BOARD LOT
Tumanguil, Joan Mae F.
INVS&PRTF/ AFM0711
Board Lot System
Equity trading is done by board lot or round lot system. The Board Lot Table determines the minimum number of shares an investor can buy or sell at a specific price range. Therefore, the minimum amount of initial investment varies and will depend on the market price of the stock as well as its corresponding board lot. Prices of stocks move through a scale of minimum price fluctuations.
Table 1. Board Lot Table
Market Price (in Php)
Tick Size
Lot Size
0.0001 to 0.0099
0.0001
1,000,000
0.0100 to 0.0490
0.0010
100,000
0.0500 to 0.2490
0.0010
10,000
0.2500 to 0.4950
0.0050
10,000
0.5000 to 4.9900
0.0100
1,000
5.0000 to 9.9900
0.0100
100
10.0000 to 19.9800
0.0200
100
20.0000 to 49.9500
0.0500
100
50.0000 to 99.9500
0.0500
10
100.0000 to 199.9000
0.1000
10
200.0000 to 499.8000
0.2000
10
500.0000 to 999.5000
0.5000
10
1000.000 to 1999.000
1.0000
5
2000.000 to 4998.000
2.0000
5
5000.000 and UP
5.0000
5
Let's take a look at the illustration below.
Buying Transaction:
Mr. X wishes to buy a stock whose market price is P10.00. Based on the Board Lot Table, the number of shares he can buy at a regular transaction should be in multiples of 100 shares. In this case, if Mr. X wants to buy 1,000 shares (which is a multiple of 100 shares) his required cash outflow will be as follows:
Market price/share
P
10.00
Number of shares to be bought x
1,000
P
10,000.00
Broker's Commission* (0.25% + 12% VAT) +
28.00
SEC Fee (Transaction Value x 0.005%) +
0.50
PSE Transaction Fee (Transaction Value x 0.005%) +
0.50
SCCP Fee (Transaction Value x 0.01%) +
1.00
Total Cash Outlay
P
10,030.00
*Broker's commission varies depending on value of transaction, with a maximum allowable commission rate of 1.5% (please refer to Table 2 below)
**If a buying client chooses to be issued and maintain a physical certificate in his/her name, an upliftment/withdrawal fee of P50.00 per certificate issuance request and transfer fee of
INVS&PRTF/ AFM0711
Board Lot System
Equity trading is done by board lot or round lot system. The Board Lot Table determines the minimum number of shares an investor can buy or sell at a specific price range. Therefore, the minimum amount of initial investment varies and will depend on the market price of the stock as well as its corresponding board lot. Prices of stocks move through a scale of minimum price fluctuations.
Table 1. Board Lot Table
Market Price (in Php)
Tick Size
Lot Size
0.0001 to 0.0099
0.0001
1,000,000
0.0100 to 0.0490
0.0010
100,000
0.0500 to 0.2490
0.0010
10,000
0.2500 to 0.4950
0.0050
10,000
0.5000 to 4.9900
0.0100
1,000
5.0000 to 9.9900
0.0100
100
10.0000 to 19.9800
0.0200
100
20.0000 to 49.9500
0.0500
100
50.0000 to 99.9500
0.0500
10
100.0000 to 199.9000
0.1000
10
200.0000 to 499.8000
0.2000
10
500.0000 to 999.5000
0.5000
10
1000.000 to 1999.000
1.0000
5
2000.000 to 4998.000
2.0000
5
5000.000 and UP
5.0000
5
Let's take a look at the illustration below.
Buying Transaction:
Mr. X wishes to buy a stock whose market price is P10.00. Based on the Board Lot Table, the number of shares he can buy at a regular transaction should be in multiples of 100 shares. In this case, if Mr. X wants to buy 1,000 shares (which is a multiple of 100 shares) his required cash outflow will be as follows:
Market price/share
P
10.00
Number of shares to be bought x
1,000
P
10,000.00
Broker's Commission* (0.25% + 12% VAT) +
28.00
SEC Fee (Transaction Value x 0.005%) +
0.50
PSE Transaction Fee (Transaction Value x 0.005%) +
0.50
SCCP Fee (Transaction Value x 0.01%) +
1.00
Total Cash Outlay
P
10,030.00
*Broker's commission varies depending on value of transaction, with a maximum allowable commission rate of 1.5% (please refer to Table 2 below)
**If a buying client chooses to be issued and maintain a physical certificate in his/her name, an upliftment/withdrawal fee of P50.00 per certificate issuance request and transfer fee of