For Australians looking to build wealth through shares, ETFs, or managed funds, brokerage fees can be a silent drain on your returns. With major brokers and fintechs shaking up the landscape in 2025, understanding what you pay—and why—has never been more important.
What Are Brokerage Fees and Why Do They Matter?
Brokerage fees are the charges you pay to buy or sell investments through a broker. They cover the cost of executing your trades, platform maintenance, and sometimes even research and reporting. While a few dollars here and there might not seem much, these fees can quickly add up—especially for frequent traders or those investing smaller amounts.
In 2025, the Australian Securities Exchange (ASX) remains the primary marketplace for shares, but investors now have more choice than ever. The entry of global trading platforms and local fintech startups has brought new pricing models, from flat fees to percentage-based commissions and even zero-commission trading for select assets.
- Flat-fee brokers: Charge a fixed amount per trade, regardless of trade size (e.g., $10.99 per ASX trade).
- Percentage-based brokers: Charge a percentage of the trade value (e.g., 0.1% per transaction).
- Zero-commission brokers: Offer free trades but may earn money via currency conversion, spreads, or premium features.
2025: Key Brokerage Fee Trends and Policy Updates
This year, several important changes are shaping the brokerage fee landscape:
- ASIC’s focus on fee transparency: The Australian Securities and Investments Commission (ASIC) has tightened disclosure requirements, meaning brokers must now clearly outline all fees—including hidden costs like FX spreads and inactivity charges—in plain English.
- Rise of micro-investing platforms: Platforms like Stake, Pearler, and Superhero continue to grow, offering low or zero brokerage on US stocks and affordable trades on ASX shares. Expect more micro-investment options, but be wary of foreign exchange (FX) fees when trading US markets.
- Competition driving fees lower: The race for market share among digital brokers has led to more price cuts, with some platforms offering $0 brokerage for the first 10 trades each month or for trades under $1,000.
- Bundled subscription models: Some brokers now offer monthly subscriptions (e.g., $10/month) for unlimited trades, appealing to active investors who want predictable costs.
Example: In 2025, CMC Markets continues to offer $0 brokerage for international shares up to a certain monthly limit, while Selfwealth and eToro have introduced tiered models to reward high-volume traders with lower per-trade costs.
How to Minimise Brokerage Fees (Without Compromising Your Strategy)
The best broker for you depends on your investment style, frequency, and the markets you want to access. Here’s how to keep your costs down:
- Compare total costs: Look beyond the advertised brokerage. Check for FX spreads, account fees, withdrawal charges, and inactivity penalties.
- Choose the right fee structure: If you trade infrequently, a low flat-fee or zero-commission model may suit you. Frequent or high-volume traders might save more with a subscription or tiered pricing.
- Bundle trades: Placing larger, less frequent trades instead of many small ones can reduce your overall brokerage bill.
- Leverage micro-investing for small amounts: If you’re starting out with small sums, consider micro-investing platforms, but watch for FX and spread costs.
Real-world scenario: Suppose you invest $5,000 in ASX shares each month. With a $10.99 per-trade broker, that’s $131.88 in annual fees if you make one trade monthly. But if you use a broker offering $0 brokerage for the first 10 trades per month, your annual cost could be $0—provided you stay within the free trade limits and avoid other hidden fees.
What to Watch For: Hidden Costs and Red Flags
Even with aggressive fee competition, some costs remain less obvious:
- Foreign exchange spreads: Trading US or global shares? Brokers may advertise $0 brokerage but make money on currency conversion rates.
- Account and inactivity fees: Some platforms charge monthly or annual account fees, or penalise you for not trading regularly.
- Exit and transfer fees: Want to move your shares to another broker? Some may charge exit or transfer-out fees—always check the PDS before signing up.
In 2025, ASIC’s new disclosure rules require all these fees to be clearly shown before you trade, but it’s still wise to read the fine print.
The Bottom Line: Choose Smart, Invest Confidently
Brokerage fees in Australia are lower and more transparent than ever, but the best deal depends on your unique needs. With new policy changes, fintech entrants, and intense competition, there’s never been a better time to review your brokerage costs and make sure more of your money stays invested—working for you, not your broker.
