If you are doing any sort of Australian Dollar (AUD) conversion it pays to compare providers to see who can give you the best Australian Dollar (AUD) exchange rate. High street banks are the worst place to convert money as they generally have poor Australian Dollar (AUD) exchange rates. To get the best rate for large Australian Dollar (AUD) currency transfers, smaller regular money transfers or cash travel money read our guide to the top providers.
|Money Transfer Provider||Who are they?||What do they offer?||Best for?||More Info|
|Founded in 2011, Wise was founded to primarily assist with small regular international money transfers.||Wise offer a very low cost way to send money abroad. There is an excellent tool for getting live quotes on the website||Making normal international payments for personal and business transactions,||See Offer|
|Azimo offers international money transfers to over 200 countries. The Aizmo money transfer app has had over a million downloads and over 30,000 5* reviews.||Azimo claim to be able to save up to 90% vs banks and traditional money transfer providers. Fees depend on the type of currency transfer and start at £1.||Azimo are good for small international money transfers. The Azimo offering is mobile first so suits those happy to do everything on their phone.||See Offer|
|Last year Xe group made over $115 billion in international currency transfers.||With Xe money transfers you can send money internationally 24/7 at bank beating rates & zero fees.||Small one off currency transfers. quick and simple online process and sign up.||See Offer|
|PagoFX (backed by Santander) offer fast, low-cost international money transfers with bank-level security and dedicated live support.||PagoFx fees are as low as 0,5% of the sent amount for the eurozone. 0,9% for Australia. 1% for the US.||Small regular currency transfers & those who want the security of their money transfers being backed by a Santander.||See Offer|
What is the Australian Dollar (AUD) exchange rate?
The Australian Dollar is the official currency of Australia. It has been in existence since 1966, and is often known in the market as the 'Aussie'. AUD is its market abbreviation. When we refer to AUD it is often reference to USDAUD, the Aussie dollar versus US dollar exchange rate.
The currency has been free-floating since the eighties. This means that it is not pegged against another other currency or maintain at a fixed exchange rate. High volatility of the Aussie dollar means that it is one of the most traded currencies in the world.
According to the Bank of International Settlements' triennial 2019 survey, the Aussie dollar is the fifth most traded currency in the world, ahead of the Swiss Franc and Canadian Dollar. Its turnover is about nearly seven percent of the market total.
AUD derives its volatility from its exposure to the commodity market. Australia is blessed with abundant commodity minerals, including oil, agricultural products, rare earths, uranium and other metals. It exports most of these commodities to other countries. Unsurprisingly, the Aussie Dollar is heavily impacted by commodities.
Researve Bank of Australia is the central bank of Australia. The bank controls the monetary policy of the country which impacts the Australian dollar significantly. One of its key objectives is to maintain the stability of the currency. The nine-member Reserve Bank Board meets 11 times each year, one each month except January, to determine the policy rate (cash rate) and appropriate monetary policy for the country. The policy rate now is at 10 basis points.
What factors affect the Aussie Dollar?
Foreign exchange is a complicated market as billions of dollars are transacted every day round the clock. Many factors move the foreign exchange market. However, most factors can be aggregated under the three broad categories: 1) Political, 2) Economic, and 3) Monetary. Because of the myriad of market moving factors, at any one time, it is hard to calculate the 'right' value of a currency at any time.
Generally, inflation is one of the most important considerations for investors. The Reserve Bank of Australia has a mandate to hold the country's inflation at 2-3 percent. If the rate shoots out of this band, it will trigger a reaction from the central bank. Over the last two decades Australia's inflation rate has been fairly benign (see below).
Another factor to consider these days is quantitative easing. In the last policy meeting (1 June), the central bank noted that the 'economic recovery in Australia is stronger than earlier expected'. As a result, RBA states that 'at the July meeting the Board will also consider future bond purchases following the completion of the second $100 billion of purchases under the government bond purchase program in September."
Expectations of these policies are very important. If the market expects higher inflation, lower unemployment or better growth ahead, the currency could appreciate immediately (sometimes within minutes). A better- or worst-than-expected data release often impact the currency.
For Australia, its economy is also tightly coupled with many Asian countries, particularly China. The latter has been importing huge quantities of raw materials from Australia. If commodity prices rise, this will positively impact the Aussie dollar. Look at the USDAUD weekly rate below. The Aussie dollar rallies significantly against the US dollar in 2020 on rising commodity prices. Traders often open positions in the Aussie dollar to bet on the direction of commodities.
Bottom line - The Aussie dollar is dependent on several factors, including interest rates, inflation outlook, quantitative easing, commodity prices, and growth. It is a volatile currency with significant price trends available for traders to bet on.
Getting the best Australian Dollar (AUD) Exchange Rate FAQ
Request a quote to see how much you can save – you’ll find a better Australian Dollar (AUD) exchange rate than by using your bank.
Where to find the best exchange rate for Australian Dollars (AUD)?
Comparison tables and Australian Dollar (AUD) exchange rate quote request forms will help you find the best Australian Dollar (AUD) exchange rate. Australian Dollar (AUD) exchange rate comparison tables highlight the key features of currency transfer providers whereas Australian Dollar (AUD) exchange rate quote request forms will make currency brokers compete for your business by offering the best exchange rate.
A few tips on getting the best Australian Dollar (AUD) exchange rate:
- Always compare (read our guide to comparing exchange rates here)
- Never go with your bank
- Understand the fees
- Use forward to lock in the current exchange rate
How do I know I am getting the best Australian Dollar (AUD) exchange rate?
Only go with a currency broker that offer fixed and transparent exchange rates and clearly show fees. All fees and charges should be built into the exchange rate. Have a look around currency providers' websites, and if you find that they don’t clearly show how much a currency transfer is going to cost you will need to ensure you get a fixed mark up rate in writing to ensure you get the best Australian Dollar (AUD) exchange rate.
Should you convert Australian Dollars (AUD) now or wait for the exchange rate to improve?
If you think the exchange rate is going to go in your favour have a chat with your currency broker. Most have been providing market timing advice to institutions and hedge funds for years and should be able to provide some guidenece on strategy. Or, if you are worried the rate will move against you it is possible to lock in the current rate for up to a year in advance with a currency forward.
How do I know what the Australian Dollar (AUD) exchange rate commission is?
These are included in the exchange rate and are always fixed and transparent. Our exchange rates are always a fixed percentage from the live mid-market.
If you want to know how much the fees will be just ask and we’ll provide a clear breakdown. Read our guide on how to compare exchange rates, which also explains what the fees are and how to calculate them.
Will I really get the best Australian Dollar (AUD) exchange rate?
Yes but you'll have to put a bit of effort it. If you are already using your bank or another currency broker send us a recent transaction and we will send you back a breakdown of exactly how much they are charging you in hidden fees and how our approach to fixed and transparent exchange rates will result in you getting the best Australian Dollar (AUD) exchange rate.
Why buy Australian Dollars (AUD) through a currency broker?
- Compare the cheapest bank beating currency exchange rates
- Expert help and advice to reduce your risk and exposure
- Dedicated account managers every step of the way
- Convert funds online and platform access 24/7
- Same day and forward currency exchange contracts
- Zero service charge, commission or transfer fees
- Transfer money direct to single or multiple beneficiary accounts
Check you are getting the best Best Australian Dollar (AUD) Exchange Rate
You can use the below table of Best Australian Dollar (AUD) exchange rates against other G10 currencies to check what fees you would pay and what foreign exchange you would receive from currency conversion.
Live Best Australian Dollar (AUD) exchange rates versus other major currencies
|Currency||Mid Rate||10,000 AUD||If Fees 0.25%||If Fees 0.5%||If Fees 1%|
|Canadian dollar (CAD)||0.9368||9,368.20||9,344.78||9,321.36||9,274.52|
|Japanese yen (JPY)||84.5116||845,115.70||843,002.91||840,890.12||836,664.54|
|New Zealand dollar (NZD)||1.0815||10,814.56||10,787.53||10,760.49||10,706.42|
|Norwegian krone (NOK)||6.4193||64,193.38||64,032.90||63,872.41||63,551.45|
|United Kingdom Pound sterling (GBP)||0.5464||5,463.76||5,450.10||5,436.44||5,409.12|
|Swedish krona (SEK)||6.4060||64,060.11||63,899.96||63,739.81||63,419.51|
|Swiss franc (CHF)||0.6924||6,924.09||6,906.78||6,889.47||6,854.85|
|United States dollar (USD)||0.7708||7,708.00||7,688.73||7,669.46||7,630.92|
The table displays the live exchange rates display that you would receive from a conversion of 10,000 Best Australian Dollar (AUD) into other major currencies based on the below:
- Mid-market price (the price at which banks exchange money)
- If fees were 0.25% (we would consider this a cheap mark up)
- If fees were 0.5% (we would consider this an average mark up)
- If fees were 1% (we would consider this an expensive mark-up)
To manually calculate what mark-up a currency broker has charged you please use our historic mark-up calculator.