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Sharesies vs Hatch vs Stake - Which one is best for investing in the US markets, and right for you?

Read, learn, and compare Sharesies, Hatch and Stake with help from MoneyHub's financial experts. Let us help you pick the best investment platform for your investing needs
Updated 10 August 2023

Important: Sharesies and Stake Fee Change
  • On 21 December 2022, Sharesies announced a fee change that will affect most customers. In short, the average investor's brokerage fee jumps from around 0.50% to 1.90%. This excludes foreign exchange fees which are also set to increase.  
  • The response has been negative, as outlined in this Reddit forum and MoneyKing article. More complaints appear on the Sharesies Facebook page.
  • Please be aware that for most New Zealanders who invest around $500-$5,000, the new fees significantly increase, making the platform less attractive.
  • Stake announced it was ending its 'free trade fees' in March 2023 and charging US$3 per trade. This guide reflects both Sharesies' and Stake's fee increases.

Our Comparison:
If you want to invest in the US markets, Sharesies, Hatch and Stake are all options. What suits you will come down to how much you plan to invest, how often you plan to buy and sell, and other factors. Our guide walks you through the differences that matter. In this guide, we explain:
Know this first:
  • Sharesies was launched in 2017 and is privately owned. It started as a platform for investing in companies listed on the NZX, as well as managed funds. In August 2020 it added US shares and uses DriveWealth, the same US-based dealer-broker as Hatch and Stake. Transaction fees are 1.90% of the trade, capped at US$3 per trade. To fund your account from NZD to USD you'll pay an exchange fee of 0.50% on the amount. Sharesies is a web-only platform (no app) and has over 600,000 members (as at January 2023). Sharesies also offers Australian shares, but given Hatch and Stake do not, we've not made any comparisons in this guide.
  • Hatch ​was established in 2018 and was owned by Kiwi Wealth Ltd, (then) a sister company of Kiwibank and part of the Kiwi Group family (before being sold to Fisher Funds in 2022). In October 2021, it was purchased by FNZ, a high-profile New Zealand Fintech company that operates in 20+ countries. As a background, FNZ provides the back-end financial infrastructure for many investment platforms such as Vanguard, Barclays, Jarden, Lloyds Bank, AMP, ANZ, and BNZ.
  • Since launching, it has grown fast. It charges a simple US$3 per trade (for up to 300 shares, then $0.01 per share from there). The Wellington-based firm offers a web-only platform (no app) and has facilitated hundreds of thousands of trades since launching.
  • Stake originally took a different approach to Sharesies and Hatch, offering zero trade fees. However, it's now US$3 per trade, in line with what Hatch charges. Stake also charges regulatory fees (generated when selling shares), whereas Sharesies and Hatch include them in their trading fees. These are fractions of a cent so not significant - for example, a $50,000 share trade would have about $1 of SEC and TAF fees. Stake also has an app, meaning you can trade on your phone. Stake charges 1% FX Fees on both deposits and withdrawals, which is double Hatch and Sharesies' 0.50% fee. Stake is based in Sydney and launched in New Zealand in May 2020.
  • All dollar ($) values below are expressed in USD, which is Sharesies, Hatch and Stake's functional currency by way of trading and fees.
  • Know this about fees: US investing platforms are cost-effective when an investor buys-holds-sells-reinvests and retains all monies in USD (i.e. doesn't transfer balances in and out of NZD). If you select the right investments, your USD balance grows and limits the amount of NZD you need to translate into USD. The more NZD you transfer into USD, the more FX fees you pay.

Important:
Advertising Disclosure: We have a commercial relationship with Sharesies and Hatch (please see our Advertising Policy for more details about how we make money) and we may be paid if you open an account. Please read this guide in detail before making any decision as the platforms, in our view, have pros and cons depending on your investing goals.
Related Comparison: Sharesies vs Tiger Brokers (NZ)

What is Sharesies?

Sharesies is New Zealand's first low-fee online share investing platform. Their mission is to "create the most financially empowered generation" with a vision to "give someone with $5 the same money opportunities as someone with $5,000,000". To achieve this, it now offers anybody the opportunity to invest in the NZ, Australian and US sharemarket for as little as 1 cent, through the ability to buy fractions of shares. Its customers have formed Facebook groups, appeared on adverts, and in three years have invested around 1.3 billion dollars. While its origins were New Zealand focused, it has expanded and now offers over 5,000 investments across NZ, AU and US markets.

More details: Visit Sharesies

What is Hatch?

Hatch was the first New Zealand-based web platform to offer easy access to US-listed stocks and ETFs. The platform has grown in popularity, with a surge during the COVID-19 lockdown. Hatch offers 3,500+ investing opportunities, fully supported by its Wellington team. Its fees are simple to follow, and we outline these below. Hatch provides a full-featured and intuitive investing experience for beginners through to experienced investors, with a useful investor FAQ section explaining complex investing terms and making financial jargon easy to understand. 

More details: Visit Hatch

What is Stake?

Stake is a full suite brokerage with app and web. It serves anyone accessing the US market with full functionality (all order types, day trading) and has over 50,000 New Zealand customers. It offers 6,000+ shares, ETFs and OTC stocks. Per Stake's founding team, 77% of their investors have bought and sold shares before, so it appears to appeal to experienced investors. Launched in 2017 in Sydney, Stake was created by a small team, one of whom has worked as an equities trader in the US.

More details: Visit Stake

Sharesies vs Hatch vs Stake - Our Thoughts:

Despite fundamentally offering the same access to US shares, each platform offers a unique selling point and benefit to a specific investor. For this reason, we have distinguished the platforms in our Editor's Choice list. Specifically:
  • Hatch offers fixed USD 3 trades and a 0.50% foreign exchange fee. These two fees limit the amount of profits eaten up by the platform when you sell. We consider Hatch to offer the best value for anyone investing long-term in the US markets.
  • Sharesies, which has grown to offer Australian shares alongside its NZ and US market focus, offers the lowest foreign exchange fee (0.50%) but, for most trade values, the highest brokerage costs in dollar terms (1.90% with a US$5 cap). That does not mean to say it's not an attractive platform - Sharesies is the most popular investing platform in New Zealand for many reasons beyond fees. However, in the case of buying shares in the US, our view is that Hatch offers a better deal for the average investor.
  • Stake charges US$3 per trade and a 1.00% foreign exchange fee. This makes it more expensive that Hatch, and, in most cases, more expensive than Sharesies too because of the higher currency fee.
Read our comprehensive Hatch Review

Best For
  • Long-term investors
  • Large, place and hold investors
  • Those wanting to use a New Zealand-based platform
​​Read our comprehensive Stake Review

Best For
  • Investors with both long-term and short-term investment goals who require data and tools to support their decision-making process.
  • Investors and traders needing app-based functionality that includes comprehensive graphs and analysis to help build out diversified portfolios.
​​Read our comprehensive Sharesies Review

Best For
  • ​Small-scale investors in US shares
  • Existing Sharesies customers wanting exposure to a small amount of US shares ​

Sharesies vs Hatch vs Stake: The Similarities

  1. All platforms only allow funding from your NZD bank account: Sharesies and Hatch require a bank transfer, whereas Stake accepts both bank transfers and debit and credit cards (which charges a fee).
  2. All platforms use the same broker: US share markets investments are processed and held via DriveWealth, a US-regulated broker-dealer.
  3. All platforms offer protection: If Sharesies, Hatch or Stake decide to shut down, you’d be given significant notice to sell up and get your money out, or transfer your shares from DriveWealth to a different US broker. In the case of a DriveWealth insolvency, under US regulation, your cash and securities flow back to you in the event of a liquidation. DriveWealth also has protections in place in the US, such as Securities Investor Protection Corporation (SIPC). Each customer account is insured for up to $500,000 (with a maximum of $250,000 in cash). 
  4. All platforms offer support: Sharesies is limited to email and social media, Hatch offers a phone call-back service and Stake has 24/5 local Wellington phone number. All platforms have in-app support as standard.

Fees: Who is Cheaper - Sharesies vs Hatch vs Stake?

Our table below outlines Sharesies, Hatch and Stake's fee schedules side by side to help you compare with confidence.
Fee Sharesies Hatch Stake
Ongoing Membership Fee None None Optional $9/month for additional features such as day trading on unsettled funds, priority customer support, analyst ratings and price targets
Deposit FX fee 0.50% on the interbank rate, no minimum fee 0.50% on the interbank rate, no minimum 1.00% on the interbank rate, $2 minimum fee
Withdrawal FX fee 0.50% on the interbank rate, no minimum fee 0.50% on the interbank rate, no minimum 1.00% on the interbank rate, $2 minimum fee (with a minimum $10 withdrawal amount)
Brokerage fee 1.9% of the order value, with a cap of US$5 (anything greater than US$265 will reach the US$5 cap) $3 flat fee to buy and sell up to 300 shares (then it’s $0.01 a share) for all order types (limit, market, stop-loss) $3 per US trade up to $30,000, or 0.01% per US trade $30,000 or greater
Customer support Free and unlimited - online only and email Free and unlimited - phone call back, and online Free and unlimited - local phone number and email
Regulatory fees $0 - Sharesies absorbs these $0 - Hatch absorbs these SEC fee: $0.231 per US$10,000 of sale proceeds, TAF fee: $0.0001119 per share with a per-transaction cap of $5.95
W-8BEN filing fee Free $1.50 $5

Total Fees Per Trade - Sharesies vs Hatch vs Stake

Because of the Stake and Sharesies fee changes, Hatch was the cheapest per trade when you include FX fees, owing to the fact its fixed $3 trade fee offers economies of scale the higher the transaction value. When compared to Sharesies, Hatch is cheaper to use in any transaction over US$265, and given the US$3 trade fees, we assume investors will, more times than not, be transacting above this amount.

Our view: It's an easy comparison to make. The fee changes favour Hatch who hold a 'sweet spot' with half the FX fees of Stake and a US$3 trade fee (vs Sharesies which will charge US$5 on anything above US$265).
  • For example, a trade of $500 will cost $5.50 with Hatch ($3 trade fee, $2.50 FX fee), $7.50 with Sharesies ($5 trade fee, $2.50 FX fee) and $8 with Stake ($3 trade fee, $5 FX fee).
  • A trade of $5,000 will cost $25.50 with Hatch ($3 trade fee, $22.50 FX fee), $27.50 with Sharesies ($5 trade fee, $22.50 FX fee) and $53 with Stake ($3 trade fee, $50 FX fee).
The above calculations are based on the following fees:
1. Trade
  • Sharesies - 1.90% of the transaction value (with a cap of US$5)
  • Hatch - $3 per transaction
  • Stake - $3 per transaction, and small regulatory fees also apply, although these are cents or fractions of cents)
2. FX fees:
  • Sharesies - 0.50% of the transaction value
  • Hatch - 0.50% of the transaction value
  • Stake - 1.00% of the transaction value

Hatch vs Stake vs Sharesies: The Key Differences

To help you make sense of the finer details between the different platforms, we itemise the differences below:
  1. ​​Monthly charge: Hatch and Sharesies don't have any ongoing membership fees, whereas Stake has an optional US$9/month plan to access additional features which primarily appeal to day traders.
  2. Stock selection: Sharesies, Hatch and Stake run on similar infrastructure, and the number of available investment opportunities are fairly equal between platforms.
  3. Funding and FX rates: Stake is the most expensive option (1% of total) but it lets customers fund via Wise and other FX companies. Sharesies and Hatch offer 0.50%. Like Stake, Hatch also allows you to use third party FX services while Sharesies does not. It is normal for most US share investors to hold money in a US wallet, which all platforms offer. This means FX fees will be minimal ongoing - once you've transferred NZD to USD, you buy and sell investments in USD and don't need to pay the FX fees continuously.
  4. Investing opportunities:  Sharesies and Hatch offer access to an additional 3,000+ companies and exchange-traded funds (ETFs) across the New York Stock Exchange (NYSE), NASDAQ, and Chicago Board Options Exchange (CBOE). Stake offers access to 6,000+ US stocks and ETFs, as well as OTC stocks.
  5. Sign-up bonus: Sharesies periodically offers sign-up bonuses. Hatch offers a $20 top-up signup bonus if you make an initial deposit of $100 NZD of more using this link. Stake offers a free share when new investors sign up using this link and fund their account within 24 hours. The share will either be Nike, Dropbox or GoPro.
  6. Features: The platforms are fairly similar; all offer market orders and fractional shares free of charge. All platforms offer limit orders as part of their trade fee. Hatch offers free comprehensive year-end tax reporting and an FIF calculation service which is outlined here.
  7. Website vs App: Shareies and Hatch don't offer an app, but both browser platforms offer live trading functionality and the websites can be ‘appified’. Stake offers both a website and an app for Android and Apple - both apps are highly rated by their users.
  8. Functionality and market data: All platforms present live share price information when the US markets are open, as well as research tools and sorting functionality. Stake goes deeper, providing company news, candlestick charts, analyst ratings, financials and displays related shares. It also covers all the market movers. It also covers all the markets movers, which can be sorted by a number of factors. Top tip: As Sharesies, Hatch and Stake offer zero ongoing membership fees, a popular idea is to register and validate your ID with all three and see which one you prefer. Best of all, you don't need to fund your account to experience the functionality.
  9. Express Funding: Sharesies offers same-day funding. With Hatch, if customers deposit NZD anytime before around 2pm NZT, per our discussions with Hatch, it should be be in their Hatch account as USD available to invest use by 5pm NZT. This means that while it's not instant, in most cases it's available within the same day. This Hatch help centre article has more information. Stake offers credit and debit card funding at a surcharge which lets investors get into the market immediately. This is useful if there is there a big move to take advantage of.
  10. Connection to Sharesight: Sharesies, Hatch and Stake all integrate with Sharesight to make portfolio and tax reporting super simple and easy.
  11. Support: As noted above, Sharesies is limited to email and social media, Hatch offers a phone call-back service and Stake has 24/5 local Wellington phone number.
  12. Access to new listings: All platforms offer new listings.
  13. Day trading: Sharesies and Hatch are set up to be prohibitive to those wishing to day trade, whereas Stake's premium members (Stake Black) can trade on unsettled funds. Both Stake plans allow members to trade as much as they like. 
  14. Ownership: Sharesies is privately owned by local New Zealand investors. Hatch is owned by FNZ (backed by high-profile venture capital firms such as Generation Investment Management, CDPQ, Temasek, and also owned by FNZ employees). Stake is Australian-based and privately owned.

Know This: One point of contention among the platforms (and their customers) are portfolio transfer fees. Specifically:
  • Sharesies does not allow you to transfer US-listed portfolios.
  • Hatch states 'a fee to transfer shares out of Hatch depends on your new broker and fractional shares can’t be transferred' but have confirmed they will help out with the fees your existing broker charges for the move.
  • Stake does not charge a fee for such transfer via ACAT, or $15 if it is made using DTC. To know your options you would need to talk to your existing broker. A sufficient cash balance is required in your Stake account to start the transfer.
  • However, despite the transfers appearing to be 'easy', our research team is aware that not everything is straightforward in practice. Specifically:
  1. Sharesies: Because of the Sharesies custodian structure, shares cannot be transferred out of Sharesies account without the customer selling their position.
  2. Hatch: The custodian structure at Hatch lets you easily transfer in and out. The fee depends on the outbound/inbound broker because there are different transfer mechanisms that impact the fee. Hatch "helps out" with the fees on a case-by-case basis, so contacting Hatch's customer support team is a suggested first step. 
  3. Stake: Stake publicly states that transferring shares from Hatch to Stake is free. However, while this was once true, in practice, DriveWealth (the broker/dealer) now have fees for such internal transfers. Those fees are charged to the outbound platform (e.g. the platform you transfer your shares from), in this case, Hatch. Hatch has advised that they will support and facilitate this transfer, but any fees that the broker DriveWealth charges will be passed on to the customer.

Final thoughts

Still unsure which is right for you? Because all three are free to use, you can register with them all and see which one is right for you based on feel and user experience. However, our calculations confirm Hatch is cheaper for any investment above US$265. Given trade fees are incurred on every transaction, many New Zealanders will likely invest well above US$265. This makes Hatch a best-in-class performer.

​Our Thoughts on Sharesies:
  • Sharesies is the only platform to offer NZ, Australian and US shares and ETFs, as well as selected NZ-based managed funds.
  • Sharesies' 0.50% FX fee matches Hatch and is lower than Stake (1%), but unlike the other platforms, Sharesies doesn't let you fund your USD wallet using a third-party service. 
  • The trade fees are simple - 1.90% (capped at US$5) but it's only cost-effective if you trade below US$265, which would make your trade fees at least 1.90% which makes it harder to make profits on an investment.

​Our Thoughts on Hatch:
  • While you pay $3 per trade, the FX fee is half what Stake charges (0.50% vs 1.00% - and no $2 minimum fee) which is a significant benefit.
  • Hatch offers a simple way to keep fee percentages low by allowing auto-investments into all 2,700+ companies and ETFs. Passive investors can deposit small amounts when it suits, then set a timeframe and amount to invest at regular, automated intervals without paying fees.
  • Best for: Investors looking to deposit regularly and trade a few times a month.

Our Thoughts on Stake:
  • With free trading gone and FX fees at 1.00%, Stake is the most expensive option. It also passes on the SEC and TAF costs to traders, so these fees (as small as they are) are deducted from qualifying trades.

Do you have experience with Shareies, Hatch and/or Stake that you'd like to share? Email our research team today.
Read our comprehensive Hatch Review

Best For
  • Long-term investors
  • Large, place and hold investors
  • Those wanting to use a New Zealand-based platform
​​Read our comprehensive Stake Review

Best For
  • Investors with both long-term and short-term investment goals who require data and tools to support their decision-making process.
  • Investors and traders needing app-based functionality that includes comprehensive graphs and analysis to help build out diversified portfolios.
​​Read our comprehensive Sharesies Review

Best For
  • ​Small-scale investors in US shares
  • Existing Sharesies customers wanting exposure to a small amount of US shares ​

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