CommSec (or Commonwealth Securities) is one of the most reputable Australian CFD brokers. They have over 20 years of experience in the forex industry and offer a great variety of trading assets and trading types. Please bear in mind how this broker accepts only traders from Australia, and not from other countries. It is regulated by ASIC (Commonwealth Securities Limited ABN 60 067 254 399 AFSL 238814).
If you want to know more about this broker, make sure to continue reading our CommSec review below. There you will find all the information about different account types, trading features, software, customer support and depositing policies.
Account Features
CommSec is a very unique broker. Unlike most other brokers available on Australian market, they don’t offer a bunch of trading accounts, but are focused on different types of trading. Every trading type is a special and unique trading account. For example, there is a special account for option trading and a special account for share trading.
CommSec Share Trading
This account type is meant for buying and selling Australian shares. The special feature offeed with this account is the mere fact that you don’t have to make a deposit. You can trade as the opportunity comes buy (but you have to be registered trader). If you want to trade shares, you can either use the cash account or access brokerage rates with Commonwealth Direct Investment Account2. As you can probably notice, the account structure is quite complex with CommSec. Share trading account is convenient, flexible and offers:
- Real time quotes
- Live announcements
- Live charting
- No conditions
- Live charting
The minimum amount of shares you can buy is $500.
CommSec Margin Lending
Margin lending was established by CommSec almost 20 years ago, in 1999, and it allows you to trade and invest funds starting with $10. Margin loans allow you to trade anytime and anyplace, as well as to increase your profits. Bear in mind that margin loans come with certain terms and conditions, depending on the type of trading you prefer. CommSec margin loans are available for trading Australian shares, managed funds, exchange-traded options…
CommSec Options Trading
This account type can be combined with other features and account types offered. You can also link your options account to shares trading account. There are several options trading levels available, based on your previous trading experience. In order to reach a higher level, you will have to fill out a special request form. The levels are unlocked not based on the trading volume or profit you made, but based on your knowledge, experience and risk you are willing to take.
CommSec CFDs
CommSecCFDs account opens the door of trading 7,000 different CFDs. This number is rather impressive and it includes:
- Australian and international shares,
- global indices,
- commodities and
- foreign exchange
There is also guaranteed stop Loss feature you can use and it starts from just 0.3%. Also, there are two types of this account:
- Limited risk account – all positions have guaranteed stop loss
- Trader account – you can choose whether or not to use guaranteed stop loss
There are certain conditions you have to fulfill in order to apply for these trading accounts, but these conditions are the basic ones:
- Be Australian resident
- Have an account in Commonwealth bank
- Have trading experience
CommSec International Securities Trading Account
This account type is meant for US Exchange Traded Options and US Exchange Traded Funds (ETFs) and the trades are executed with Pershing LLC, a subsidiary of the Bank of New York Mellon.
Trading Software & Assets
CommSec is using a proprietary trading software called CommSecIRESS. They describe it as dynamic trading platform that ensures live data streaming in real time so you can always be informed about latest market changes and be sure that your trades are executed in real market conditions.
As the best benefits od trading with their platform, CommSec accentuates:
- Real time data and quotes
- Enhanced charting
- Fast, easy order placement
- Extensive market watch
- Customisable desktop
- Flexible access that’s FREE for regular traders
Unlike many other trading platforms, this one is not completely free of charge. The costs of trading on it can go as high as $82.50 or even more, depending on services you are using. This is not very user-friendly, especially as there are Australian brokers that offer completely free trading platforms, along with a free demo account. In this case, there is a demo account that lasts 14 days and has $20,000 virtual money.
CommSec platform is also available as an app for Android and Apple devices. You can find it in the respective app stores.
Support Information
CommSec is not offering a communication via live chat which is somewhat unusual. You can send your question via online form or email, or simply call them. However, we have to admit that we prefer more straightforward communication via live chat. This way, you don’t have to waste your time waiting for a response or be focused on a phone conversation.
CommSec is a broker that offers very detailed explanations on all types of trading it offers. This means you can always take a look at their website before making a final decision. Also, it is very interesting how it allows traders to communicate with different types of customer support agents, depending on their trading as there are several phone numbers available, all depending on your trading type. This is convenient as it usually means you don’t have to wait as long for someone to respond.
When it comes to learning possibilities and education with CommSec, traders can easily check out different brochures and explanations available directly on the website.
Banking & Company Information
CommSec users must be Australian residents and own a bank account with one of the Commonwealth banks. There is no traditional minimum deposit, but traders must buy at least $500 worth of shares. Overall trading process with this broker is somewhat different than with most other brokers, so traders must be sure they understand terms and conditions.
Also, there are different fees and charges that apply. This makes CommSec somewhat expensive. All fees are available on the website, and are neatly organized in categories, but here are some of the most important:
Shares trading
- For online trading and settling on a bank account – from $29.95 (Up to and including $9,999.99)
- For online trading and settling to a CDIA or CommSec Margin Loan – from $10
- Share Trades over the Phone – $59.95 (Up to and including $10,000)
Margin Lending
- Varies – starting with 6.64%
Derivatives
- For desktop trading – from $34.95 up to $10,000 in premium and more
- For mobile trading – from $54.60 up to $10,000 in premium and more