Looking for the best ways to invest in Australia in 2026? It can feel a bit overwhelming with all the options out there, right? Whether you’re just starting out or you’ve been investing for a while, finding the right platform or fund is key. This article breaks down some of the top contenders to help you make smarter choices for your money. We’ll cover a mix of ETFs and trading platforms that are making waves.
Key Takeaways
- Several ETFs focus on high dividend yields, like Vanguard’s Australian Shares High Yield ETF and iShares S&P/ASX Dividend Opportunities ESG Screened ETF, which are good for income.
- Trading platforms like Interactive Brokers Australia, CMC Invest, and CommSec offer different features and costs, so it’s worth comparing them for your needs.
- eToro is noted for its social investing features and copy trading, plus it allows trading of both local and international stocks.
- Argo Investments and ASX Ltd are mentioned as solid, long-term investment options, with ASX Ltd being a unique business in the stock exchange sector.
- Choosing the right platform depends on your personal investing style, whether you want low costs, access to global markets, or user-friendly features.
1. Vanguard Australian Shares High Yield ETF
When you’re looking to get a bit more bang for your buck from your investments, especially when it comes to dividends, the Vanguard Australian Shares High Yield ETF (VHY) is definitely worth a look. It’s designed to give you exposure to Australian companies that are expected to pay out higher-than-average dividends. Think of it as a way to potentially boost your regular income from your share portfolio.
VHY is a big player in the Australian ETF market, often holding the top spot for funds under management among dividend-focused ETFs. This size means it’s generally quite liquid, making it easier to buy and sell units without too much fuss. It tracks the FTSE Australia High Dividend Yield Index, which is a pretty specific benchmark focused on companies with strong dividend yields.
Here’s a quick rundown of what makes VHY stand out:
- Focus on Yield: The primary goal is to invest in companies that are forecast to have higher dividend yields. This means it’s looking for businesses that are good at returning profits to shareholders.
- Diversification: By holding a basket of shares, VHY offers diversification across various Australian companies and sectors, which can help spread your risk.
- Lower Costs: Vanguard is generally known for keeping fees down, and VHY is no exception. This means more of your investment returns stay in your pocket.
- Liquidity: As mentioned, it’s a large ETF, so you can usually get in and out of your positions without a big difference between buying and selling prices (low slippage).
| Metric | VHY Value | Average Peer Value |
|---|---|---|
| Management Fee | 0.25% | N/A |
| Slippage (Buy/Sell) | 0.03% | 0.13% |
| Daily Traded Value | $15.6m | N/A |
Data as at 31 December 2025
While chasing the highest dividend yield can be tempting, it’s important to remember that a company’s ability to pay dividends can change. VHY aims for a balance, focusing on companies with strong forecasted yields while also offering potential for capital growth. It’s a solid option for investors wanting a regular income stream from their Australian share investments.
2. Interactive Brokers Australia
If you’re an Aussie investor keen on looking beyond our shores for investment opportunities, Interactive Brokers (IBKR) is a solid contender. They’re really geared towards folks who trade a bit more actively and appreciate having access to advanced tools and a wide range of global markets. IBKR gives you access to over 33 countries, which is pretty handy for diversifying your portfolio beyond just Australian shares.
They’ve got a few different ways to access their platform. The Trader Workstation (TWS) is packed with features for experienced traders, while the Client Portal and Desktop platforms are a bit more straightforward for everyday use. If you prefer using your phone, there’s the Global Trader app and the Impact app, which focuses on ESG investing.
One thing to keep in mind is that IBKR can seem a bit complex at first, especially when it comes to moving money around or dealing with different currencies. It’s also heavily focused on the US dollar, though the Global Trader and Impact apps do make things a bit easier for less frequent investors.
Here’s a quick look at what they offer:
- Tradeable Assets: Stocks, options, futures, ETFs, CFDs, currencies, bonds, forex, indices, warrants.
- Minimum Deposit: $0. You can start with whatever you’re comfortable with.
- Fees: For Australian share trades, expect to pay around 0.08% of the trade value, with a minimum commission of AUD $6 (that includes GST). If you’re trading a lot, they do have tiered pricing.
While IBKR might have a steeper learning curve than some other platforms, the sheer breadth of market access and the sophisticated tools available make it a compelling choice for serious investors looking to build a truly global portfolio from Australia.
3. CMC Invest
CMC Invest has been a big name in the Australian online investing scene for ages. They really stand out because they give you access to a whole bunch of different Australian and international investments. Plus, if you’re making smaller trades, the costs are pretty low, and their trading platform is top-notch.
They offer $0 brokerage on global and ASX stocks, which is a pretty sweet deal for most investors.
Here’s a quick look at what they offer:
- Tradeable Assets: You can get into Australian shares, international shares, ETFs, warrants, mFunds, options, managed funds, LICs, bonds, and even IPOs.
- Minimum Deposit: Good news, there’s no minimum deposit required to open an account.
- Fees: For Australian share trades under $1,000, you won’t pay brokerage for one buy order per stock each day. After that, it’s the greater of $11 or 0.1% of the trade value. They also have $0 commission on US, UK, Canadian, and Japanese shares, but watch out for a 0.6% foreign exchange spread. Just be aware of an inactivity fee if you don’t trade for 12 months.
While the platform can sometimes feel a bit busy compared to others, it’s still really functional. They’ve got this cool chart pattern performance widget that can help you spot potential trades quickly across different assets. It’s a solid choice for anyone looking to get into the Australian market, especially if you appreciate a wide range of investment options and competitive pricing for smaller trades. Many users praise the platform for its features and how fast dividends are credited, often by 7 am [331c].
CMC Invest provides a solid platform for both new and experienced investors. The range of assets available means you can build a diverse portfolio all in one place. While there are fees to consider for larger trades or specific international markets, the $0 brokerage on many popular markets is a significant drawcard.
4. CommSec
CommSec, the share trading arm of Commonwealth Bank, is a pretty well-known name for Aussies looking to get into the stock market. It’s a solid choice if you want a platform that’s easy to use and backed by a big bank, which gives a certain peace of mind.
One of the things I liked was their investor education section, called Stock’d. It’s laid out nicely and offers practical advice, which can be a real confidence booster when you’re just starting out or even if you’ve been around the block a few times. They also have a mobile app, CommSec Pocket, which is designed for beginners. It limits your choices to a handful of ETFs, making it less overwhelming if you’re new to investing. However, if you’re looking to build a really diverse portfolio, especially with fixed-income options, you might find it a bit restrictive.
A big plus for CommSec is its CHESS sponsorship. This means when you buy shares, you actually own them directly, rather than them being held by a custodian. That’s a pretty important distinction for many investors here in Australia.
When it comes to fees, it’s worth looking closely. For standard online trades up to $1,000, it’s a flat $10. If your trades get bigger, say between $1,001 and $10,000, you’re looking at $19.95. For trades over $25,000, they charge 0.12% of the trade value. So, while they offer that secure, direct ownership, the costs can add up if you’re trading frequently or with larger amounts. They do offer international share trading in quite a few countries, and the way they handle foreign exchange costs can be a bit of a money-saver compared to some others.
If you’re a serious investor and looking for expert opinions, CommSec provides access to research from Goldman Sachs. This can be a handy resource when you’re trying to make informed decisions about where to put your money.
Here’s a quick look at their fee structure for standard trades:
| Trade Value | Commission Fee |
|---|---|
| Up to $1,000 | $10 |
| $1,001 – $10,000 | $19.95 |
| $10,001 – $25,000 | $29.95 |
| Above $25,000 | 0.12% |
For those with larger deposits and who bank with CommBank, you might want to check out CommSec One. It offers a dedicated service team and access to a more advanced trading program called IRESS ViewPoint. It’s good to know there are options for different levels of investors, and it’s always a good idea to check out what analysts are saying about specific ASX shares before you buy.
5. iShares S&P/ASX Dividend Opportunities ESG Screened ETF
Looking for an ETF that lines up with your values and still pays out decent dividends? The iShares S&P/ASX Dividend Opportunities ESG Screened ETF (IHD) might be worth a squiz. This fund aims to give you exposure to Australian companies that are expected to offer good dividend yields, but with a bit of a twist – it also screens them for environmental, social, and governance (ESG) factors. So, you’re not just chasing a payout; you’re also investing in companies that are trying to do things a bit better.
It’s designed to track the S&P/ASX Sustainability Screened Dividend Opportunities Index, which means it’s looking at around 50 ASX-listed stocks. The idea is to get a mix of companies that are both profitable and mindful of their impact. It’s a bit different from just picking the highest dividend payers without any checks.
Here’s a quick look at what you might find inside:
- Focus on Yield: The primary goal is to capture companies with strong dividend potential.
- ESG Screening: Companies are assessed on their ESG credentials, filtering out those that don’t meet certain sustainability standards.
- Diversification: By holding a basket of stocks, it offers a level of diversification across different sectors of the Australian market.
When you’re looking at dividend ETFs, it’s easy to get caught up in just the yield percentage. But considering how a company operates, its impact on the environment, and how it treats its stakeholders can be just as important for long-term stability. This ETF tries to blend those two ideas.
It’s a solid option if you want to build an income stream from your investments while also having some confidence in the companies you’re backing. You can find more details on its performance and holdings on the iShares website.
6. Russell High Dividend Australian Shares ETF
If you’re looking to build income from dividends in Australia, the Russell High Dividend Australian Shares ETF (ASX: RDV) is worth a look. RDV tracks the Russell Australia High Dividend Index, focusing on Australian companies with a good track record for paying out reliable and higher-than-average dividends.
Here are a few reasons people add RDV to their portfolios:
- Income Focus: RDV is set up to try to give investors a higher dividend yield compared to the wider Australian market.
- Diversified Holdings: As of the end of 2025, RDV has 51 different companies, reducing the risk of relying too much on one business or sector.
- Simple Access: Investing in RDV is as simple as buying and selling shares on the ASX, no need for complicated paperwork.
To get a sense of how RDV stacks up against similar high-yield ETFs, here’s a quick summary as at 31 December 2025:
| ETF | Number of Holdings | Management Fee | 1 year Total Return | 3 year (p.a.) | 5 year (p.a.) |
|---|---|---|---|---|---|
| RDV | 51 | 0.34% | 14.3% | 12.3% | 11.9% |
| VHY | 79 | 0.25% | 16.6% | 14.5% | 14.8% |
| SYI | 58 | 0.20% | 16.8% | 15.8% | 12.1% |
| IHD | 49 | 0.23% | 21.8% | 12.6% | 12.0% |
RDV isn’t the highest-yielding ETF on the market, but it’s consistent, simple to trade, and tends to suit those who prefer a steady stream of income over trying to pick individual dividend stocks.
If you want regular income and easy diversification among strong Australian businesses, RDV might make a lot of sense for your portfolio.
7. SPDR MSCI Australia Select High Dividend Yield Fund
The SPDR MSCI Australia Select High Dividend Yield Fund (ASX: SYI) is a popular choice among people wanting steady income from share dividends, with a solid track record. What sets SYI apart is its focus on Aussie companies offering both high yields and sustainable payout levels, filtering out businesses with sharp share declines or questionable financials.
Here’s a quick look at how SYI is stacking up as of the end of 2025:
| Metric | Value |
|---|---|
| Funds Under Management | $566 million |
| Number of Holdings | 58 |
| Annual Fee | 0.20% |
| 1-Year Total Return | 16.8% |
| 3-Year Avg Return | 12.3% p.a. |
| 5-Year Avg Return | 12.0% p.a. |
| Dividend Yield | 12.7% |
Main things to know about SYI:
- Pays out higher dividends than most broad market ETFs, with franking credits on top.
- Lower costs compared to most other high-dividend ETFs.
- Trades over $1 million worth per day, so you won’t struggle buying or selling.
For investors who are after income and not just share price growth, SYI has kept up solid yields in recent years, including through some bumpy market conditions. It can fit well into a plan focused on reliable cashflow, especially for those looking to reinvest or draw down in retirement.
SYI can suit anyone wanting exposure to established Australian companies that regularly send out dividend cheques, with the bonus of a bit of growth without much fuss.
8. Argo Investments
Argo Investments (ASX: ARG) is one of the oldest and most trusted listed investment companies in Australia. Since the 1940s, Argo has been known for steady management and a focus on shareholder returns. Many Aussie investors look at Argo as a reliable way to get exposure to a mix of large Australian companies without the fuss of picking individual stocks. Their approach is pretty straightforward: find solid businesses, keep costs low, and pay out regular dividends.
Here’s why Argo often finds itself on ‘forever hold’ lists:
- Operates with a conservative investment approach, minimising risky bets and sticking to proven businesses.
- Has a very long track record of paying out reliable, growing dividends—even in market downturns.
- Fees are some of the lowest you’ll find for managed funds or LICs of its size, which tends to boost net returns.
- Its portfolio covers a broad slice of Australia’s big names, giving natural diversification in one simple purchase.
| Key Details | Value |
|---|---|
| ASX Code | ARG |
| Management Fee | ~0.15% p.a. |
| Dividend Yield (avg) | 3.5% – 4.5% |
| Number of Holdings | ~90–100 |
| Founded | 1946 |
If you’re the set-and-forget type, Argo can be a solid building block for long-term wealth—especially if you want income through regular dividends without having to actively manage a share portfolio yourself.
9. ASX Ltd
When you’re thinking about investing in Australia, you can’t really ignore the ASX itself. ASX Ltd (ASX: ASX) is the company that runs the Australian Securities Exchange, which is pretty much the main place where shares are bought and sold down under. It’s like the gatekeeper for all those stock market transactions.
What’s interesting about ASX Ltd is that it’s an ‘asset-light’ business. This means it doesn’t need a huge amount of physical stuff to operate, which often leads to higher returns. They make money from listing companies, trading fees, and providing data. Plus, there are always new ways for them to grow, especially with technology and data services.
Think about it this way:
- Listing Fees: Companies pay to have their shares available on the exchange.
- Trading Services: Fees are generated from the actual buying and selling of shares.
- Data and Technology: Providing market data and developing new trading platforms.
It’s a business that benefits from the overall health and activity of the Australian share market. If more companies are listing and more people are trading, ASX Ltd generally does better. It’s a bit of a unique investment because you’re essentially investing in the infrastructure of the Australian stock market itself. Some analysts see it as a solid long-term hold, especially given its dominant position. You can find more about specific ASX shares to consider, like Breville Group Ltd.
Investing in ASX Ltd means you’re backing the engine of the Australian stock market. It’s a company that profits from the activity and growth of other businesses listed on its exchange, making it a central player in the local investment landscape.
10. eToro
eToro is a platform that’s gained a lot of attention, especially for its social trading features. If you’re in Australia and keen to trade both local and international shares, it’s definitely worth a look. What makes eToro stand out is its ‘copy trading’ function. Basically, you can watch what other investors are doing and even copy their trades automatically. This can be a neat way to find new investment ideas or spread your risk around your portfolio without having to do all the research yourself.
They’re regulated by ASIC here in Australia, which is a good sign for security. You can get access to over 2,000 ASX-listed stocks, plus a whole lot more from overseas markets. They also offer trading in things like forex, crypto, indices, and commodities. A handy thing is that eToro lets you buy actual ASX shares for direct ownership, but you can also trade CFDs if that’s more your style. It gives you options, which is always good.
Here’s a quick rundown of what you might expect:
- Tradeable Assets: Stocks (ASX & International), ETFs, Crypto, Forex, Indices, Commodities, Metals.
- Minimum Deposit: Generally around $50 for Australian clients.
- Fees: For ASX shares, there’s a $2 commission per trade. International share fees can vary, often around $2 or sometimes $0 depending on the market.
eToro’s social investing aspect is its main drawcard. It’s designed to make investing more accessible by letting you learn from and follow experienced traders, potentially simplifying the process of building a diversified portfolio.
When you’re starting out, the platform might seem a bit busy with all the social features, but it’s generally user-friendly once you get the hang of it. It’s a solid choice if you’re interested in a more connected way to invest.
Wrapping It Up
So, that’s a look at some of the ways you might want to put your money to work in Australia come 2026. Whether you’re eyeing up dividend ETFs for a bit of extra cash flow, or thinking about using a share trading app to get into the market, there are definitely options out there. It’s not always straightforward, and picking the right app or investment can feel like a lot. But doing a bit of homework, understanding what you’re getting into, and choosing tools that fit your own situation is the main thing. Good luck out there!
Frequently Asked Questions
What’s the best way to get started with investing in Australian shares in 2026?
To start investing in Australian shares, you’ll need to pick a trading platform or app. Think of these like a digital shopfront where you can buy and sell shares. Some popular choices include CMC Invest, CommSec, and eToro. Each has its own features and costs, so it’s a good idea to compare them to find one that suits you.
Are ETFs a good option for investing in Australia?
Yes, Exchange Traded Funds (ETFs) can be a smart move. They’re like a basket of different shares, so you get a bit of everything. This helps spread your risk. ETFs like the Vanguard Australian Shares High Yield ETF or iShares S&P/ASX Dividend Opportunities ESG Screened ETF are designed to give you regular income from dividends.
What’s the difference between a bank-owned broker and an independent one?
Bank-owned brokers, like CommSec, are often part of a larger financial institution. Independent brokers, such as CMC Markets or Interactive Brokers, operate on their own. The best choice really depends on what you’re looking for – some people prefer the familiarity of a bank, while others might find better features or lower costs with an independent provider.
Can I invest in shares outside of Australia using these platforms?
Absolutely! Many Australian trading platforms let you buy shares in companies listed on overseas stock exchanges, like in the US. Interactive Brokers and eToro are particularly good for this, as they offer access to a wide range of international markets. This lets you spread your investments even further.
How much money do I need to start investing?
You don’t need a massive amount to begin. Many platforms have low minimum deposit requirements, sometimes as little as $50. You can also start by buying just one or a few shares, or by investing in an ETF. The key is to start small and build up your investments over time.
What does ‘dividend yield’ mean when looking at ETFs?
Dividend yield is basically the amount of money a company or ETF pays out in profits to its shareholders, shown as a percentage of the share price. A higher dividend yield means you’re likely to receive more income from your investment regularly. ETFs with ‘High Yield’ in their name are often focused on companies that pay out good dividends.
