How to Choose a Shares Platform in New Zealand

Investing in shares has never been more accessible for New Zealanders. With a growing number of online platforms available, you can buy and sell local and international shares from your phone or laptop. But with so many options, choosing the right platform can feel overwhelming.

This guide walks you through the key factors to consider, the types of platforms available, and a step-by-step process to help you find the best fit for your investing goals. Whether you're a beginner or an experienced trader, these steps will help you make an informed choice.

Why the right platform matters

Your choice of shares platform affects your costs, the investments you can access, and how easy it is to manage your portfolio. A platform that works well for one person might be expensive or limited for another. Taking time to compare options upfront can save you money and frustration later.

Step 1: Understand the types of shares platforms

Before comparing providers, it helps to know the main categories of platforms available in New Zealand.

  • Full-service brokers: These offer personalised advice and portfolio management. They charge higher fees but are useful if you want hands-on guidance. Examples include Jarden and Craigs Investment Partners.
  • Online brokers (DIY platforms): You manage your own trades. Fees are lower, and you typically have access to local and international markets. Examples include Sharesies, Hatch, and Stake.
  • Investment apps: Mobile-first platforms that simplify the process. Often aimed at beginners with small amounts to invest. Sharesies and Kernel are popular options.
  • Direct brokerage accounts: These let you trade directly on the NZX or ASX through a broker. Examples include ASB Securities and Jarden Direct.

Most beginners and intermediate investors choose online brokers or investment apps. They offer a balance of low cost and ease of use.

Step 2: Compare fees and costs

Fees are one of the most important factors when choosing a platform. Even small differences can add up over time, especially if you invest regularly.

Fee type What it covers Typical range in NZ
Brokerage fee Cost per trade (buy or sell) $0 to $15 per trade for NZ shares
FX fee Currency conversion for international shares 0.4% to 1% of the trade value
Account fee Monthly or annual fee to hold the account $0 to $5 per month (often waived for active traders)
Withdrawal fee Cost to transfer money out Often free, but check with your provider
Inactivity fee Charged if you don't trade for a period Rare, but some platforms charge $5–$10 per month

Tip: If you plan to invest small amounts regularly (e.g. $50 per week), look for a platform with low or zero brokerage fees. If you make large, infrequent trades, a flat fee per trade may be more cost-effective.

Step 3: Check what markets and investments are available

Different platforms offer access to different markets. Think about where you want to invest before choosing.

  • New Zealand shares (NZX): Most platforms offer this. Check if they support the full NZX or only a selection of companies.
  • Australian shares (ASX): Many NZ platforms also offer ASX trading. This is useful for accessing companies like Commonwealth Bank or CSL.
  • US shares (NYSE/NASDAQ): Platforms like Hatch, Stake, and Sharesies offer US share trading. You'll pay FX fees for currency conversion.
  • Other international markets: Some platforms offer access to UK, European, or Asian markets, but this is less common.
  • ETFs and managed funds: Many platforms also offer exchange-traded funds (ETFs) and managed funds alongside individual shares.

Tip: If you want to invest in US shares, compare FX fees carefully. A difference of 0.2% can add up to hundreds of dollars over time.

Step 4: Evaluate the platform's features and usability

A platform's features can make investing easier or more confusing. Consider these aspects:

  • Ease of use: Is the app or website intuitive? Can you find your way around without a manual?
  • Research tools: Does the platform provide company reports, charts, or analyst ratings? Some platforms offer basic information, while others have advanced tools.
  • Order types: Can you set limit orders (buy/sell at a specific price) or stop-loss orders? This is important for more active traders.
  • Recurring investments: Some platforms let you set up automatic deposits and purchases. This helps with dollar-cost averaging.
  • Customer support: Is help available by phone, email, or live chat? Check response times and hours of operation.
  • Security: Look for platforms that are NZX-registered or regulated by the Financial Markets Authority (FMA).

Tip: Download the app and try a demo or browse the platform's website before committing. Many platforms offer a free sign-up with no obligation.

Step 5: Consider your investing style and goals

Your personal investing approach should guide your platform choice. Ask yourself these questions:

  • How much do I plan to invest? If you're starting with $50 per month, choose a platform with no minimum deposit and low fees.
  • How often will I trade? Frequent traders need low per-trade fees. Long-term investors can tolerate slightly higher fees if the platform offers good research tools.
  • Do I want to invest in NZ or international shares? If you only want NZ shares, you may not need a platform with US market access.
  • Am I comfortable managing my own investments? If not, consider a full-service broker or a managed fund platform.
  • Do I want to buy fractions of shares? Some platforms (like Sharesies) allow you to buy partial shares, which is useful for expensive US stocks.

Step 6: Compare popular NZ platforms

Here's a quick comparison of some well-known options for New Zealand investors:

Platform Best for Key features Typical fees
Sharesies Beginners, small regular investments Fractional shares, low minimum, easy app $0–$3 per trade, 0.5% FX fee
Hatch US shares, long-term investors US market access, low FX fee, research tools $3 per trade, 0.4% FX fee
Stake Active US share traders Zero brokerage on US trades, real-time data $0 per trade (US), 0.5% FX fee
ASB Securities NZX and ASX traders Full NZX/ASX access, advanced tools $15 per NZ trade, $20 per ASX trade
Kernel ETF investors, passive investing Low-cost NZ and global ETFs, automated investing 0.25% management fee, no brokerage

Note: Fees and features change over time. Always check the provider's website for current information.

Step 7: Open an account and start small

Once you've chosen a platform, opening an account is usually straightforward. You'll need to provide identification (like a passport or driver's licence) and your IRD number.

Most platforms allow you to start with as little as $1. This is a great way to test the platform before committing larger amounts.

  1. Sign up online or through the app.
  2. Verify your identity.
  3. Link your bank account or credit card.
  4. Deposit funds (check if there's a minimum).
  5. Place your first trade — start with a small amount to learn the process.

Key tips for choosing a platform

  • Don't just look at the cheapest option. Consider the overall value, including features and ease of use.
  • Read the fine print. Check for hidden fees like inactivity charges or withdrawal costs.
  • Think long-term. A platform that works for you today should still suit you as your portfolio grows.
  • Check regulation. Ensure the platform is registered with the FMA or NZX. This provides some consumer protection.
  • Read reviews. Look for independent reviews from other NZ investors. For example, you can find detailed reviews on ValueHub.co.nz for many platforms.

Choosing the right shares platform is a personal decision. By following these steps, you can find a platform that suits your budget, your investing style, and your long-term goals. Take your time, compare options, and start with a small investment to build your confidence.