What is the trading platform with the lowest fees?

Nick Sundich Nick Sundich, September 13, 2023

Investors wanting a good return on their assets would be looking for the trading platform with the lowest fees. We can’t blame anyone for doing so. Brokerage fees can eat heavily into returns, especially for prolific investors. But just which platform has the lowest fees?

 

The trading platform with the lowest fees is…

Stake at $3 per trade irrespective of size, when it comes to ASX trades. Superhero is next at $5 per trade. CMC charges $0 brokerage for ASX trades of $1,000 or less, but charges the greater of $11 or 0.10% of the trade for any order above $1,000.

Looking to international shares, there are a handful of brokerages offering zero brokerage including Superhero and CMC. Zero brokerage is possible for international shares because some exchanges ‘pay to trade’ whilst the ASX does not.

It is worth remembering that brokerage costs may be tax deductible, so you may be able to use them to offset capital gains that you might have made. Still, that doesn’t happen until tax time so you might as wells minimise your out of pocket costs right now.

You also need to consider how else platforms make their money besides brokerage, because you might be more out of pocket than you otherwise would be, even if it doesn’t seem like you are that much out of pocket with each and every trade

 

What are the Best stocks to invest in right now?

Check our buy/sell stock tips

Don’t choose a platform just based on fees

All this being said, we wouldn’t recommend investors choose a platform just because of low brokerage costs. Investors need to consider what is best for them based on several factors such as platform’s all-round offering and their own trading style. The most prominent things to consider about a platform’s offering include trading costs, trading tools, customer service and security protocols.

If investors like to use technical insights, such as MACD, RSI and Bollinger Bands to name a few, or set up automated trades based on predetermined criteria and strategies, they could miss out on profitable opportunities by opting to go with a platform that does not offer these services.

Additionally, reliable customer service is essential as it ensures that investors can get answers to their questions in a timely manner. Finally, an important factor to consider is security protocols as investors’ personal data and trading funds need to remain secure at all times.

Investors may also take awards into account and deciding that platforms will work for them if they have won awards. Comparison site Finder has found that CMC Invest is Australia’s best overall platform.

But it also gave awards to 11 other platforms based on various individual factors. For instance, Pearler was rated the best platform for beginners, Superhero was the best for ETFs and Interactive Brokers was the best for penny stocks. Fellow comparison website Mozo has also issued its own ratings. It awarded CMC as the best for regular traders. For casuals, it gave awards to Tiger Brokers and Superhero.

 

Stocks Down Under Concierge is here to help you pick winning stocks!

The team at Stocks Down Under have been in the markets since the mid-90s and we have gone through many ups and downs. We have written about every sector!

Our Concierge BUY and SELL service picks the best stocks on ASX. We won’t just tell you what to buy – we give you a buy range, price target and stop loss level in order to maximise total returns. And we will only recommend very high conviction stocks where substantial due diligence has been conducted.

Our performance is well ahead of the ASX200 and All Ords.

You can try out Concierge for FREE.

 

GET A FREE TRIAL TO CONCIERGE TODAY

 

There’s no credit card needed – the trial expires automatically.

 

 

Blog Categories

Recent Posts

Toubani Resources

Toubani Resources (ASX:TRE) gets ready for the big time in Mali

Toubani Resources (ASX:TRE) is another aspiring gold producer. What’s not to love about an aspiring gold producer right now? Its…

Capricorn Metals

Capricorn Metals (ASX:CMM): Its sequel gold mine will be even better than the original

Capricorn Metals (ASX:CMM) is one of several gold miners on the ASX that has slid under the radar of many…

Price to Book

Here’s why the Price to Book (P/B) multiple is so important to know if you own shares in the Big 4 Banks

If you own shares ASX Bank stocks (especially the big Four), you need to know about the P/B multiple (Price…