Many Canadians want to make their own investment decisions instead of relying on financial advisors or robo-advisors. They’ve started building their own portfolio of exchange-traded funds (ETFs) and individual stocks in an attempt to take control of their financial future. The way to do that is to open an online brokerage account.
Best Online Brokerages in Canada
- Written by
-
Why you can trust us
The team at WealthRocket only recommends products and services that we would use ourselves and that we believe will provide value to our readers. However, we advocate for you to continue to do your own research and make educated decisions.
In this Wealth Rocket article, we’ll peruse through the best online brokerage accounts in Canada, providing detailed reviews on how much they cost to use, how they work, and much more.
The Best Online Brokerages in Canada
The best online brokerages have many similar traits. They have fair trading commissions and account maintenance fees, a mobile app, offer a large variety of account types, and provide excellent customer service.
The best online brokerage in Canada varies depending on who you ask, but here are our favorites.
Wealthsimple
- Account Fees 0.4%-0.5%
- Minimum Deposit $1
- Asset Types Bonds (government and corporate), Real Estate, ETFs, Gold, Mutual Funds, and Currencies
Questrade
- Account Fees $0
- Minimum Deposit $1,000
- Asset Types Stocks, Options, Bonds, ETFs, Mutual Funds
- OTC stock fees $0.01 per share, min $4.95, max $9.95; free ETFs, selling costs $0.01 per share
Qtrade
- Account Fees $25/quarter
- Minimum Deposit $0
- Asset Types Stocks, ETFs, Mutual funds, Bonds, options
1. Wealthsimple Trade
- Best for: New and cost-conscious investors
- Account Options: RRSP, TFSA, personal (non-registered/taxable)
- Investment Options: Stock, ETFs
- Trading Commissions: $0
- Minimum Deposit: $0
- Desktop: Yes (beta)
- Mobile App: Yes (both Android and iOS)
- Available in Quebec?: Oui
Wealthsimple* Trade is one of the newest online brokerages. It’s appealing because it doesn’t charge commissions on stock and ETF trades. That makes it easy to buy a number of stocks in different industries and build a diversified portfolio without paying any commissions.
There are drawbacks, however. There are only three types of accounts you can open, which include an RRSP, a TFSA, or taxable account. You can also only trade individual stocks, ETFs, and cryptocurrencies (Bitcoin and Ethereum).
For a beginner, this is probably fine. But it’s not for someone who wants to trade options or fixed-income investments. One thing to note, too, is that Wealthsimple does not offer the ability to invest in penny stocks.
Wealthsimple
- Account Fees 0.4%-0.5%
- Minimum Deposit $1
- Asset Types Bonds (government and corporate), Real Estate, ETFs, Gold, Mutual Funds, and Currencies
2. Questrade
- Best for: New to experienced investors
- Account Options: RRSP, TFSA, RESP, LIRA, LRSP, RRIF, LIF, cash, margin, entity (corporate, investment club, partnership, sole proprietorship), trust (individual informal, joint informal, formal)
- Investment Options: Stocks, fixed income, ETFs, mutual funds, options, new issues, foreign exchange, precious metals, contract for differences (CFDs)
- Trading Commissions: Minimum $4.95/share for regular traders; as low as $0.01/share for active traders (must subscribe to the monthly live streaming package to qualify)
- Minimum Deposit: $1,000 to begin trading; $0 to open an account
- Desktop: Yes
- Mobile App: Yes (both Android and iOS)
- Available in Quebec?: Oui
Questrade is one of the most popular online brokerages in Canada. It’s known for its low commissions (starting at $4.95/trade) and the ability to buy exchange-traded funds (ETFs) for free.
You can also get access to more sophisticated trading platforms. To qualify for active trader pricing, you must subscribe to a data package. The monthly fee starts at $89.95, but it’s possible to get a full or partial rebate.
While most brokers don’t charge for mutual fund trading, Questrade charges $9.95 each time you want to buy or sell a fund. However, Questrade no longer charges an inactivity fee.
Questrade
- Account Fees $0
- Minimum Deposit $1,000
- Asset Types Stocks, Options, Bonds, ETFs, Mutual Funds
- OTC stock fees $0.01 per share, min $4.95, max $9.95; free ETFs, selling costs $0.01 per share
3. Qtrade Direct Investing
- Best for: New to experienced investors
- Account Options: Cash, margin, TFSA, RRSP, LIRA, LRSP, RESP, RRIF, LIF
- Investment Options: Stocks, fixed income, options, ETFs, mutual funds, GICs, new issues
- Trading Commissions: $8.75/trade; $6.95/trade for active traders (150+ trades per quarter) or $500,000+ in assets; $7.75/trade for investors aged 18 to 30
- Minimum Deposit: $0
- Desktop: Yes
- Mobile App: Yes (Android and iOS)
- Available in Quebec?: Oui
Qtrade is commonly confused with Questrade, but they’re two different brokerages. Qtrade charges lower commissions than most brokers ($8.75/trade). It also offers preferred pricing for investors under 30 ($7.75/trade) and active traders or those with $500,000 or more in assets ($6.95/trade).
The brokerage doesn’t charge for buying and selling 100+ different ETFs, which is a nice perk.
The quarterly administrative fee of $25 is waivable if you have $25,000 in assets, make two or more trades per quarter (or eight a year), make a recurring monthly contribution of $100 or more if you’re under 30, or if the account is less than a year old.
Qtrade
- Account Fees $25/quarter
- Minimum Deposit $0
- Asset Types Stocks, ETFs, Mutual funds, Bonds, options
Receive up to $150 per transfer request when you transfers-in $15,000 or more using “SUMMERBONUS2024“ (can be combined with Cashback + Free Trades Offer)
- Funded amount: $1,000-$4,999 and receive up to $100.
- Funded amount: $5,000-$24,999 and receive up to $350.
- Funded amount: $25,000-$199,999 and receive up to $350 – $2,099.
- Funded amount: $200,000+ and receive up to $2100.
*Sign-up bonus available to new clients only. New clients get unlimited free trades until Dec 31, 2024. $100 Sign-up bonus and free trades rebate will be paid by Jan 31, 2025.
Other bonus offers to be combined with main offer:
- Bonus is as high as 5%: Our $250 bonus is as high as 5% for funding of $5,000 to $24,999.
- Lower Minimum Funding: Qtrade have lower minimum funding of $5,000 for the cashback bonus.
- Additional Sign-Up Bonus: Qtrade is giving an additional Sign-up Bonus to new clients, including $100 bonus and unlimited free trades until Dec 31, 2024 and paying out the sign-up bonus sooner in Jan 2025.
4. Scotia iTrade
- Best for: New to experienced investors
- Account Options: TFSA, RRSP, RRIF, RESP, cash, margin, non-personal (investment club; trust or estate; charity or foundation; sole proprietorship, corporate, or partnership)
- Investment Options: Stocks, fixed income, ETFs, mutual funds, GICs, options, new issues
- Trading Commissions: $9.99/trade; $4.99/trade for active traders (150+ trades per quarter)
- Minimum Deposit: $0
- Desktop: Yes
- Mobile App: Yes (both Android and iOS)
- Available in Quebec?: Oui
Scotia iTrade’s commissions are similar to what other bank-owned brokerages charge: $9.99/trade. Commissions are just $4.95/trade for those who make 150 trades or more per quarter. There’s also a premium trading platform called Scotia iTrade FlightDesk for more experienced investors.
Investors who make a certain number of trades per month or reach a certain threshold in terms of assets can qualify for the Scotia iTrade Club. There are gold and platinum levels. Members also have access to a dedicated client service line, savings on account fees, and free access to FlightDesk.
Scotia iTrade
- Account Fees $25 for accounts with balances less than $10,000, $100 for registered accounts with balances less than $25,000 (waived for investors under 26)
- Minimum Deposit $0
- Asset Types Stocks, Fixed Income, ETFs, Mutual Funds, Guaranteed Investment Certificates (GICs), Options, and New Issues
5. CIBC Investor’s Edge
- Best for: New to experienced investors
- Account Options: RRSP, TFSA, RESP, RRIF, LRSP, PRIF, LIRA, LRIF, cash, margin, non-personal (corporate or partnership, formal trust, investment club, estate)
- Investment Options: Stocks, fixed income, ETFs, options, mutual funds, GICs, precious metals, new issues
- Trading Commissions: $6.95/trade; $4.95 for active traders (150+ trades/quarter)
- Minimum Deposit: $0
- Desktop: Yes
- Mobile App: Yes (both Android and iOS)
- Available in Quebec?: Oui
CIBC Investor’s Edge offers lower fees than most other bank-owned brokerages at just $6.95/trade. Those who make 150 or more trades per month pay only $4.95/trade. There’s also no minimum account balance to begin trading.
A downside for sophisticated investors is that CIBC doesn’t offer the variety of trading platforms that other brokerages do.
CIBC Investor’s Edge
- Account Fees $0 or $100 annually
- Minimum Deposit $0
- Asset Types Stocks, Bonds, ETFs, Mortgage-Backed Securities, Treasury Bills and Notes, High-Interest Savings Accounts from CIBC Wood Gundy
6. BMO InvestorLine
- Best for: New to experienced investors
- Account Options: RRSP, TFSA, RRIF, RESP, cash, margin, LIRA, LRSP, RLSP, LRIF, LIF, non-personal (trusts, estates, associations, corporations, investment clubs or partnerships, personal holding companies)
- Investment Options: Stocks, fixed income, ETFs, mutual funds, GICs, precious metals, new issues
- Trading Commissions: $9.95/trade
- Minimum Deposit: $0
- Desktop: Yes
- Mobile App: Yes (both Android and iOS)
- Available in Quebec?: Oui
BMO InvestorLine charges $9.95/trade for all investors, and there’s no minimum balance to open an account.
Those who make 15+ trades/quarter or have $250,000 or more in assets qualify for the BMO 5 star program, which offers preferred rates and pricing, access to a professional-level trading platform, and priority service.
For investors who want some guidance from registered investment advisors but still want to make their own investment decisions, BMO InvestorLine adviceDirect is available to them.
BMO InvestorLine
- Account Types $0
- Minimum Deposit $0
- Asset Types Stocks, Fixed income, ETFs, Mutual Funds, GICs, Precious Metals, New issues
7. Virtual Brokers
- Best for: New to experienced investors
- Account Options: RRSP, TFSA, RESP, RRIF, LIRA, LIF, margin (called an all-in-one account)
- Investment Options: Stocks, fixed income, ETFs, mutual funds, GICs, new issues
- Trading Commissions: $1.99/trade minimum to $7.99/trade maximum
- Minimum Deposit: $1,000
- Desktop: Yes
- Mobile App: Yes (both Android and iOS)
- Available in Quebec?: Oui
Virtual Brokers’ commissions are as low as $0.01/share, but the minimum is $1.99/trade to a maximum of $7.99/trade. Active investors (150+ trades per quarter) pay $3.99/trade. And there are no commissions when buying ETFs, but only when selling them.
The brokerage also offers some sophisticated trading platforms for active investors that start at US$250 a month.
Virtual Brokers
- Account Fees 0; $25/quarter for USD registered accounts
- Minimum Deposit $0 for Canadans, $25,000 CAD for residents outside Canada
- Asset Types ETFs, Equities, Options, Mutual Funds
8. Desjardins
- Best for: New to experienced investors
- Account Options: RRSP, TFSA, RESP, RRIF, LIRA, LIF, cash, margin, other (association of people, investment club, cooperative, corporation, sole proprietorship, proxy mandate, trust, private foundation, non-profit organization, partnership, estate, guardianship, accounts for a minor)
- Investment Options: Stocks, ETFs, fixed income, mutual funds, structured notes, options, new issues
- Trading Commissions: $6.95/trade; active traders: $4.95 to $6.95/trade (0 to 29 trades a month) or $0.75/trade for 30 or more trades per month
- Minimum Deposit: $1,000
- Desktop: Yes
- Mobile App: Yes (both Android and iOS)
- Available in Quebec?: Yes
Desjardins Online Brokerage’s commissions are slightly lower than most of its competitors: $6.95/trade for regular investors and as low as $0.75/trade for active investors who make 30 or more trades every month. Investors under 30 get five free trades, have no inactivity fees, and don’t need a minimum balance to waive fees on registered accounts.
The brokerage offers a basic (Disnat Classic) and sophisticated trading platform (Disnat Direct).
Desjardins Online Brokerage
- Account Fees $30 inactivity (waived if 6+ trades are made in preceding 12 months or if portfolio is worth $15,000 or more or registered account is held)
- Minimum Deposit $1000
- Asset Types Canadian and U.S. Equities, Options, Structured Notes, New Issues, Mutual Funds, Bons, TBills
9. TD Direct Investing
- Best for: New to experienced investors
- Account Options: RRSP, TFSA, RESP, RRIF, LIRA, LIF, RDSP, LRIF, LRSP, RLSP, PRIF, cash, margin
- Investment Options: Stocks, fixed income, ETFs, mutual funds, options, GICs, term deposits, precious metals, new issues
- Trading Commissions: $9.99/trade; $7.00/trade for active traders (150+ trades/quarter)
- Minimum Deposit: $0
- Desktop: Yes
- Mobile App: Yes (both Android and iOS)
- Available in Quebec?: Oui
TD Direct Investing, not to be confused with RBC Direct Investing, is the largest online broker in the country. Its commissions are similar to other brokers: $9.99/trade or $7.00/trade for active investors.
The brokerage offers trading platforms for regular investors as well as active stock and options traders. TD also provides free online educational on-demand webinars and resources.
TD Direct Investing
- Account Fees $25 fee/quarter for accounts less than $15,000
- Minimum Deposit $0
- Asset Types ETFs, Stocks, Options, Mutual Funds, GICs and more
10. National Bank Direct Brokerage
- Best for: New to experienced investors
- Account Options: TFSA, RRSP, RESP, RRIF, cash, margin, short selling
- Investment Options: Stocks, fixed income, ETFs, options, mutual funds, GICs
- Trading Commissions: $9.95/trade; $7.95 for existing National Bank customers; $4.95/trade for young investors (under 30); $0.95/trade for active investors (100+ trades/quarter)
- Minimum Deposit: $0
- Desktop: Yes
- Mobile App: No
- Available in Quebec?: Oui
National Bank Direct Brokerage’s trading commissions are as high as $9.95/trade to just $0.95/trade for active investors (100+ trades each quarter). It pays to be under 30 because commissions are $4.95/trade. The brokerage does offer free trades for ETFs listed on Canadian and U.S. exchanges as long as you trade 100 or more units.
The major downside is that there isn’t a trading app. That means if you’re on the go and see a trading opportunity, you need to find a computer.
National Bank Direct Brokerage
- Account Fees $100 (waived when certain conditions are met)
- Minimum Deposit $0
- Asset Types Stocks, Fixed Income, ETFs, Options, Mutual Funds, GICs
What is an Online Brokerage?
An online brokerage allows you to buy different types of investments through the broker’s website or app. Before online brokerages existed, you would usually have to call your broker to make a trade.
The great thing about online brokerages is that you can hold mutual funds, ETFs, stocks, bonds, GICs, and other investments all in one trading account. If you open an RRSP, TFSA, RESP, or non-registered account at a bank, you can usually only hold cash, GICs, or mutual funds.
However, you can normally hold only one type of investment in each account and not all three. You also can’t buy stocks without a brokerage account.
Many online brokers will also provide you with free webinars or videos, research reports, stock screeners, and much more.
How Does an Online Brokerage Work?
To make a trade, you log into your account either through the brokerage’s website or trading app. Then you look up the type of investment you’re interested in purchasing.
If you want to buy a stock, for example, there may be a buy/sell item in the dropdown menu or a button.
All you have to do is click on it, type in the number of shares you want to buy, and place the order. The broker will then execute the order, and you’ll own shares of the company within a few seconds.
How to Choose an Online Brokerage
When there are a number of brokerages to choose from, you may come down with a case of analysis paralysis. If you don’t want to pay any commissions, then your choices are very limited. If you want a sophisticated stock trading platform, then you have a lot more choices. It helps to narrow things down by looking at your needs and the costs of having an account.
Your needs and wants will play an important role in choosing a brokerage. If you want research reports, the ability to open every type of registered account, trading tools, and expect to trade options, a brokerage that offers those features and services will be right for you. You have to decide what broker meets all of your needs.
Commissions and fees will also be a factor in what brokerage you choose. If you expect to trade often, the one that charges higher trading fees than its competitors might not be the best option if you’re concerned about costs and the impact on your overall returns.
Alternative Options to Online Brokerages
If making your own investment decisions isn’t your cup of tea or you want to make some of your own choices but don’t want to invest in individual stocks, there are other ways to invest. Here are just a few:
Robo-advisors
A robo-advisor decides your portfolio allocation for you based on information about your financial goals and risk tolerance. It chooses from a select number of exchange-traded funds (ETFs) to build your portfolio.
You have to pay a management fee (typically around 0.5%) plus the fees charged by the ETFs (usually around 0.2%) for a total annual cost of about 0.7%. While this is more expensive than an asset-allocation ETF, it can be a lot less expensive than buying mutual funds.
A number of financial companies have a robo-advisor, including Wealthsimple, CI Direct Investing, NestWealth, JustWealth, BMO, and RBC.
Mutual Funds
Mutual funds come in all shapes and sizes, such as stock, bond, and money market funds. Some funds invest in specific sectors, including technology, healthcare, and mining funds.
Unlike most ETFs, a majority of mutual funds are actively managed. That means a fund manager tries to beat the market by selecting stocks they think will outperform. You have to pay a fee for this type of management, which is typically around 2% annually. This is why mutual funds often get a bad rap.
However, there are also passively managed funds that try to replicate certain stock indices (such as the S&P/TSX Composite Index). These are called index funds and the fees are much lower—usually at least half as much as a typical mutual fund.
Canada’s big banks and other large financial institutions usually offer both mutual funds and index funds.
Guaranteed Investment Certificates (GICs)
GICs are safe investments that provide a guaranteed rate of return over a certain period. Most GICs have terms of between one and five years although some might be for shorter or longer periods. Interest rates are higher when the term is longer.
There are many types of GICs, such as redeemable, cashable, non-redeemable, and market-linked GICs.
Cashable GICs can be cashed in only after a certain period (usually 30 days) while redeemable GICs can be cashed at any time.
Interest rates for cashable and redeemable GICs are typically much lower than non-redeemable/non-cashable GICs.
Non-redeemable or non-cashable GICs can only be cashed in when the term ends. As a reward for not being able to access your money, a financial institution will offer a higher rate of interest.
There are also market-linked (also called index-linked) GICs. It’s sort of an indirect way of investing in the stock market, but there’s a catch. The rate is based on how the index performs except there’s a cap on the amount of growth if the market soars. If the market tanks, you’ll earn interest at a rate that’s lower than what you’d get had you invested in a regular GIC.
GICs are available from all major financial institutions.
Our Final Thoughts
The best online brokerages in Canada have great attributes. Some offer commission-free trading on ETFs while others have great research tools and no minimum balance to start trading. With so many online brokerages to choose from, it can be hard to decide which one to use.
Before making a decision, do some additional research on what each has to offer and whether or not the discount brokerage can meet your needs. If it checks most or all of the boxes, you’re all set. More trading platforms can be found in our review of the best trading platforms in Canada.
Craig Sebastiano
Frequently Asked Questions
It depends on how comfortable you are with making your own investment decisions. A brokerage can be a good way to get your feet wet in the world of investing.
Opening a brokerage account now can save you the hassle of moving your investments to an online broker later. However, you might want to start investing in a mutual fund or ETF instead of putting all of your money in an individual stock.
If you don’t have enough money to have the account maintenance fee waived at your favorite broker, it might not be worth the cost of opening a brokerage account.
Yes, online brokerages are safe. If you’re worried about a broker going bankrupt, the Canadian Investor Protection Fund (CIPF) will protect your investments up to a certain limit.
The limit for individuals is $1 million for all combined general accounts (such as margin accounts and TFSAs) combined, $1 million for all combined registered accounts (such as RRSPs, LIRAs, LIFs, and RRIFs), plus $1 million for all combined RESPs.
However, keep in mind that the CIPF doesn’t protect your investments if they decline in value. All of the brokers mentioned in this article are CIPF members.
The best online brokerage depends on a beginner’s wants and needs. Do you want to pay no fees? Do you want to trade ETFs for free? Do you want to trade in a variety of registered accounts? Do you want access to stock research reports and on-demand webinars?
Unfortunately, not every brokerage offers all of these, so you’ll have to choose the one that has what you want. Most of the brokers mentioned in this article cater to new investors, so you have a lot of choices.
