Costs and Pricing

Important Information About Taxes

Taxation on UK Stocks

A Panel for Takeovers and Mergers (PTM) Levy and Stamp Duty may be applicable for certain trades. Stamp Duty is applied on all buy transactions at a rate of 0.5% of the transaction value. A PTM Levy of £1 is applied to buy and sell transactions where the Gross Value of the trade exceeds £10,000. For Irish registered stocks, Stamp Duty is 1% of the transaction value. 

Taxation on French Stocks

Investors must pay a Financial Transaction Tax (FTT) of 0.30% on all buy trades of French Large Cap stocks. The full list of the 109 affected Stocks can be found in the official application decree. Please note, the linked document is in French.

US Securities and Exchange Commission – SEC Section 31 Fees for US CFD DMA and Shares

Marketsi passes on to its clients the SEC Section 31 fee on US exchange CFD DMA and stock Sell transactions where client orders are entered directly into the underlying market. This fee is $20.70 per $1m effective 16th April 2019. This fee only applies to US exchanges. More information can be found at the US Securities and Exchange Commission website.

Depositary Receipt fees – US

It is standard practice for US depositary receipts to charge an annual administration fee up to $0.05 per share depending on the issuing depositary bank. The intent of the fee is to cover costs for the banks that take on the operational processes necessary to issue and trade the depositary receipt line. The fee is typically deducted when dividend payments are made, however, in case the depositary receipt does not pay a dividend or did not include the custodial fee in their dividend events, the fee will be administered through fee-only events. The dividend fee is stipulated in the Deposit Agreement between the depositary bank and the company based upon industry standards. The Deposit Agreement is filed with the SEC and is readily accessible by the public. The fee per depositary receipt is not dependent on the total amount of dividend being paid but the number of shares held.

Taxes and Fees on Corporate actions

Taxes and fees may also occur on other corporate action other than cash dividends such as fee on a stock dividend or tax on a merger. When such taxes and fees occur Marketsi will debit the client’s account accordingly.