Australia: My Experience With The Stock Market - Part 2

Now you already know the tax consequences once you start investing here in Australia. If not, you can read here in part 1.

Finding A Broker

👉 Brokerage fees here are expensive. More info here


✍ I opened with NABTrade since I have an account with them. Trades below $5000 costs $14.95. I was trying to research for a cheap fee but with good interface and charting tool; however, I found some but was not comfortable with it. Here's a list of some brokers.

*My take on NABTrade - 4/5. There are some down times but not often and mobile app definitely needs improvement. Click here if you want to know more about them.

I tried opening with Selfwealth but I need to submit certified ID documents so I am having second thoughts on this 😆. Anyway, if you want to open and avoid some delays, you can refer to this article on how to certify your documents. 

After opening and verifying your identity (100 points of identification), fund your account and you can now buy and sell your shares.

Other Things To Note
  • Trading hours - so this is Sydney time. Remember there is a DST (daylight saving time) which begins 2am on the first Sunday of October when clocks are put forward one hour and ends 2am on the first Sunday of April.
  • CHESS - not the game chess but an acronym for Clearing House Electronic Subregister System, a system used by ASX to facilitate trade settlements (T+2) and to record share ownership. Being CHESS sponsored means that you own the shares directly unlike with some brokers (i.e. IG Markets) that operate under a custodian model like in the Philippines (i.e. COL, Philstocks, Unitrade etc. If you want it to be under your name, then you have to apply for an upliftment of stock certificate.) If your broker is CHESS sponsored, you'll be issued a unique ID called as HIN (Holder Identification Number) and usually starts with letter 'X'. You can have multiple HINs for different brokers. 
  • Then this is the confusing part, once you buy shares you'll receive a letter that looks like 👇