Share Trading comparison
Pepperstone vs Westpac Online Investing
Pepperstone and Westpac Online Investing look like they compete, but they're in completely different games. Pepperstone offers share CFDs — derivative bets on share prices — not actual shares. Westpac Online Investing is a traditional CHESS-sponsored broker where you own the underlying ASX and international stocks in your own name. That single difference dictates everything else.
Choose
Pepperstone
if…
- ›You want to trade leveraged positions on share prices with CFDs and never take physical delivery of the stock
- ›You trade frequently on international markets (US, UK, Europe, Hong Kong) and want ultra-low US brokerage from $0.02 per trade
- ›You need a demo account to practise strategies before risking real money
- ›You want to deposit via PayPal, credit card, Apple Pay or Google Pay — not just bank transfer
- ›You trade outside standard market hours and need after-hours access
Choose
Westpac Online Investing
if…
- ›You want to own real ASX shares under your own HIN with full CHESS sponsorship and direct entitlement to dividends, rights issues and voting
- ›You need a broker that supports SMSF accounts, minor accounts, managed funds, bonds and IPO access under one login
- ›You want a tax statement and CGT report at EOFY without exporting data to third-party tools
- ›You plan to hold shares long-term and want dividend reinvestment plans (DRP) to compound automatically
- ›You already bank with Westpac and want same-day settlement between your transaction account and brokerage
Where they differ
| Fact | Pepperstone | Westpac Online Investing |
|---|---|---|
| What you actually own | Share CFDs (derivatives) — no legal ownership of underlying shares | Real shares under your HIN via CHESS sponsorship |
| ASX brokerage (minimum) | $5.00 | $4.95 (with linked Westpac Cash Investment Account) |
| US brokerage (minimum) | $0.02 USD | $4.95 USD |
| FX spread on AUD/USD | 0.5% | 0.65% |
| Account types available | Individual, joint, company, trust only | Individual, joint, company, trust, SMSF, kids/minor |
Verdict
Pick Westpac if you want to own real shares under your HIN; pick Pepperstone only if you're happy trading CFDs.
All data points side-by-side
Every verified fact for both platforms. Differences are highlighted.
| Field | Pepperstone | Westpac Online Investing |
|---|---|---|
| account structure | ||
| CHESS sponsorship model | — | chess |
| Individual HIN | — | Yes |
| Individual account | Yes | Yes |
| Joint account | Yes | Yes |
| Company account | Yes | Yes |
| Trust account | Yes | Yes |
| SMSF account | No | Yes |
| Kids / minor account | No | Yes |
| asset coverage | ||
| ASX shares supported | No | Yes |
| ASX ETFs supported | No | Yes |
| US shares supported | No | Yes |
| US ETFs supported | No | Yes |
| Other markets supported | US, UK, DE, FR, HK, BE, CH, DK, NO, SE, FI, IE, PT, ES, AT, AU | United States, Canada, United Kingdom, Germany, France, Switzerland, Netherlands, Belgium, Italy, Spain, Sweden, Norway, Denmark, Finland, Austria, Portugal, Ireland, Hong Kong, Singapore |
| Fractional shares (ASX) | No | No |
| Fractional shares (US) | No | No |
| Options trading | No | Yes |
| CFDs supported | Yes | No |
| Managed funds | No | Yes |
| Bonds supported | No | Yes |
| IPO access | No | Yes |
| costs hidden | ||
| FX spread (AUD/USD) | 50% | 65% |
| FX spread (other currencies) | 50% | 65% |
| Holds USD account | Yes | Yes |
| FX currency switch trick | No | — |
| Market data fees | $0/month | $0/month |
| Conditional order fees | $0 | $0 |
| Phone trade surcharge | — | $50 |
| Corporate action fees | Not applicable — Pepperstone offers share CFDs only, not real shares. Clients have no entitlement to rights issues, SPPs, takeover offers or shareholder voting. Dividend adjustments are passed through as cash entries on share CFD positions (credited on longs, debited on shorts, with franking credits not passed through). | Corporate action processing (rights issues, takeovers, SPPs) is generally free for CHESS-sponsored clients — Westpac/AUSIEX passes elections to issuers/registries. Specific fees only apply in exceptional circumstances per the FSG. |
| costs visible | ||
| ASX brokerage minimum | — | $4.95 |
| ASX brokerage percentage | — | 11% |
| ASX brokerage threshold | — | $28,000 |
| ASX free trade conditions | — | No free brokerage offered. Lower brokerage tiers ($4.95 minimum) require settlement via linked Westpac Cash Investment Account; settling via other-bank accounts incurs $29.95 / 0.29% minimum. |
| US brokerage minimum | — | US$4.95 |
| US brokerage percentage | — | 11% |
| Monthly platform fee | $0/month | $0/month |
| Annual platform fee | $0/year | $0/year |
| Inactivity fee | $0 | $0 |
| Withdrawal fee (AUD) | $0 | $0 |
| Off-market transfer fee | — | $50 |
| identity and trust | ||
| Legal entity name | Pepperstone Group Limited | Australian Investment Exchange Limited (AUSIEX); Westpac Securities Limited issues the branded service |
| AFSL number | 414,530 | 241,400 |
| Year founded | 2,010 | 2,010 |
| Parent / ownership | Privately held. Majority owner FX Group Holdings (Fiona Lock, CEO Tamas Szabo and Andrew Defina) acquired the 60% stake previously held by CPE Capital (formerly CHAMP Private Equity) in 2018; founders Owen Kerr and Joe Davenport retain the remaining 40%. | Brand: Westpac Banking Corporation (ASX: WBC); operator AUSIEX is wholly owned by Nomura Research Institute, Ltd. (TSE: 4307) |
| Country of incorporation | AU | AU |
| Public company status | private | public |
| money movement | ||
| Minimum initial deposit | $0 | $500 |
| Minimum subsequent purchase | $0 | $0 |
| Deposit methods | PayID, BPAY, bank transfer, debit card, credit card, PayPal, Apple Pay, Google Pay, Neteller, Skrill | Westpac Cash Investment Account (linked), External bank Direct Credit, BPAY, Internal transfer between Westpac accounts |
| Settlement period | N/A (CFDs are not settled — positions are open derivative contracts marked-to-market continuously, with overnight swap charges in lieu of settlement) | T+2 (ASX), T+1 (US) |
| Withdrawal time | Up to 2 business days for cards, PayID, BPAY and domestic bank transfer; up to 1 business day for PayPal/Neteller/Skrill. | Same-day to 1 business day for Westpac-to-Westpac transfers; 1-2 business days to external bank accounts |
| platform ux | ||
| iOS app | Yes | Yes |
| Android app | Yes | Yes |
| Desktop platform | Yes | No |
| Demo account | Yes | No |
| Free real-time market data | Yes | Yes |
| Free research reports | Yes | Yes |
| 2FA support | authenticator | SMS + authenticator app |
| Customer support channels | phone, email, live chat | phone, email, live chat, in-app |
| Support hours (AU time) | 24/5 (Monday morning AEST to Saturday morning AEST), with 18 hours coverage on weekends; Melbourne-based Australian support team available during AEST business hours. | Phone: 8am-7pm Sydney time Mon-Fri (domestic); 24 hours on US trading days for international; Live chat: 9:30am-5pm Sydney time Mon-Fri |
| Education content | video + courses | structured courses |
| tax and reporting | ||
| Australian tax statement | No | Yes |
| Distribution component breakdown | No | No |
| CGT calculator / report | No | Yes |
| Sharesight / Navexa integration | No | Yes |
| trading mechanics | ||
| Market orders | Yes | Yes |
| Limit orders | Yes | Yes |
| Stop loss orders | Yes | Yes |
| Conditional orders | Yes | Yes |
| Auto-invest / DCA | No | No |
| Auto-invest sophistication | none | none |
| DRP (dividend reinvestment) | No | Yes |
| After-hours / overnight trading | Yes | No |