"Shouldn't there be a minimum transaction fee imposed by ASX. If...

"Shouldn't there be a minimum transaction fee imposed by ASX. If all shares were traded in tiny parcels the system would crash."

The vast majority of shares are already traded in tiny parcels (as case in point, that's @antibody's gripe, for some strange reason) and yet the system up-time is something like 99.9999%. (Think for a minute: When last did the ASX crash due to too much volume?)


As for the ASX charging a minimum transaction fee, on which party(ies) who would they impose such a charge?
The broker who handles the trade?
The investment institution that is placing the order?

Either way, such costs would be borne by the superannuation member or the investor who owns units in the investment fund in question, resulting in lower overall investment returns.

And that is the essence of the regulatory thrust into the financial services sector over the past decade or so: to drive costs out of the system, so that investors in super funds and investment funds lose out less.

What you are proposing in the form of a transaction fee goes in the opposite direction of where the investment industry has been legislated to go, i.e. to lower the fees it charges.