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Author: Sundar Kapadia
Risk Manager
Sundar Kapadia

Australian Stock Trading

Blessed with not only one of the biggest stock exchanges in the eastern hemisphere, Australian stock traders are also very well looked after by of the most stringent financial regulatory authorities in the world. You can do no better than signing up with either a homegrown stockbroker or one which has a land-based presence in your country and complies with ASIC (Australian Securities and Investments Commission) regulations.

Naturally, there is a great deal of competitiveness between regulated Australian stockbrokers, so you are in a very favourable position where you can choose the one that best suits your trading needs and strategies. All you need to do is read through our in-depth broker reviews to create yourself a shortlist and then select the one that best matches with your needs.

It is always a good feeling to know that you can carry out your trading activities secure in the knowledge that your investment fund is safe and that you have the full protection of a powerful licensing body behind you. We are confident that we can help you to achieve that goal, thanks to our experienced team, who spend their time reviewing and testing numerous stockbrokers, recommending only the cream of the crop.

Top Rated Stocks Sites

#1 - XTB: Best Overall

XTB Logo
9.8
Superb
Bonus Up-to $2000 Assets 270+
Min. Trade $1 *Payout % 92.76%
Over 270+ assets to trade now
Highly rated FCA licensed broker
Award-winning bespoke platforms
Loyalty rewards for regular traders
Demo account limited to four weeks
Education tools need improvement
Deposit Methods
AMEX PayPal PaySafeCard MasterCard
170 visited this site today
XTB Review

Editors Summary

XTB is excellent for both new and regular Forex traders, there is a lot to like about XTB. With various licenses in many countries across Europe and so much positive buzz about them online, they offer everything that both the new and experienced trader needs. If you want to try out Forex for the first time you have access to a demo account and the site is intuitive. If you are going to trade on the move, you can use the xStation 5 mobile platform, but traders have a choice of this and the MT4 platform.

#2 - Admiral Markets: Best Free Demo

Admiral Markets Logo
9.3
Excellent
Bonus Up-to $1600 Assets 340+
Min. Trade $1 *Payout % 91.48%
Over 340+ assets to trade now
Motto “Secure, reliable, flexible”
Multiple currencies supported
Superb customer support service
Account types are complicated
High minimum deposit of $200+
Deposit Methods
Visa Klarna Neteller Skrill
76 visited this site today
Admiral Markets Review

Editors Summary

Admiral Markets is a flexible broker that offers a range of trading platforms, multiple accounts and the option to move money between accounts in different jurisdictions. Using the latest technology, trade on either the MT4 or MT5 platforms from both desktop and mobile, which means that you can enjoy trading on the move. The site is intuitive, easy to use and full of information to help even the most novice of traders to get to grips with the website.

#3 - Saxo Markets: Best Mobile App

Saxo Markets Logo
9.1
Very Good
Bonus Up-to $1000 Assets 180+
Min. Trade $1 *Payout % 89.72%
Over 180+ assets to trade now
Broker services in 180 countries
Benefits for high capital traders
High-tech ‘SaxoTrader GO’ platform
Not a broker for newer traders
Limited customer support at times
Deposit Methods
AMEX Klarna Neteller Skrill
35 visited this site today
Saxo Markets Review

Editors Summary

Saxo Markets is a legitimate broker that has been operating for many years. With the appropriate licensing and regulation, you can be confident that your money is safe. With an extensive array of Forex pairs including even the minors and emerging varieties, there is something for everyone. We are confident that this broker is an excellent choice for all levels of brokers and a good choice for those traders who like to trade in larger volumes.

Risk Warning / Ad Disclosure

Risk Warning: The products offered by the companies listed on this website carry a high level of risk and can result in the loss of all your funds. You should never risk money that you cannot afford to lose.

Ad Disclosure: Some of the links that you will find on this website are advertisements for which we do receive financial gain for referring new customers.

Stocks Sites in Australia

Australia

Many Australian stock traders feel little need to go beyond the realms of the Australian Stock Exchange (ASX) to make an investment they are happy with. However, if you are little more intent on diversity, then there is no shortage of opportunities for that too. Read on for a few things we think you might be interested in:

Mobile Trading

Some retail stock traders are happy to operate from their home-based office environment, but there is a whole new generation of stock traders that want their freedom. In recognition of this fact, almost all stockbrokers now offer mobile trading opportunities and have invested in the technologies to make that happen. Most mobile-optimised trading platforms and phone apps require a relatively high-functioning device, plus a robust Wi-Fi connection, then all you need to do is install the software.

Deals And Incentives

Australian stockbrokers are not permitted to advertise their investment services using any form of monetary enticement, but that does not mean that there are not advantages to some brokers over others. Incentives offered to loyal traders are usually in the form of free trades, account upgrades, brokerage fee reductions or complimentary software add-ons for your trading platform. In some way or another, you are sure to benefit, albeit in the longer term.

Diverse Asset Types

Not surprisingly, most Australian stockbrokers have an emphasis on ASX derived assets and if you are content with those, you will find some great deals. However, if you fancy a more global approach to your stock trading, you are likely to pay additional fees. The alternative is an ASIC-regulated global broker, who can offer a much better selection if you are seeking stocks on alternative stock exchanges.

Good Customer Support

Never undervalue the benefit of excellent customer service and by that, we mean the overall support offered to you by a broker throughout the entirety of your trading experience. Customer support is a subject dear to our hearts and we pay great attention to this aspect of a stockbroker’s operation when we compile our reviews and decide which brokers to recommend.

Broker Fees And Tax

Todays Top Traders
Trader Broker Asset Profit

You will find that stockbrokers charge fees in several different ways, but in any event a percentage of your profit will go in that direction. There are also different ways you can operate your brokerage account, with a full-service option being the most costly (around 10% of your total investment per annum) but needing the least personal input and time.

Most retail stock traders tend to take a more ‘hands-on’ approach and opt for either a discounted or ‘free’ brokerage service. In reality, this means your trades will cost as little as 0%, but pay other fees to your broker for other services including administration, deposit/withdrawal of funds, currency exchange and subscription services for the signals or indicators you add to your platform.

The Australian Taxation Office (ATO) is Australia’s official revenue collection authority and under its regulation stock traders are liable to pay tax on their profits. You will need to review the current laws, but at the time of writing, trading profits are considered a part of your income, so Income Tax is applicable on a sliding scale basis. In certain circumstances, the sale of stock can also attract liability for Capital Gains Tax.

Australian Licencing

Australian stock traders enjoy the excellent regulatory control implemented by the Australian Securities and Investments Commission. ASIC, as it is usually known, is a government department which has full authority over all matters relating to corporate regulation as well as the enforcement of company and financial laws. Also tasked are taking measures to protect investors, creditors and other consumers.

ASIC reports directly to the Treasurer and administers legislation relating to these Acts:

  • Corporations Act (2001)
  • Insurance Act (1984)
  • National Consumer Credit Protection Act (2009)

As an Australian citizen, you are legally free to select any stockbroker you want. However, the security of your investment is inevitably more vulnerable when using a brokerage licensed outside of the ASIC umbrella. It is an easy task to confirm a broker’s credentials by checking the ASIC licensing information displayed on the broker’s website.

Australian stock traders enjoy the excellent regulatory control implemented by the Australian Securities and Investments Commission.

How we Recommend Brokers

Our panel of experts scrutinises every stockbroker in detail, using multiple aspects of the operation as a whole. We make our broker reviews as easy to use as possible, with the results broken down into sections, covering what we feel are the aspects of a broker’s business that are the most crucial to anyone involved in stock trading. That way, you can either read the entire review or jump straight to the topic that interests you the most.

For Australian stock traders, we highly recommend brokers who are under the jurisdiction of ASIC. The licensing they already hold makes them a suitable choice, but we go a little further and check that their performance under regulation is exemplary too. Not only are the brokers we recommend entirely safe, but they also offer the best asset choices and incentives for Australian citizens.

The broker’s platform is another important aspect we review. Because of the impact of mobile accessibility, we check carefully that the provision made by each broker enjoys full functionality and is available for the majority of devices. We also like to see a high standard of customer support, ideally with at least one immediate method of contact, either by live chat or a free-to-call phone line; you never know when you may need to make use of it.

Our Review Rating System (More Info)

10% 10% 10% 15% 15% 20% 20% Pie Core
  • Account Types
  • Banking & Payouts
  • Bonuses & Promotions
  • Mobile Trading
  • Trade Types
  • Special Features
  • Customer Support
Expert Reviews

Frequently Asked Questions

FAQ

Is stock trading in Australia legal and safe?

Stock trading is most undoubtedly legal in Australia and your investment will remain safest when you choose an ASIC-licensed stockbroker to sign up for an account.

Do I need to pay fees and taxes on my profits?

You will pay some fees for your broker’s services, which are either commission-based or fixed. You will also be liable to pay either Income or Capital Gains Tax on your stock trading profits, so make sure you keep accurate accounts.

Can I test brokers before trading with real money?

While there is an increasing number of stockbrokers who see the benefit of providing this service to clients, you may still find that there is either a time or asset limit applied to demos.

Is it easy to make deposits and withdrawals?

It is usually a straightforward procedure, but due to the nature of this type of investment, deposits are often only accepted using electronic transfer of funds from a pre-verified bank account, with withdrawals only available to the same source.

Can I trade using my mobile or tablet device?

Almost every broker now offers mobile accessibility for stock traders. However, the quality of mobile platforms does vary. Always something to look at carefully if this is a subject that is particularly important to you.

Top Rated Stocks Site

#1 - XTB: Best Overall

XTB Logo
9.8
Superb
Bonus Up-to $2000 Assets 270+
Min. Trade $1 *Payout % 92.76%
Over 270+ assets to trade now
Highly rated FCA licensed broker
Award-winning bespoke platforms
Loyalty rewards for regular traders
Demo account limited to four weeks
Education tools need improvement
Deposit Methods
Visa Klarna PaySafeCard MasterCard
145 visited this site today
XTB Review
Risk Warning / Ad Disclosure

Risk Warning: The products offered by the companies listed on this website carry a high level of risk and can result in the loss of all your funds. You should never risk money that you cannot afford to lose.

Ad Disclosure: Some of the links that you will find on this website are advertisements for which we do receive financial gain for referring new customers.

Meet The Author
Sundar Kapadia
Sundar Kapadia
Risk Manager

Sundar never ceases to impress us; being an Actuary makes him an expert in assessing risks and dealing with uncertainty. He’s been contributing to the site as an author for around 4 years, and we know our readers love his various insights and predictions.

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