Overview of Shizuoka Tokai

Shizuoka Tokai Securities Co., Ltd. is a licensed retail forex broker in Japan, regulated by the Financial Services Agency (FSA). Founded in 1951, they offer a variety of financial products, including investment trusts, stocks (domestic and foreign), bonds (government and foreign), and other unspecified products. They also provide a variety of account types, including general, specific, NISA, Junior NISA, and iDeCo, with minimum deposits ranging from ¥30,000 to ¥100,000. Shizuoka Tokai offers various trading platforms, including Direct Course (web), Direct Course Mobile (mobile), and Real-time Course (web). They also provide 24/7 telephone and email support, live chat during business hours, and a customer service website. Their educational resources include webinars, seminars, articles, videos, and ebooks.

Pros and Cons

Pros:

• Licensed and regulated by the FSA: As a licensed and regulated broker by the FSA, Shizuoka Tokai offers a level of security and reliability that investors can trust. This means they adhere to strict financial regulations and consumer protection measures, ensuring the responsible handling of client funds and compliance with industry standards.

• Offers a variety of financial products: Shizuoka Tokai provides access to a diverse range of financial instruments, catering to various investor preferences and risk tolerances. This includes investment trusts, domestic and foreign stocks, government and foreign bonds, and potentially other unspecified products. This allows for diversified portfolio construction and investment opportunities across different asset classes.

• Multiple account types to choose from: Shizuoka Tokai offers various account types to cater to individual needs and investment strategies. These include general, specific, NISA, Junior NISA, and iDeCo accounts, each with its own benefits and functionalities. This allows investors to select the account that best aligns with their tax optimization goals and investment objectives.

• Demo account available: Shizuoka Tokai offers a demo account, which allows potential clients to practice trading in a risk-free environment. This provides a valuable opportunity to test the platform, familiarize themselves with its features, and develop trading strategies before committing real capital.

• 24/7 customer support: Shizuoka Tokai offers 24/7 customer support through various channels, including telephone, email, and live chat during business hours. This ensures that clients have access to assistance and their queries get addressed promptly, regardless of the time of day.

• Wide range of educational resources: Shizuoka Tokai provides a comprehensive selection of educational resources to educate investors and enhance their financial knowledge. These resources include webinars, seminars, articles, videos, and ebooks, covering various topics from basic investing principles to technical analysis and portfolio management.

Cons:

• Spreads for foreign stocks can be high: While Shizuoka Tokai offers competitive spreads for Japanese stocks, the spreads for foreign stocks can be higher, potentially impacting trading profitability. Investors considering trading foreign stocks should compare spreads across different brokers to find the most cost-effective option.

• Minimum deposit of ¥100,000 for most accounts: The minimum deposit requirement for most account types at Shizuoka Tokai is ¥100,000, which may not be suitable for beginners or investors with limited capital. This can be a barrier for some individuals who want to start investing with a smaller amount.

• Leverage limit of 5:1 for Japanese stocks, 2:1 for foreign stocks: Shizuoka Tokai offers a maximum leverage of 5:1 for Japanese stocks and 2:1 for foreign stocks. This leverage limit may be considered low by some experienced traders who are comfortable with higher risk and potential rewards.

• Fees for account maintenance, overnight financing, and foreign exchange transactions: Shizuoka Tokai charges various fees, including account maintenance fees, overnight financing fees, and foreign exchange transaction fees. While these fees may be standard in the industry, it is crucial for investors to be aware of them and factor them into their trading costs.

• Educational resources primarily available in Japanese: Most of Shizuoka Tokai's educational resources are primarily available in Japanese, which can be a limitation for non-Japanese speaking investors. This may limit their access to valuable information and hinder their ability to fully utilize the educational resources offered.

Regulatory Status

Shizuoka Tokai is a licensed retail forex broker in Japan. Its license number is 東海財務局長(金商)第8号, and it is regulated by the FSA.

The FSA is an independent financial regulatory agency in Japan. It is responsible for regulating the financial markets and protecting consumers. The FSA's regulatory authority includes banks, securities companies, insurance companies, and other financial institutions.

Market Instruments

Shizuoka Tokai offers a variety of financial products, categorized into:

Investment Trusts:

• Specific investment trust offerings are not explicitly listed, but they likely include diverse options across various asset classes and risk profiles.

Stocks:

• Domestic Stocks: Shizuoka Tokai offers access to listed stocks on Japanese exchanges.

• Foreign Stocks: They also provide access to listed stocks on international exchanges, allowing diversification beyond the Japanese market.

Bonds:

• Government Bonds: Shizuoka Tokai handles both Japanese government bonds and foreign government bonds.

• The information mentions a government bond campaign for individuals that has already ended. However, this suggests they regularly offer special promotions on specific products.

Other Products:

The category of “other products” is not further elaborated on. However, it might include:

• Exchange Traded Funds (ETFs): Similar to investment trusts but traded on exchanges like stocks.

• Derivatives: Products like options and futures for advanced investors to hedge or speculate.

• Structured products: Complex investment products combining various underlying assets with specific risk-return profiles.

Account Types

Shizuoka Tokai offers five account types: General account, Specific account, NISA account, Junior NISA account and iDeCo account.

General Account:

The General Account serves as the fundamental and inclusive option available to all investors. It provides access to a diverse array of financial products, encompassing stocks, bonds, investment trusts, and more. Investors can conveniently place orders either online or over the phone, coupled with access to valuable research and educational materials. To initiate a General Account, a minimum opening deposit of ¥100,000 is required.

Specific Account:

Tailored for investors seeking tax benefits, the Specific Account comes in two variations: the Specified Account with withholding tax applied at the time of purchase and the Specified Account without withholding tax. Both account types require a minimum opening deposit of ¥100,000.

NISA Account:

Designed to foster long-term investment, the NISA Account offers tax benefits for investments held for at least five years. Investors can take advantage of a maximum annual investment limit of ¥120,000, with a minimum opening deposit set at ¥100,000.

Junior NISA Account:

Catering specifically to children's long-term investment goals, the Junior NISA Account provides tax benefits for investments held for at least ten years. It features a maximum annual investment limit of ¥80,000, and the account can be initiated with a minimum opening deposit of ¥30,000.

iDeCo Account:

Geared towards encouraging retirement savings, the iDeCo Account provides tax benefits for contributions. Investors can contribute up to a maximum annual limit of ¥27,580, with a minimum opening deposit requirement of ¥100,000. This account type is designed to support individuals in building a financial foundation for their retirement.

Account Opening Fees:

For General Accounts, Specific Accounts, NISA Accounts, and Junior NISA Accounts, investors can benefit from a streamlined process as there are no account opening fees associated with these account types.

In contrast, the iDeCo Account incurs an account opening fee of ¥5,500, which includes applicable taxes. This fee is designated as an administrative charge to cover the associated administrative processes. It's important for investors to be aware of this fee when considering the iDeCo Account as part of their financial planning.

How to Open an Account？

Opening an account with Shizuoka Tokai involves a few simple steps:

1. Visit the Shizuoka Tokai Branch or Arrange a Representative Visit: You can begin the account opening process by visiting your nearest Shizuoka Tokai branch. Alternatively, you can request a Shizuoka Tokai representative to visit you at your convenience.

2. Fill Out Necessary Documents: To open an account, you need to fill out some necessary documentation. If you have any queries or concerns about the details to be filled out in these documents, you can seek assistance from the sales staff of Shizuoka Tokai.

3. Receive Notification of Account Opening: After you have submitted the necessary documents, Shizuoka Tokai will verify your identity. Following successful verification, a representative will get in touch with you to inform you about your account opening. Additionally, you will receive an “account opening notice” for your records.

4. Begin Transactions: With your account now open, you can start your transactions. However, note that for the first transaction, Shizuoka Tokai requires you to pay the purchase price in advance.

Spreads & Commissions

Spreads

The spread is the difference between the bid and asking prices of security. It is the cost that a trader pays to buy or sell security.

Shizuoka Tokai offers a variety of spreads for different securities. For example, the spread for Japanese stocks is typically around 0.1% to 0.2%. The spread of foreign stocks can be higher, depending on the market.

Commissions

A commission is a fee that a broker charges for executing a trade. Shizuoka Tokai charges a commission for all trades, regardless of the size of the trade.

The commission for Japanese stocks is typically around ¥100 (including tax) for a trade of ¥100,000 or more. The commission for foreign stocks can be higher, depending on the market.

Here is a table that summarizes the spreads and commissions for Shizuoka Tokai:

Leverage

Shizuoka Tokai offers a maximum leverage of 5:1 for margin trading on Japanese stocks. This means that for every ¥1,000 you deposit, you can borrow up to ¥4,000 to trade. For example, if you deposit ¥100,000, you can trade up to ¥500,000 worth of stocks.

Shizuoka Tokai also offers a maximum leverage of 2:1 for margin trading on foreign stocks. This means that for every ¥1,000 you deposit, you can borrow up to ¥2,000 to trade. For example, if you deposit ¥100,000, you can trade up to ¥200,000 worth of foreign stocks.

Here is a table that summarizes the maximum leverage available to investors who trade with Shizuoka Tokai:

Trading Platform

Shizuoka Tokai provides a diverse selection of trading platforms to cater to the distinct requirements of various investors.

One of the most favored platforms among users is the Direct Course. This web-based platform offers a multitude of features, including real-time quotes and charts, order entry and execution capabilities, as well as robust research and analysis tools. Additionally, it provides tools for efficient account management.

For investors who prefer trading on the go, Shizuoka Tokai offers the Direct Course Mobile platform. This mobile trading solution empowers users to engage in trades while on the move, providing flexibility and accessibility.

For more advanced traders, Shizuoka Tokai introduces the real-time course platform. This advanced platform is equipped with a range of additional features such as algorithmic trading, derivatives trading, and support for complex order types. It is tailored to meet the sophisticated needs of experienced traders seeking advanced functionality.

The selection of a trading platform ultimately hinges on individual needs and preferences. Beginners may find the Direct Course or Direct Course Mobile to be optimal choices due to their user-friendly interfaces and a variety of features tailored to ease the learning curve. On the other hand, advanced traders may gravitate towards the real-time course platform, appreciating its broader array of features and functionality designed to meet the demands of seasoned professionals.

Deposit & Withdrawal

Payment Methods:

Shizuoka Tokai accommodates a variety of payment methods for both deposits and withdrawals, ensuring flexibility for users. Accepted methods include credit cards, debit cards, bank transfers, and cash.

Deposits:

To open an account with Shizuoka Tokai, a minimum deposit of ¥100,000 is required. Importantly, there are no fees associated with deposits, allowing users to fund their accounts without incurring additional charges.

Withdrawals:

For withdrawals, a minimum amount of ¥10,000 is applicable. However, it's important to note that there is a withdrawal fee of ¥300, inclusive of tax. Users should consider this fee when planning withdrawals from their Shizuoka Tokai accounts.

Additional Fees:

Apart from deposit and withdrawal fees, Shizuoka Tokai imposes several other charges, including an account maintenance fee of ¥500 per month (including tax). Additionally, users should be aware of the overnight financing fee, which ranges from 0.05% to 0.15% per day. Furthermore, a foreign exchange transaction fee of 0.25% to 0.5% is applied, emphasizing the importance of understanding the comprehensive fee structure associated with trading on the Shizuoka Tokai platform.

Users are encouraged to review and consider these fees when managing their accounts to make informed financial decisions.

Here is a table that summarizes the payment methods and fees for Shizuoka Tokai:

Customer Support

Shizuoka Tokai offers a variety of customer support options to meet the needs of different investors.

Telephone support is the most popular customer support option for Shizuoka Tokai customers, they provide telephone support in Japanese at +81 054-255-3330. Shizuoka Tokai has a team of experienced customer service representatives who are available 24/7 to answer questions and provide assistance.

Email support is another convenient option for customers who prefer to communicate in writing. Shizuoka Tokai customer service representatives typically respond to emails within one business day.

Live chat support is a newer option that is becoming increasingly popular. Shizuoka Tokai live chat support is available in Japanese during business hours.

The customer service website is a good resource for customers who want to find information on their own. The website includes FAQs, articles, and contact information.

Overall, Shizuoka Tokai offers a comprehensive customer support program that meets the needs of different investors.

Educational Resources

Shizuoka Tokai offers a variety of educational resources to help investors learn about the markets and make informed investment decisions. These resources include:

• Webinars: Shizuoka Tokai offers a variety of webinars on different investment topics. These webinars are typically presented by experienced investment professionals and cover a wide range of topics, including basic investing principles, technical analysis, and portfolio management.

• Seminars: Shizuoka Tokai offers a variety of in-person seminars on different investment topics. These seminars are typically presented by experienced investment professionals and cover a wide range of topics, including basic investing principles, technical analysis, and portfolio management.

• Articles: Shizuoka Tokai publishes a variety of articles on different investment topics. These articles are typically written by experienced investment professionals and cover a wide range of topics, including basic investing principles, technical analysis, and portfolio management.

• Videos: Shizuoka Tokai publishes a variety of videos on different investment topics. These videos are typically presented by experienced investment professionals and cover a wide range of topics, including basic investing principles, technical analysis, and portfolio management.

• E-Books: Shizuoka Tokai publishes a variety of books on different investment topics. These books are typically written by experienced investment professionals and cover a wide range of topics, including basic investing principles, technical analysis, and portfolio management.

Overall, Shizuoka Tokai offers a comprehensive educational program that can help investors of all levels learn about the financial markets and make informed investment decisions.

Conclusion

Shizuoka Tokai is a licensed and regulated broker offering a diverse range of financial products, multiple account types, and 24/7 customer support. They also provide a demo account and a wide range of educational resources. However, their spreads for foreign stocks can be high, the minimum deposit is ¥100,000 for most accounts, the leverage limit is lower than some other brokers, and their educational resources are primarily available in Japanese. Ultimately, Shizuoka Tokai's suitability will depend on individual investor needs, risk tolerance, and language preferences.

FAQs

Q: How many account types does Shizuoka Tokai offer？

A: Shizuoka Tokai offers a variety of account types to cater to individual needs and investment strategies. These include general, specific, NISA, Junior NISA, and iDeCo accounts, each with its own benefits and functionalities.

Q: What is the minimum initial deposit required to open an account？

A: For most account types, the minimum deposit requirement is ¥100,000. However, the Junior NISA account requires a minimum deposit of ¥30,000, and the iDeCo account requires a minimum deposit of ¥100,000.

Q: What are the spreads offered by Shizuoka Tokai？

A: Shizuoka Tokai offers competitive spreads for Japanese stocks, typically ranging from 0.1% to 0.2%.

Q: What is the maximum leverage available at Shizuoka Tokai？

A: The maximum leverage offered by Shizuoka Tokai is 5:1 for Japanese stocks and 2:1 for foreign stocks.

Q: What fees does Shizuoka Tokai charge？

A: Shizuoka Tokai charges various fees, including account maintenance fees, overnight financing fees, foreign exchange transaction fees, and potentially others. It is crucial for investors to be aware of these fees and factor them into their trading costs.

Q: What customer support options does Shizuoka Tokai provide？

A: Shizuoka Tokai offers 24/7 customer support through various channels, including telephone, email, and live chat during business hours.