Best Brokers for Australian Investors Buying US Stocks
Australian investors have excellent access to US stocks through IBKR, Stake, and Pearler. The key decision is FX cost — IBKR at 0.1% vs CommSec International at 0.6% — and whether you want fractional shares (Stake) vs a full-service platform (IBKR).
Market
US Stocks
S&P 500
Top ETF
CSPX
CSPX (UCITS S&P 500 ETF, Ireland-domiciled)
Your currency
🇦🇺 AUD
Australia
FX cost reality check
On A$15,000 ($10,000) invested in US stocks: IBKR FX cost ≈ A$15. CommSec International ≈ A$90. Stake ≈ A$22. Annual saving at IBKR vs CommSec on A$100,000 portfolio: ~A$500.
Best brokers for Australian investors in US stocks
Ranked by FX conversion cost — the biggest variable cost for international investors.
Interactive Brokers
The lowest FX spreads of any mainstream broker — 0.08–0.2% mid-market margin across all major corridors.
Stake
Simple, commission-free US stocks for Australian and New Zealand investors
Pearler
Long-term index investing platform for Australian buy-and-hold investors
About US Stocks: what Australian investors need to know
Why invest here
The US market has returned ~10% annualised over the past century. It houses the world's most innovative technology, healthcare, and consumer companies, with unmatched liquidity and corporate governance standards.
Key risk
USD currency risk vs your home currency; US estate tax for non-US holders of US-domiciled assets
Benchmark index
S&P 500
Recommended ETF (non-US investors)
CSPX (UCITS S&P 500 ETF, Ireland-domiciled)
Regulation for Australian investors
No outbound investment limits for Australian investors. Standard ATO tax rules apply: 50% CGT discount for assets held 12+ months. File foreign income in your Australian tax return.
Tax treatment for Australian investors in US stocks
Capital gains taxed at marginal rate. 50% CGT discount for assets held 12+ months. Foreign income (dividends) taxable at marginal rate. 15% US withholding on dividends creditable against Australian tax.
Not tax advice. Tax laws change frequently. Consult a qualified tax professional in Australia before making investment decisions.