margin (MM) required, you will then receive a margin call, which requires you to top up your equity to the Initial Margin level
How can I top-up my account for margin call?Please refer to Accounts FAQ under Top-Up and Withdrawal Section.
By when do I need to top-up for my margin call?Under normal market conditions, you may have up to Trade date + 2 business days to top-up your account for Margin Call. KGI Ong Capital margin call policy prevails, for details please contact our Credit department.
What will happen if I do nothing to my margin call?If you did not top up your account, KGI Ong Capital reserves the right to impose stop loss order on your open positions. However, KGI Ong Capital will make reasonable attempts to contact you on the stop loss level on a best effort basis. As KGI Ong Capital margin call policy prevails, we reserve the right to liquidate the position(s) to bring your equity balance above your Initial Margin level.
If I have an outstanding margin call, can I still trade?No, you are not allowed to add-on risk incurring position. Under such a situation, you can only liquidate the position.
Who do I contact for details of KGI Futures (Singapore) margin call policy?For details of KGI Futures (Singapore) margin call policy, you may contact us by one of the following ways:
Telephone: (65) 6671 1833 / 1834 / 1835
Fax: (65) 6634 3063
Email: [email protected]
How can I verify if the trades shown in my account are done by me?You may call our Dealing desks to check your trades done with the Dealers.
How can I verify if the execution price the Dealer placed for me is correct or wrong?You may call our Dealing desks to verify the order price.
Type of Orders
What are the different types of orders?Listed below are the different types of orders:
- Day orders:
Day orders are valid until that day’s New York market close or London market close if it is a New York holiday.
- Good Till Cancel ( GTC ) orders :
GTC orders are orders that are valid until the orders are filled or until they are cancelled by you.
- Market orders:
Market orders are to be transacted at the prevailing price in the market. To do a Forex market order, you have to call our dealer to give you a FIRM or DEALING quote.
Prices are quoted in the sequence of Bid vs. Offer. Firm quote will hold only for a short while. Once a firm quote is quoted, you have to decide either to buy ( at the offer price ), sell ( at the bid price ) or do nothing before the dealer invalidates the quote.
For Futures orders, please note that you may be put on the line while the dealers get your transacted price.
- Limit orders:
Limit orders are price-specific orders that are placed away from the current market price. It gives you more control over the execution price. The price of a limit-buy order is lower than the current market price, and may be filled at the limit price or higher.
- Stop orders:
Stop orders are orders that become market orders when the market reaches a designated price. The price of a buy stop order is lower than the current market price, and may be filled at the specified stop price or higher. The price of a sell stop order is higher than the current market price, and may be filled at the specified stop price or lower.
- One Cancel the Other ( OCO ) order:
An OCO order is an order which allows you to place a Limit Order and a Stop Order at the same time. When one order is done the other order is automatically cancelled. For example, if the limit order is filled, the stop order is automatically cancelled, and vice-versa.
- Day orders: