What Is Hatch and How Does It Work?
Hatch is an investment app that gives Australians direct ownership of US stocks through a DriveWealth LLC brokerage account (the same underlying US broker used by Stake). This means your US stocks are held in your name with a US SEC-regulated broker. Hatch supports investing in thousands of US-listed stocks and ETFs, including fractional shares — you can invest as little as $10 in any stock.
Hatch Fees: How the Costs Work
Hatch charges a 0.50% FX fee when converting AUD to USD for investment — slightly lower than Stake's 0.70% standard rate. There is no per-trade brokerage fee. Like Stake, the primary cost of using Hatch is the currency conversion spread. On $1,000 deposited, Hatch charges approximately $5 in FX fees.
Hatch vs Stake: The Direct Comparison
Hatch and Stake are directly competing for the same market: Australians wanting low-cost US stock access via a mobile app. Both use DriveWealth as the underlying US broker. The key differences historically have been in FX fee rates (Hatch slightly lower than Stake standard), app experience (Stake generally has a slight UX edge), and community/education features (Stake more developed).
Hatch Safety and Regulation
Hatch operates under ASIC regulation in Australia. Underlying US stock holdings are with DriveWealth LLC, regulated by the SEC and FINRA in the US. SIPC protection applies up to US$500,000 in the event of broker insolvency (not market losses). Hatch is a privately held New Zealand-headquartered company.
Hatch 2025 Verdict
Hatch is a legitimate, functional platform for Australians wanting US stock market access. The FX fee model is transparent and competitive, fractional investing makes it accessible at any investment amount. For investors who are already on Stake, there's no compelling reason to switch. For those comparing fresh, either platform is a reasonable choice.
Rating: 3.5/5 — Solid US stocks platform; competitive but not clearly superior to Stake for most users.