moomoo Australia Review: Zero-Commission Trading Worth the Switch?
Contents
If you have been paying $10 or more per trade on CommSec and wondering whether the free-trading revolution has finally reached Australia, moomoo is probably on your radar. The platform has been aggressively marketing zero-commission trading on US, Australian, and Hong Kong stocks -- and the offer sounds almost too generous to be real.
We spent roughly three months using moomoo as a primary brokerage to find out whether the platform delivers on its promises, where the hidden costs lurk, and who it genuinely suits. This is what we found.
How We Evaluated moomoo
Our review is based on hands-on testing from November through January, trading across US, ASX, and HK markets. We assessed moomoo against five criteria:
- Fees and hidden costs -- not just commissions, but FX spreads, withdrawal charges, and anything buried in the PDS.
- Platform quality -- charting tools, order types, watchlist management, and general usability on both mobile and desktop.
- Execution speed -- how quickly market and limit orders filled during both normal hours and high-volatility periods.
- Research and data -- the depth of Level 2 data, analyst coverage, screeners, and educational content.
- Customer support -- response times via in-app chat, email, and phone during both business hours and after-hours.
We also compared moomoo directly against CommSec, Stake, and Interactive Brokers to give some context on where it sits in the Australian market.
Key Features
Zero Commission on US, ASX, and HK Stocks
This is the headline feature, and it is genuine. moomoo charges $0 commission on trades across all three markets. For US stocks, moomoo even absorbs the tiny SEC regulatory fee that most other zero-commission brokers quietly pass through to you.
ASX zero-commission trading launched in late 2024, making moomoo one of very few brokers offering genuinely free trades on Australian shares. HK stocks follow the same $0 structure, which is notable if you invest in the Hong Kong market.
The catch -- and there is always a catch -- is the foreign exchange spread. More on that in the pricing section.
Free Level 2 Market Data
This is arguably moomoo's strongest differentiator. Level 2 (depth of market) data shows the full order book -- every bid and ask at every price level, not just the top of book. Most Australian brokers charge anywhere from $20 to $50 per month for this data, and some do not offer it at all.
moomoo includes Level 2 data for free across US and HK markets. For active traders who rely on order flow to time entries and exits, this alone can justify using the platform.
Advanced Charting
The charting package includes over 80 technical indicators, drawing tools, and multiple timeframes. It is closer to what you would expect from a dedicated charting platform like TradingView than a typical broker app. You can overlay indicators, set alerts, and switch between candlestick styles without much friction.
That said, the sheer density of options can be intimidating if you are used to a simpler interface.
Paper Trading
moomoo offers a paper trading mode with simulated funds, letting you practise strategies without risking real capital. The paper trading environment mirrors live market data, which makes it genuinely useful for testing -- not just a toy demo with delayed prices.
Fractional Shares (US Stocks)
You can buy fractional shares of US-listed stocks, meaning you do not need $500-plus to own a single share of companies like Tesla or Amazon. Minimum investment starts from around $1 USD. This is handy for building a diversified US portfolio on a smaller budget.
CHESS Sponsorship for ASX Shares
For Australian shares, moomoo provides CHESS sponsorship. This means your ASX holdings are registered in your name on the CHESS subregister, not held in an omnibus account under the broker's name. If moomoo were ever to go under, your shares would still be yours. This is a meaningful safeguard that custodian-model brokers like Stake do not offer for ASX trades.
Community and Social Features
The app includes a social feed where users share trade ideas, analysis, and market commentary. It functions a bit like a finance-focused social network. Some traders find this valuable for sentiment and idea generation; others find it distracting. Your mileage will vary.
Pricing and Fees
Zero-commission does not mean zero-cost. Here is the full fee picture.
| Fee Type | moomoo | CommSec | Stake | Interactive Brokers |
|---|---|---|---|---|
| AU stock commission | $0 | $10 - $29.95 | $3 | $0.08% (min $6) |
| US stock commission | $0 | $19.95 + FX | $0 | $0.0035/share (min $0.35) |
| HK stock commission | $0 | $29.95 + FX | N/A | 0.08% (min HK$18) |
| FX conversion spread | 0.3% | ~0.6% | 0.7% (US) | 0.002% |
| Inactivity fee | None | None | None | None |
| Platform/data fee | $0 | $0 | $0 | $0 (basic) |
| Withdrawal (domestic) | Free | Free | $2 | Free |
| Withdrawal (international) | $25 | N/A | N/A | Varies |
The FX spread is the real cost. moomoo's 0.3% currency conversion spread is where the company earns revenue on international trades. On a $10,000 US stock purchase, that is roughly $30 in hidden currency costs. It is cheaper than CommSec's spread but significantly more expensive than Interactive Brokers' near-spot rate.
For investors who primarily trade ASX stocks in AUD, the FX spread is irrelevant -- your total trading cost is genuinely zero.
What moomoo Gets Wrong
No broker is perfect, and moomoo has some real shortcomings worth considering before you switch.
FX Spread Adds Up on Large Trades
The 0.3% conversion spread is competitive for casual US stock buyers, but it compounds on larger positions. An investor moving $50,000 into US equities pays around $150 just on currency conversion. Frequent traders doing multiple round trips will feel this. Interactive Brokers offers a fraction of this cost, though their platform is far less approachable.
No ASX Options Trading
If you trade options on Australian stocks, moomoo cannot help you. The platform supports US-listed options only. ASX options traders will need to stick with a traditional broker like CommSec or use a specialist platform.
Relatively New in Australia
moomoo launched in Australia in 2022, holding AFSL licence number 529514 issued by ASIC. While Futu Holdings (moomoo's parent company, listed on Nasdaq as FUTU) manages over US$80 billion in client assets globally, the Australian operation is still building its track record. Some investors prefer brokers with decades of local history.
Customer Support Can Be Slow
During our testing, in-app chat responses ranged from near-instant during quiet periods to over 40 minutes during US market open. Phone support was generally faster, but the experience was inconsistent. If you are the kind of trader who needs immediate broker assistance during volatile moments, this is worth noting.
The App Can Be Overwhelming
moomoo packs an enormous amount of functionality into its mobile app -- Level 2 data, advanced charting, news feeds, social features, screeners, options chains, and more. For experienced traders, this is a strength. For someone coming from a clean interface like Raiz or Spaceship, the learning curve is steep. The desktop app is somewhat easier to navigate, but the mobile experience takes getting used to.
Parent Company Headquartered in China
Futu Holdings is incorporated in the Cayman Islands and operationally headquartered in Shenzhen, China. The Australian entity operates under its own AFSL and holds client funds in segregated Australian trust accounts, which provides regulatory protection. Still, some investors are uncomfortable with a Chinese parent company, particularly given geopolitical tensions. This is a personal judgement call rather than a concrete risk, but it is worth being aware of.
Who Should Use moomoo?
moomoo is not for everyone, and that is fine. Here is who we think benefits most.
Good fit:
- Active traders who want free Level 2 data and advanced charting without paying platform fees. The data alone saves $20 to $50 per month compared to paying for equivalent feeds elsewhere.
- Beginners who want to learn through paper trading before committing real money. The simulated environment with live data is genuinely helpful.
- Australian investors buying US stocks who want zero commissions and are comfortable with the 0.3% FX spread. For buy-and-hold investors making infrequent large purchases, the FX cost is manageable.
- Cost-conscious ASX investors who are tired of paying $10-plus per trade on CommSec and want CHESS-sponsored holdings at zero cost.
Not a good fit:
- People who want simplicity. If you find stock trading apps overwhelming, consider Raiz, Spaceship, or a simple CommSec Pocket account instead.
- High-volume international traders moving large sums across currencies frequently. Interactive Brokers' near-spot FX rates will save you considerably more.
- ASX options traders. moomoo simply does not support this.
How to Open a moomoo Account
The sign-up process is straightforward and takes around 10 minutes.
- Download the app from the App Store or Google Play, or visit moomoo.com.au on desktop.
- Create your account with an email address and mobile number.
- Verify your identity. You will need an Australian driver's licence or passport. The app uses a photo-matching process -- take a photo of your ID and a selfie.
- Provide your tax details. Australian TFN and any foreign tax residency information.
- Fund your account. PayID transfers are near-instant during business hours. Standard bank transfers take one to two business days. There is no minimum deposit requirement.
Approval is typically same-day, often within a few hours. We had our account verified and funded within about four hours of starting the application.
Regulatory Standing
moomoo Australia is operated by Futu Securities (Australia) Pty Ltd, which holds Australian Financial Services Licence (AFSL) number 529514, regulated by ASIC. Client funds are held in segregated trust accounts with an Australian ADI (authorised deposit-taking institution), separate from the company's own operating funds.
ASX shares are held under CHESS sponsorship, meaning they are registered in your name on the ASX subregister. US shares are held through Futu's clearing arrangements with established US counterparties.
While moomoo is not covered by a government-backed investor compensation scheme (Australia does not have one equivalent to the US SIPC), the segregated trust account structure and CHESS sponsorship provide meaningful layers of protection.
Frequently Asked Questions
Is moomoo safe to use in Australia?
moomoo operates under AFSL 529514, regulated by ASIC, and holds client funds in segregated Australian trust accounts. ASX shares are CHESS-sponsored in your name. The parent company Futu Holdings is publicly listed on Nasdaq (FUTU) and reports audited financials. While no investment platform is entirely without risk, moomoo's regulatory structure meets Australian standards. Trustpilot reviews for moomoo Australia sit around 3.8 out of 5 at the time of writing, with most complaints relating to support response times rather than fund security.
Does moomoo offer CHESS sponsorship?
Yes. All ASX-listed shares purchased through moomoo are CHESS-sponsored, meaning they are registered directly in your name on the CHESS subregister operated by the ASX. This provides an additional layer of protection compared to custodian-model brokers, because your shares are legally yours even if the broker ceases operations. You will receive a HIN (Holder Identification Number) when your account is set up.
How does moomoo make money if trading is free?
moomoo generates revenue primarily through foreign exchange spreads on international trades (currently around 0.3%), interest earned on uninvested client cash, margin lending interest, and securities lending. The zero-commission model follows the approach pioneered by Robinhood in the US but with a different revenue mix -- moomoo does not engage in payment for order flow (PFOF), which is not permitted in Australia. The FX spread is by far the most significant cost to traders and is the main way moomoo monetises its free-trading offer.
The Bottom Line
moomoo is a compelling option for Australian investors who want zero-commission trading with institutional-grade tools. The free Level 2 data is a genuine standout, the CHESS sponsorship provides real peace of mind for ASX holdings, and the breadth of markets covered -- US, AU, and HK -- is hard to match at this price point.
The trade-offs are real, though. The 0.3% FX spread nibbles at returns on international trades, the app's complexity may frustrate beginners, and the platform's Australian track record is still relatively short. If you primarily trade ASX stocks and want a feature-rich platform at zero cost, moomoo is hard to argue against. If you are moving serious capital across currencies regularly, compare the total cost against Interactive Brokers before committing.
For most Australian retail investors looking for a capable, low-cost broker, moomoo deserves serious consideration -- just go in with realistic expectations about where the real costs sit.