Best Micro-Investing Apps Australia – Top Apps for Beginners Revealed

Micro investing apps are getting more and more popular with Australians who wish to access the financial markets with small stakes. Not only does this allow the average Joe to invest on a tight budget, but it also enables you to create a highly diversified portfolio of assets with ease.

If you’re interested in finding the best micro investing apps in Australia, this page reviews the top providers to consider in 2024.

Best Online Micro Investing Apps Reviewed

In choosing a micro investing app, your main priority is likely to be a provider that allows you to invest with small amounts. However, there are many other metrics that need to be considered too and possibly questions on your mind.

For example, how safe is the micro investing app, and does it support your preferred financial market? Do we have some of the best CFD trading apps on this list? How do I get started on micro investing?

To help clear the mist and answer your questions, below we review the best micro-investing apps Australia in 2024.

1. eToro – Overall Best Micro Investing App Australia

In reviewing dozens of providers, we found that the best micro investing app Australia is eToro, and in this detailed review, you’ll get to know why etoro is one of the best crypto apps to use in 2024.

This top-rated Australian stock app supports fractional ownership on all of its supported markets. In simple terms, this means that you no longer need to buy a full stock, cryptocurrency, or ETF.

On the contrary, Australians can now purchase just a ‘fraction’ of one asset.

This is particularly useful if you’re interested in tech stocks like Tesla, Amazon, or Google – many of which run into the thousands of dollars per stock. Instead, it’s just the spread that needs to be taking into account – which is the difference between the bid and ask price of your chosen asset. Did you know that eToro is one of the best share trading platforms Australia?

Read our in-depth guide for more details.

You can easily get started with this top-rated trading app by depositing funds with an Australian debit card, credit card, e-wallet, or bank transfer.

Still not convinced about the eToro investment app? Read our comprehensive eToro app review to find out more about what this app offers

eToro AUS Capital Limited AFSL 491139. eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. See PDS and TMD

2. Vantage Markets – International Micro Investing App in Australia

Vantage International Group Limited oversees Vantage F.X., which was founded in 2009. The broker offers various financial instruments such as currency pairs, indices, energy, soft commodities, precious metals, cryptocurrencies, and stocks.

They are all regulated by the Cayman Islands Monetary Authority (CIMA). Over 130,000 active customer accounts are currently hosted within this online trading ecosystem.

While the minimum deposit for trading is high at $200, the broker charges no deposit fees, allowing customers to maximize their account balances. Various deposit methods are accepted for credit cards, debit cards, bank transfers, PayPal, Skrill, Union Pay, Neteller, SticPay, and BitWallet. Leverage can go up to 500:1, which is another attractive value proposition beyond funding.

Clients who fund their accounts with over $1,000 can access Vantage F.X.’s PRO Trader tools. More than 35,000 assets are tradable worldwide through these tools. Additionally, users have access to a premium economic calendar. Segregated accounts are also used to ensure the safety of all client funds.

Your Money is at Risk.

3. Trade Nation–  Easy-to-use Micro Investing App

As a Forex and CFD trading broker, Trade Nation was established in 2014 under the name Core Spreads. The company’s name was changed to Trade Nation in 2019, offering commodities, metals, commodities, stocks, and bonds along with Forex, CFDs, indices, and indices.

In addition to offering services around the world, the broker operates local entities in the U.K., Australia, South Africa, and the Bahamas. Trade Nation provides comprehensive financial solutions to a wide range of clients worldwide.

Your Money is at Risk.

4. Pepperstone – World Popular Micro Investing App

Among Pepperstone’s products are Forex and CFDs. It was founded in 2010 and enjoys a good reputation in Australia.

A pure intermediary, it does not have a dealing desk and operates based on a  NDD/STP model. There are no conflicts of interest between brokers and their clients (as with market makers) since brokers do not act as counterparties for trades placed by traders.

Pepperstone is regulated by the FCA of the UK, CySEC of Cyprus, and ASIC of Australia, among others. The trading platform supports various financial instruments, such as Forex currency pairs, cryptocurrencies, stock indices, precious metals, and energy contracts.

In addition, Pepperstone has relatively low spreads and does not restrict trading strategies (scalping, hedging, E.A.s, etc.).

Depending on your account type, you can use Metatrader (Pepperstone offers Metatrader 4 and Metatrader 5) or Trading View (the most basic account). The platform is widely known and popular among traders all over the world.

Your Money is at Risk.

5. Plus500 – Best Micro Investing App for Low-Cost Trades

In this Plus500 app review, you’ll see that as one of the most popular CFD brokers, Plus500 has disadvantages, such as being unable to invest in stocks or ETFs, but only in derivatives.

Scalable Capital and Freedom24 are good alternatives if you want to invest in real assets instead of CFDs. Spanish residents cannot trade CFDs since they are unregulated financial instruments.

Six students founded this Israeli CFD broker over a decade ago. There are thousands of customers at Plus500 today, and the company is even listed on the London Stock Exchange.

CFD traders with experience might find Plus500 appealing. Since Plus500 requires leverage, you must be comfortable with it. Leverage should be handled with caution if you are dealing with it.

Your Money is at Risk.

6. Pearler – Passive Micro Investing App in Australia

Pearler Micro, launched in 2022, has swiftly emerged as a leading micro-investing app, providing Australians with a seamless way to invest through the Pearler Investors Fund.

Being among the top share trading platforms, with a minimum initial spend of just $5, users can access a diversified portfolio comprising eight ETFs, including options focused on Australian and US large-cap shares, as well as sustainable and ESG-focused ETFs.

Offering automation features such as weekly or monthly investments and round-up capabilities, Pearler Micro stands out for its user-friendly approach. Notably, fractional units are allocated for amounts that don’t cover the cost of a whole unit.

The platform’s commitment to passive investing is reflected in its no-brokerage-fee model, with a small monthly fee applicable for account balances of $100 or more.

This cost-effective tool, devoid of gimmicks, emphasizes educating users on mastering the nuances of passive investing, making Pearler Micro an ideal choice for those seeking a straightforward and regulated micro-investment solution.

7. Raiz – User-Friendly Micro Investing App

This is a user-friendly micro-investing app that transforms your spare change into a diversified investment portfolio. With nine portfolios catering to different risk preferences, users can effortlessly set up recurring payments or make lump-sum installments.

What sets Raiz apart is its commitment to security and legitimacy. Raiz ensures compliance and accountability and this is because its an ASX-listed company with an Australian Financial Services License overseen by ASIC.

Perpetual Corporate Trust Limited, an independent custodian, manages funds held in Raiz accounts, offering an additional layer of security.

Raiz’s popularity, especially among millennials, is attributed to its seamless approach, which allows users to invest modest amounts without disrupting their lifestyle.

Whether you’re a novice or an experienced investor, Raiz provides a trustworthy platform to start your investment journey, emphasizing the importance of time in the market over timing the market.

For a quick glance through all that has been discussed, see the table below;

Micro Investing Apps Explained

The main concept of micro-investing apps is that they allow the average Australian to access the financial markets in a low-cost and burden-free way.

In other words, the barriers often found at traditional brokerage platforms – such as account minimums and high fees – are removed. Instead, the best micro-investing apps in Australia allows you to invest in the financial markets with really small stakes.

For example, our top-rated provider eToro supports fractional shares, meaning that you don’t need to buy a full stock. Instead, as long as you meet a small minimum purchase of $50 – you can invest as little as you like.

In some cases, micro-investing apps in Australia allow you to round up your debit/credit card transactions. For example, you might spend $9.70 on a book and the app will round up the transaction to $10. The balance of $0.30 will then be added to your investment portfolio.

How to Choose the Best Micro Investing App in Australia for You

There are many micro-investing apps available to Australians in 2024. As we briefly noted earlier, you should never open an account with a provider just because they support micro-investments. Instead, there are many other metrics that you need to cross off before taking the plunge.

This includes:

Regulation

All of the best micro-investing apps Australia discussed on this page are authorized and regulated by ASIC. This means that you’ll be protected by several safeguards – such as client funds being held in segregated, tier-one bank accounts.

ASIC-regulated micro-investing apps must have strong financial stability, clearly display the risks associated with investing, and have their books audited on a regular basis.

Crucially, if you come across a micro-investing app that isn’t regulated by ASIC – avoid it.

Assets

One of the main drawbacks with micro-investing apps is that in the vast majority of cases – you won’t be able to pick and choose your own investments. Instead, platforms like Riaz, FirstStep, and Spaceship Voyager ask you to select a pre-packaged portfolio that is based on your financial goals and attitude to risk.

While this might suit those of you who wish to invest passively, such a strategy can be restrictive. For example, Riaz portfolios can contain as little as 4 ETFs, while Spaceship Voyager portfolios often contain many of the same stocks.

This is why we much prefer eToro, which offers the best of both worlds. That is to say, you can elect to invest passively via a CopyPortfolio or by utilizing one of the best Copy Trading apps.

Also, if stocks are more your thing, being one of the best free stock apps out there, eToro allows you to invest from just $50 upwards.

The latter allows you to mirror a successful eToro trader like-for-like. Most importantly, eToro also allows you to pick and choose your own individual investments. This includes over 2,400 stocks from 17 exchanges, and although this app might not be among the best ETF apps, it has more than 250 ETFs, and 16 digital currencies to offer investors.

Fees

Even the best micro investing apps Australia charge fees. After all, they are in the business of making a profit. In some cases, micro investing apps charge a flat monthly fee.

For example, Raiz charges $2.50. But, the app also multiplies an annual fee of 0.275% against the amount you have invested.. Spaceship Voyager is very competitive in this respect, as you will only pay a fee when you invest more than $5,500.

Even then, the fee starts at just 0.05% per year.

Other fees that you need to factor in include:

• Deposit/Withdraw Fees
• ETF Expense Ratio
• Spreads
• Early Redemption Fee

Ultimately, we found that the best micro investing apps Australia are very transparent about the fees they charge.

Tools and Features

When reviewing the best micro investing apps Australia, we came across a number of notable features that you might find of interest.

This includes:

Debit Card Round-Up

Some micro investing apps allow you to round up your debit card transactions. As we covered earlier, this is a great way to invest your spare change into the financial markets. Although the specific amounts will be minute, this can quickly add up if you keep the round-up feature activate for several years.

Portfolio Rebalancing

The best micro investing apps Australia will take full control over your portfolio. This means that you can sit back and invest in a completely passive nature – not least because the provider will rebalance the assets in your portfolio on a regular basis.

Automated Investments

We also like micro investing apps in Australia that allow you to set up an automatic investment plan. For example, you might decide to invest $10 every Friday or $100 at the end of each month. Either way, app provider will automatically debit your account on your chosen date – and when invest the money into your chosen portfolio.

Savings Goals

A lot of micro invest apps will also allow you to set up specific savings goals. For example, you might be saving money towards a new car. By entering the amount you wish to save and the date you need to reach your target – the micro investing app will give you regular updates on your progress.

Device Compatibility

Micro investing apps are still relatively new in the Australian market. As such, you might find that a new provider will initially release their app on just one operating system.

In turn, you need to ensure that the app is compatible with your device. The good news is that all of the best micro investing apps discussed on this page are available on both iOS and Android phones.

Payments

In order to use a micro investing app, you will first need to make a deposit. Most of the apps that we came across support bank account transfer only. Some – such as those listed on this page, also accept debit card payments. In the case of our top-rated micro investing platform – eToro, you can also deposit and withdraw funds with an e-wallet like Paypal.

Customer Support

Baring in mind that micro investing apps are typically aimed at Australians with little to or no investment experience, you’d expect the provider to offer top-notch customer support.

Unfortunately, we came across a number of apps that allow offer support via email. This means that you might need to wait a couple of days before you receive a response to your query.

On the other hand, most of the micro investing apps that we have reviewed today offer an in-build Live Chat facility. This is great, as you speak with an advisor at any time.

The table below gives an overview of all factors considered;

The Verdict

No longer do you need to invest large amounts to gain access to the global stock markets. Instead, when using the best micro-investing apps in Australia, you can often get started with just a couple of dollars. As we have discussed on this page, the best providers give you access to a broad range of markets at very competitive fees.

Are you looking to get started with the best micro-investing app in Australia right now? eToro is well worth considering. This ASIC-regulated app supports thousands of markets, allowing you to pick and choose the stocks or ETFs you wish to invest in. Additionally, it provides insights into the best crypto to buy.

eToro – Overall Best Micro Investing App

eToro AUS Capital Limited AFSL 491139. eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. See PDS and TMD

References

• https://www.finra.org/investors/insights/micro-investing
• https://corporatefinanceinstitute.com/resources/wealth-management/micro-investing-platform/
• https://www.cnbc.com/2018/04/25/micro-investing-lets-you-build-wealth-a-few-dollars-at-a-time.html
• https://www.cnbc.com/2012/05/15/how-to-get-it-right-with-charts.html
• https://www.bloomberg.com/professional/blog/technical-indicators-point-to-growth-stocks-beating-value/

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