Online broker Saxo Capital Markets has thrown down the gauntlet to its rivals, slashing brokerage rates to as little as $6.99 a trade for Australian stocks.

Saxo claims its new rates make it the most competitive broker in the market for a range of products.

Saxo provides a multi-asset trading platform, with access to global markets. Asset classes include stocks, bonds, ETFs, contracts for difference, foreign exchange, futures and options.

The cost of an Australian stock trade has come down from $9.90. CFD trades have come down from $8 to $6.

Saxo is offering Australian dollar/US dollar foreign exchange trades for 0.5 pips, and euro/Yen for 0.9 pips, which it claims are market leading prices.

The $6.90 fee for Australian stock trades is well below the rates quoted on the Canstar website.

Selfwealth charges $9.50 a trade, CMC charges $11.25 on its Premium Trader platform, Amscot charges $11.55 and Open Markets $13.95.

Saxo has been active in the market this year. In February, it launched a new service, Saxo Essential, an entry level platform offering additional risk management functionality.

Saxo’s was one of three online share trading platforms to be awarded top ratings in a recent Canstar rating of international share trading platforms. The others were IG Markets and Interactive Brokers Australia.