IG Markets Australia Review in 2024
IG Markets, a subdivision of IG Group Corporation, established its initial presence in the UK in 1974. Since then, it has expanded to other countries, including Australia. To erase any confusion for Australian traders, we must inform you that IG Markets has two subsidiaries in Australia, namely IG Australia and IG Markets Ltd.
IG Markets Ltd is regulated by the Australian Securities and Investments Commission ("ASIC") in Australia and holds the Australian Financial Services (AFS) license number No. 220440.
Offering trading opportunities in 17,000 markets, including indices, shares, Forex, commodities, and cryptocurrencies, IG Markets Australia is a good broker for experienced and novice investors in Australia.
In this IG Markets Australia review, we take a look at the offerings of the broker along with its reliability and safety.
IG Markets Australia - General Information
IG Markets Australia allows investors to leverage multiple trading platforms, including trading signals, mobile trading, and algorithmic trading. You can trade CFDs, shares, cryptocurrencies, indices, commodities, Forex, and other markets on the platform. The demo account makes it possible for inexperienced investors to practice their hand at trading before spending any actual money.
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💰 Account currency:
USD
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🚀 Minimum deposit:
$0
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⚖️ Leverage:
Up to 1:200
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💱 Spread:
From 0.6 pips (for currencies)
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🔧 Instruments:
Currencies, shares, indices, Forex, commodities, cryptocurrencies
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💹 Margin Call / Stop Out:
99% of margin - email notification, 75% of margin - email notification, 50% of margin - Stop out
Pros and Cons
👍 Pros
•Is well regulated
• Offers trade in up to 17,000 markets
• Demo account for beginners
•Substantial leverage limit
• Has tight spreads
👎 Cons
•Lacks in terms of risk management
• Poor customer service
IG Markets Australia Review
The major highlight of IG Markets Australia is the CFD account. You don't need a minimum balance to open this account, and it takes just five minutes to get started. Moreover, you're not obligated to trade or fund your account after creating it.
Beginners can open a demo account to practice CFD trading.
The benefits of the CFD account include:
Helpful customer support
Analysis and research tools
Tight spreads and low margins
Low commissions for trades in more than 17,000 markets
Availability across mobile devices and the web
Expert charting packages
The table summarizes the must-know features of this account:
| CFD Account | Features |
|---|---|
Account Setup Fees |
None |
Annual Fees |
None |
Inactivity Fees |
$18 every month if no activity takes place on the account for two or more years |
Account Closure Fees |
None |
Markets |
17,000 global markets |
Tax-Free |
No |
Commissions |
On some markets |
Traded In |
Contracts |
Investors can also share trades on IG Markets Australia. Australian share trading starts from just $5. Like the CFD account, you can create a demo account for this too.
Here are some notable reasons to share trades on IG Markets Australia:
$5 on Australian Shares: Traders who have traded shares at least three times in the past month can pay only $5 commission on all domestic shares.
$0 on US Shares: Traders can purchase and sell UK and US shares without paying any commission.
App: The app has the same functionality as the web interface, allowing you to trade shares on the go.
Extended Hours: IG Markets Australia lets you trade top shares, including Facebook, Amazon, and Apple post and pre-market hours.
Overall, the platform offers share trading for more than 13,000 shares and ETFs from Germany, Ireland, the US, the UK, and Australia.
IG Markets Australia charges a $50 subscription fee to your account based on your trading activity for the quarter. If you trade at least thrice in one quarter, your subscription fee will be waived off.
Broker's Fees
IG Markets Australia does not require you to have a minimum account balance to trade.
CFDs
For the CFD account, your main payment will be spread. It is the difference between the buying and selling price. The table shows this in detail:
| Market | Number of Markets | Minimum Spread | Margin Rates for Australian Retail Clients |
|---|---|---|---|
Major Forex Pairs |
68 |
0.6 |
3.33% |
Gold and Minor Forex Pairs |
68 |
0.6 |
5% |
Major Indices |
100+ |
0.1 |
5% |
Minor Indices |
47 |
0.1 |
10% |
Commodities (except gold) |
47 |
0.3 |
10% |
Share CFDs |
10,500+ |
0.1 |
20% |
Cryptocurrency CFDs |
6 |
1 |
50% |
US Stocks and ETFs
For share trading, there's a $50 subscription fee for the account. However, if you trade thrice or more in a month, the fee is waived off. The commission fee for US shares is $0, irrespective of how active or inactive you are.
Other than that, the fees differ slightly for active and inactive accounts.
| IG Markets Australia | US Shares Commission | Australian Shares Commission | FX Conversion Fee | Subscription |
|---|---|---|---|---|
Active Traders |
$0 |
$5 |
0.70% |
$0 |
Inactive Traders |
$0 |
$8 |
0.70% |
$50 per quarter |
Australian Stocks
For Australian stocks, there's a commission fee of $5 for active traders and $8 for inactive traders. Investors who make at least three trades a month are considered active traders.
Forex
The key payment for Forex trading is the spread. The Forex trade charges for IG Markets Australia are:
| Spot FX | IG Minimum Spread | IG Average Spread | IG Average Spread (00:00 - 21:00) |
|---|---|---|---|
EUR/USD |
0.6 |
1 |
0.75 |
AUD/USD |
0.6 |
1.01 |
0.74 |
USD/JPY |
0.7 |
1.12 |
0.83 |
EUR/GBP |
0.9 |
1.71 |
1.19 |
GBP/USD |
0.9 |
1.66 |
1.19 |
EUR/JPY |
1.5 |
2.27 |
1.76 |
USD/CHF |
1.5 |
2.15 |
1.91 |
Trading Assets
IG Markets Australia gives you access to over 17,000 markets. You can trade commodities, IPOs, shares, indices, cryptocurrencies, options, interest rates, bonds, and other assets.
With the share trading account, you can access all domestic shares, including Afterpay, Qantas, CBA, and Fortescue Metals. More importantly, you can trade shares from the top four Australian banks, namely:
Westpac Banking Corporation
Australia & New Zealand Banking Group
National Australia Bank
Commonwealth Bank of Australia
Is IG Markets Australia Regulated? Is This Company Safe?
IG Markets Australia is regulated by the Australian Securities and Investments Commission (ASIC) in Australia and has license number 220440. Meanwhile, IG Australia Pty Ltd is regulated by the Australian Securities and Investments Commission (ASIC) too and has license number 515106.
Moreover, IG Markets operates in accordance with the FX Global Code of Conduct guidelines, which means it provides a fair trading environment.
IG Markets - Best for CFD Trading
Although IG Markets Australia offers a wide assortment of financial services, its specialty is CFD trading. Since there's no minimum balance required and you can avail demo accounts, the platform is ideal for beginners too.
Besides the easy-to-use web platforms, IG Markets Australia also has a phone app that offers the same features.
Summary
IG Markets Australia is a good option for Australian clients who want to trade US and UK shares or partake in CFD trading. The platform's local regulation, an extensive number of available markets, and low fees make it a good option for Australian clients.
FAQs
Does IG Markets Australia have Educational Resources?
Yes, IG Markets Australia has an IG academy where inexperienced traders can access webinars and free trading courses.
Can You Transfer Shares to Your IG Markets Australia Account?
Yes, you can transfer your existing shares to IG Markets Australia account for free. In this way, you will have all your shares in one place at no extra cost.
What are the Commission Fees on UK and US Shares?
IG Markets Australia does not charge any commission fee on UK and US shares. You can trade notable US shares, such as Amazon and Facebook, during post and pre-market hours.
What is an IG Pro Account?
Traders with sufficient experience and wealth can qualify for an IG Pro account. This account offers low margins and cash rebates. However, you will not have the level of protection given under the Corporations Act 2001 with a Pro Account as you would as a retail client.
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Team that worked on the article
Johnathan M. is a U.S.-based writer and investor, a contributor to the Traders Union website. His two primary areas of expertise include finance and investing (specifically, forex and commodity trading) and religion/spirituality/meditation.
His experience includes writing articles for Investopedia.com, being the head writer for the Steve Pomeranz Show, a personal finance radio program on NPR. Johnathan is also an active currency (forex) trader, with over 20 years of investing experience.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.
Olga has extensive experience in writing and editing articles about the specifics of working in the Forex market, cryptocurrency market, stock exchanges and also in the segment of financial investment in general. This level of expertise allows Olga to create unique and comprehensive articles, describing complex investment mechanisms in a simple and accessible way for traders of any level.
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Mirjan Hipolito is a journalist and news editor at Traders Union. She is an expert crypto writer with five years of experience in the financial markets. Her specialties are daily market news, price predictions, and Initial Coin Offerings (ICO). Mirjan is a cryptocurrency and stock trader. This deep understanding of the finance sector allows her to create informative and engaging content that helps readers easily navigate the complexities of the crypto world.