Finding a brokerage platform in Canada that has high utility and relatively low trading fees is often far and few between. In addition, some platforms are better suited for different investing experience levels.
Fortunately, the research has already been done for you. Here are the three best platforms to trade stocks in Canada.
Users of the brokerage can also purchase stocks listed in the United States and utilize the vast library of research-based content to understand the basics and intermediate levels of investing. The platform’s user experience is generally perceived as easier to understand than some of its competitors.
However, Wealthsimple is not recommended for Canadians who are looking to actively trade equities, either day or options trading, since the lack of technical features could limit trading capabilities.
Questrade (for Intermediate Investors)
Questrade is one of Canada’s leading brokerage platforms which enables investors to trade stocks listed in Canada, the United States, and other foreign markets. Within the brokerage, there are two account options.
Self-Directed Investing: In this account, the pricing and features are compelling. Each trade requires a minimum trading fee of $4.95, or a maximum of $9.95 when over 995 shares are traded within a single order. ETFs however, at least when being bought, don’t have any fees associated until an investor places a sell order. This can assist many new investors who want a diversified investment portfolio and wish to hold over the long term.
Active Trader: This account is best suited for day traders who want to ride with the momentum of the market. Under this account, investors must subscribe to an advanced market data offering from Questrade. Afterwards, pricing is dependent on the fixed or variable rate model chosen by the investor, which has its own advantages. The fees incurred during options trading are either $4.95 or $6.95 depending on fixed or variable plans.
With either option, Questrade makes it easier for both investors and active traders to invest. However, some experience is definitely recommended to understand the vast amounts of market data.
Interactive Brokers (for Professionals)
Last but not least is Interactive Brokers. This brokerage offers a wide variety of features for professional or expert-level investors with past experience in the market. Interactive Brokers is best known for its international exposure, which gives investors the opportunity to invest in stocks listed on 135 market exchanges in 33 countries.
Depending on the account, either IBKR Lite or Pro, fees are $0 or a $1 minimum on stock trading. IBKR Lite is optimal for more casual traders and investors who still want a technical advantage, while Pro provides a vast network of trading tools and market data. The only downside to the Lite account is that trade executions may be lower-quality since payment for order flow (PFOF) is Interactive Brokers’ primary source of revenue for Lite.
Regardless, Interactive Brokers is the clear winner for active traders who want to utilize options, futures, and 68 different order types.
Which Platform to Choose?
Whether you’re a beginner or an expert at trading, either platform will work out well. However, it’s recommended to go in order if you’re a beginner since the hurdles of grasping investing concepts could be easier starting with Wealthsimple, as opposed to Interactive Brokers.
TORONTO – Canada’s main stock index was down more than 200 points in late-morning trading, weighed down by losses in the technology, base metal and energy sectors, while U.S. stock markets also fell.
The S&P/TSX composite index was down 239.24 points at 22,749.04.
In New York, the Dow Jones industrial average was down 312.36 points at 40,443.39. The S&P 500 index was down 80.94 points at 5,422.47, while the Nasdaq composite was down 380.17 points at 16,747.49.
The Canadian dollar traded for 73.80 cents US compared with 74.00 cents US on Thursday.
The October crude oil contract was down US$1.07 at US$68.08 per barrel and the October natural gas contract was up less than a penny at US$2.26 per mmBTU.
The December gold contract was down US$2.10 at US$2,541.00 an ounce and the December copper contract was down four cents at US$4.10 a pound.
This report by The Canadian Press was first published Sept. 6, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in technology, financial and energy stocks, while U.S. stock markets also pushed higher.
The S&P/TSX composite index was up 171.41 points at 23,298.39.
In New York, the Dow Jones industrial average was up 278.37 points at 41,369.79. The S&P 500 index was up 38.17 points at 5,630.35, while the Nasdaq composite was up 177.15 points at 17,733.18.
The Canadian dollar traded for 74.19 cents US compared with 74.23 cents US on Wednesday.
The October crude oil contract was up US$1.75 at US$76.27 per barrel and the October natural gas contract was up less than a penny at US$2.10 per mmBTU.
The December gold contract was up US$18.70 at US$2,556.50 an ounce and the December copper contract was down less than a penny at US$4.22 a pound.
This report by The Canadian Press was first published Aug. 29, 2024.
The crypto market has recently experienced a significant downturn, mirroring broader risk asset sell-offs. Over the past week, Bitcoin’s price dropped by 24%, reaching $53,000, while Ethereum plummeted nearly a third to $2,340. Major altcoins also suffered, with Cardano down 27.7%, Solana 36.2%, Dogecoin 34.6%, XRP 23.1%, Shiba Inu 30.1%, and BNB 25.7%.
The severe downturn in the crypto market appears to be part of a broader flight to safety, triggered by disappointing economic data. A worse-than-expected unemployment report on Friday marked the beginning of a technical recession, as defined by the Sahm Rule. This rule identifies a recession when the three-month average unemployment rate rises by at least half a percentage point from its lowest point in the past year.
Friday’s figures met this threshold, signaling an abrupt economic downshift. Consequently, investors sought safer assets, leading to declines in major stock indices: the S&P 500 dropped 2%, the Nasdaq 2.5%, and the Dow 1.5%. This trend continued into Monday with further sell-offs overseas.
The crypto market’s rapid decline raises questions about its role as either a speculative asset or a hedge against inflation and recession. Despite hopes that crypto could act as a risk hedge, the recent crash suggests it remains a speculative investment.
Since the downturn, the crypto market has seen its largest three-day sell-off in nearly a year, losing over $500 billion in market value. According to CoinGlass data, this bloodbath wiped out more than $1 billion in leveraged positions within the last 24 hours, including $365 million in Bitcoin and $348 million in Ether.
Khushboo Khullar of Lightning Ventures, speaking to Bloomberg, argued that the crypto sell-off is part of a broader liquidity panic as traders rush to cover margin calls. Khullar views this as a temporary sell-off, presenting a potential buying opportunity.
Josh Gilbert, an eToro market analyst, supports Khullar’s perspective, suggesting that the expected Federal Reserve rate cuts could benefit crypto assets. “Crypto assets have sold off, but many investors will see an opportunity. We see Federal Reserve rate cuts, which are now likely to come sharper than expected, as hugely positive for crypto assets,” Gilbert told Coindesk.
Despite the recent volatility, crypto continues to make strides toward mainstream acceptance. Notably, Morgan Stanley will allow its advisors to offer Bitcoin ETFs starting Wednesday. This follows more than half a year after the introduction of the first Bitcoin ETF. The investment bank will enable over 15,000 of its financial advisors to sell BlackRock’s IBIT and Fidelity’s FBTC. This move is seen as a significant step toward the “mainstreamization” of crypto, given the lengthy regulatory and company processes in major investment banks.
The recent crypto market downturn highlights its volatility and the broader economic concerns affecting all risk assets. While some analysts see the current situation as a temporary sell-off and a buying opportunity, others caution against the speculative nature of crypto. As the market evolves, its role as a mainstream alternative asset continues to grow, marked by increasing institutional acceptance and new investment opportunities.
