THE fees that investors have to pay to have a share trade cleared will be cut from June 1, the Singapore Exchange (SGX) said Thursday.

The clearing fee will fall from 0.04 per cent to 0.0325 per cent of the contract value, in a change likely to impact large institutional investors far more than small ones.

However, the cap of $600 on this fee - which effectively kicks in for contracts of $1.5 million or more - will be removed.

This means that investors with super-large trades could actually pay more.

A trade of $1 million, for example, will attract a clearing fee of $325 from June, a saving of $75 from the $400 now.

But the cap of $600 for any single trade clearance has been removed.

That means a trade of $2 million will attract a fee of $650 from June 1.