Cheapest stock trading platforms and stock brokers in Australia
That’s great if the stocks and assets you choose to invest in are performing well, but if the platform you’re using has high fees, it could easily erode your returns.
Here is a list of online stock trading platforms on our database which offers some of the best and lowest trading fees. However, keep in mind that you often get what you pay for. In some cases, the lower fees could mean that the broker offers fewer features and functionality. Check out this article if you don’t know how to choose an online stock trading platform.
Online Stock Trading Platform Trading Fees
Typically, the most common fees you will incur are brokerage fees, which are charged when you complete a trade. Also, more often than not, these fees will change depending on the amount you want to trade. In the tables below, we’ve compared fees based on a $15,000 trade and this should give you a rough idea of how much you’re likely to pay in brokerage fees.
Keep in mind that brokerage fees aren’t the only fees you’re likely to encounter. So, to get a complete picture of the fees charged by each online sharing platform, you need to do your research.
What are brokerage fees?
The fee structure of online stock trading platforms varies from product to product and often depends on a few factors including the number of trades a client executes and also the amount of brokerage fees they accumulates, for example. For this reason, the Canstar research team divides it into three categories: casual investor, active investor and trader.
As most of our readers are likely to be casual or active traders, this is what we will focus on. Here is our breakdown below:
What is an occasional trader?
Casual investors trade stocks about eight times a year with an average trade value of $15,000 per trade. Casual investors should seek out friendly customer service and support, as well as general education resources, as they are most likely to use them. Casual traders should also look for cheap brokers, as the fees for trading small amounts can reach 40-60% of the amount.
Online stock brokers with the lowest fees (based on Canstar’s database for casual investors)
The comparison chart below shows some of the online stock trading platforms based on Canstar’s database. The products shown are based on an investor who averages one trade per month. The results are sorted by “Fee for a $15,000 transaction” (lowest to highest), then by provider name (in alphabetical order).
What is an active stock trader?
Active investors trade stocks approximately 40 times a year with an average trade value of $15,000 per trade. Active investors can trade managed funds as well as direct stocks. Active investors should seek detailed company and market information, as well as a dynamic trading platform.Mr.
Online stock brokers with the lowest fees (based on Canstar’s database for active investors)
The comparison chart below shows some of the online stock trading platforms based on Canstar’s database. The products shown are based on an investor making an average of four trades per month. The results are sorted by “Fee for a $15,000 transaction” (lowest to highest), then by provider name (in alphabetical order).
Note: Brokerage fees may not change between a casual investor and an active investor, but star ratings and other aspects may vary for certain products. Learn more about our methodology here.
How much will I have to pay for brokerage fees?
Not all online stock trading platforms are created equal, so it’s important to compare the fees for each platform. Fees can range from $0 to $30 per trade, but it can be much higher for full-service brokerage platforms. Different brokerage fees and structures may apply. Although not as common as trading fees, there are other brokerage fees you may encounter such as failure fees, ongoing fees, off-market transfer fees, SRN fees and telephone brokerage fees. Additionally, some online stock trading platforms offer multiple products whose fees may also vary. Therefore, it’s generally a good idea to do your research before deciding which online stock trading platform is right for you.