Hey there, I am in Australia and have used ThinkMarkets broker and used for a year or so.
If you are regulated in Australia then there are requirements around reporting, reserve funds, & management of funds. To get an AFSL does cost a lot of money (AUD$250,000 +) which means that backyard operators cannot afford to gain regulation. I suspect that if a broker went belly up, then Australian clients would receive preferential treatment over international clients, however am not 100% sure of that. You will also notice that Aus brokers are adopting some of the new European practices such as negative balance protection.
I now use Pepperstone and from memory moved to Pepperstone because I could get trade rebates through cashbackforex with them. However I think that Think is also on the trade rebate service now. If you are using trade copying services, check if Think is also on crowds such as Zulu. Think and Pepperstone are similar and to me are in the same bracket, there are a couple of others that I would not recommend, one, that I would like to name but think best I dont, outsourced all of its support to a Chinese call centre and had lots of trouble with dropping connections and I recall being in a trade, an announcement coming up, trying to get out and then my MT4 had 'unable to connect' and calling them to be mucked around, fortunately I did not lose money.
One thing you will find is that brokers in Australia do not offer the same promotions of other brokers (eg. Cyprus based ones), however as we all know, promotions are not free, they are paid for in spreads and commissions. So these other brokers are trying to get you to trade more and more to recover marketing costs.
Saying that here in Australia we have also had a banking commission which found some dodgy practices going on, and the problem is that here in Australia we have 4 x major banks and it would appear that some old school practices have evolved over many years. I think it is the same anywhere in the world where corporations need to continually report growth, so when there is no growth then pressure is put on to create growth, which leads to taking short-cuts, maximising revenue from un-suspecting/un-informed/un-educated clients as well as cutting costs.
All the best,