Some time ago I read the news in Kontan online, the point is that the Association of Indonesian Securities Companies (APEI) will set a minimum limit for broker transaction fees. APEI sets a minimum limit of 0.18% for buying transaction fees, while a minimum selling transaction fee of 0.28%. This rule will take effect from January 2017. For those of you who don't understand about stock exchange transaction fees, please read the post: Meaning and Illustration of Trading Units and Stock Transaction Fees.
The purpose of APEI to set minimum transaction fee rules is to end the fee war between securities. So far, every stock security has competed to provide the smallest possible fee with the aim of attracting customers, so that it becomes a boomerang for the securities themselves. So the question is, is this minimum transaction fee determination profitable or detrimental to us as a trader?
Of course, you and I who have been exposed to fees lower than 0.18% and 0.28% set by the securities office, will feel a little disappointing (from the trader's side). Because securities inevitably have to increase the fees for buying and selling them. That is, if you want to buy shares, you have to spend more. And if you sell shares and want to realize a profit, you will most likely have to sell a few points higher so you don't get hit by the increased transaction fees.
Well, behind all that, whatever it is, APEI's policy still has a positive goal, so that it can regulate healthy competition between securities. Although, there are some traders who may seem a little "disadvantaged" because maybe previously the buying and selling fees were 0.17% and 0.27% had to be increased to the minimum limits according to regulations, namely 0.18% and 0.28%.
What do you think about this transaction fee?
