Trading Fees and Commissions

Posted on July 27, 2020

Description:

In 2013 the shareholders approved $0.05 trading fees for both buyers and sellers of shares, providing me with $0.10 per trade.

Initially offers made to buy and sell could not be broken up. So if someone offered to sell five shares at $5.00 a shareholder would have to buy all five shares. When we switched to top of book trading, meaning shareholders must accept the best available offer, we also allowed offers to be split up.
With offers being split it meant that those making offers would potentially pay multiple trading fees for the blocks of orders they made. As this was a change from what was initially approved we decided to halt trading fees.

We are now ready to reinstate trading fees.

With feedback and recommendations from shareholders we will institute trading fees only on those accepting offers. In order to encourage more trading we will now provide a commission to any accepted offers.

This will encourage more shareholders to make offers, creating a closer spread, and hopefully stimulating more trading with more competitive offers.

How It Works

When a shareholder accepts an outstanding offer they will pay a $0.10 trading fee (no matter how many shares they buy).

The system (me) will take $0.03, and the remaining $0.07 will added to the account of the user who made the offer.

If a transactions crosses multiple offers the fee would be split among the offers accepted (ordered by best offer, and then ordered by date of offer made).

A Yes Vote: means we will implement this new program.

A No Vote: means we will return to charging $0.05 to both sides of all trades*.

*a return to the $0.05 fee would mean all parties involved in a trade pay the trading fee. for example, if someone bought a large number of shares across four people’s offers then each of the five people involved in that trade would be charged $0.05 for a total of $0.25.