Best CFD Brokers In Australia In 2022 – Reviewed

Last Updated October 18th 2022
17 Min Read

In this guide, we will review the 10 best CFD brokers in Australia. We will look at the factors you should consider when choosing a CFD broker and provide you with a step-by-step guide on how to trade CFDs online in Australia.

CFDs, in this case, refer to the contracts for difference that allow you to trade financial instruments like stocks, ETFs, crypto, commodities, and more. They are contractual obligations or a bet between the broker and the investor regarding the price action of different financial instruments. Therefore, buying a CFD asset doesn’t give you ownership of the underlying asset.

Today, tens of highly reputable and reliable CFD brokerages operate in the country. And this often makes the choice of the best CFD broker in Australia in 2022 quite overwhelming.

We, however, intend to help you get started by introducing you to what we consider the 10 top CFD brokers in Australia today. 

Read on to learn more about CFD brokerages, key features, pros and cons, and how to start CFD trading.

The 10 Best CFD Brokers In Australia 2022

After a thorough analysis of the more popular and commonly used online CFD trading platforms, our analysts settled on the following as the best 10 CFD brokers in Australia for 2022.

  • eToro   Overall Best CFD Broker In Australia
  • Capital.com   Top Zero-commission CFD Brokerage In Australia
  • AvaTrade   Multi-Regulated CFD Brokerage in Australia
  • Pepperstone   Best ECN CFD Broker in Australia
  • Plus 500   Most Beginner Friendly CFD Brokers in Australia
  • Skilling   Multi-Platform CFD Brokerage in Australia
  • CMC Markets   CFD Broker With a Rich Trading and Analytical Resources
  • I.G Markets   Best CFD Broker With More Than18000 Markets
  • XM   CFD Brokerage with Low Trade Minimums
  • Think Markets   Best CFD Broker Australia for Customer Support

 

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Below, we discuss all these online brokerages in detail. We explore their core features and identify the factors that make them stand out. We will also discuss the advantages and disadvantages of interacting with either brokerage.

A Detailed Review Of The Best CFD Brokers in Australia

When evaluating different trading platforms in search of the top CFD Brokerages, we looked at such factors as ease of use, beginner friendliness, cost of trading, and customer support. We also assessed the ease of trading on the platform, its reputation, and the number and range of the CFDs on offer.

Here is a detailed review of the top 10 CFD Brokers in Australia:

1. eToro – Overall Best CFD Broker in Australia

etoro crypto exchange

A host of factors make eToro the overall best CFD broker in Australia. Key among them its beginner friendliness, ease of use, and affordability. The brokerage has a smooth and straightforward client onboarding process, maintains a highly navigable and user-friendly trading interface, and maintains affordable deposit/trading minimums. The minimum deposit is set at $50, and you can start trading with as little as $10.

Unlike most other CFD brokers on this list, eToro gives you the option of trading real assets or CFDs. Here, you get to interact with 3000+ CFD contracts drawn from crypto, shares, commodities, indices, ETFs, and FOREX markets. And since the multi-regulated broker charges 0% commission, you will only have to pay highly variable and competitive spreads and overnight fees on CFD trades.

You will also have access to leverage of up to 1:30 – depending on the preferred asset. You also get to trade on either the web trading platform or the eToro mobile app. Both have ultra-fast transaction processing speeds and integrate a wide range of advanced research, analysis, and risk management tools. Plus, you also have access to a free demo account loaded with $100,000 in virtual funds.

eToro’s most outstanding feature, however - and probably the reason it ranks this high on our list of top CFD brokerages in Australia - is its social and copy trading features. Through social trading, investors get to interact with and learn from one another. Beginners will also get mentors here. Copy trading, on the other hand, allows anyone to make money. Beginners earn by copying the trade strategies of successful traders, while pro investors earn a commission (20% of profits made) from copied trades.

Pros:

  • The broker is regulated by ASIC, FCA, SEC, CySEC, and more.
  • eToro lets you trade assets drawn from 90+ markets across the world.
  • Supports the widest range of deposit/withdrawal methods, e.g., PayPal, credit cards, debit cards, banks, and e-Wallets.

Cons:

  • eToro has only one base currency – the USD.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

2. Capital.com – Top Zero-Commission CFD Brokerage in Australia

trading on capital.com

Capital.com is a massively popular zero-commission online trading platform, and it, too, ranks high on our list of best CFD Brokers in Australia. It makes it here because it gives you access to 6000+ CFD contracts drawn from the stocks, crypto, ETFs, forex, indices, and commodities markets. Plus, it maintains one of the most beginner-friendly online trading platforms.

The pure-CFD brokerage also makes it here because it is affordable. For starters, you only need a minimum deposit of $20 to start trading on Capital.com. Being a 0% commission broker, you will only have to deal with its highly competitive and variable spreads when trading CFDs. You may also have to contend with equally competitive and variable overnight charges for margined trades that remain open overnight. And leverages range from 1:2 to 1:30 – depending on your preferred CFD instrument.

Other factors that make Capital.com a top CFD broker in Australia include its multi-platform trading feature. This implies that in addition to the proprietary web trader and mobile app, you can trade CFDs via the MT4 and trading view. Plus, it also gives every user access to a free demo account loaded with $10,000 in virtual funds.

Capital.com, however, stands out because it integrates AI (Artificial Intelligence) into its trading platform. The tool, according to the broker, comes in handy in helping you detect and eliminate bias when trading.

Pros

  • The broker gives users access to a wide range of advanced trading and investment tools.
  • Capital.com maintains a highly responsive customer support team – online and on the phone.
  • The broker is regulated by ASIC, CySEC, FCA, and NBRB.

Cons

  • Capital.com doesn’t support copy or social trading.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

3. AvaTrade – Multi-Regulated CFD Brokerage in Australia

trading on Avatrade

AvaTrade started in 2016 and has gone on to become of the fastest-growing zero-commission brokers. It makes it to our list of best CFD brokerages in Australia primarily because of its reliability and solid reputation. For instance, in addition to being regulated by the ASIC, AvaTrade is licensed and regulated by eight other financial regulatory agencies, including the FFAJ, CySEC, and the central bank of Ireland.

Here, you will have access to 1000+ CFD contracts that feature commodities, bonds, stocks, ETFs, indices, options, forex, and crypto. But before you can start trading, you need to register an investor account and deposit a minimum of $100.

The broker supports a wide range of payment options and doesn’t impose deposit processing fees. In fact, you will only have to contend with the variable but competitive spreads and overnight fees when trading CFDs on AvaTrade.

AvaTrade provides all its clients with a free demo account loaded with $100,000 in virtual funds. But when active trading, you get to use their proprietary web trader, AvaTradeGo, AvaOptions, and mobile app. You can also use MT4 and MT5 platforms, and if you fancy social and copy trading, you get AvaSocial and DupliTrade.

Pros

  • Get to trade with leverages of up to 1:30.
  • AvaTrade supports social and copy trading.
  • Maintains an accessible and highly responsive customer support team – online and on the phone.

Cons

  • The broker maintains relatively high minimum deposit limits.

start trading now

68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

4. Pepperstone – Best ECN CFD Broker in Australia 

trading on pepperstone

Pepperstone is a Melbourne-based online trading platform and one of the most popular ECN brokerages around. We feature it among the best CFD brokers Australia because of its user-friendliness, reliability, and cost-friendliness. Note, however, that unlike most of the other brokerages listed here, Pepperstone runs both the commission and no-commission accounts.

The commissioned account, also known as the ECN razor account, targets active high-volume forex traders. It maintains some of the lowest spreads for common pairs – as low as 0.0 pips for EUR/USD – and a fixed brokerage commission of $3.5 per side.

On the other hand, the commission-free trader account – also known as the standard account – targets beginners and regular CFD brokers. It gives you access to 1200+ CFD contracts drawn from stocks, ETFs, commodities, indices, and crypto. Here, you will only pay a variable and competitive spread on trades and carry-over fees on leverage. Such leverage ranges between 1:1 and 1:30 – depending on your preferred CFD instrument.

For either account, the pure-CFD broker doesn’t maintain a minimum initial deposit limit. You will also have access to a free demo account with $50,000 in virtual funds. And for active trading, you get to interact with such popular trading platforms as MT4 and MT5 as well as the cTrader – which supports automated and social/copy trading.

Pros

  • The broker provides access to a wide range of highly advanced trading, analysis, and risk-management tools.
  • The broker website integrates a huge amount of educational content to help beginners.
  • Multi-regulated brokerage with the likes of ASIC and FCA.

Cons

  • No proprietary trading platform.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

5. Plus500 – Most Beginner Friendly CFD Brokers in Australia

trading on Plus500

Plus500 is a pure CFD brokerage and one of the most beginner-friendly platforms out there. It, for instance, integrates one of the most extensive collections of educational resources on its website. These are then complemented by a highly intuitive trader interface and a free demo account for practice trading. And these are some of the reasons why we include Plus500 in our basket of the best CFD brokers Australia.

We also feature it here because it gives investors access to 2800+ CFD contracts drawn from stocks, commodities, crypto, indices, and ETFs in 20+ markets. And being a zero-commission broker, you will only pay a variable spread, as well as an overnight charge for leveraged trades.

Note that leverage here ranges from 1:2 to 1:30 – depending on your preferred asset. You will also need to make a $100 minimum deposit before you can start trading. And Plus500 doesn’t support third-party trading platforms – so you are limited to trading via their proprietary web and mobile trader platforms.

Pros

  • Supports a wide range of payment options with no deposit processing fee.
  • Multi-regulated brokerage licensed by ASIC, FCA, and CySEC.
  • Plus500 guarantees client money protection through segregated banking and also offers negative balance protection.

Cons

  • Native trading platforms do not provide social/copy trading or automated trading.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

6. Skilling – Multi-Platform CFD Brokerage in Australia

trading on Skilling

Skilling makes it to our index of best CFD brokers Australia because of its support for a wide range of trading platforms. After registering on the platform, you will have the option of trading CFDs on the broker’s proprietary web or mobile app trading platforms. In addition to these, you can choose to use the all-popular MT4, cTrader, or TradingView platforms. And given their versatility, you will be free to automate your trades or copy trade.

While here, you will have access to 900+ CFD contracts that cover such financial markets as stocks, commodities, indices, and crypto. But before you can start trading, you will need to deposit a minimum of $100.

The broker charges a 0% commission for CFD trades and lets you take advantage of leverages of up to 1:30 – based on your preferred asset. The trades nevertheless attract highly variable but competitive spreads – as well as overnight charges for margined trades that remain open at the end of the day.

Pros

  • The broker is rich in trading, education, and risk management tools integrated into the platform.
  • Highly navigable and beginner-friendly native web trader and app.
  • Supports a wide array of payment options with deposit processing fees.

Cons

  • Limited product list – compared to equally reputable brokers on this list.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

7. CMC Markets – CFD Broker With a Rich Trading and Analytical Resources

trading on Cmc markets

Among the many factors that help CMC Markets feature in our index of best CFD brokers Australia is its rich resources and wide product list. It gives its platform users aces to 12000+ CFD contracts in the form of stocks, indices, treasuries, commodities, forex, share baskets, ETFs, and even crypto. Plus, its trading platforms integrate the widest range of educational, analysis, market research, trading, and risk management resources.

These, plus its straightforward client onboarding process and intuitive trading interface, make it appealing to both beginner and expert traders. The trading platforms here refer to a free demo trader, the proprietary NGEN and mobile app platforms, as well as the all-popular MT4 trader.

CMC Markets is also a top brokerage Australia because of its affordability. It, for instance, doesn’t maintain a minimum initial deposit. It also is a zero-commission online trading platform, implying that you will only have to contend with ultra-competitive spreads and overnight fees.

Pros

  • Supports margin trading with leverages of up to 1:30.
  • Highly reputable broker regulated by ASIC, CySEC, FCA, and BaFin.
  • CMC Markets maintains a highly responsive customer service team available 24/6 online and on-phone.

Cons

  • Charges inactivity fees of $10 per month after 12 months of inactivity.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

8. IG – Best CFD Broker With More Than18000 Markets

trading on IG markets

We include IG in our basket of best CFD brokers in Australia primarily because of its diverse product listing. Once registered with the online broker, you will have access to 18000+ CFD instruments from both Australian and international markets. They include stocks, cryptos, options, bonds, interest rates, indices, and commodities. And they are traded on the proprietary IG markets web and mobile app traders, MT4, ProRealTime, or L2Dealer.

The commission-free broker doesn’t maintain a minimum initial deposit limit. So, when trading CFDs on the brokerage, you will only have to contend with the highly variable but equally competitive spreads. If you use leverage and hold onto the CFD trades overnight, you will incur a variable carry-over fee. Leverage on IG ranges from 1:2 to 1:30 – depending on your preferred asset.

Other factors that make IG a top CFD brokerage in Australia include the fact that it integrates a range of highly advanced analytical and risk management tools in its trading platform. It also hosts a deep resource of educational content as well as a free demo account. Not forgetting that it also maintains a highly accessible and responsive customer support team that is available 24/7 online and on the phone.

Pros

  • IG maintains some of the fastest transaction processing speeds.
  • IG supports weekend and extended-hours trading.
  • Supports a wide range of deposit and withdrawal methods.

Cons

  • IG has been accused of maintaining high spreads for forex and share CFDs.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

9. XM – CFD Brokerage with Low Deposit/Trade Minimums

XM broker

XM is also in our basket of zero-commission brokers, making up our list of best CFD brokers Australia. And we feature it here primarily because of its beginner-friendliness and support for a wide range of products. It, for instance, has one of the most straightforward client onboarding processes. It then complements this with a user-friendly interface and highly affordable minimum deposit/trade limits – of at least $5.

The multi-regulated broker also integrates an extensive range of educational content into its website. And these are further complemented by a free demo account with more than $100,000 in virtual funds for practice trading.

XM gives you access to 1000+ CFD contracts drawn from both Australian and international markets. These cover stocks, ETFs, commodities, indices, and crypto. They all give you access to leverage between 1:2 and 1:30 – based on your preferred financial instrument. And since XM charges no broker commission, you will only have to pay the variable spreads and overnight fees – for margined trades.

Pros

  • XM is a multi-platform trader available in proprietary web and mobile app traders, MT4 and MT5.
  • XM gives traders access to personal account managers.
  • Maintains ultra-fast transaction processing speeds with zero requotes or rejects.

Cons

  • Customer support is not available on the phone.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

10. Think Markets – Best CFD Broker Australia for Customer Support

Think Markets broker

Several key features informed our decision to add Think Markets to our list of the best CDF brokerages in Australia. For starters, we liked its appeal to both beginner and expert CFD investors. And it achieves this by making its trading platform navigable and easy to use and also integrating the most advanced trading and risk management tools. It doesn’t even maintain a minimum deposit limit or deposit processing fees and supports the widest range of payment processors.

The multi-regulated broker lets you interact with 4000+ CFD contracts. These are drawn from such markets as stocks, indices, commodities, ETFs, futures, and forex in Australia and internationally. They can be margin traded with leverages of between 1:2 and 1:30. And you get to trade them on the proprietary Think Trader web and mobile app, MT4, or MT5 platforms.

Seeing that Think Markets is a commission-free broker, you will only be charged competitive and highly variable spreads when trading these CFDs. Margin trades that remain open overnight will also attract variable but competitive carry-over fees.

Pros

  • Think Markets maintains a stellar support team available 24/7 online and on the phone.
  • Think Markets offers negative balance protection for clients.
  • Think Trader platform integrates the most advanced trading tools, especially charting and back testing.

Cons

  • CFD trading terminals for Think Markets freeze regularly.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Factors To Consider When Choosing The Best CFD Broker In Australia 2022

Given that there are tens of brokerages operating in Australia, you must be wondering what factors we considered in arriving at the top 10 list above. You are also wondering what factors you should use to evaluate these brokerages and identify one that works best for you.

Here are a few factors that you should pay close attention to when vetting CFD brokers:

  • Regulation: It is important that you only register and transact with an ASIC-regulated CFD broker.
  • Cost of trading: Look beyond commission and spreads when confirming the cost of trading on a brokerage. Assess the non-trading fees, too – deposit/withdrawal charges, inactivity, and overnight fees.
  • Deposit/trading minimums: Your preferred CFD broker should also maintain affordable minimum deposit amounts and trading limits.
  • Demo account: It is important that your preferred CFD broker also provides a free demo account. Beginners need it to practice trading, while experts need it to experiment and perfect new strategies.
  • Trading tools: A good CFD trading platform should also feature all the most important research, analysis (fundamental and technical), trading, and risk management tools.
  • Customer support: It is also important that your preferred CFD brokerage maintains an accessible, highly responsive, and knowledgeable customer support team.
  • Trading platforms: Go for a CFD brokerage that allows you to trade in a familiar trading platform. And if they only offer proprietary platforms, let these be highly navigable and easy to use.

Read Also: Forex Trading Australia - The Ultimate Beginner’s Guide to Trading Forex Online

How To Start Trading CFDs In Australia For Beginners – Step-By-Step Guide

Want to jump straight to trading CFDs but aren’t sure how to get started? Use this step-by-step guide that teaches you how to create a trader account and start buying and selling CFDs.

For this illustration, we use eToro, but the process is almost similar for virtually all the bet CFD brokerages in Australia that we have discussed hereinabove.

Step 1: Create a user account

On your browser, open the official eToro website and tap on the “Join Now” icon. Complete the user registration form that pops up by entering such basic information as your name, email address, country of residence, income sources, and trading experience.

open trading account

Step 2: Verify your identity

ASIC-regulated brokerages are expected to subject their clients to KYC and AML checks. eToro will therefore ask you to verify your identity by submitting a copy of a government-issued identification document.

etoro account verification

Step 3: Make a deposit.

Log in to your approved broker account and tap on the “Deposit Funds” icon. From the list of supported payment options, choose one method and follow the prompts to complete the deposit.

fund account

Step 4: Choose the CFD to trade

Once the deposit reflects in your trader account, click on the “Discover” button to reveal the supported trade instruments. These include stocks, crypto, indices, forex, and ETFs. Identify the CFD asset you wish to trade.

Step 5: Start trading.

Tap on the “BUY” or “SELL” button against the CFD instrument. On the trading tab that pops up, customize the trade by indicating how much money you wish to spend on the trade or how much of the asset you want to buy/sell. Then click on the “Open Trade” tab to initiate the transaction.

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Conclusion – Best CFD Brokers In Australia

The number of licensed and regulated CFD brokerages operating in the country has been on the rise. This makes the process of choosing the best CFD brokerage in Australia quite overwhelming. But in this post, we have introduced you to what our experts consider the top CFD trading platforms in Australia in 2022. We have also told you how to vet these and others to find the brokerage that works best for you and also broken down the CFD trading process.

Want to start trading CFDs right away? Register a CFD trader account with one of the above-discussed brokers, deposit funds into this account, identify the CFD instrument you wish to buy, and start trading.

eToro - The Best Trading Platform In Australia

eToro day trading

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68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

FAQs About CFD Brokerages Australia

Which is the best CFD brokerage in Australia?

We consider eToro the overall best CFD broker in Australia in 2022. The platform is not only user-friendly and affordable but s also heavily regulated, has a solid reputation, and supports a wide range of assets.

How much do I need to start trading CFD Australia?

The minimum trading amount required to start CFD trading will mostly depend on your preferred brokerage and CFD asset. Different brokers have different trading minimums for different CFD instruments.  

Is CFD trading legal in Australia?

Yes, CFD trading is legal in Australia. The ASIC has, however, placed caps on how much leverage can be availed to retail investors based on the CFD instrument. It ranges from 1:2 for crypto to 1:30 for forex.

Is CFD trading in Australia safe?

When choosing a CFD trading platform in Australia, check the risk disclaimer policy on their website. It indicates the percentage of CFD traders in their platform who lose money.

How do I choose the best CFD broker in Australia?

When choosing the best CFD brokerage in Australia, we recommend that you consider the ease of using their platform, their affordability, their reputation, and the range of supported CFD contracts.

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