Fx Rates

poodles

I rang around a couple of the brokers within a short time frame and asked what their current fx rate was converting GBP to Euros...

Davy's - 0.8487
Goodbodys - 0.8456
TD Waterhouse - 0.8703

Base rate taken from xe.com and fxstreet.com - 0.8555

Does this seem right?

Wudyaquit

poodles wrote: »

I rang around a couple of the brokers within a short time frame and asked what their current fx rate was converting GBP to Euros...

Davy's - 0.8487
Goodbodys - 0.8456
TD Waterhouse - 0.8703

Base rate taken from xe.com and fxstreet.com - 0.8555

Does this seem right?

No - looks like there's something up there - TDW say they charge a 3% spread (so 1.75% on base) - they're 3% above Goodbody's there. Even assuming Goodbody's do it for free, which they presumably don't, there looks to be something off

poodles

Wudyaquit wrote: »

No - looks like there's something up there - TDW say they charge a 3% spread (so 1.75% on base) - they're 3% above Goodbody's there. Even assuming Goodbody's do it for free, which they presumably don't, there looks to be something off

Yea...maybe someone else can try...although it was like trying to get blood from a stone from Davys...you'd swear that it was no big deal and I was ignorant for asking.
Seeing as how I would only buy UK stocks and not Irish it makes a huge deal especially if your initial conversion is over 10k eur.

ravima

try currency fair.

I'd give a link, only last time I did that I was banned.

strmin

poodles wrote: »

Yea...maybe someone else can try...although it was like trying to get blood from a stone from Davys...you'd swear that it was no big deal and I was ignorant for asking.
Seeing as how I would only buy UK stocks and not Irish it makes a huge deal especially if your initial conversion is over 10k eur.

Why don't you want to open an account with decent broker, deposit €, exchange to sterling at MARKET rate for a small commission like $2.5 and trade several times cheaper than any Irish broker.

Shauny2010

Ok this discussion is brewing over a couple of threads so lets see if we can find a consensus

As of end of 2nd Feb 2011 7:33pm ODL markets are quoting a Euro Sterling exchange rate of 0.853082

Theres no commission on this unless they are scalping off the top so can anyone confirm the rate they are getting from any other brokers

poodles

Shauny2010 wrote: »

Ok this discussion is brewing over a couple of threads so lets see if we can find a consensus

As of end of 2nd Feb 2011 7:33pm ODL markets are quoting a Euro Sterling exchange rate of 0.853082

Theres no commission on this unless they are scalping off the top so can anyone confirm the rate they are getting from any other brokers

According to http://www.fxstreet.com/rates-charts/currency-rates/

The base rate is 0.8534


From ODL Website:
The best spreads available to ODL are streamed to you with a small markup, which is generally one pip for major currency pairs.

Shauny, maybe they charge the 1.5% when your buying a GBP stock with Euros...
If you can do a dummy buy of a GBP stock tomorrow with Euros from your trading account and note then rate that they quote you...then compare it to the above fxstreet.com rate?

Shauny2010

Ok I'm going to ring again tomorrow and check, but this is how it was explained too me
1: My account base currency is in Euros, ie the Free Cash balance is Euros
2:When I buy UK stock the cost of the stock is deducted from the Cash balance at the time of the transaction using the current exchange rate (no commission or add-ons above the base rate)
3:When I sell the stock the value is credited back to Euros again at the Exchange rate at the time with no Commissions etc
4:I can also specify to sell the UK stock and hold the money in Sterling, I have done this when the Exchange rates have moved against me. Again no charges

This is how I understand it at the moment, I`ll ring again to confirm it.

poodles

Shauny2010 wrote: »

Ok I'm going to ring again tomorrow and check, but this is how it was explained too me
1: My account base currency is in Euros, ie the Free Cash balance is Euros
2:When I buy UK stock the cost of the stock is deducted from the Cash balance at the time of the transaction using the current exchange rate (no commission or add-ons above the base rate)
3:When I sell the stock the value is credited back to Euros again at the Exchange rate at the time with no Commissions etc
4:I can also specify to sell the UK stock and hold the money in Sterling, I have done this when the Exchange rates have moved against me. Again no charges

This is how I understand it at the moment, I`ll ring again to confirm it.

Maybe your right, but they did say 1.5% to me. Be interested to hear from you tomorrow.

I get wary every time I see 'no commission' signs - especially in fx changers at airports. Sure they won't charge a commission fee but they'll just give you a skank rate.

Shauny2010

Right I rang and found out that my base Account is in sterling.
When I lodge money it comes into the account as euro but they exchange it to sterling at the current exchange rate with no commission or mark up charges.
Since I only trade on the London exchange I have no need for a euro Balance.If I did want to trade on the Isaq I would have to set up a Euro Balance or else it would be funded from the sterling side of the account. This would still leave a negative amount in the euro side which would correspond with the Sterling Balance. This negative balance would be charged at 1.5% above the Fx exchange rate.
Sounds confusing? It is but as long as one trades on the Ftse you can avoid any Commissions