You might already be familiar with E*TRADE, a well-established American discount broker known for its diverse financial offerings.
E*TRADE provides an online platform for self-directed investors and traders, allowing them to trade stocks, options, bonds, mutual funds, ETFs, and more. Additionally, E*TRADE offers automated investment portfolios and retirement accounts to cater to a wide range of financial needs, all while delivering a highly regarded mobile trading app for on-the-go investors.
Want to know if E*TRADE is available in Australia and the alternatives available? We’ve got you covered!
Is E*TRADE available in Australia?
E*TRADE is unavailable in Australia, as it primarily focuses on the U.S. market, offering various investment services to U.S. residents and citizens.
E*TRADE existed in Australia until 2016 when ANZ decided to undergo a complete rebranding of the brand. Starting from that date, it was called ANZ Share Investing. Therefore, we can say that for existing customers, E*TRADE continues to exist under another name; however, new customers cannot open an account with E*TRADE in Australia because, in effect, the brand no longer exists.
E*TRADE in Australia: A Brief Overview
The situation of E*TRADE in Australia is somewhat complex, but we got you covered with a brief history!
When E*TRADE Australia was launched, it was not a subsidiary of E*TRADE: it had licensed the brand to another firm for Australian operations, being the first Australian online broker. However, over the years, the parent company eventually acquired a stake in E*TRADE Australia, but never a majority one.
The rapid interest in fintech companies increased in the late 1990s and early 2000s, also known as the dot-com bubble. After it burst, major banks realised it was time to enter the online transaction market, so ANZ (Australia and New Zealand Banking Group) acquired E*TRADE Australia in 2007 with a majority and almost exclusive stake.
E*TRADE Alternatives in Australia
The good news is, in Australia, there are lots of other options like E*TRADE that give you similar or maybe even better stuff for investing, and they won’t cost you much or anything at all. Given that, here are our suggestions:
Interactive Brokers offers a comprehensive range of trading platforms. Their investment platform, Trader Workstation (TWS), is an advanced desktop platform designed for active investors who engage in multi-product investing. Additionally, IBKR provides an easy-to-use mobile app called IBKR GlobalTrader.
Established in 2007, eToro is a fintech company that allows investors to safely invest in multiple assets such as ETFs, Stocks, Cryptocurrencies and CFDs on Stocks, ETFs, Commodities, Forex, Indices and Cryptocurrencies. The social-trading platform is user-friendly, comprehensive, and functional.
Disclaimer: eToro Service ARSN 637 489 466 Capital at risk. See PDS and TMD.
Saxo offers a range of trading platforms suitable for different needs. From the simple and fast SaxoInvestor platform to the award-winning SaxoTraderGO and the fully customisable SaxoTraderPRO, you can access powerful trading tools tailored to your preferences.
IG is a well-known CFD IG, a popular CFD and Forex broker offering a wide range of trading instruments, including over 18,000 markets. Additionally, they are known for their high-quality research and educational resources.
Pepperstone is a popular broker that offers several trading platforms like TradingView, MetaTrader4 (MT4), MetaTrader5 (MT5), and cTrader, which are well-suited for social trading and copy trading features, allowing users to replicate the trades and strategies of successful traders automatically.
|Broker||Minimum Deposit||Products||US Stock Fees||Regulators|
|Interactive Brokers||AUD 0||Stocks, ETFs, Options, Futures, Forex, Commodities, Bonds, and Funds||Between $0.0005 and $0.0035 per US share (min. $0.35).||IIROC, FINRA, SIPC, SEC, CFTC, FCA, CBI, AFSL, SFC, SEBI, MAS, MNB|
|eToro||$50||Stocks, ETFs, Cryptocurrencies and CFDs on Stocks, ETFs, Commodities, Forex, Indices and Cryptocurrencies||0% (commission free)||FCA, CySEC and ASIC|
|Saxo Bank||AUD 1000||Stocks, ETFs, Options, CFDs on Indices, Commodities, Forex, and Cryptocurrencies||Between $0.01 and $0.02 per US share (minimum between $1 and $5 per order)||ASIC, FSA, FCA, MAS, FINMA, and DFSA|
|IG||AUD 0 for bank transfer,
AUD 100 for Cards and Paypal deposits
AUD 10 for BPAY
|CFDs on Stocks, Forex, Indices, Commodities and Cryptocurrencies||Starting 2 cents per US CFD share (minimum $15)||ASIC, FCA, NFA, MAS, FSCA, FINMA, FMA|
|Pepperstone||AUD 0||CFDs on Stocks, ETFs, Forex, Indices, Commodities and Cryptocurrencies||$0.02 per side for US CFD stocks||ASIC, SCB, CySEC, FCA, BaFin, and DFSA|
#1 Interactive Brokers
Interactive Brokers at a glance
Interactive Brokers is an exceptional broker available to Australian traders and investors. The company was founded in 1978 and landed in Australia in 1997 through the legal entity Interactive Brokers Australia Pty. Ltd., regulated by ASIC (license number 453554). Since its arrival, the company has become one of the most reliable brokers in the world.
Due to its sophisticated and powerful tools, the wide range of products available for trading, and its low prices, Interactive Brokers normally attracts advanced traders. Additionally, the mobile app IBKR GlobalTrader is user-friendly and more suitable for beginners, simplifying investments without losing the powerful tools for which the broker is famous.
Interactive Brokers offers attractive features such as low commissions on US stocks, a demo account for practising investments, a wide range of tradable assets, and trading in AUD$.
If you want to know more about this platform, please check our Interactive Brokers review!
eToro at a glance
eToro was founded in 2007. It’s famous not only for allowing investors to buy and sell financial instruments but also for its social (copy) trading features. Today, it’s one of the most well-known brokers in the world, with over 30 million users. eToro AUS Capital Limited is regulated in Australia by ASIC (license number: 491139).
On the platform, you can discuss investments, speculations, and market news with other traders – even copying their strategies. The platform offers a wide range of assets suitable for beginners and riskier assets recommended for advanced traders, such as cryptocurrencies. You can open a demo account to practice your investments before trading with real money. The mobile app offered by the broker is easy-to-use and comprehensive; you can find many educational resources that will help you make informed decisions.
As a downside, the base currency of the platform is the USD. So you will have to pay between 0.5% and 1% currency conversion fees when exchanging between US$ and AUD$ (depositing and withdrawing using a bank transfer is the cheaper option).
#3 Saxo Bank
Saxo Bank at a glance
Saxo Bank is a subsidiary of the Danish bank with the same name founded in 1992. It operates in over 170 countries, including Australia, through the subsidiary Saxo Capital Markets (Australia) Limited (license number 280372). The broker is a reliable option for advanced traders and beginners, providing safety, fair prices, and useful tools.
The broker offers a wide range of investment products from more than 50 different exchanges, high-quality educational resources, and well-designed and comprehensive trading platforms. In particular, the mobile app SaxoInvestor and the web-based SaxoTraderGO are user-friendly and functional applications, ideal for beginners. In the applications, it is possible to practice investments in demo accounts.
In a nutshell, the broker offers low prices, great educational resources, an impressive range of tradable assets, and user-friendly trading applications.
If you want to learn more about the broker, check our Saxo Bank review!
75% of retail CFD accounts lose money.
IG at a glance
IG Group, a London-based broker founded in 1974 and listed on the London Stock Exchange. IG is regulated in Australia by the ASIC and holds an Australian Finance Services Licence (No. 2204440).
IG is essentially a CFD broker, offering over 18,000 CFDs spanning various asset classes and spreads starting at 0.6 pips. It is perfect for both beginners and professional traders.
For instance, their free educational resources through its IG Academy help traders improve their understanding of financial markets and trading skills. Furthermore, IG’s news and analysis section provides professional insights to keep traders updated on market-moving events.
IG charges a spread or commission on trades, depending on the asset class. For example, spreads on major CFD currency pairs start at 0.6 pips, while on major indices, spreads start at 0.8 points and 0.1 points on commodities. As for share CFDs, commission fees start from $0.02 per USD CFD share (minimum of $15).
74-89% of retail CFD accounts lose money.
Pepperstone at a glance
Pepperstone is an Australian brokerage company founded in 2010 and regulated by many top-tier authorities such as the FCA or the ASIC. The broker allows you to trade on popular trading apps such as MetaTrader 4 and 5, and the trading app Pepperstone cTrader, available for iOS, Android, and Windows, is recommended by the company for all types of investors.
The company also provides a social trading platform called DupliTrade, where you can automate your investments from the MetaTrader account, coping strategies from other traders, and enjoy a demo account to practice investments.
It is important to highlight, however, that Pepperstone, just like IG, is a CFD broker only. This is an instrument that needs to be traded with extreme care because, due to the leverage effect, losses may be magnified.
Which platform should you choose?
Some factors you should know when choosing an online broker are the fees charged if it is regulated by top-tier institutions such as the ASIC in Australia and the range of products it allows you to trade, among others.
The best online broker in your specific case will depend on your profile, preference, and objectives. Explore the websites above and decide for yourself!
A reminder that the above should not be seen as investment advice and should be considered information only. Investors should do their own research and diligence about the best-suited services and opportunities for their risk, returns, and impact strategy.
Hope we helped, and leave your comments below.