Australia's lockdown love affair with shares continues as investor numbers double
From homemade sourdough to home workouts, Australians have embraced plenty of new hobbies over the past 17 months, but new research has also revealed the ongoing popularity of another pandemic passion: investing.
Released yesterday, the 2021 1H Online Investing Report from research company Investment Trends has highlighted the continued surge of new online investors to share trading, ETFs and other securities.
The report, which was based on a survey of nearly 20,000 investors, revealed that 148,000 Australians placed a trade for the first time in the six months to May 2021.
Overall, Investment Trends found that roughly 1.43 million people made at least one trade in the 12 months to May 2021, which is a 35% year-on-year increase.
Irene Guiamatsia, who is head of research at Investment Trends, suggested that these numbers illustrate the considerable rise in popularity of investing throughout the COVID-19 period, with the number of Australians participating in the market now close to double that of just a few years ago.
“The pandemic has significantly shifted the Australian investing landscape throughout 2020 and this continued through the first half of 2021,” she said.
“To put things into perspective, the number of active retail online investors, that is those who bought or sold securities in a 12-month period, has almost doubled compared to pre-pandemic levels, from 750,000 to 1,430,000.”
Crypto comeback
The report also highlighted what anyone who’s kept half an eye on the news in the past year will be aware of: the resurgent interest in cryptocurrency among Aussie investors.
According to Investment Trends 13% of online investors said that cryptocurrencies like Bitcoin, Ethereum, Ripple and Dogecoin now made up part of their investment mix (up from 8% six months ago), while an additional 10% said they planned to add cryptocurrency to their portfolios in the next year.
“The rapid rise in novel cryptocurrencies like Dogecoin, which valuation surged from $0.01 to $0.68 between January and May 2021, has certainly captured the imagination of many investors, especially Zoomers and Millennials,” said Guiamatsia.
“While there may be concerns about investor exuberance for relatively volatile digital assets, our research shows diversification and long-term investing are investors’ top cited reasons for holding cryptocurrencies – rather than speculative purposes.”
Rise of the challengers
While new Aussie traders have jumped on the investment bandwagon during the pandemic, there’s also been an influx of new online share trading and investment platforms.
In the past 12 months alone the likes of Pearler, Sharesies and Superhero have all hit the Australian market, joining existing ‘challengers’ in offering cheap brokerage and lower entry thresholds which seem to be making a mark with younger and first-time investors.
“It’s encouraging to see so many Australians starting their investing journey,” said Guiamatsia.
“Challenger brands like SelfWealth, Stake, eToro and Superhero are growing their footprint among these first-time investors with sharp pricing, feature rich platforms and mobile-first UX.”
RELATED: The best online share trading platforms in Australia in 2021
Ready to take the plunge and start your own investing journey? Well if you’re interested in trading shares, ETFs and other equities from your smartphone or laptop, you’ll need an online platform to help make that happen.
Get started right away by comparing some of the great options in the table below, or head on over to our dedicated share trading hub to compare share trading accounts from a range of providers.
Compare share trading accounts - rates updated daily
Share Trading
Small trade brokerage
Monthly fee
$3.00$0.00Invest in AU stocks, US stocks, HK stocks and ETFs on moomoo trading platform. US trades from $0.99 USD, other fees apply. Backed by a Nasdaq-listed fintech. (T&Cs apply).
Share Trading
Invest in AU stocks, US stocks, HK stocks and ETFs on moomoo trading platform. US trades from $0.99 USD, other fees apply. Backed by a Nasdaq-listed fintech. (T&Cs apply).
- Monthly fee
- $0.00
- Monthly fee waiver
- -
- Special offers
- Ongoing free access to real-time US market data.
- Brokerage details
- ASX trades are 0.03% the transaction amount, minimum $3.00 per order. US trades from $0.99 USD, other fees apply.
- Settle from any bank account
- Settlement account offered
- -
- CHESS ownership available
- Share pack
- Independent broker reports
- International markets
- Options
- Warrants
- IPOs
- Live data
- Market depth data
- Real time charting
- Other restrictions
- Additional fees apply for US trades.
Read our Mozo Review to learn more about the Share Trading
ASX Shares
Small trade brokerage
Monthly fee
$0.00$0.00Join the world’s leading social trading platform, trusted by 30 million users worldwide. Invest in stocks, crypto, ETFs and more - all in one place. Hone your financial skills with a $100K virtual demo account.
ASX Shares
Join the world’s leading social trading platform, trusted by 30 million users worldwide. Invest in stocks, crypto, ETFs and more - all in one place. Hone your financial skills with a $100K virtual demo account.
- Monthly fee
- $0.00
- Monthly fee waiver
- n/a
- Special offers
- -
- Brokerage details
- There are no brokerage charges but a 0.50% fee is applied to all funds paid into or taken out of the USD settlement account
- Settle from any bank account
- Settlement account offered
- Customer funds are held in a Trust Account managed by JP Morgan Chase and Co
- CHESS ownership available
- Share pack
- Independent broker reports
- International markets
- Options
- Warrants
- IPOs
- Live data
- Market depth data
- Real time charting
- Other restrictions
- $5 USD withdrawal fee applies and a $10 monthly inactivity fee is charged after 12 months with no login activity.
Read our Mozo Review to learn more about the ASX Shares
Share Investing
Standard
Small trade brokerage
Monthly fee
$0.00$0.00CMC Markets Invest makes it easy to trade with a handy web and mobile platform, competitive pricing and thousands of securities. Buy Australian and US shares from $0 brokerage (T&Cs apply - see website for full details).
Share Investing
CMC Markets Invest makes it easy to trade with a handy web and mobile platform, competitive pricing and thousands of securities. Buy Australian and US shares from $0 brokerage (T&Cs apply - see website for full details).
- Monthly fee
- $0.00
- Monthly fee waiver
- -
- Special offers
- -
- Brokerage details
- $0 for trades up to $1,000. Greater of $11 and 0.1% for trades over $1,000.
- Settle from any bank account
- Settlement account offered
- ANZ Cash Account
- CHESS ownership available
- Share pack
- Independent broker reports
- International markets
- Options
- Warrants
- IPOs
- Live data
- Market depth data
- Real time charting
- Other restrictions
- -
Read our Mozo Review to learn more about the Share Investing
Tiger Account
Small trade brokerage
Monthly fee
$5.50$0.00Tiger Brokers is an online broker listed on NASDAQ. It offers access to US, ASX & HK stocks, ETFs and US options trading. Earn 7% p.a. on uninvested cash balance up to AUD 100,000 for the first 150 days, with a value up to AUD 2,877. Plus get US$30 Tesla (TSLA) and US$30 NVIDIA (NVDA) shares with an accumulated deposit greater than AUD 2000. T&Cs apply – for full details, go to the Tiger Brokers website.
Tiger Account
Tiger Brokers is an online broker listed on NASDAQ. It offers access to US, ASX & HK stocks, ETFs and US options trading. Earn 7% p.a. on uninvested cash balance up to AUD 100,000 for the first 150 days, with a value up to AUD 2,877. Plus get US$30 Tesla (TSLA) and US$30 NVIDIA (NVDA) shares with an accumulated deposit greater than AUD 2000. T&Cs apply – for full details, go to the Tiger Brokers website.
- Monthly fee
- $0.00
- Monthly fee waiver
- -
- Special offers
- 7% p.a. on uninvested cash balance for 150 days valued up to AUD2,877. Plus get US$30 TSLA and US$30 NVDA shares with accumulated deposit more than A$2000. T&Cs apply.
- Brokerage details
- 0.055% of trade value, $5.50 minimum brokerage.
- Settle from any bank account
- Settlement account offered
- no
- CHESS ownership available
- Share pack
- Independent broker reports
- International markets
- Options
- Warrants
- IPOs
- Live data
- Market depth data
- Real time charting
- Other restrictions
- -
Read our Mozo Review to learn more about the Tiger Account
Share Trading
Small trade brokerage
Monthly fee
$7.70$0.00Buy and sell with a low $7.70 flat fee per trade and access to all ASX Shares and ETFs to invest in with GO Markets. Enjoy dedicated local customer support, a regulated Australian company for trading ASX Shares and ETFs. Plus, enjoy $0 Brokerage on your next 15 trades! (T&Cs apply).
Share Trading
Buy and sell with a low $7.70 flat fee per trade and access to all ASX Shares and ETFs to invest in with GO Markets. Enjoy dedicated local customer support, a regulated Australian company for trading ASX Shares and ETFs. Plus, enjoy $0 Brokerage on your next 15 trades! (T&Cs apply).
- Monthly fee
- $0.00
- Monthly fee waiver
- -
- Special offers
- -
- Brokerage details
- $7.70 brokerage for trades under $100,000, then 0.05%.
- Settle from any bank account
- Settlement account offered
- Macquarie Cash Management Account
- CHESS ownership available
- Share pack
- Independent broker reports
- International markets
- Options
- Warrants
- IPOs
- Live data
- Market depth data
- Real time charting
- Other restrictions
- -
Read our Mozo Review to learn more about the Share Trading
Idle Cash
Small trade brokerage
Monthly fee
$5.50$0.00Receive interest on your uninvested cash. Deposit over USD/AUD 5,000 to start receiving 1.5% return; 2.25% return on over AUD 50,000; Up to 3.25% return on over USD 50,000. Mozo special offer for new users only: Get USD 50 fractional shares plus USD 25 Tesla shares with a cumulative net deposit of min. AUD 500 within 7 days of the first account opening. T&Cs apply.
Idle Cash
Receive interest on your uninvested cash. Deposit over USD/AUD 5,000 to start receiving 1.5% return; 2.25% return on over AUD 50,000; Up to 3.25% return on over USD 50,000. Mozo special offer for new users only: Get USD 50 fractional shares plus USD 25 Tesla shares with a cumulative net deposit of min. AUD 500 within 7 days of the first account opening. T&Cs apply.
- Monthly fee
- $0.00
- Monthly fee waiver
- -
- Special offers
- 7% p.a. on uninvested cash balance for 150 days valued up to AUD2,877. Plus get US$30 TSLA and US$30 NVDA shares with accumulated deposit more than A$2000. T&Cs apply.
- Brokerage details
- 0.055% of trade value, $5.50 minimum brokerage.
- Settle from any bank account
- Settlement account offered
- no
- CHESS ownership available
- Share pack
- Independent broker reports
- International markets
- Options
- Warrants
- IPOs
- Live data
- Market depth data
- Real time charting
- Other restrictions
- -
Read our Mozo Review to learn more about the Idle Cash
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