CommSec Pocket Review: Australia's Best Micro-Investing App (2021)

Summary: CommSec Pocket is Australia's best micro-investment platform that offers a simpler and cheaper alternative to CommSec. Their platform allows investors to buy 7 different ETFs with low fees starting at $2 per trade.

By
James Glennon
on
September 17, 2021
CommSec Pocket

What is CommSec Pocket?

The CommSec Pocket app is the Commonwealth Banks micro-investment platform that is designed to be a cheaper and easier alternative than the Commsec platform.

Launched in 2017, the CommSec Pocket app enables investors in Australia to start investing in seven different exchange traded funds, otherwise known as ETFs, with as little as $50. ETFs are essentially an index of top stocks, aggregated into one stock you can invest in. I will breakdown the seven different ETFs you can invest in via CommSec Pocket below.

The CommSec Pocket App is built for users who do not have a large amount of funds to invest with and are ultimately new to investing. The CommSec Pocket app is significantly cheaper and easier to user than the traditional Commsec App.

CommSec Pocket Fees

The CommSec Pocket fees to invest in an ETF on their platform are $2 per trade under $1,000. If you are investing over $1,000 on it is a fee of 0.2% per trade. Their fee structure is by far the most competitive when compared to other micro-investing apps in Australia.

You can compare SelfWealth vs CommSec if you are looking for a lower fee alternative.

CommSec vs CommSec Pocket

The table below provides a quick overview of CommSec vs CommSec Pocket.

CommSec CommSec Pocket App
Brokerage Fees $29.95 per trade $2 per trade under $1,000
or
0.2% for trades over $1,000
Minimum Investment $500 minimum per trade $50 per trade
Investable Assets Over 500 different stocks and ETFs 7 ETFs
Beginner Friendly Image Image
Summary Good for high-net worth investors Good for new investors

CommSec Pocket ETFs

The CommSec Pocket app has hand picked seven of the best ETFs that cover many sectors including technology, banking, finance, sustainability leaders and much more. This enables investors to easily select high quality ETFs to start investing as little as $50 to start building their portfolio over time.

The list below provides a high-level overview of each CommSec Pocket ETF, what they cover and what their average yield has been per annum.

1. Aussie Top 200: (IOZ)

The Aussie Top 200 (IOZ) ETF is an exchange traded fund that contains the 200 largest companies that are publically listed on the Australian Securities Exchanges (ASX).

This ETF has yielded an average of 7.64% per annum on investments.

2. Aussie Dividends (SYI)

The Aussie Dividends ETF contains 30 different companies that have historically paid above-average dividends to their investors. This is a suitable ETF for Aussie investors who prefer to take the dividend approach to investing.

This ETF returns an average of 6.73% per annum on investments.

3. Global 100 (100)

The Global 100 ETF comprises of the top 100 companies around the world. These include Australia, United States, China, United Kingdom and more.

It has returned an average annual return of 3.26% per annum - however its performance in 2020 was 7.74% return for investors.

4. Emerging Markets (IEM)

The Emerging Markets (IEM) ETF gives investors exposure to diverse companies around the world and is comprised of 800 different business. The focus of this ETF is on emerging market economies which include Taiwan, Korea, India, Vietnam, Thailand China and many more. It is a great way to diversify your portfolio on the CommSec Pocket app.

This ETF has returned an average annual return of 9.49% per annum.

5. Health Wise (IXJ)

The Health Wise ETF is an ETF that is focused on giving investors exposure to 100 different companies that focus on health, medicine and longevity studies.

It has returned an average return of 5.57% per annum.

6. Sustainability Leaders (ETHI)

The Sustainability Leaders ETF provides investment exposure to the top 200 ethical and sustainable companies via the CommSec Pocket app.

This ETF has returned an average of 22.20% per annum.

7. Tech Savvy (NDQ)

This ETF comprises of the top 100 technology companies in regions including the US, UK, China and Australia. By investing in this ETF on CommSec Pocket, you can get exposure to large tech companies like Apple, Facebook, Google, Tesla, Microsoft and more.

This ETF has returned an average annual return of 21.75% per annum and an astonishing 34.78% in 2020.

Best CommSec Pocket ETF

While past performance is never indicative of future results, the clear leaders out of CommSec Pockets ETFs have been Sustainability Leaders (ETHI) and Tech Savvy (NDQ). This comes at no real surprise, given that the US Government has given mandates for venture capital firms to invest in sustainable industries that has resulted in major tailwinds for ETHI.

The Final Verdict

The CommSec Pocket App is a great way for new investors to get started in financial markets, and to start dollar cost averaging some of the best quality stocks for a low dollar amount. Using the CommSec Pocket App, users can automate their investing by setting $10 or $20 aside to automatically buy certain stocks.

If you are a larger investor looking to trade over $2,500 - we would recommend you use the standard CommSec Trading App.

visit Commsec pocket
James Glennon

I spent 5 years as a Commercial Lawyer in Australia before stumbling across the innovations behind Bitcoin and the cryptocurrency space. Ever since, I have been committed to learning more and educating the broader Australian community about Bitcoin, hard money, investing and decentralized finance.

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