Can I trade ASX share CFDs?
Verdict
- Yes. Pepperstone, our pick, offers CFDs on 200 ASX-listed shares to Australian residents through Pepperstone Group Limited (ASIC, AFSL 414530), at 0.07% commission per side with no minimum.
- Retail leverage is 1:5, so a A$5,000 position needs A$1,000 of margin, and you can go short as easily as long.
- You don't own the shares: there's no CHESS holding, no vote and no franking credits; dividends arrive as cash adjustments.
- For exposure to the whole market, the AUS200 index CFD has no commission and a published average spread of 1.5 points.
ASX share CFDs let you trade Australian companies' price moves with margin, in either direction, without buying the shares. That makes them a trading tool rather than a way to build a portfolio. Here's how they work at Pepperstone and what you give up.
ASX share CFDs at Pepperstone
Pepperstone lists 200 ASX shares as CFDs, and you can hold the account in AUD so there's no currency conversion on local trades. Fund instantly from $10 by PayID, card or Apple Pay, or by BPAY within a business day. Trade on MT5, cTrader or Pepperstone's own platform with either account, or add MT4 and TradingView on Razor. Commission is 0.07% of the trade value each way.
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Share CFD or the share itself?
| ASX share CFD | ASX share via a stockbroker | |
|---|---|---|
| What you hold | A contract with Pepperstone | The shares, registered in your name |
| Leverage | Up to 1:5 for retail clients | None, unless you take a margin loan |
| Short selling | Yes, sell to open | Not usually available to retail investors |
| Trading cost | 0.07% per side, no minimum | The stockbroker's brokerage |
| Holding cost | Overnight financing each night | None |
| Dividends | Cash adjustment | Dividend plus any franking credits |
| Voting rights | No | Yes |
A worked ASX trade
You buy A$5,000 worth of a bank's share CFD. Margin at 1:5 is A$1,000, and commission is A$3.50 to open. If the share rises 4%, the position is worth A$5,200 and closing costs about A$3.64, leaving roughly A$193 before overnight financing. If it falls 4%, you lose A$200 plus about A$7 in commission, a fifth of your margin. Each night the position stays open adds a financing charge, which is why share CFDs suit holds of days or weeks rather than years.
Single shares or the AUS200?
- Single-share CFDs: 0.07% per side, 1:5 leverage, and exposure to one company's news, results and dividends.
- AUS200 index CFD: no commission, a published average spread of 1.5 points, and index leverage of 1:20 for major indices or 1:10 for minor ones, against 1:5 on single shares.
- The index suits a view on the market as a whole; single shares suit a view on one company or sector.
Other providers with ASX share CFDs
Capital.com (AFSL 513393), our second choice, allows 5:1 on shares for Australian retail clients and offers guaranteed stops. CMC Markets holds a CFD licence (AFSL 238054) and a separate stockbroking licence (AFSL 246381). Our data doesn't include either firm's ASX share count or commission, so compare those on their fee pages.
Sources
Commission, ranges, leverage and index spreads as published.
Which ASX shares can I trade?
Pepperstone says it offers 200 ASX shares. Search the platform for the company you want before funding.
Can I trade ASX share CFDs outside ASX hours?
Share CFDs follow their underlying market, so expect to trade them during ASX hours. Check each symbol's trading hours in the platform.
Is there a minimum commission on ASX share CFDs?
No. Pepperstone lists no minimum, so a A$1,000 trade pays 70 cents each way.
Share CFDs are complex and leveraged, and you can lose money rapidly; they are not the same as owning shares. Read Pepperstone's PDS and TMD and consider your objectives. This page gives general information, not investment advice.