Best Trading Platforms in Australia: Our List of Top Platforms for 2021

What Are Trading Platforms?

Trading platforms are online software computer programmes that allow investors to trade online in financial products. These include trading in both the stock and forex markets. In this guide, we will have a look at the best trading platforms in Australia.

What Makes a Good Trading Platform?

• Reliability: A trading platform that allows investors to trade and make safe deposits and withdrawals is considered reliable. 
• Licencing: Online trading platforms that hold a licence in a jurisdiction are regarded as more credible. This is because these jurisdictions, bodies and authorities are in place to monitor such platforms and audit the companies. It increases credibility within the online trading platform. 
• Fees: Here we look at the charges associated with accessing profits, commission rates charged by brokers for placing trades and profit growth. Higher expenses and fees mean that investors will receive reduced profits. 
• Easy navigation: Trading platforms host a lot of information that can be foreign to many beginners. Finding a platform that is well-organised and structured in a way to create ease of use and simplicity is ideal. Investors want to understand the onscreen basics, and it can also be a bonus if the platform supports mobile and desktop devices. 
• Leverage and margin requirements:  Trading platforms that offer reasonable and beneficial options in such areas are ideal. Margin requirements are defined as a percentage amount that a trader needs to pay to open a position with the relevant broker.

 

What Are the Best Trading Platforms in Australia?

eToro

eToro is a popular and top-trading platform known to lead in the industry with millions of users. It is famous for being the best in international real shares and social trading. An ideal fact to note about this platform is that it also offers trading in real shares at no commission.

Pros:

• Easy to register and navigate.
• Stock and ETF (exchange-traded fund) trading is free.
• Low fees for forex and CFD (contract for difference) trading.
• Secure two-step login online.
• Offers analyst recommendations.

 

Cons:

• Fees for non-trading actions, like withdrawals are high.
• There is a conversion fee for non-USD deposits.
• Only one currency per account.

Pepperstone

Pepperstone’s key feature is in offering free deposits and withdrawals. The platform is also known to have many quality features with over 180 trading instruments and tradable assets for investors to take advantage of. It is regulated by the ASIC, meaning that it follows strict guidelines. The platform also offers low spreads. 

Pros:

• No fees for deposits, withdrawals or inactivity.
• Top-class customer service.
• User-friendly.
• Digital account sign-up with no minimum deposit.
• Workspace and charts are easily customisable.

 

Cons:

• Only forex and CFD trading is permitted.
• If you hold a position overnight, there are higher costs involved.
• High withdrawal fees for users outside Australia.

Plus500

Plus500 offers low forex spreads. The platform has been around for a while and is very popular in the CFD trading business. It has over 2,000 instruments and offers a lower minimum deposit fee when comparing it to Pepperstone and eToro. The platform is user-friendly, which is a real plus, especially for beginners. Another bonus to assist novices is the demo option which is provided. Once the investor feels confident enough to invest, they can head over to the real version of the platform. 

Pros: 

• Customer support is known for quick response times.
• Free deposit and withdrawal.
• Fast online sign-up and low minimum deposit.
• Secure two-part login.
• Market analysis and interactive charts. 

 

Cons:

• Only CFD trading.
• Fee charged for inactivity.

Nabtrade

Nabtrade comes highly recommended for Australian shares. It appeals to investors who are looking to invest both locally and internationally. It provides educational resources and tools which are fantastic for beginners. In addition to this, the platform hosts charts and added resources to assist investors in identifying quality opportunities. The platform supports both mobile and desktop devices.

Pros:

• Global company with over 10,000 users.
• Low minimum deposit.
• Demo available to try the software before buying.

 

Cons:

• Not regulated. 
• Fees charged for deposits, withdrawals and inactive accounts.
• No cryptocurrency trading.

CommSec

This is Australia’s largest trading platform in online stockbroking that is best for when looking for different options relating to financial products. It is a subsidiary of the Commonwealth Bank of Australia and offers low minimum deposits. Investors have the luxury of enjoying exclusive offers and excellent support channels. 

Pros:

• User-friendly interface.
• No fees charged for inactivity.
• Monitoring and data tools included.
• Single login for Commsec and NetBank.

Cons:

• Broker fees on global stocks are high.
• No online live chat support.

IG 

Being one of the best trading platforms in Australia IG is suggested for investors looking to trade on the forex market. It’s great for domestic and international trades and also offers its customers a demo and real version. 

Pros:

• Easy to understand educational tools.
• Demo version available to try.
• No withdrawal fee.
• Inactivity fees only charged after two years of dormancy.
• Low minimum deposit and no minimum deposit on bank transfers.

 

Cons:

• Customer support is slow.
• Forex and CFD fees are high.
• High rates for financing.

Interactive Brokers

Interactive Brokers is recommended if the investor is interested in trading shares in the United States. It is more suited for experienced trade professionals because of the platform’s complex nature. It offers low commission rates and spreads. The use of advanced technology with some innovative tools can be beneficial to customers. 

Pros:

• Great research tools and a wide range of products.
• Trading fees are low.
• Free deposits and first withdrawal every month.
• Several currencies available.
• Secure login that has two steps.

 

Cons:

• Forex fees are high.
• Complex trading platform with a complicated sign-up process.
• Debit and credit card payments not available.

 

CMC Markets

CMC Markets is known for its excellent support structures. It’s regarded as one of Australia’s best trading platforms offering affordable rates for its trading services. It has web access for trading and also provides resources and charting options. 

Pros: 

• Forex fees are low.
• Advanced educational and research tools.
• Web and mobile platforms work really well.
• Deposits and withdrawals are free.
• No minimum deposit.

 

Cons:

• High fees for CFD stocks.
• The account verification process is complex.
• The product portfolio is limited.

 

Bell Direct

Bell Direct is recommended for domestic trades and day trading. It is supported by brokers and not bankers and offers resource tools. 

Pros:

• Broker research, trading ideas and simplified tax reports.
• Multi-order pad that allows orders across multiple trades.
• One-second placement guarantee.
• The more you trade, the less you pay in fees.

 

Cons:

• No credit or debit card payment options.
• There is a lack of international equities.

How to Begin

• Select a broker: Choose from a list of top brokers and base your final decision on finding a broker that supports your budget. 
• Choosing stocks: Buying shares from profitable companies can be expensive; therefore instead, invest in ETFs that offer less risk and are inexpensive. 
• Choose an order type: Common options to look into are market orders and limit orders. 
• Check the cost: Check all costs associated with broker commissions per trade and expense ratios associated with ETFs. 
• Trade: Once the research has been thoroughly conducted, place the trade by funding your account and picking your stock of choice and order type. 

The Benefits of Investing in Australian Trading Platforms

• Trading platforms in Australia are easy to buy and sell, thanks to online share trading. 
• There are two different ways that we can make money which are through day trading or through buying stocks from companies that issue dividends. 
• Australian trading platforms are excellent for investments that are more long-term. 
• Customers have the advantage of staying ahead of inflation if they use correct investment strategies that are more long-term. 
• Profits earned from the platforms are continuous regardless of how the markets are doing. 
• Share trading is ideal for a growing economy like Australia’s. 

 

In a Nutshell

Trading platforms in Australia discussed above meet the criteria of what makes a decent trading platform. If you ever need to turn to a list of different options of credible platforms for investors, the best platforms in 2021 are right here.