What are microcap shares and can I trade them with CommSec?
What are microcap shares?
A security is deemed a microcap if at any time in the last 30 days, the share price fell below $5, or the market capitalisation (market cap) fell below $300m.
For a security to no longer be treated as a microcap, it would need to trade above $5, or its market capitalisation (market cap) would need to exceed $300m for no less than 30 consecutive days.
Can I trade microcap shares with CommSec?
We do not currently allow any buy orders for microcap securities on your CommSec International Shares Account. U.S securities that were purchased on a CommSec International Shares Account which fall below the microcap thresholds can still be sold but may incur restrictions requiring additional documentation prior to accepting sell orders.
Any securities transferred to CommSec that subsequently become a microcap cannot be sold. Exceptions may be considered if appropriate documentation can be provided and accepted by our International Custodian.
We're here to help
If you have any questions, please contact our International Desk on 1300 361 170 or +61 2 8397 1250 if calling from outside Australia (open 24 hours, U.S. trading days).
