Are you an Australian-based CFD trader looking for the best CFD trading platform Australia? This article will examine CFD trading, the best CFD trading platforms in Australia, CFD trading fees, and whether CFD is legal in the country so that you don’t fall victim to government authorities and become a culprit.
Whether you are a beginner looking to start CFD trading or just someone who needs additional information that would help you advance more in your CFD trading skills, then this editorial content would help you get in shape by knowing exactly what the term means to know certain other legal backgrounds about it.
What is CFD Trading Australia?
CFD is the short form for “contract for difference,” It is the method that enables you to trade the price difference of digital commodities.
CFD trading speculates the underlying price of a digital asset, such as shares, cryptos, forex, indices, and commodities, on a trading platform.
With CFD trading, you don’t own the digital asset; you are only exposed to trading the price movement. It offers 18,000 digital markets where you can speculate on CFDs and more. It is a highly risky venture but also profitable.
10 Best CFD Trading Platforms Australia
Here are the ten best CFD trading platforms Australia that offer some of the best trading services in the world.
eToro is the best comprehensive CFD trading platform Australia that serves as the best place to begin starting as a CFD starter. They trade with over 3000+ assets that are listed on eToro making it one of the largest CFD brokers in the world. eToro is super secure, making it an excellent platform to use too. CFDs are naturally risky on their own, but with eToro, you are sure of securities that help verify identity with a minimum account deposit.
EToro has been around the global market for over a decade and has some of the best trading options and features. With eToro, you can access all the international markets dealing with cryptos, companies, currencies, and commodities.
One of the advantages of eToro is that it is easy to use, the interface and knowledge base is easy to access, and it has excellent teaching tools that help you to trade. A significant disadvantage of this app is that it is not anonymous and is restricted to USD trading.
ActivTrades is another of our best CFD trading platforms in Australia and Europe at large with low fees. It is regarded as one of the most reliable platforms on the web because it is safe and offers traders from different markets orders to set up their trades according to their preferences and protect their finances from plummeting.
Creating an account with ActivTrades is simple and 100% online. As an investor, you have extensive control over your trade than you will do in other trades.
ActivTrades doesn’t charge withdrawal fees and maintains the same options as deposits. Funding of accounts on ActivTrades is done via an array of e-wallets.
It has advanced order types and charges low fees across the board.
Another CFD trading platform in Australia is Plus500 Ltd. Plus500 Ltd, an Israeli company established in 2008 with branches in the UK, Cyprus, Singapore, Australia, and Estonia.
Plus500 is a trading app that solely focuses on CFDs, offering you a wide range of options to trade. It has an array of learning tools and an easy-to-use interface that helps you to get deep into CFD trading.
The advantages of Plus500 are that it is CFD focus and has an excellent interface. Also, it does not charge deposit or withdrawal fees. Please read the terms and conditions of Plus500 before going entirely into it because CFDs are a leveraged product and can make you lose your entire balance. It is not suitable for beginners.
One of the most reliable CFD trading platforms in Australia is AvaTrade, a social trading app that allows you to access all the markets worldwide. It is an advanced CFD trading platform for experienced traders.
If you do not want your handheld, this is the perfect place to trade. One of this app’s beauties is its highly customizable trades that allow you to keep in touch and build trust with your seller or buyer. Only a few trading apps do this.
AvaTrade is not always the best platform due to its inactivity fees, but it is the best for building trust due to its communication tools.
Another best CFD trading platform in Australia is Pepperstone. Pepperstone is the world’s best platform that is regulated by tier-1 regulators, such as the Australian Securities & Investment Commission (ASIC) and Financial Conduct Authority (FCA)
Pepperstone is one of the safest platforms that offer low risk to investors because it is not publicly traded.
Pepperstone allows you to trade with cryptocurrency through CFDs. You get to enjoy the competitive pricing scheme if you hold a combination of a Razor account and an Active Trade Program.
Pepperstone is downloadable on the Google Play Store or the Apple Store and can be accessed on cTrader and MetaTrader.
FXCM is another top-notch best CFD trading platform Australia focusing more on foreign currency than CFDs. No trading apps allow for the diversity of foreign currency like FXCM. Despite its focus on foreign trade, it does not neglect CFD.
FXCM allows you to insulate your trades aside from foreign currencies, enabling you to access the whole market and know the intention of people there. ‘it is a small platform that maintains an active communicative community.
FXCM is hard to navigate and devoid of other market tools. Thereby not making it suitable for beginners.
7. CMC Markets
CFM Markets is a top CFD broker with low fees that has been existing since 1989 and is notable for delivering global forex options and CFD options.
CMC Market is regulated by Financial Conduct Authority (FCA) and is highly esteemed for delivering fair and safe services to investors in Australia. It has one of the lowest fee structures but sometimes falls on the higher side.
The platform comes with modern features that you can easily integrate with MT4. CMC Market offers access to all markets, including ASX, CFD, and Forex.
CMC lacks two-factor authentication; thus, it is advised to use a safe browser when accessing the market to prevent leakage of sensitive data.
Additionally, the dashboard is customized, offering access to advanced integrations and research tools and integrations.
8. Interactive Brokers
Are you looking for one of the best CFD trading Platforms Australia? Interactive Brokers is here for the rescue. Interactive Brokers is the best yield CFD trading platform that allows you to access the most practical ways of purchasing CFDs in mutual funds, hedge funds, and S&P 500 companies and limit your exposure to risks.
With Interactive Brokers, you will have access to markets with higher initial investments that no one else has. The major disadvantage of this platform is that it has a high entry barrier.
9. Trading 212
Trading 212 is the CFD broker with the easiest account opening that maintains a good fee structure. This is the perfect trading platform for frequent traders as it charges no fees for trading stocks, EFTs, forex, or CFDs. Withdrawal is free, and no inactivity fee is charged and your account.
It is a relatively new platform that gives access to in-depth market information and analysis. Signing up is easy, and verification takes a max of one day. You can create your account online, make your first deposit and score access to the analysis tools on the platform.
It is compatible with desktop and mobile phones and offers many commission-free market options and low CFD trading fees.
If you are a CFD broker looking for a platform that offers varieties, then VantageFX is the best platform for you. Signup is fast and quick and provides various payment methods to add funds and withdraw earnings. It allows integrations to Meta Trader 4 (MT4), allowing investors access to automated orders and alerts to trade more efficiently.
VantageFX offers many educational materials, including tutorials and access to a demo account. A demo account gives you access to virtual money that you can use to practice. It charges no withdrawal fee, and funding and withdrawal are instant.
CFD Trading Fees
CFD trading fees refer to the commission the broker charges, usually 0.1%. The trading fee is a financing cost to buy assets, and the spread is the difference between the bid and offer prices.
List of CFD Brokers Australia
Below is the list of the best CFD brokers in Australia.
- CMC market
- Interactive brokers
- Trading 21
Is CFD trading Legal in Australia
Yes, CFD trading is legal in Australia, although it comes with a few restrictions. The activities of CFD trading are regulated by the Australian Securities and Investments Commission (ASIC), and they oversee and set policies regarding the operation of CFD trading in Australia.
Largest CFD Brokers in the World
Examples of the largest CFD brokers in the world include:
- CMC Markets.
- Interactive Brokers.
- Saxo Bank.
- City Index.
CFD is highly risky, and you may lose all your funds with one mistake. The risk exposure is high, so you have to go for a platform that offers you safe ground and lots of educational materials and guides.
These platforms differ in complexities and operations. Choose a platform that suits our level of expertise and method of trading—avoiding platforms that aren’t easy to navigate. Ensure you invest only what you can lose, for CFD is highly risky, even though it offers high yields.