ETRAnn:App3BShares IssuedPursuantToSubscript.& Alliance Deed

Document date:  Wed 04 Apr 2001
Published:  Wed 04 Apr 2001 11:38:45
Document No:  232456
Document part:  A
Market Flag:  N
Classification:  Placement , Appendix 3B 

ETRADE AUSTRALIA LIMITED                      2001-04-04  ASX-SIGNAL-G

HOMEX - Sydney                                                        

+++++++++++++++++++++++++
                             APPENDIX 3B
                        NEW ISSUE ANNOUNCEMENT

   APPLICATION FOR QUOTATION OF ADDITIONAL SECURITIES AND AGREEMENT

Information or documents not available now must be given to ASX as
soon as available.  Information and documents given to ASX become
ASX's property and may be made public.

Introduced 1/7/96. Origin Appendix 5. Amended 1/7/98, 1/9/99,
1/7/2000.

Name of Entity
ETRADE Australia Limited

ACN or ARBN
003 042 082

We (the entity) give ASX the following information.


PART 1 - ALL ISSUES
You must complete the relevant sections (attach sheets if
there is not enough space).


1. Class of securities issued          Ordinary Shares
   or to be issued                                                  
 
2. Number of securities issued         5,209,879
   or to be issued (if known)                                       
   or maximum number which                                          
   may be issued                                                    

3. Principal terms of the securities   -
   (eg, if options, exercise price                                  
   and expiry date; if partly paid                                  
   securities, the amount                                           
   outstanding and due dates for                                    
   payment; if convertible securities,                              
   the conversion price and dates                                   
   for conversion)                                                  

4. Do the securities rank equally      The shares will rank equally
   in all respects from the date       with all other shares in the
   of allotment with an existing       capital of ETR.
   class of quoted securities                                       

   If the additional securities                                     
   do not rank equally, please                                      
   state:                                                           
   * the date from which they do                                    
   * the extent to which they                                       
     participate for the next                                       
     dividend, (in the case of                                      
     a trust, distribution) or                                      
     interest payment                                               
   * the extent to which they do                                    
     not rank equally, other than                                   
     in relation to the next                                        
     dividend, distribution or                                      
     interest payment                                               

5. Issue price or consideration        Not for cash consideration

6. Purpose of the issue (if            The shares have been issued
   issued as consideration for         in accordance with the
   the acquisition of assets,          Subscription and Alliance Deed
   clearly identify those              between Australia and New
   assets)                             Zealand Banking Group
                                       Limited, ETRADE Australia
                                       Limited and ETRADE Australia
                                       Securities Limited, dated 17
                                       June 1999 and approved by
                                       Shareholders in August 1999.
                                                                    
                                       The shares represent
                                       consideration for ANZ
                                       marketing and promoting the
                                       co-branded share trading and
                                       investment service of E*TRADE
                                       Australia as a preferred
                                       product with its customer
                                       base.
                                                                    
                                       This issue represents the
                                       milestone shares for the
                                       third milestone period from
                                       30 September 2000 to 30 March
                                       2001.

7. Dates of entering securities        04/04/2001
   into uncertified holdings                                        
   or despatch of certificates                                      
                                       
                                      NUMBER  CLASS
8. Number and class of all        73,875,442  Ordinary shares
   securities quoted on                                             
   ASX (including the                                               
   securities in clause                                             
   2 if applicable)                                                 

                                      NUMBER  CLASS
9. Number and class of all            33,330  $0.93 Expiring on
   securities not quoted                      15/12/2002
   on ASX (including the              50,000  $0.83 expiring on
   securities in clause 2                     27/05/2003
   if applicable)                     75,000  $0.74 expiring on
                                              10/09/2003
                                     139,000  $1.94 expiring on
                                              12/02/2004
                                     113,000  $5.427 expiring on
                                              09/09/2004
                                      20,000  $5.295 expiring on
                                              06/09/2004
                                     450,000  $3.77 expiring on
                                              12/01/2005
                                     135,000  $3.149 expiring on
                                              24/02/2005
                                      30,000  $6.13 expiring on
                                              06/07/2004
                                     315,000  $2.016 expiring on
                                              15/11/2005
                                   4,000,000  $6.327 expiring on
                                              30/09/2003

10.Dividend policy (in the case        -
   of a trust, distribution                                         
   policy) on the increased                                         
   capital (interests)                                              

PART 2 - BONUS ISSUE OR PRO RATA ISSUE

Items 11 to 33 are Not Applicable

PART 3 - QUOTATION OF SECURITIES
You need only complete this section if you are applying for quotation
of securities

     
34. Type of securities (tick one)

    (a) x  Securities described in Part 1

    (b)    All other securities

Example: restricted securities at the end of the escrowed period, 
partly paid securities that become fully paid, employee incentive 
share securities when restriction ends, securities issued on expiry
or conversion of convertible securities

    Entities that have Ticked Box 34(a)

    Additional Securities Forming a New Class of Securities
    (If the additional securities do not form a new class, go to 43)

    Tick to indicate you are providing the information or documents

35.    The names of the 20 largest holders of the additional 
         securities, and the number and percentage of 
         additional securities held by those holders

36.    A distribution schedule of the additional securities 
         setting out the number of holders in the categories
         1 - 1,000
         1,001 - 5,000
         5,001 - 10,000
         10,001 - 100,000
         100,001 - and over

37.    A copy of any trust deed for the additional securities
(now go to 43)

    Entities that have Ticked Box 34 (b)

    Items 38 to 42 are Not Applicable

ALL ENTITIES

Fees

43. Payment method (tick one)

       Cheque attached

       Electronic payment made
       Note: Payment may be made electronically if Appendix 3B is 
             given to ASX electronically at the same time.
    
    x  Periodic payment as agreed with the home branch has been 
       arranged
       Note: Arrangements can be made for employee incentive 
             schemes that involve frequent issues of securities.

QUOTATION AGREEMENT

1.  Quotation of our additional securities is in ASX's absolute 
    discretion. ASX may quote the securities on any conditions it 
    decides.

2.  We warrant to ASX that the issue of the securities to be quoted
    complies with the law and is not for an illegal purpose, and that
    there is no reason why those securities should not be granted
    quotation. We warrant to ASX that an offer of the securities for
    sale within 12 months after their issue will not require
    disclosure under section 707(3) of the Corporations Law.

3.  We will indemnify ASX to the fullest extent permitted by law in
    respect of any claim, action or expense arising from or connected
    with any breach of the warranties in this agreement.

4.  We give ASX the information and documents required by this form.
    If any information or document not available now, will give it to
    ASX before quotation of the securities begins. We acknowledge that
    ASX is relying on the information and documents. We warrant that
    they are (will be) true and complete.


M Zworestine 
COMPANY SECRETARY
04/04/2001