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 Malaysia and the alternatives available? We’ve got you covered!
Is E*TRADE available in Malaysia?
E*TRADE is unavailable in Malaysia, as it primarily focuses on the U.S. market, offering various investment services to U.S. residents and citizens.
We contacted customer support, and the response regarding the possibility of opening an account in Malaysia was negative. Therefore, if you are a Malaysian citizen, you will not be able to open an account with E*TRADE.
Is E*TRADE coming to Malaysia?
As our team has confirmed, there are no expansion plans into other markets following Morgan Stanley’s acquisition at the end of 2020.
E*TRADE Alternatives in Malaysia
The good news is, in Malaysia, 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
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.
Saxo Bank
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.
XTB
XTB is a reputable online broker known for its xStation 5 trading platform, available on the web, desktop, and mobile. It provides an intuitive interface with access to advanced tools and customisation options, making it suitable for Forex and CFD investors.
Pepperstone
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 | $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 |
| Saxo Bank | $2000 | 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 |
| XTB | $0 | CFDs on indices, commodities, forex, cryptocurrency | 0.08% volume-based (min. $8) | FCA, KNF, CySEC, and FSC |
| Pepperstone | $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 has proven to be one of the most reliable brokers in the market. The company, available on the Malaysian market, was founded over 40 years ago and survived many financial crises, making it a well-established and trustworthy broker regulated by many top-tier regulators.
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 practicing investments, and a wide range of tradable assets.
Interactive Brokers is under the watchful eye of Malaysia financial authorities, such as Securities Commission of Malaysia (SCM). These regulatory bodies ensure that Interactive Brokers follows strict rules and safeguards your investments, adding an extra layer of security for your money.
If you want to know more about this platform, please check our Interactive Brokers review!
#2 Saxo Bank
Saxo Bank at a glance
Saxo Bank is a Danish bank founded in 1992. It operates in Malaysia, being a reliable option for advanced traders and beginners and providing safety, fair prices, and useful tools.
This brokerage 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.
Saxo Bank is under the watchful eye of Malaysia financial authorities, such as Securities Commision of Malaysia (SCM). These regulatory bodies ensure that Saxo Bank follows strict rules and safeguards your investments, adding an extra layer of security for your money.
If you want to learn more about the broker, check our Saxo Bank review!
#3 XTB
XTB at a glance
XTB is a company founded in 2002 in Poland that offers stock trading apps in Malaysia through the Belize-based subsidiary, which is regulated by the Financial Services Commission of Belize. The company is licensed in many different jurisdictions and is regulated by top-tier authorities such as the FCA.
XTB is essentially a CFD broker where you can trade various CFDs such as forex, equity, indices, crypto and commodities. However, these are riskier and more complex trading instruments that should only be used by experienced traders.
With lots of investment options and a well-built interface, XTB is a reliable alternative to E*TRADE for beginners and advanced traders in Malaysia. It’s a very cheap platform with low fees and no minimum deposit. If you want to learn more about the broker, check our XTB review!
#4 Pepperstone
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.
Pepperstone, just like XTB, is essentially a CFD broker where you can trade CFDs on stocks, ETFs, forex, indices, commodities and cryptocurrencies.
Which platform should you choose?
Some factors you should know when choosing an online broker are the fees charged if it is registered by top-tier and mid-tier institutions in Malaysia 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.
The Minho Investment Association (MIA) is a junior initiative from the University of Minho (Portugal), which aims to promote financial literacy among young people.
