The term “CHESS-sponsored trades” has been bandied around by marketing teams of various brokers but what does this term actually mean? CHESS stands for Clearing House Electronic Subregister System. Basically, it’s a computer system operated by the ASX that facilitates the buying and selling of shares listed on the exchange by managing the settlement of share transactions and recording shareholdings. 

In reality, there is no such thing as a ‘CHESS-sponsored trade’ as all trades in Australia, whether through ASX or Cboe (including those placed on Superhero), are cleared and settled via CHESS.

However, when people use the term “CHESS-sponsored,” they most likely mean that your shares are held by a market participant in your name on a Holder Identification Number, usually referred to as a ‘HIN’.

To trade AU shares, you will first need to transfer NZD into AUD in your Superhero Wallet. Once you have transferred NZD to AUD, you can trade AU shares by searching for or selecting investments on the ‘Invest’ tab within your account. Once you have found the share or ETF you wish to trade, you can Buy or Sell.

To transfer NZD to AUD in your Superhero wallet, click on the FX Transfer tab and follow the steps.

Steps to transfer:
1. Type in the dollar amount you want to transfer (NZ$100 minimum)
2. Click ‘Calculate’. This will hold the rate for 10 seconds
3. Once satisfied with the rate, click ‘Confirm’
4. Your funds will be transferred into AUD in real time and will appear in your AUD wallet.

The main reason your recurring order/s may fail is because you don’t have enough funds in your Superhero Wallet on the day your recurring order is due to execute. 

If you do not have enough funds in your account, we will attempt to re-submit your order on each subsequent day, until the order is placed.

Keep in mind that for recurring orders of Australian shares the minimum order size is A$100 or one whole share, whichever is greater, as Australian shares cannot be bought in fractional units.

For recurring orders of U.S. shares the minimum order size is US$10 and you will need to have funds already converted into U.S. dollars.

Transferring your shares to another person or entity is called an off-market transfer. (This is not a broker to broker transfer). There are two different types of off-market transfers with Superhero.

An internal off-market transfer is when you transfer your existing shares to another Superhero account (incl. deceased estates, change of beneficial owner, etc).

An external off-market transfer is when you transfer your existing shares to another entity, external to your Superhero account.

There is a cost to conduct this type of transfer and we pass this cost on.

Please see the Superhero Fee Schedule for further information.

The ASX stands for The Australian Securities Exchange. The ASX is Australia’s largest securities exchange and one of the 10 largest exchanges in the world by market capitalisation.

According to the ASX website, ‘ASX acts as a market operator, clearing house and payments system facilitator. It oversees compliance with its operating rules, promotes standards of corporate governance among Australia’s listed companies and helps to educate retail investors.’

A Limit Order is an order to buy or sell a certain number of shares for a specified price (or better).

Limit Orders expire 30 days after you place the order. 

You need to add funds to your Superhero Wallet before you can trade, and transfer funds to the currency of the share you wish to purchase.

Once your Wallet is funded, you can search for a share or go to the ‘Invest’ tab to find and click on the share you wish to buy or sell.