How to buy Diageo (DEO) shares from Australia

By   |   Verified by Andrew Boyd   |   Updated 27 Sep 2023

Diageo plc is a multinational beverage alcohol company that operates in over 180 countries. The company was founded in 1886 and is headquartered in London.

The company has a primary listing on the London Stock Exchange (LSE: DGE) where it is part of the FTSE 100 Index. Diageo also has a secondary listing on the New York Stock Exchange (NYSE: DEO).

If you would like to buy shares in Diageo from Australia, here’s how.

About the company

Diageo overview

Company overview

As a global leader in beverage alcohol, Diageo has a vast collection of brands across spirits and beer. It has production facilities at more than 150 sites across 30 countries. Many of the company’s brands have global recognition including Johnnie Walker, Smirnoff, Captain Morgan, Baileys, and Guinness, to name just a few.

Diageo subsidiaries include Guinness Brewery, United Spirits, and Casamigos among others.

Unsure about what trading platform to use?

Where to buy Diageo shares

eToro

On website

Highlights

  • Trade and invest in top financial instruments, including a wide selection of stocks.
  • eToro is regulated by CySec, FCA, and ASIC.
  • Your funds are protected by industry-leading security protocols.
  • Earn up to 5.3% annual interest on your balance.
Saxo Markets

On website

Saxo Markets

Highlights

  • Invest in 23,500+ stocks from ASX, New York, Hong Kong, and 50+ other global markets.
  • No platform fees, no inactivity fees, and no FX fees on each trade.
  • Analyse, improve and manage your risk using intuitive trading tools.
Pearler

On website

Highlights

  • Enjoy low, transparent fees.
  • An option to Autoinvest. Set-and-forget your investment strategy.
  • Simply invest into any ETF from one of Pearler's ETF managers for at least one year, and it's free.
  • Clearing House Electronic Sub-register System (CHESS) sponsored.
Superhero

On website

Highlights

  • Open an account with just $100 and start investing today with a $5 flat-free brokerage ($0 on US shares) on share trades.
  • Buy and sell US shares & ETFs with $0 brokerage plus trade unsettled funds.
  • Fund your account in minutes with PayID and enjoy realtime FX transfers for fast US share trading.
Tiger Brokers

On website

Highlights

  • Available for ASX, US & HK stocks trading, ETFs, and US options trading.
  • Free market data for ASX and US stocks.
  • More accessible investment to all with a demo account.
Webull

On website

Webull

Highlights

  • Trade AU & US stocks, ETFs, and Options with $0 commission for the first 30 days.
  • Provides intuitive and powerful advanced charts, multiple technical indicators, and premier Level 2 Advance (Nasdaq TotalView).
  • Regulated by ASIC.

Pros

  • Invest from as little as US$5.
  • No deposit or withdrawal fees.
  • Allows you to trade fractional shares.
  • Access to advanced trading tools.

Cons

  • Scarcity of instructional resources for investors.
  • Supports AU and US markets only.
Moomoo

On website

Moomoo

Highlights

  • Trade blue-chip stocks in AU and US markets.
  • Trade multi-markets and multi-products with a lower commission. No custodian fee.
  • CHESS-Sponsored trading is now available.
  • Regulated by the Australian Securities and Investments Commission (ASIC).

Compare trading platforms with Finty. Research fees, commissions, tradable assets, markets, etc.

First time buying?

How to buy Diageo shares

Step 1: Choose a broker

The first step is to choose an online broker. There are many brokers available online, offering a variety of options. When choosing a broker, you should consider key features such as:

  • Access to the US market. Diageo is primarily listed on the London Stock Exchange but has a secondary listing on the NYSE. Many share trading apps are limited to either Australian or US markets, so check which markets your broker has access to before opening an account.
  • Commission-free trading. There are many US share trading platforms that offer commission-free trading. This means you won't pay commissions when trading shares.
  • Fractional share investment. Fractional share investment refers to the ability to purchase a portion of a share instead of the whole thing.
  • Simple-to-use trading platform. Investing in shares doesn't have to be complicated. Look for a platform that is easy to use.
  • Research and reporting. Look for platforms offering detailed research on items such as company overview, price history and recommendations, and even price forecasts.

Step 2: Fund your trading account

Next, deposit funds into your account. If you just opened an account, it might take a few days for the funds to clear so you can trade.

Step 3: Decide how much to invest

By investing in fractional shares, you can invest the exact amount you want to. This allows you to start with a small investment.

Step 4: Decide whether to invest in an ETF or buy individual shares

ETFs are made up of shares in many different companies. Therefore, you can either own a share of the company or invest in them via an ETF. Active traders are less likely to be interested in these funds because they can't control where the money will go, but they're sometimes considered less risky.

ETFs with DEO exposure include Invesco International Dividend Achievers ETF (PID), AI Powered International Equity ETF (AIIQ), and Formidable ETF (FORH).

Step 5: Customise your order

Different order types can be used to customise what you buy and how much you pay. The most common types of orders are:

Market order

A market order is an order to purchase or sell shares instantly. The order will be executed immediately, but the price cannot be guaranteed.

Limit order

With buy-limit orders, the orders must be executed at or below the price specified. For example, if you want to purchase Diageo shares but will not go over US$200, submit a limit order for that amount.

Stop limit

You can use this type of order to sell your shares at a certain price or higher. Let's say you want to sell Diageo shares for US$210 per share. Your stop-limit order will be executed when the shares reach this price.

Stop loss

You decide the price at which it is worth selling your shares. Let's take, for instance, US$200 as your price at which to sell Diageo shares. Your stop-loss order will be executed if the price falls to that level and your shares will be sold at the next available market price.

Step 6: Place your order

If you have chosen a broker, funded your account based on the amount you wish to invest, and determined how you want to invest in Diageo shares, then it is time to place the order. You will usually be able to do this by clicking a button.

After you buy

What moves Diageo's share price

Once you buy shares in a company, it’s necessary to keep track of both share price movements and the company’s performance. This is true whether you are investing for the long term or with a speculative motive to benefit from price fluctuations.

Track Diageo’s performance

Diageo is a dividend-paying stock. Therefore, as well as the share price, it’s a good idea to track how the company performs in terms of financial fundamentals and dividend payouts.

Watch for developments in the beverage industry

Diageo operates in the beverages industry. Although at-home consumption increased during the pandemic, out-of-home consumption, which typically brings in better margins, was severely impacted. The food and beverages industry must also deal with possible long-term changes in customer behaviour and demand as a result of prolonged lockdowns.

Competitors

Diageo’s key competitors include Bacardi, Pernod Ricard, Carlsberg, Molson Coors, Brown-Forman, Heineken, and Constellation Brands.

Disclaimer: We put our customer’s needs first. The views expressed in this article are those of the writer’s alone and do not constitute financial advice. Advertisers cannot influence editorial content. However, Finty and/or the writer may have a financial interest in the companies mentioned. Finty is committed to providing factual, honest, and accurate information that is compliant with governing laws and regulations. Do your own due diligence and seek professional advice before deciding to invest in one of the products mentioned. For more information, see Finty’s editorial guidelines and terms and conditions.