The Best Commsec Alternatives

Commsec AlternativesCommsec is one of the most popular share trading platforms in Australia.  But is it really the best option?  Commsec can be an expensive way to trade.  I think there are better commsec alternatives available.  Here are some of the platforms that I use and recommend as good alternatives for trading shares in Australia:

Superhero

Superhero is looking to make trading accessible to everyone.  They are one of the cheapest ways to buy shares in Australia.   I use Superhero to invest in a portfolio of Australian companies.

Superhero Features

  • Free ETF Trades – If you buy and hold and ETF for 1 year, you’ll pay no commissions
  • $5 Share Trades – Invest in shares for just $5 per trade.
  • Custodian Account – Superhero acts as the custodian.
  • $100 Minimum Trade Size – Invest with less money!  You can invest with just $100 at a time.

OpenTrader

If you’re looking for cheap ASX share trading + a CHESS sponsored account, then OpenTrader is for you.  Just like Superhero you can trade shares for just $5.  Although they don’t offer free buys on ETFs.  While I don’t believe that CHESS is the future (it’s an antiquated concept and system…paper letters? Really??) some people prefer trading on platforms that offer it.

OpenTrader Features:

  • $5 Trades – Buy and sell shares for just $5 per trade.
  • $500 Minimum Trade Size – This is an annoying ASX rule.  If you want a CHESS account, this is the minimum trade size.

Stake

If you’re looking to invest in U.S shares (Like Apple, Amazon etc) then I wouldn’t recommend doing it through Commsec.  Commsec makes it super expensive to trade U.S shares.  Stake is a much cheaper alternative that doesn’t charge any commissions.

Stake Features:

  • Commission Free Trading – Buy and sell as much as you want and never pay any commissions.
  • $10 Minimum Investment – Thanks to fractional shares, you can invest just $10 at a time in both shares and ETFs.  This is great for dollar cost averaging.
  • POLi or Bank Transfer – You can transfer funds from your Australian bank account to Stake using a transfer or POLi.
  • Advanced Trading Features – If you need access to advanced trading features you can subscribe to a premium plan.  It gives you instant access to funds (trade before settlement), advanced order types and more.

If you’re looking to sign up to Stake, use this referral code to get a free stock!

eToro

eToro is very similar to Stake.  It offers commission free trading on U.S shares.

eToro Features

  • Commission Free Trading – Buy and sell U.S shares and pay zero commissions
  • $50 minimum investment – eToro has a $50 minimum trade size for shares.  The minimum first time deposit for new account holders is $200.
  • Other trading types – You can trade other assets like crypto and commodities alongside shares.  Although I consider these to be riskier investments and best for advanced traders.
  • Copy Trading – Copy the trades made by other investors.  eToro is a social trading network where you can follow and automatically copy more experienced investors.

You can find out more about eToro here.

Micro Investing

Picking shares and ETFs to invest in can be risky.  My best investment over the past few years has been micro-investing.  Micro-investing is where you invest small amounts at regular intervals.  Australia has two great apps Spaceship and Raiz.  I use both of these apps:

Spaceship Features

  • Start investing with just $5 – you don’t need to be rich to start investing.
  • No Fees – The first $5k invested is fee free.  This makes Spaceship the best way to build a nest egg through investing.
  • Invest in 1 of 3 different Portfolios – Spaceship offers an index portfolio (200 top companies), Universe portfolio (future looking companies aka Tesla, Apple etc), Earth Portfolio (made up of sustainable companies).

You can check how my Spaceship portfolio has performed here.  If you are looking to join, make sure you use this Spaceship referral code to get $5 free.

Find out more about Spaceship here

Raiz Features

  • Invest in 1 of 8 Different Portfolios – Choose from conservative to aggressive portfolios or build your own made up of ETFs.
  • Cheap Fees – Raiz starts at $3.50 per month.  If you’re making regular investments this works out to be way cheaper than using Selfwealth, Opentrader and definitely cheaper than Commsec.
  • Start with just $5 – you can start investing with as little as $5.
  • Invest in Bitcoin – you can add a Bitcoin investment to your portfolio.

If you’re looking to join Raiz, make sure you use this referral code to get $5 free.

Find out more about Raiz here

This post is for educational purposes and should not be considered as investment advice. This post is based on individual experience and journalistic research.

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