EFT Trading in USD from Australia

aik on 03/11/2025 - 16:47

I work for an US company and received cash salary in AUD but RSUs in USD, and when they west - they are still in the USA (us.etrade.com). Then I sold some and put these USD on my USD account in Wise. No currency conversion so far.

Now, I am thinking of diversifying (and I am not "sophisticated investor" at all). Looked around, Stake and CMC seem to be popular here, opened accounts, and it turns out they are happy to trade in USA in USD but they do not accept USD funds so USD->AUD->USD conversion is going to take place. Meh.

Do all australian firms work like that and I am better off with some US company (like that etrade.com where tasks like confirming identity are just harder)? Creating accounts (say, I have not checked Vanguard or Betashares) just to see the options (and then closing those accounts) is annoying. Although I'd prefer the company to be in the same jurisdiction as myself. Any advice appreciated. Thanks!

Financial

Comments

Search through all the comments in this post.
  • Daniel Plainview on 03/11/2025 - 17:03

    Strikes me as you're overcomplicating things - your BIO says you're in Canberra, you're going to need the proceeds to be in AUD at some point with the investing so just do it upfront and get the best possible FX rate - then pick the best possible broker.

    Plus if you tried to trade ASX stuff via a US broker - which I am certain is possible - I can imagine it'd become a PITA with tax stuff.

    Keep it simple.

    PS. Jump on the current Webull Australia promo thats ends this month - 2% risk free cream on top of your underlying investments for very little effort:
    https://www.webull.com.au/activity

    • aik on 03/11/2025 - 17:25

      To get proceeds from trading in the USA in AUD, the money will go via USD->AUD->USD (to do rading) -> AUD = 3 conversions vs 1. How is 3 less complex than 1? :-)

      And if I decide to trade ASX - I'll (re)create account in an aussie firm and convert USD to AUD just once.

      It is just hard to believe that Wise made multi currency (look) easy and others just did not bother.

      • Daniel Plainview on 03/11/2025 - 17:54
        +1

        Mate…..your OP has a bunch of stuff that you've assumed we all understood or stuffed up on (RSU? West? I assume you mean VEST). So look its up to you but if you want to use any Aussie broker I know to buy ASX listed stuff you'll need to have that in AUD.

        Use the USD to buy foreign stuff and your AUD earnt here for ASX stuff in another account.

        • aik on 03/11/2025 - 18:16
          +1

          yeah, "vest", sorry.

          btw Webull emailed back "You can make a deposit with USD just note there is a $1 fee charged by our partner bank for receiving USD". Good.

          • Daniel Plainview on 03/11/2025 - 20:00
            +1

            @aik: All good - I would imagine they will still need to exchange it once and whether that rate is any good - well you will find out. But they're a solid broker and the promo is a winner. Best of luck.

    • Pelicannn on 04/11/2025 - 08:48

      Just reading this promo T+C, there's something I would love clarification of:

      If the net Total Assets decreases after the first claim date (30/04/2026) and
      before the second (31/10/2026), the participant will no longer be eligible to
      receive the remaining reward. However, if a client deposits or transfers to
      restore the Total Assets, then the Participant will be eligible to receive the
      reward.

      So does that mean if the stock market crashes between April and October next year, and my assets go from $500k down to say $350k, I would be ineligible for the second bonus?

      • Daniel Plainview on 04/11/2025 - 09:10
        -1

        Gee man - asking for clarification but can't even get an upvote in advance for the original info. :-/

        No, the T&C state it is not impacted by capital gains/losses. It's user made withdrawals only.

        • Pelicannn on 04/11/2025 - 09:48
          +1

          Thanks 🙏 great to know.

          • Daniel Plainview on 04/11/2025 - 10:02

            @Pelicannn: No worries, feel free to let me know if you need anything further.

            is a very good promo - legit no tricks with it (as they are a full CHESS sponsorship broker etc). Very thorough discussion of this promo and pertaining info in this thread - starts at around page 10 but from the end backwards will be best)
            https://forums.whirlpool.net.au/thread/3xv608r4?p=16

            Cheers.

  • Naigrabzo on 03/11/2025 - 17:34

    You bull, They bull and WEBULL! FTW.

  • JVHifi on 03/11/2025 - 17:41
    +2

    Consider Interactive Brokers. You can transfer in directly from Wise in USD. Setting up an account with IBKR can sometimes be a pain but they are one of the brokers that allow you to trade almost anything around the world at a low cost. Then can withdraw in AUD when needed - forex conversion is cheap too

    • aik on 03/11/2025 - 21:50

      I cannot get past "The information provided does not meet the requirements to trade Stocks", I have to pass on that, I guess :-/

  • ShoeJunkie on 03/11/2025 - 19:43
    +2

    Hello, I recommend Schwab. You can get an international Schwab account. Basically ONLY has a USD account, so you should be able to transfer in from Wise. If you want to convert AUD to USD, they also offer a bank transfer service albeit it isn't instantaneous. Free purchases for all American stocks but their margin rates are shockers! I believe eTrade is now owned by Schwab anyway.

    Alternatively, go with CMC for local stuff, just convert using Wise and transfer to their ANZ settlement account. Also free purchases under $1000. Those that don't do 'big' parcel one off investments, this is the best situation.

    IBKR is equally good. Their service is quite robust also. Their margin rates are REALLY competitive and so are the conversion rates. I am yet to plunge my neck in the woods with them but I hear positive things overall.

    • Daniel Plainview on 03/11/2025 - 20:05
      +1

      He's an inexperienced investor - he will not be going near a margin facility anytime soon!

      CMC's free daily trades for under $1k is good, but the average parcels for most is well above that - DCAing for ever can be a PITA. They sting folks back with a $11 or 0.1% on sales and subsequent buys, neither of which are vaguely market competititve.

      I suspect being a rookie investor the OP will go for ETFs - which are brokerage free for buys and sells with Webull - and no $$$ limits.

      • ShoeJunkie on 03/11/2025 - 20:54
        +1

        Yeah fair point. I personally buy the VAS/VGS index funds through CMC via DCA. Hence why I prefer CMC personally.

        Haven't used WeBull. Sounds like I need to test the waters out. Only recently started the IBKR Margin work.

        • Daniel Plainview on 04/11/2025 - 09:07
          +1

          Get on it before the month ends. If you're DCAing like that you are 99% a long term holder of those, in which case the promo is PERFECR for you as you change nothing other than your broker and stack 2% return on top for the hour or so's hassle in doing the transfer etc.

          The closest thing to risk free money on that scale you will find. Check the T&C's but in simple terms, don't pull funds out till NOV26 and remember to claim your cash bonuses when they appear.

          Fee free brokerage on stuff you're already acquiring and when/if you sell no fees either. Best of luck.

  • brad1-8tsi on 04/11/2025 - 07:24

    My wife worked for a USA based multinational and got many shares as bonus payments. She sells through Merrill Lynch. Gets paid in USD and they transfer to her Australian bank account in AUD.
    The forex rate is competitive and the admin fee is about USD10. USD10 relative to your share purchases may/may not be a big deal.

  • mskeggs on 04/11/2025 - 08:58
    +1

    Just use your existing E-Trade account.

  • fredblogs on 04/11/2025 - 20:48

    You have to pay tax on RSUs in AUD, so how do you plan to do that?

    • ShoeJunkie on 04/11/2025 - 22:11

      Well technically speaking, if he is a resident of Aus, then he will likely have to pay tax on it regardless. Even having an overseas broker doesn't mitigate that unfortunately.

      • fredblogs on 04/11/2025 - 23:11

        isn't that what I just said :)

        • ShoeJunkie on 05/11/2025 - 00:24

          Whoops I read tthat wrong.

          To answer the question, I think Navexa has facility to capture RSUs. Sharesight also does the same. Save yourself the cost of an accountant effectively.

Login or Join to leave a comment
Login Join