Under the agreement, Saxo Capital Markets will use OpenMarkets to allow Saxo clients to invest in Australian shares via a Holder Identification Number (HIN) structure.
Speaking to InvestorDaily, Saxo Capital Markets Australia chief executive Ben Smoker said Baby Boomer clients tend to be more comfortable with the HIN structure than custodian-based arrangements (which Saxo offers).
While he said there is nothing insecure about custody arrangements, Mr Smoker said older clients like to receive physical statements through the HIN structure.
“Thanks to our new partner [OpenMarkets], Saxo will be the first broker to offer a HIN solution on a singular, consolidated multi-asset trading platform,” he said.
For its part, OpenMarkets will have access to Saxo’s “extensive list of global equities with multi-currency settlement”.
OpenMarkets chief executive Andrea Marani said, “Our partnership with Saxo will result in us being able to offer trading in global securities from one cross-collateralised cash account and we will do this at competitive brokerage and FX rates.”
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