Yes. Funds must be available in your relevant cash account before you can place a buy order. If your cash balance does not cover the full value of the order, including brokerage, the order cannot be submitted. Please note that this requirement applies to buy orders only and does not affect sell orders.
Why do I need funds available before I can trade?
Having funds available in your account before placing a buy order ensures that your trade can settle without any issues. Settlement is the process of finalising the exchange of shares and cash between both parties, and it must be fully funded at the time the order is placed.
If a trade cannot be settled due to insufficient funds, this creates a complex resolution process and can result in fees being charged for non-settlement. Requiring funds upfront protects you from this situation and ensures your trades are processed smoothly.
What if I need to add funds quickly?
If your bank supports Osko instant transfers, you may be able to deposit funds into your Selfwealth cash account instantly. Transfer times can vary depending on your bank, so we recommend checking with your bank to confirm whether Osko is supported and how long transfers typically take.
For more information on instant payments, please visit this article: Instant payments