Tag: CIBC Investor’s Edge

CIBC Investor’s Edge

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Discount Brokerage Deals & Promotions – July 2018

*Updated: July 5* With lots of sunshine, July’s crop of discount brokerage deals is still in full bloom. That’s great news for DIY investors looking to open online investing account with a Canadian online brokerage. While the cash back offerings still lag the commission-free category, there remains ample opportunity to get a transfer-free bonus when switching online brokers.

As July 1st falls on a holiday (happy Canada Day!) and a weekend, online brokerage websites may not have been updated with the latest deals for July. Not to worry though, we’re keeping a lookout for new deal announcements that might appear after the long weekend.

All told, after an eventful June, the deals and promotions activity in July looks like it will have a few surprises of its own to offer. Early on this month, we’re watching the National Bank Direct Brokerage offer (which is scheduled to expire July 6th) as well as what will transpire with BMO InvestorLine in the first week of July.

Stay tuned and as always, if you spot a deal that would be interesting to fellow DIY investors, please feel free to let us know or leave a comment below.

Expired Deals

It was interesting to see this deal come to market when it did, and we’re certainly sad to see it go, but the RBC Direct Investing commission-free trade promotion expired mid-month in June. The move by the large bank-owned brokerage is a signal that they can still surprise the marketplace.

Another offer that technically expired heading into July was BMO InvestorLine’s cash back and commission-free trade promotion. Since a replacement has not yet been posted to the BMO InvestorLine website at the time of the deals & promotions update, we’ll count this one out. If history is any indicator, however, there may be a pleasant surprise coming very shortly.

Extended Deals

There were no extended offers to report (yet).

New Deals

*Updated: July 5 – BMO InvestorLine launched a new cash back deal this month which is sure to get onto DIY investors’ radars. The tiered offer, which is open to new and existing clients, provides cash back bonuses ranging from $75 (for a $50,000 deposit) to $1,000 (for a $500,000 deposit). Keep in mind that BMO InvestorLine’s offer can be combined with their refer-a-friend promotion which can add an extra $50 cash back to the total reward amount. See table below for more information.*

At the start of July, there were no new offers that we spotted, however heading into this month there were a pair of important offers in June that caught our attention.

The first new offer that showed up in June was from Scotia iTRADE, specifically a cash back (in the form of a gift card) offer that was being marketed to existing clients. Specifically, this deal is open to existing clients as of May 14th, 2018. We’ve added that deal to the table this month as it is worth enquiring about for new clients to see if iTRADE is prepared to match or provide a better offer when signing up.

Another promotion that crossed the deals radar last month was from BMO SmartFolio, who launched a cash back offering. The cash back amounts on this offer ranged from $25 cash back (for a deposit of $5,000) to $1000 cash back (for a deposit of $200,000 or more). See the table below for more details.

Discount Brokerage Deals

  1. Cash Back/Free Trade/Product Offer Promotions
  2. Referral Promotions
  3. Transfer Fee Promotions
  4. Contests & Other Offers
  5. Digital Advice + Roboadvisor Promotions

Cash Back/Free Trade/Product Offer Promotions

Company Brief Description Minimum Deposit Amount Commission/Cash Offer/Promotion Type Time Limit to Use Commission/Cash Offer Details Link Deadline
Jitney Trade A Sparx Trading exclusive offer! Use the promo code “Sparx Trading” when signing up for a new account with Jitneytrade and receive access to their preferred pricing package. n/a Discounted Commission Rates none For more details click here none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive $88 in commission credits (up to 17 commission-free trades). Use promo code SPARX88 when signing up. Be sure to read terms and conditions carefully. $1,000 $88 commission credit 60 days Access this offer by clicking here: $88 commission-credit offer . For full terms and conditions, click here. none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive 5 commission-free trades. Use promo code 5FREETRADES when signing up. Be sure to read terms and conditions carefully. $1,000 5 commission-free trades 60 days 5 commission-free trade offer December 31, 2018
Disnat Desjardins Online Brokerage is offering new clients 1% of assets transferred into the new account in the form of commission credits (to a maximum value of $1,000). Minimum qualifying deposit is $10,000. To qualify, individuals will have to call 1-866-873-7103 and mention promo code DisnatTransfer or email: [email protected]. See details link for more info. $10,000 1% of assets transferred in the form of commission-credits (max credits: $1,000) 6 months Disnat 1% Commission Credit Promo September 30, 2018
Scotia iTrade Open and fund a new account with Scotia iTRADE (or fund an existing account) with at least A) $25,000; B) $50,000; C) $100,000; D) $250,000; E) $500,000 or F) $1M+ and you may be eligible to receive a pre-paid Visa card worth A) $100; B) $200; C) $500; D) $800; E) $1,100 or F) $1,500. Use promo code 18SUM when registering. Be sure to read terms and conditions for more details. NOTE: this offer is open to existing Scotia iTRADE clients only (who were clients prior to May 14, 2018). A) $25,000 B) $50,000 C) $100,000 D) $250,000 E) $500,000 F) $1M+ A) $100 B) $200 C) $500 D) $800 E) $1,100 F) $1,5000 pre-paid Visa card will be awarded by Jan. 31, 2019. iTRADE Summer Promo August 31, 2018
Open and fund a new qualifying account with at least $25,000 and you may qualify for one month of unlimited commission-free trades and up to one month free of an advanced data package. Use promo code ADVANTAGE14 when opening a new account. Be sure to read terms and conditions for full details. $25,000 commission-free trades for 1 month + 1 month of advanced data. 1 month Active Trader Program December 31, 2018
BMO InvestorLine Open a new account or fund an existing account at BMO InvestorLine with new assets worth at least A) $50,000; B) $100,000; C) $300,000 or D) $500,000+ and you may be eligible to receive a cash back reward of up to A) $75; B) $200; C) $500 or D) $1000. Use promo code SPARXCASH when registering to qualify. Be sure to read full terms and conditions. A) $50,000 B) $100,000 C) $300,000 D) $500,000+ A) $75 B) $200 C) $500 D) $1000 Cash back will be deposited the week of April 19, 2019. BMO InvestorLine Summer 2018 Campaign September 3, 2018

Expired Offers
Open a new account at National Bank Direct Brokerage with at least 5,000 and you may be eligible to receive up to 25 commission-free trades, good for up to one year. There is also a promotional discounted commission-pricing available within the first year to individuals who use up their 25 trades; trading commissions for the first year are $6.95. Use promo code SPRING 2018 when signing up to be eligible for this offer. This offer is also available to existing clients. Be sure to read terms and conditions for full details. $5,000 25 commission-free trades + $6.95 commission per trade pricing 365 days National Bank Spring Offer July 6, 2018
Last Updated: July 27, 2018 21:45 PT

Referral Promotions

Company Brief Description Minimum Deposit Amount Incentive Structure Time Limit to Use Commission/Cash Offer Deposit Details Link Deadline
Refer a friend to Questrade and when they open an account you receive $25 cash back and they receive either A) $25; B) $50; C) $75; D) $100; or E) $250 depending on the amount deposited amount. Enter code: 476104302388759 during account sign up to qualify. Be sure to read the terms and conditions for eligibility and additional bonus payment structure and minimum balance requirements. A) $1,000 B) $10,000 C) $25,000 D) $50,000 E) $100,000+ $25 cash back (for referrer per referral; $50 bonus cash back for every 3rd referral) For referred individuals: A) $25 cash back B) $50 cash back C) $75 cash back D) $100 cash back E) $250 cash back Cash deposited into Questrade billing account within 7 days after funding period ends (90 days) Refer a friend terms and conditions Code Number: 476104302388759 none
Scotia iTrade If you refer a friend/family member who is not already a Scotia iTRADE account holder to them, both you and your friend get a bonus of either cash or free trades. You have to use the referral form to pass along your info as well as your friend/family members’ contact info in order to qualify. There are lots of details/conditions to this deal so be sure to read the details link. A) $10,000 B) $50,000+ A) You(referrer): $50 or 10 free trades; Your “Friend”: $50 or 10 free trades (max total value:$99.90) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $499.50) 60 days Refer A Friend to Scotia iTrade tbd
BMO InvestorLine If you (an existing BMO InvestorLine client) refer a new client to BMO InvestorLine and they open an account with at least $50,000 the referrer and the referee may both be eligible to receive $50 cash. To qualify the referee must use the email of the referrer that is linked to their BMO InvestorLine account. See terms and conditions for full details. $50,000 You(referrer): $50; Your Friend(referee): $50 Payout occurs 45 days after minimum 90 day holding period(subject to conditions). BMO InvestorLine Refer-a-Friend October 31, 2018

Expired Offers
Last Updated: July 1, 2018 14:55 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Transfer $15,000 or more to Qtrade Investor from another brokerage and Qtrade Investor may cover up to $150 in transfer fees. See terms and conditions for more details. $150 $15,000 Transfer Fee Rebate none
Transfer $15,000 or more to RBC Direct Investing and they will pay up to $135 in transfer fees. $135 $15,000 Transfer Fee Rebate Details none
Transfer $20,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees. $135 $20,000 Transfer Fee Rebate none
Transfer $25,000 or more from another brokerage and Credential Direct will cover up to $150 in transfer fees. Use promo code SWITCHME when signing up to qualify for the transfer promotion. $150 $25,000 Credential Direct Transfer Fee Rebate none
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
Transfer at least $25,000 or more in new assets to TD Direct Investing when opening a new account and you may qualify to have transfer fees reimbursed up to $150. Be sure to contact TD Direct Investing for further details. $150 $25,000 Contact client service for more information (1-800-465-5463). none
Scotia iTrade Transfer at least $25,000 in new assets to Scotia iTRADE and you may qualify to have transfer fees reimbursed up to $150. $150 $25,000 iTRADE Summer Promo August 31, 2018
Transfer $25,000 or more into a CIBC Investor’s Edge account and they will reimburse up to $135 in brokerage transfer fees. Clients must call customer service to request rebate after transfer made. $135 $25,000 Confirmed with reps. Contact client service for more information (1-800-567-3343). none
Disnat Disnat is offering up to $150 to cover the cost of transfer fees from another institution. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1-866-873-7103 and mention promo code DisnatTransfer. See details link for more info. $150 $50,000 Disnat 1% Commission Credit Promo September 30, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, by transferring in at least $200,000+ in net new assets and you may be eligible to have transfer fees covered up to $200. Use promo code SPARXCASH when signing up. Be sure to read the terms and conditions for more details on the offer. $200 $200,000 BMO InvestorLine Summer 2018 Campaign September 3, 2018

Expired Offers
Last Updated: July 5, 10:00 PT

Other Promotions

Company Brief Description Minimum Deposit Amount Required Details Link Deadline
Disnat Desjardins Online Brokerage, in conjunction with MoneyTalks, is offering 3 months of the “Inside Edge” investor information service to Desjardins Online Brokerage clients. Use promo code DESJ2016 during checkout to qualify. Be sure to read full terms and conditions for more information. n/a MoneyTalks Inside Edge Discount none
Disnat Desjardins Online Brokerage is offering $50 in commission credits for new Disnat Classic clients depositing at least $1,000. See terms and conditions for full details. $1,000 Broker@ge 18-30 Promotion none
Scotia iTrade Scotiabank StartRight customers can receive 10 commission-free trades when investing $1,000 or more in a new Scotia iTrade account. Trades are good for use for up to 1 year from the date the account is funded. Use promo code SRPE15 when applying (in English) or SRPF15 when applying in French. Be sure to read full terms and conditions for full details. $1,000 StartRight Free Trade offer none

Expired Offers
Last Updated: July 1, 2018 18:55 PT

Digital Advice + Roboadvisor Promotions

Robo-advisor / Digital advisor Offer Type Offer Description Min. Deposit Reward / Promotion Promo Code Expiry Date Link
Discounted Management Open and fund a new Questrade Portfolio IQ account with a deposit of at least $1,000 and the first month of management will be free. For more information on Portfolio IQ, click the product link. $1,000 1st month no management fees KDKFNBBC None Questrade Portfolio IQ Promo Offer
Cash Back Open and fund a new or existing SmartFolio account with at least $1,000 and you could receive 0.5% cash back up to $200. Use promo code PROMO1000 when opening a new account. See terms and conditions for full details. This offer can be combined with the refer-a-friend promotion. $1,000 0.5% cash back to a maximum of $200. PROMO1000 September 4, 2018 SmartFolio Cash Back Promo
Discounted Management Open a new account with BMO SmartFolio and receive one year of management of up to $15,000 free. See offer terms and conditions for more details. $1,000 1 year no management fees STSF April 30, 2019 SmartFolio New Account Promotion
Cash Back – Referral BMO SmartFolio clients will receive $50 cash back for every friend or family member who opens and funds a new SmartFolio account. Friends and family referred to SmartFolio will receive $50 cash back for opening and funding an account, plus automatic enrollment into SmartFolio’s mass offer in market at the time. See offer terms and conditions for more details. $1,000 $50 cash back (referrer) $50 cash back (referee) Unique link generated from SmartFolio required. None SmartFolio Website
Transfer Fee Coverage Transfer at least $25,000 into Virtual Wealth when opening a new account and you may be eligible to have up to $150 in transfer fees covered by Virtual Wealth. $25,000 up to $150 in transfer fees covered None None Contact customer service directly for more information.
Last Updated: July 1, 2018 14:55 PT
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Discount Brokerage Deals & Promotions – June 2018

It’s hard to believe but June is already here, which means summer is right around the corner. While temperatures outside are heating up, the discount brokerage deals and promotions section is gradually warming back up.

Heading into the new month there was a good mix of extensions as well as a new offer from National Bank Direct Brokerage in May that is sure to add some sizzle to the summer shopping season.

Starting first with extensions, two big deals players, BMO InvestorLine and Desjardins Online Brokerage, gave the go ahead for their existing offers to continue (more details below). This is a healthy sign as both of these firms are long time proponents of deals and promotions.

The big news, however, is the offer that crossed our radar from National Bank Direct Brokerage. This offer has a relatively low threshold to qualify ($5,000) and offers 25 commission-free trades which are good for up to one year. If it sounds familiar, it’s because another bank-owned online brokerage, RBC Direct Investing, also has an offer that is currently running to mid-June that offers 20 commission-free trades for a deposit of $5,000. So, in this case, the commission-free trade promotion bid has been raised by NBDB.

Another interesting feature of the offer from National Bank Direct Brokerage is that once the trades are used up (within the first year only), the standard commission charge per trade is only $6.95 which means that there is a trading discount as well as free trades.

With one offer set to expire mid-month (from RBC Direct Investing), it will be interesting to see if it too will get an extension or if there will be another provider currently on the sidelines jump in to the deals and promotions mix to be ready for the building interest in the marijuana legalization ‘buzz’ that is building.

We’ll keep a look out for new offers and if there are any that might be of interest to DIY investors, feel free to let us know in the comments below.

Expired Deals

No expired deals to report at the outset of the month.

Extended Deals

There were two offers that were scheduled to expire at the end of May that have been renewed:

First, Desjardins Online Brokerage has extended their commission credit offer through to the end of September.

Also, BMO InvestorLine extended their combined commission-free trade and cash back offer through to the end of June.

New Deals

While there were no new deals announced on June 1st, there was a new deal from National Bank Direct Brokerage that did cross the wire late in May. While this deal may technically have been in rotation at the end of April, it is not advertised in the special offers section of the NBDB website; we discovered this add running in rotation on social media and verified that it is active (at the time of publication).

Discount Brokerage Deals

  1. Cash Back/Free Trade/Product Offer Promotions
  2. Referral Promotions
  3. Transfer Fee Promotions
  4. Contests & Other Offers
  5. Digital Advice + Roboadvisor Promotions

Cash Back/Free Trade/Product Offer Promotions

Company Brief Description Minimum Deposit Amount Commission/Cash Offer/Promotion Type Time Limit to Use Commission/Cash Offer Details Link Deadline
Jitney Trade A Sparx Trading exclusive offer! Use the promo code “Sparx Trading” when signing up for a new account with Jitneytrade and receive access to their preferred pricing package. n/a Discounted Commission Rates none For more details click here none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive $88 in commission credits (up to 17 commission-free trades). Use promo code SPARX88 when signing up. Be sure to read terms and conditions carefully. $1,000 $88 commission credit 60 days Access this offer by clicking here: $88 commission-credit offer . For full terms and conditions, click here. none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive 5 commission-free trades. Use promo code 5FREETRADES when signing up. Be sure to read terms and conditions carefully. $1,000 5 commission-free trades 60 days 5 commission-free trade offer December 31, 2018
Open a new account at National Bank Direct Brokerage with at least 5,000 and you may be eligible to receive up to 25 commission-free trades, good for up to one year. There is also a promotional discounted commission-pricing available within the first year to individuals who use up their 25 trades; trading commissions for the first year are $6.95. Use promo code SPRING 2018 when signing up to be eligible for this offer. This offer is also available to existing clients. Be sure to read terms and conditions for full details. $5,000 25 commission-free trades + $6.95 commission per trade pricing 365 days National Bank Spring Offer July 6, 2018
Open and fund a new account at RBC Direct Investing with at least $5,000 in net new assets and you may be eligible to receive up to 20 commission-free equity trades which are good for up to one year. Be sure to read terms and conditions for full details. $5,000 20 commission-free trades 365 days RBC Direct Investing Commission-free Trades Promotion June 14, 2018
Disnat Desjardins Online Brokerage is offering new clients 1% of assets transferred into the new account in the form of commission credits (to a maximum value of $1,000). Minimum qualifying deposit is $10,000. To qualify, individuals will have to call 1-866-873-7103 and mention promo code DisnatTransfer or email: [email protected]. See details link for more info. $10,000 1% of assets transferred in the form of commission-credits (max credits: $1,000) 6 months Disnat 1% Commission Credit Promo September 30, 2018
Open and fund a new qualifying account with at least $25,000 and you may qualify for one month of unlimited commission-free trades and up to one month free of an advanced data package. Use promo code ADVANTAGE14 when opening a new account. Be sure to read terms and conditions for full details. $25,000 commission-free trades for 1 month + 1 month of advanced data. 1 month Active Trader Program December 31, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, with at least A) $50,000; B) $100,000 or C) $300,000+ in net new assets and you may be eligible to receive up to 20 commission-free equity trades plus A) $50 cash back; B) $150 cash back or C) $500 cash back. Commission-free trades are good for up to two months. In addition, eligible individuals can receive an extra $50 as part of the refer a friend program. Use promo code SPRING when signing up. Be sure to read the terms and conditions for more details on the offer. A) $50,000 B) $100,000 C) $300,000 20 commission-free equity trades AND A) $50; B) $150 C) $500. Commission-free equity trades are good for up to two months. Cash back will be deposited the week of January 21, 2019. BMO InvestorLine Spring 2018 Campaign June 30, 2018

Expired Offers
Last Updated: June 01, 2018 18:55 PT

Referral Promotions

Company Brief Description Minimum Deposit Amount Incentive Structure Time Limit to Use Commission/Cash Offer Deposit Details Link Deadline
Refer a friend to Questrade and when they open an account you receive $25 cash back and they receive either A) $25; B) $50; C) $75; D) $100; or E) $250 depending on the amount deposited amount. Enter code: 476104302388759 during account sign up to qualify. Be sure to read the terms and conditions for eligibility and additional bonus payment structure and minimum balance requirements. A) $1,000 B) $10,000 C) $25,000 D) $50,000 E) $100,000+ $25 cash back (for referrer per referral; $50 bonus cash back for every 3rd referral) For referred individuals: A) $25 cash back B) $50 cash back C) $75 cash back D) $100 cash back E) $250 cash back Cash deposited into Questrade billing account within 7 days after funding period ends (90 days) Refer a friend terms and conditions Code Number: 476104302388759 none
Scotia iTrade If you refer a friend/family member who is not already a Scotia iTRADE account holder to them, both you and your friend get a bonus of either cash or free trades. You have to use the referral form to pass along your info as well as your friend/family members’ contact info in order to qualify. There are lots of details/conditions to this deal so be sure to read the details link. A) $10,000 B) $50,000+ A) You(referrer): $50 or 10 free trades; Your “Friend”: $50 or 10 free trades (max total value:$99.90) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $499.50) 60 days Refer A Friend to Scotia iTrade tbd
BMO InvestorLine If you (an existing BMO InvestorLine client) refer a new client to BMO InvestorLine and they open an account with at least $50,000 the referrer and the referee may both be eligible to receive $50 cash. To qualify the referee must use the email of the referrer that is linked to their BMO InvestorLine account. See terms and conditions for full details. $50,000 You(referrer): $50; Your Friend(referee): $50 Payout occurs 45 days after minimum 90 day holding period(subject to conditions). BMO InvestorLine Refer-a-Friend October 31, 2018

Expired Offers
Last Updated: June 1, 2018 18:55 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Transfer $15,000 or more to Qtrade Investor from another brokerage and Qtrade Investor may cover up to $150 in transfer fees. See terms and conditions for more details. $150 $15,000 Transfer Fee Rebate none
Transfer $15,000 or more to RBC Direct Investing and they will pay up to $135 in transfer fees. $135 $15,000 Transfer Fee Rebate Details none
Transfer $20,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees. $135 $20,000 Transfer Fee Rebate none
Transfer $25,000 or more from another brokerage and Credential Direct will cover up to $150 in transfer fees. Use promo code SWITCHME when signing up to qualify for the transfer promotion. $150 $25,000 Credential Direct Transfer Fee Rebate none
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
Transfer at least $25,000 or more in new assets to TD Direct Investing when opening a new account and you may qualify to have transfer fees reimbursed up to $150. Be sure to contact TD Direct Investing for further details. $150 $25,000 Contact client service for more information (1-800-465-5463). none
Transfer $25,000 or more into a CIBC Investor’s Edge account and they will reimburse up to $135 in brokerage transfer fees. Clients must call customer service to request rebate after transfer made. $135 $25,000 Confirmed with reps. Contact client service for more information (1-800-567-3343). none
Disnat Disnat is offering up to $150 to cover the cost of transfer fees from another institution. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1-866-873-7103 and mention promo code DisnatTransfer. See details link for more info. $150 $50,000 Disnat 1% Commission Credit Promo September 30, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, by transferring in at least $200,000+ in net new assets and you may be eligible to have transfer fees covered up to $200. Use promo code SPRING when signing up. Be sure to read the terms and conditions for more details on the offer. $200 $200,000 BMO InvestorLine Spring 2018 Campaign May 31, 2018

Expired Offers
Last Updated: June 1, 18:55 PT

Other Promotions

Company Brief Description Minimum Deposit Amount Required Details Link Deadline
Disnat Desjardins Online Brokerage, in conjunction with MoneyTalks, is offering 3 months of the “Inside Edge” investor information service to Desjardins Online Brokerage clients. Use promo code DESJ2016 during checkout to qualify. Be sure to read full terms and conditions for more information. n/a MoneyTalks Inside Edge Discount none
Disnat Desjardins Online Brokerage is offering $50 in commission credits for new Disnat Classic clients depositing at least $1,000. See terms and conditions for full details. $1,000 Broker@ge 18-30 Promotion none
Scotia iTrade Scotiabank StartRight customers can receive 10 commission-free trades when investing $1,000 or more in a new Scotia iTrade account. Trades are good for use for up to 1 year from the date the account is funded. Use promo code SRPE15 when applying (in English) or SRPF15 when applying in French. Be sure to read full terms and conditions for full details. $1,000 StartRight Free Trade offer none

Expired Offers
Last Updated: June 1, 2018 18:55 PT

Digital Advice + Roboadvisor Promotions

Robo-advisor / Digital advisor Offer Type Offer Description Min. Deposit Reward / Promotion Promo Code Expiry Date Link
Discounted Management Open and fund a new Questrade Portfolio IQ account with a deposit of at least $1,000 and the first month of management will be free. For more information on Portfolio IQ, click the product link. $1000 1st month no management fees KDKFNBBC None Questrade Portfolio IQ Promo Offer
Discounted Management Open a new account with BMO SmartFolio and receive one year of management of up to $15,000 free. See offer terms and conditions for more details. $1,000 1 year no management fees STSF April 1, 2018 SmartFolio New Account Promotion
Cash Back – Referral BMO SmartFolio clients will receive $50 cash back for every friend or family member who opens and funds a new SmartFolio account. Friends and family referred to SmartFolio will receive $50 cash back for opening and funding an account, plus automatic enrollment into SmartFolio’s mass offer in market at the time. See offer terms and conditions for more details. $1,000 $50 cash back (referrer) $50 cash back (referee) Unique link generated from SmartFolio required. None SmartFolio Website
Transfer Fee Coverage Transfer at least $25,000 into Virtual Wealth when opening a new account and you may be eligible to have up to $150 in transfer fees covered by Virtual Wealth. $25,000 up to $150 in transfer fees covered None None Contact customer service directly for more information.
Last Updated: June 1, 2018 18:55 PT
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Discount Brokerage Deals & Promotions – May 2018

*Update: May 29*  There’s an old trader tip that says “buy when it snows and sell when it goes.” Now, it wasn’t too long ago that the snow actually did leave but the arrival of May “should” mean no more snow. Alas, snow wasn’t the only thing disappearing to kick off this month. Several Canadian discount brokerages decided to hang up their promotional skates (for the moment anyway) which has certainly cleared the field for those brokerages actively promoting offers, to continue to post offers to win over new clients and assets.

Discount Brokerage Deals Quick Nav

  1. Cash Back/Free Trade/Product Offer Promotions
  2. Referral Promotions
  3. Transfer Fee Promotions
  4. Contests & Other Offers
  5. Digital Advice + Roboadvisor Promotions

Yes, the big story heading into the new month isn’t who arrived but rather who stepped back. As of the beginning of May, HSBC InvestDirect, National Bank Direct Brokerage and Virtual Brokers all let the clocks on their respective offers run out.

For DIY investors seeking out cash-back promotions, the field is slim, with either Questrade (via their referral offer) or BMO InvestorLine (whose offer also comes with free trades) providing easy to access cash back offers.

Scotia iTRADE and BMO InvestorLine also offer referral promotions with a cash-back component to them however accessing these offers requires more effort that either Questrade’s referral-based cash-back offer or BMO’s standard offer. Side note, BMO InvestorLine’s referral offer can be combined with their current commission-free trading + cash back offer.

It will be interesting to see just how long competitor online brokerages to BMO InvestorLine and Questrade are willing to sit on the sidelines while both firms dominate the deals field unchallenged (at least for now). For the moment, however, the stats are clear: for DIY investors looking for a deal are going to focusing hard on the only brokerages in the spotlight at this point.

Correction: an earlier version of the table that referenced a cash reward of $400 at Questrade for a deposit of $250,000 was incorrect. The current table has been updated with correct information.

 

Expired Offers

Several offers from Canadian online brokerages expired at the end of April. Virtual Brokers’ transfer fee technically expired, while National Bank Direct Brokerage’s commission-free trading promotion also expired. HSBC InvestDirect’s cash back promotion officially ended after having been extended just a little while longer.

Extended Offers

No offers were extended as of the beginning of May.

New Offers

*Update May 29 – After an interesting little blip in the deals section, National Bank Direct Brokerage is back once again with their commission-free trade offer.

The deal, which is interestingly not posted on their promotions section or in their header slider, is being advertised (and was discovered) on Facebook. In any case, there is a live link to the offer that we’ve included in the table below.

This new offer is similar previous commission-free trade deal of 25 trades which are good for one year except there is also promotional pricing of $6.95 per trade when the 25 trades are used up. This is actually quite a compelling offer for anyone interested in trying out NBDB because they are lowering their standard commission pricing down from $9.95 to where CIBC Investor’s Edge pricing is on a standard basis. So, although this discounted pricing is temporary, it definitely means National Bank Direct Brokerage has one of the most competitive offers out there.

See table below for more information.*

*Update May 7 – After a long absence from the commission-free trade section of the deals section, RBC Direct Investing is stepping back into the mix with a new offer of 20 commission-free trades which are good for up to one year. This is likely to be a popular offer in the category for several reasons. First, the hurdle to qualify for this offer is incredibly low – the minimum deposit required is only $5,000. Second, RBC Direct Investing is part of Canada’s largest bank, which means there’s lots of attention this offer will garner from DIY investors. Last (but not least), there are fewer players on the deals field at the moment which necessarily means this offer will get more exposure. Scroll down to read additional details.*

No new offers to announce at the outset of May.

Discount Brokerage Deals

  1. Cash Back/Free Trade/Product Offer Promotions
  2. Referral Promotions
  3. Transfer Fee Promotions
  4. Contests & Other Offers
  5. Digital Advice + Roboadvisor Promotions

Cash Back/Free Trade/Product Offer Promotions

Company Brief Description Minimum Deposit Amount Commission/Cash Offer/Promotion Type Time Limit to Use Commission/Cash Offer Details Link Deadline
Jitney Trade A Sparx Trading exclusive offer! Use the promo code “Sparx Trading” when signing up for a new account with Jitneytrade and receive access to their preferred pricing package. n/a Discounted Commission Rates none For more details click here none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive $88 in commission credits (up to 17 commission-free trades). Use promo code SPARX88 when signing up. Be sure to read terms and conditions carefully. $1,000 $88 commission credit 60 days Access this offer by clicking here: $88 commission-credit offer . For full terms and conditions, click here. none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive 5 commission-free trades. Use promo code 5FREETRADES when signing up. Be sure to read terms and conditions carefully. $1,000 5 commission-free trades 60 days 5 commission-free trade offer December 31, 2018
Open a new account at National Bank Direct Brokerage with at least 5,000 and you may be eligible to receive up to 25 commission-free trades, good for up to one year. There is also a promotional discounted commission-pricing available within the first year to individuals who use up their 25 trades; trading commissions for the first year are $6.95. Use promo code SPRING 2018 when signing up to be eligible for this offer. This offer is also available to existing clients. Be sure to read terms and conditions for full details. $5,000 25 commission-free trades + $6.95 commission per trade pricing 365 days National Bank Spring Offer July 6, 2018
Open and fund a new account at RBC Direct Investing with at least $5,000 in net new assets and you may be eligible to receive up to 20 commission-free equity trades which are good for up to one year. Be sure to read terms and conditions for full details. $5,000 20 commission-free trades 365 days RBC Direct Investing Commission-free Trades Promotion June 14, 2018
Disnat Desjardins Online Brokerage is offering new clients 1% of assets transferred into the new account in the form of commission credits (to a maximum value of $1,000). Minimum qualifying deposit is $10,000. To qualify, individuals will have to call 1-866-873-7103 and mention promo code DisnatTransfer or email: [email protected]. See details link for more info. $10,000 1% of assets transferred in the form of commission-credits (max credits: $1,000) 6 months Disnat 1% Commission Credit Promo May 31, 2018
Open and fund a new qualifying account with at least $25,000 and you may qualify for one month of unlimited commission-free trades and up to one month free of an advanced data package. Use promo code ADVANTAGE14 when opening a new account. Be sure to read terms and conditions for full details. $25,000 commission-free trades for 1 month + 1 month of advanced data. 1 month Active Trader Program December 31, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, with at least A) $50,000; B) $100,000 or C) $300,000+ in net new assets and you may be eligible to receive up to 20 commission-free equity trades plus A) $50 cash back; B) $150 cash back or C) $500 cash back. Commission-free trades are good for up to two months. In addition, eligible individuals can receive an extra $50 as part of the refer a friend program. Use promo code SPRING when signing up. Be sure to read the terms and conditions for more details on the offer. A) $50,000 B) $100,000 C) $300,000 20 commission-free equity trades AND A) $50; B) $150 C) $500. Commission-free equity trades are good for up to two months. Cash back will be deposited the week of January 21, 2019. BMO InvestorLine Spring 2018 Campaign May 31, 2018

Expired Offers
Last Updated: May 29, 2018 10:15 PT

Referral Promotions

Company Brief Description Minimum Deposit Amount Incentive Structure Time Limit to Use Commission/Cash Offer Deposit Details Link Deadline
Refer a friend to Questrade and when they open an account you receive $25 cash back and they receive either A) $25; B) $50; C) $75; D) $100; or E) $250 depending on the amount deposited amount. Enter code: 476104302388759 during account sign up to qualify. Be sure to read the terms and conditions for eligibility and additional bonus payment structure and minimum balance requirements. A) $1,000 B) $10,000 C) $25,000 D) $50,000 E) $100,000+ $25 cash back (for referrer per referral; $50 bonus cash back for every 3rd referral) For referred individuals: A) $25 cash back B) $50 cash back C) $75 cash back D) $100 cash back E) $250 cash back Cash deposited into Questrade billing account within 7 days after funding period ends (90 days) Refer a friend terms and conditions Code Number: 476104302388759 none
Scotia iTrade If you refer a friend/family member who is not already a Scotia iTRADE account holder to them, both you and your friend get a bonus of either cash or free trades. You have to use the referral form to pass along your info as well as your friend/family members’ contact info in order to qualify. There are lots of details/conditions to this deal so be sure to read the details link. A) $10,000 B) $50,000+ A) You(referrer): $50 or 10 free trades; Your “Friend”: $50 or 10 free trades (max total value:$99.90) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $499.50) 60 days Refer A Friend to Scotia iTrade tbd
BMO InvestorLine If you (an existing BMO InvestorLine client) refer a new client to BMO InvestorLine and they open an account with at least $50,000 the referrer and the referee may both be eligible to receive $50 cash. To qualify the referee must use the email of the referrer that is linked to their BMO InvestorLine account. See terms and conditions for full details. $50,000 You(referrer): $50; Your Friend(referee): $50 Payout occurs 45 days after minimum 90 day holding period(subject to conditions). BMO InvestorLine Refer-a-Friend October 31, 2018

Expired Offers
Last Updated: May 1, 2018 22:45 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Transfer $15,000 or more to Qtrade Investor from another brokerage and Qtrade Investor may cover up to $150 in transfer fees. See terms and conditions for more details. $150 $15,000 Transfer Fee Rebate none
Transfer $15,000 or more to RBC Direct Investing and they will pay up to $135 in transfer fees. $135 $15,000 Transfer Fee Rebate Details none
Transfer $20,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees. $135 $20,000 Transfer Fee Rebate none
Transfer $25,000 or more from another brokerage and Credential Direct will cover up to $150 in transfer fees. Use promo code SWITCHME when signing up to qualify for the transfer promotion. $150 $25,000 Credential Direct Transfer Fee Rebate none
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
Transfer at least $25,000 or more in new assets to TD Direct Investing when opening a new account and you may qualify to have transfer fees reimbursed up to $150. Be sure to contact TD Direct Investing for further details. $150 $25,000 Contact client service for more information (1-800-465-5463). none
Transfer $25,000 or more into a CIBC Investor’s Edge account and they will reimburse up to $135 in brokerage transfer fees. Clients must call customer service to request rebate after transfer made. $135 $25,000 Confirmed with reps. Contact client service for more information (1-800-567-3343). none
Disnat Disnat is offering up to $150 to cover the cost of transfer fees from another institution. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1-866-873-7103 and mention promo code DisnatTransfer. See details link for more info. $150 $50,000 Disnat 1% Commission Credit Promo May 31, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, by transferring in at least $200,000+ in net new assets and you may be eligible to have transfer fees covered up to $200. Use promo code SPRING when signing up. Be sure to read the terms and conditions for more details on the offer. $200 $200,000 BMO InvestorLine Spring 2018 Campaign May 31, 2018

Expired Offers
Last Updated: May. 1, 22:35 PT

Other Promotions

Company Brief Description Minimum Deposit Amount Required Details Link Deadline
Disnat Desjardins Online Brokerage, in conjunction with MoneyTalks, is offering 3 months of the “Inside Edge” investor information service to Desjardins Online Brokerage clients. Use promo code DESJ2016 during checkout to qualify. Be sure to read full terms and conditions for more information. n/a MoneyTalks Inside Edge Discount none
Disnat Desjardins Online Brokerage is offering $50 in commission credits for new Disnat Classic clients depositing at least $1,000. See terms and conditions for full details. $1,000 Broker@ge 18-30 Promotion none
Scotia iTrade Scotiabank StartRight customers can receive 10 commission-free trades when investing $1,000 or more in a new Scotia iTrade account. Trades are good for use for up to 1 year from the date the account is funded. Use promo code SRPE15 when applying (in English) or SRPF15 when applying in French. Be sure to read full terms and conditions for full details. $1,000 StartRight Free Trade offer none

Expired Offers
Last Updated: May. 1, 2018 22:35 PT

Digital Advice + Roboadvisor Promotions

Robo-advisor / Digital advisor Offer Type Offer Description Min. Deposit Reward / Promotion Promo Code Expiry Date Link
Discounted Management Open and fund a new Questrade Portfolio IQ account with a deposit of at least $1,000 and the first month of management will be free. For more information on Portfolio IQ, click the product link. $1000 1st month no management fees KDKFNBBC None Questrade Portfolio IQ Promo Offer
Discounted Management Open a new account with BMO SmartFolio and receive one year of management of up to $15,000 free. See offer terms and conditions for more details. $1,000 1 year no management fees STSF April 1, 2018 SmartFolio New Account Promotion
Cash Back – Referral BMO SmartFolio clients will receive $50 cash back for every friend or family member who opens and funds a new SmartFolio account. Friends and family referred to SmartFolio will receive $50 cash back for opening and funding an account, plus automatic enrollment into SmartFolio’s mass offer in market at the time. See offer terms and conditions for more details. $1,000 $50 cash back (referrer) $50 cash back (referee) Unique link generated from SmartFolio required. None SmartFolio Website
Transfer Fee Coverage Transfer at least $25,000 into Virtual Wealth when opening a new account and you may be eligible to have up to $150 in transfer fees covered by Virtual Wealth. $25,000 up to $150 in transfer fees covered None None Contact customer service directly for more information.
Last Updated: May 1, 2018 22:45 PT
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Discount Brokerage Weekly Roundup – April 27, 2018

For traders of Canadian securities listed on the TSX/TSX-V and Montreal Exchange, the weekend showed up a little earlier than anyone expected. With trading on these markets halted, it was an opportune time for the Toronto crowd to tune into the wizardry of the Toronto Raptors. Of course, online brokerages in Canada are used to throwing a few surprises at the DIY investing space and this week, some pleasant surprises came to market that spell interesting times for active traders.

In this edition of the roundup, we take a look at an acquisition deal that beefs up one online brokerage’s war chest and is part of a new and exciting chapter for Canadian online brokerages. From there we’ll review some interesting developments with a bank-owned online brokerage that’s turning its efforts to Western Canada. Also, we’ll report on a new active trader feature that offers an interesting approach to short-selling at one independent online brokerage. Speaking of surprise developments, this will be the final week we roll out tweets of the week in the current format – we’ll be switching things up and putting this feature on pause. Not on pause though will be chatter from DIY investors which will close out this edition of the roundup.

Jitneytrade to be acquired by Canaccord

After years of treading water, it appears the Canadian online brokerage market is now on the move. This week, a big name in Canadian wealth management, Canaccord Genuity, made a very interesting play by initiating an acquisition of Jitneytrade, a Canadian online brokerage that caters primarily to active traders.

The deal, which was announced by press release, will see Canaccord Genuity acquire both Jitneytrade as well as FinlogiK, the parent to Jitneytrade.

According to the press release Jitneytrade will continue to operate independently however the release also states that the acquisition “serves to support Canaccord Genuity’s mid-market share of equities trading and providing access to new areas of growth through accelerating its development of an enhanced fintech product offering.”

There’s certainly a hint in there that Canaccord, with its strong book of deals and deep client base, could present a genuine challenge to other Canadian online brokerages who cater to active trading clients – in particular options trading clients. Of course, there’s also the fact that through Jitneytrade, Canaccord clients may now be inclined to reconsider which online brokerage they want to actively invest with.

What makes this deal between Jitneytrade and Canaccord all the more interesting is that it is yet another example of smaller Canadian online brokerages integrating with larger financial services players in Canada.

In September 2017, for example, CI Financial announced that it was acquiring BBS Securities, parent to Virtual Brokers. And, in December of 2017, Qtrade Investor and Credential Direct announced they would be merging under the umbrella of wealth management firm Aviso.

Clearly the days of the smaller online brokerage players in Canada are numbered.

“Smaller” non-bank-owned online brokerages are now better capitalized to take on bank-owned online brokerages’ dominance of the wealth management space which should make things even more competitive for DIY investors going forward.

On a more speculative note, Questrade is now the only independent online brokerage to be standing on its own two feet – and given the recent activity in online brokerage space in Canada, one wonders if it too will become acquisition target.

National Bank Direct Brokerage looking west

Sometimes it’s the little things that actually turn out to be interesting signals of things to come in the online brokerage space in Canada.

This past week, a sponsorship by National Bank Direct Brokerage of a conference in Vancouver crossed our radar.  Specifically National Bank Direct Brokerage is a sponsor of the “Investment in Innovation – GCFF Vancouver Conference” which caters to Vancouver’s Chinese investor community. Included in the conference are companies from a number of headline-making sectors, including blockchain, fintech, medical marijuana and more.

Event sponsorships for online brokerages have become increasingly rare, so it was telling that NBDB would be reaching out to this particular event. The combination of a number of small-cap companies as well as connecting with a critical mass of investors from the Chinese community is an interesting choice for a bank-owned online brokerage that is much better known in Quebec and Ontario and is likely a clear signal of greater intentions to explore how to make inroads in Western Canada, specifically in BC. It’ll be interesting to see how other brokerages with deeper footprints in BC respond and whether the critical mass of Chinese investors represents a compelling niche to stir up competition amongst Canadian online brokerages interested in connecting with this market demographic.

Questrade enhances short-selling experience

Based on an announcement made at the end of last week in Questrade’s community blog, enhancements to its IQ Edge trading platform that include an automated way to determine the cost of selling shares short took effect.

According to the feature announcement, the borrowing rate (and therefore cost) of short selling will be a floating one which will vary based on a security’s value, demand and available inventory. For traders interested in maintaining a short position, Questrade’s platform will be able to display what that carrying cost will look like as long as the trade is live.

When it comes to short-selling, one of the recurring comments from active traders is the challenge obtaining securities – however with this new program in place there might be an interesting mechanism for Questrade to monetize interest in short-selling and/or moderate the availability of shares to short.

Discount Brokerage Tweets of the Week

After just about three years and close to 150 weekly stories of DIY investor reactions on Twitter, this is the last edition of the tweets of the week in the current format. Our platform provider as acquired by Adobe and as a result the platform that we used to curate and deliver these tweets has been decommissioned.

We’re hoping we can continue to bring interesting insights about the online brokerage space to you from Twitter and are looking forward to being able to start publishing this segment again soon.

Mentioned this week were CIBC Investor’s Edge, Questrade, Scotia iTRADE, and TD Direct Investing.

From the Forums

Fine Print

For DIY investors contemplating being an active investor, there’s an important set of requirements you ought to be aware of. In this post, from RedFlagDeals.com’s investing thread, one user points out the fine print at a big online brokerage that shows how vulnerable traders can be when it comes trading on margin.

Pay for Parking

When it comes to parking cash in an online investing account, there’s a limited number of choices for safely growing your investment. In this post from reddit’s personal finance thread, one user gets an interesting reply to a question about low fee options.

Into the Close

With this week now in the books, it’s one that Canadians and Torontonians won’t soon forget. Another week and another terrible tragedy. To the victims, their families and loved ones as well as to all Canadians impacted by the horrendous van attack that took place in Toronto, the SparxTrading team offers our deepest condolences.

 

 

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Discount Brokerage Weekly Roundup – April 13, 2018

Friday the 13th seems like an unlucky date for those in the path of a spring-time ice storm (sorry Toronto!) and for others, well, the search for ice is really just to keep drinks cold.  Yes, this edition of the roundup is coming to you from the sunny and warm beaches of Huatulco, Mexico where the struggle to stay cool is real.

In this edition of the roundup, we thought we’d do something a little different. With so much happening in the online brokerage space already in 2018 (and because I am in Mexico while writing this roundup) this was a great opportunity to pause and reflect on some of the biggest stories and emerging trends that shaped the first quarter of 2018. Below are four of the biggest and most interesting things that have happened so far in Canada’s online brokerage space.

Outages & outrage kick off the new year

Many Canadian online brokerages faced a perfect storm at the outset of 2018. Caught up in the groundswell of interest in cryptocurrencies and marijuana stocks, DIY investors were definitely in a risk-on mood to kick off the year.

As a result, trading activity surged beyond the capacity of many of Canada’s (and some of the US’s) largest online brokerages’ systems to handle the order flow.

On an “ordinary” trading day, outages to DIY investors are annoying and occasionally tempers flare, but, when the bulls were stampeding, sidelined DIY investors were left seeing red when their platforms weren’t able to connect or trade on their online brokerage’s network.

For the better part of January, outages at Canadian online brokerages made headlines with major news outlets, including BNN, with Canada’s large bank-owned online brokerages such as TD Direct Investing and RBC Direct Investing in the crosshairs.

A consequence of trading platform outages was that DIY investors had to turn to customer service  phone lines and Twitter channels to either execute trades or to find out what was going on. The result: wait times on the phone surged – stretching to hours in some cases before calls were being answered.

The tough lesson for DIY investors caught in the mix was that regardless of online brokerage size, online trading is not without risks, including the risk of being disconnected.

While a few online brokerages managed to NOT make headlines by maintaining business as usual, this scenario was a wake-up call for Canadian online brokerages on the business case for properly resourcing both online trading capacity and failover systems on phone channels.

Here’s a list of editions of the weekly roundup that outages & wait times made headlines in:

January 5th, 2018

January 12th, 2018

January 19th, 2018

February 2nd, 2018

February 9th, 2018

Online brokerages battle it out with promotions during RSP season

If you think RSP season is a myth, think again. Just like flu season, interest in RSP-related information, and accounts, starts to climb in November and peaks in the first 60 days of the new year.

Google search trends for RRSP’s in Canada over the past five years

While chicken soup offers paired with RRSP deals are likely not coming anytime soon, this year, DIY investors were being wooed by an incredibly high volume of offers, ranging from cash back to commission-free trading. Specifically, this year’s crop of cash back offers stood out as bank-owned brokerages stepped up their use of this promotional offer and smaller non-bank owned players also were prepared to ante up.

Highly savvy investors who typically look to open accounts across providers to access features unique to each and to diversify where their money is parked, were provided with an especially unique scenario this year. Specifically, by splitting up where deposits were made, DIY investors could enjoy substantially higher cash back bonuses than putting all of their assets with one brokerage.

Canadian discount brokerages reviewing the deals & promotions landscape will likely also see that incentive offers are yet another ‘battleground’ that’s opened up and that smaller players looking to win market share will make strides by raising the stakes with cash bonus offers.

At the very least, DIY investors will be willing to look at what’s being offered, especially if the headline numbers are big.

Discount brokerage deals and promotions were another big story last quarter so here is a list of weekly roundups in which deals and promos were referenced and analyzed:

January 5th, 2018

January 12th, 2018

January 19th, 2018

January 26th, 2018

February 2nd, 2018

February 23rd, 2018

March 2nd, 2018

March 23, 2018

Rankings and Ratings Roundup

After much anticipation, the Globe and Mail’s annual online brokerage rankings were published in mid-February.

As the most popular and highly sought out rankings of Canada’s online brokerages, the 19th edition of the assessment did not disappoint with some new comparison features and inclusion of Interactive Brokers Canada. Qtrade Investor walked away with top honours in the Globe’s rankings and of the top five, three were non-bank owned brokerages.

Of course, once these rankings were published, and perhaps even in anticipation of them, the marketing departments at Canada’s online brokerages were busy listing off the various ratings, rankings or accolades that position each respective brokerage as ‘the best’ at one feature or another.

In our roundup on March 9th we featured 8 online brokerages who had listed off awards or recognition that claimed each brokerage was the best at something if not the best online brokerage outright.

Not too long afterwards, our roundup on March 30th featured a deep dive on Interactive Brokers’ win of the Barron’s annual online brokerage rankings in the US. Despite the victory taking place in the US, Canadian online brokerages should pay attention to since interactive brokers Canada offers most of the trading technology and analysis tools as the US version does.

In fact, the high ranking in the Globe and Mail’s assessment, the top finish in the Barron’s ratings and the much more visible advertising presence here in Canada (which we noted here on February 23rd) suggests that Interactive Brokers is going to be getting and generating more attention in 2018.

For DIY investor’s the tip here is to read the fine print on the date of the award because we noted several instances where awards from previous years were being used to justify being characterized as ‘the best.’

BMO breaking through on social media & digital

When it comes to social media and investing online, only one of Canada’s bank-owned wealth management arms successfully managed to execute on an effective social media-based influencer campaign in Q1 of 2018. BMO Wealth Management (parent to BMO InvestorLine) and BMO SmartFolio were able to generate a highly engaged, interactive online Twitter chats on investing online.

The Q&A format did well as did the session thanks in part to the fact that the host of the Twitter chat was Lena Almeida. In January, BMO SmartFolio’s session on investing online helped spark a lively conversation on topics related to investing online. Fast forward a few weeks to March 5th, and BMO Wealth Management was on Twitter with an #InvestSmart session in support of International Women’s Day.

Just prior to the end of Q1, BMO InvestorLine also rolled out a new homepage which was a significant iteration to its previous design.

Screenshots of previous BMO InvestorLine website homepage (left) and new BMO InvestorLine website homepage (right).

Although we covered this new site in more detail in last week’s roundup (here), the latest moves by BMO InvestorLine online showcase that they are not standing still when it comes to embracing digital channels to better connect with DIY investors.

*full disclosure: Sparx Publishing Group Inc. the parent company to SparxTrading.com, may receive affiliate or referral bonuses for individuals signing up to BMO InvestorLine or BMO SmartFolio services via SparxTrading.com, however no compensation from BMO InvestorLine or BMO SmartFolio was received for writing this article.

Discount Brokerage Tweets of the Week

Interesting chatter as usual, with technical issues and client service challenges prompting the majority of Twitter comments. Mentioned this week were BMO InvestorLine, CIBC Investor’s Edge, Questrade, RBC Direct Investing, Scotia iTRADE, and TD Direct Investing.

From the Forums

Making moves

How easy is it to switch online brokerages? This post, from reddit’s personal finance Canada thread, highlights one user’s question about transferring from TD Direct Investing to Questrade and offers insights into timing and costs.

Tips on RESPs

DIY investing usually means a lot of research to figure out how to maximize the return on investment. When it comes to savings vehicles, like the RESP, however, there’s lots to consider. In this post, also from reddit’s personal finance Canada thread, users weigh in to help one expecting parent navigate the tricky world of investing for their child’s education.

Into the Close

As we head into another weekend, we wanted to take a moment to extend our deepest condolences and heartfelt sympathies to the teammates, families, friends and communities who tragically lost loved ones in the heartbreaking Humboldt Broncos bus accident.

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Discount Brokerage Deals & Promotions – April 2018

*Updated April 2* Spring is officially here and for DIY investor’s it’s already off to a great start. To begin with, there was a bullish sign heading into April as two online brokerages, Desjardins Online Brokerage and HSBC InvestDirect, elected to extend offers that were scheduled to expire at the end of March.

Discount Brokerage Deals Quick Nav

  1. Cash Back/Free Trade/Product Offer Promotions
  2. Referral Promotions
  3. Transfer Fee Promotions
  4. Contests & Other Offers
  5. Digital Advice + Roboadvisor Promotions

In fact, of the four deals set to expire at the end of March, two have already been extended and at least one more, from BMO InvestorLine, is on the way to replace the deal that officially expires on April 1st (it is still live at the time of publication). The only offer that is officially expired at the time of publication is from Virtual Brokers, however there is a strong likelihood that they will not be out of the promotions section for very long.

So, at the kick off to April, there are still two cash back offers on the board, and if the referral promotions are included in there, technically there are five offers on the deals board that DIY investors could use to get a cash bonus upon getting into a new account.

The category with the most offers, by far, is transfer fee coverage offers. As we observed last month, Qtrade Investor lowered the required minimum for investors to qualify from $25,000 to $15,000 and as such, are one of the most competitive offers of the group.

Investors looking for a trading commission-related offer – such as commission free trades or a discounted commission rate, have seven offers to choose from (not including referral offers) so there’s a healthy mix of bank-owned or independent brokerages to choose from in this category.

As always, if there are any other offers that we’ve not listed that might be of interest to other readers, feel free to leave a comment below.

Top cash back promotions at Canadian discount brokerages - April 2018
Top cash back promotions at Canadian discount brokerages – April 2018

Expired Offers

At the time of publication, Virtual Brokers’ discounted commission promotion offer expired.

Extended Offers

HSBC InvestDirect, which is normally somewhat selective in timing offers through the year, elected to extend their cash-back promotion making it and BMO InvestorLine the only two cash-back offers available to all investors.

Also extended was Desjardins Online Brokerage’s popular 1% commission credit offer. The timing coincides with the launch of their new logo as well – a positive sign they’re positioning for interesting activities to come.

New Offers

*Updated April 2: BMO InvestorLine just launched their latest promotion and it is an interesting one! Starting today (April 2nd) and going until May 31st, BMO InvestorLine is offering a cash back and commission-free trade combination promotion. This tiered deposit promotion offers between $50 and $500 for deposits ranging from $50,000 to $300,000+ as well as up to 20 additional commission-free trades which are good for 2 months. Combo offers are rare and the relatively close expiry date signal something very interesting for DIY investors looking for an online trading account to consider. See table below for more details.*

There were no new offers to report at the time of publication, however we’re on the lookout for possible offers coming soon from BMO InvestorLine.

Discount Brokerage Deals

  1. Cash Back/Free Trade/Product Offer Promotions
  2. Referral Promotions
  3. Transfer Fee Promotions
  4. Contests & Other Offers
  5. Digital Advice + Roboadvisor Promotions

Cash Back/Free Trade/Product Offer Promotions

Company Brief Description Minimum Deposit Amount Commission/Cash Offer/Promotion Type Time Limit to Use Commission/Cash Offer Details Link Deadline
Jitney Trade A Sparx Trading exclusive offer! Use the promo code “Sparx Trading” when signing up for a new account with Jitneytrade and receive access to their preferred pricing package. n/a Discounted Commission Rates none For more details click here none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive $88 in commission credits (up to 17 commission-free trades). Use promo code SPARX88 when signing up. Be sure to read terms and conditions carefully. $1,000 $88 commission credit 60 days Access this offer by clicking here: $88 commission-credit offer . For full terms and conditions, click here. none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive 5 commission-free trades. Use promo code 5FREETRADES when signing up. Be sure to read terms and conditions carefully. $1,000 5 commission-free trades 60 days 5 commission-free trade offer December 31, 2018
Open and fund a new account with Virtual Brokers with at least $5,000 and you may be eligible to receive up to two months of trading at $4.99 per trade (maximum of 15 trades per month). Use promo code 499COM2017 when signing up to qualify. See terms and conditions for full details. $5,000 Up to 2 months of trading at $4.99 per trade (max 15 trades per month) Commissions will be reimbursed after June 30, 2018. For more details, click here March 31, 2018
Disnat Desjardins Online Brokerage is offering new clients 1% of assets transferred into the new account in the form of commission credits (to a maximum value of $1,000). Minimum qualifying deposit is $10,000. To qualify, individuals will have to call 1-866-873-7103 and mention promo code DisnatTransfer or email: [email protected]. See details link for more info. $10,000 1% of assets transferred in the form of commission-credits (max credits: $1,000) 6 months Disnat 1% Commission Credit Promo May 31, 2018
Open a new account at National Bank Direct Brokerage with at least a) $10,000 or B) $20,000+, and you may be eligible to receive up to A) 10 or B) 25 commission-free trades. For the 10 free trades offer, enter promo code FREE10 and for the 25 free trades offer enter promo code FREE25. This offer is also available to existing clients. Be sure to read terms and conditions for full details. A) $10,000 B) $20,000+ A) 10 commission-free trades B) 25 commission-free trades 12 months Free Trades Campaign April 30, 2018
Open a new account with HSBC InvestDirect by transferring in at least A) $25,000; B) $100,000; C) $250,000; D) $500,000 or E) $1,000,000 or more from another Canadian financial institution and execute at least three commission-generating trades by April 30th, 2018, and you may be eligible to receive a cash bonus of up to A) $88; B) $188; C) $288; D) $688 or E) $988. Be sure to read terms and conditions for full details. A) $25,000 B) $100,000 C) $250,000 D) $500,000 E) $1M+ A) $88 B) $188 C) $288 D) $688 E) $988 Transfer-in bonus will be deposited by November 30, 2018. Winter Offer – Transfer-In Bonus April 30, 2018
Open and fund a new qualifying account with at least $25,000 and you may qualify for one month of unlimited commission-free trades and up to one month free of an advanced data package. Use promo code ADVANTAGE14 when opening a new account. Be sure to read terms and conditions for full details. $25,000 commission-free trades for 1 month + 1 month of advanced data. 1 month Active Trader Program December 31, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, with at least A) $50,000; B) $100,000 or C) $300,000+ in net new assets and you may be eligible to receive up to 20 commission-free equity trades plus A) $50 cash back; B) $150 cash back or C) $500 cash back. Commission-free trades are good for up to two months. In addition, eligible individuals can receive an extra $50 as part of the refer a friend program. Use promo code SPRING when signing up. Be sure to read the terms and conditions for more details on the offer. A) $50,000 B) $100,000 C) $300,000 20 commission-free equity trades AND A) $50; B) $150 C) $500. Commission-free equity trades are good for up to two months. Cash back will be deposited the week of January 21, 2019. BMO InvestorLine Spring 2018 Campaign May 31, 2018

Expired Offers
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, with at least A) $100,000; B) $200,000 or C) $300,000+ in net new assets and you may be eligible to receive up to A) $200 or 20 commission-free equity trades; B) $400 or 40 commission-free equity trades; or C) $750 cash back or 75 commission-free equity trades. Commission-free trades are good for up to two months. In addition, eligible individuals can receive an extra $50 as part of the refer a friend program. Use promo code SPARXCASH when signing up for the cash back offer or SPARXTRADES when signing up for the commission-free equity trade bonus. Be sure to read the terms and conditions for more details on the offer. A) $100,000 B) $200,000 C) $300,000 A) $200 or 20 commission-free equity trades. B) $400 or 40 commission-free equity trades. C) $750 or 75 commission-free equity trades. Cash back will be deposited the week of Nov. 12, 2018. Commission-free equity trades are good for up to two months. BMO InvestorLine Winter 2018 Campaign April 1, 2018
Last Updated: Apr. 2, 2018 21:45 PT

Referral Promotions

Company Brief Description Minimum Deposit Amount Incentive Structure Time Limit to Use Commission/Cash Offer Deposit Details Link Deadline
Refer a friend to Questrade and when they open an account you receive $25 cash back and they receive either A) $25; B) $50; C) $75; D) $100; or E) $250 depending on the amount deposited amount. Enter code: 476104302388759 during account sign up to qualify. Be sure to read the terms and conditions for eligibility and additional bonus payment structure and minimum balance requirements. A) $1,000 B) $10,000 C) $25,000 D) $50,000 E) $100,000+ $25 cash back (for referrer per referral; $50 bonus cash back for every 3rd referral) For referred individuals: A) $25 cash back B) $50 cash back C) $75 cash back D) $100 cash back E) $250 cash back Cash deposited into Questrade billing account within 7 days after funding period ends (90 days) Refer a friend terms and conditions Code Number: 476104302388759 none
Scotia iTrade If you refer a friend/family member who is not already a Scotia iTRADE account holder to them, both you and your friend get a bonus of either cash or free trades. You have to use the referral form to pass along your info as well as your friend/family members’ contact info in order to qualify. There are lots of details/conditions to this deal so be sure to read the details link. A) $10,000 B) $50,000+ A) You(referrer): $50 or 10 free trades; Your “Friend”: $50 or 10 free trades (max total value:$99.90) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $499.50) 60 days Refer A Friend to Scotia iTrade tbd
BMO InvestorLine If you (an existing BMO InvestorLine client) refer a new client to BMO InvestorLine and they open an account with at least $50,000 the referrer and the referee may both be eligible to receive $50 cash. To qualify the referee must use the email of the referrer that is linked to their BMO InvestorLine account. See terms and conditions for full details. $50,000 You(referrer): $50; Your Friend(referee): $50 Payout occurs 45 days after minimum 90 day holding period(subject to conditions). BMO InvestorLine Refer-a-Friend October 31, 2018

Expired Offers
Last Updated: Apr. 1, 2018 18:45 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Transfer $15,000 or more to Qtrade Investor from another brokerage and Qtrade Investor may cover up to $150 in transfer fees. See terms and conditions for more details. $150 $15,000 Transfer Fee Rebate none
Transfer $15,000 or more to HSBC InvestDirect, and they will pay up to $150 in transfer fees. $150 $15,000 2018 Winter Offer – Transfer-In Bonus April 30, 2018
Transfer $15,000 or more to RBC Direct Investing and they will pay up to $135 in transfer fees. $135 $15,000 Transfer Fee Rebate Details none
Transfer $20,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees. $135 $20,000 Transfer Fee Rebate none
Transfer $25,000 or more from another brokerage and Credential Direct will cover up to $150 in transfer fees. Use promo code SWITCHME when signing up to qualify for the transfer promotion. $150 $25,000 Credential Direct Transfer Fee Rebate none
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
Transfer at least $25,000 or more in new assets to TD Direct Investing when opening a new account and you may qualify to have transfer fees reimbursed up to $150. Be sure to contact TD Direct Investing for further details. $150 $25,000 Contact client service for more information (1-800-465-5463). none
Transfer $25,000 or more to Virtual Brokers and they may cover up to $150 in transfer fees. $150 $25,000 Transfer Fee promo April 30, 2018
Transfer $25,000 or more into a CIBC Investor’s Edge account and they will reimburse up to $135 in brokerage transfer fees. Clients must call customer service to request rebate after transfer made. $135 $25,000 Confirmed with reps. Contact client service for more information (1-800-567-3343). none
Disnat Disnat is offering up to $150 to cover the cost of transfer fees from another institution. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1-866-873-7103 and mention promo code DisnatTransfer. See details link for more info. $150 $50,000 Disnat 1% Commission Credit Promo May 31, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, by transferring in at least $200,000+ in net new assets and you may be eligible to have transfer fees covered up to $200. Use promo code SPARXCASH when signing up to also be eligible for cash back offer or SPARXTRADES to be eligible for the commission-free trade offer. Be sure to read the terms and conditions for more details on the offer. $200 $200,000 BMO InvestorLine Winter 2018 Campaign April 1, 2018

Expired Offers
Last Updated: Apr. 1, 18:45 PT

Other Promotions

Company Brief Description Minimum Deposit Amount Required Details Link Deadline
Disnat Desjardins Online Brokerage, in conjunction with MoneyTalks, is offering 3 months of the “Inside Edge” investor information service to Desjardins Online Brokerage clients. Use promo code DESJ2016 during checkout to qualify. Be sure to read full terms and conditions for more information. n/a MoneyTalks Inside Edge Discount none
Disnat Desjardins Online Brokerage is offering $50 in commission credits for new Disnat Classic clients depositing at least $1,000. See terms and conditions for full details. $1,000 Broker@ge 18-30 Promotion none
Scotia iTrade Scotiabank StartRight customers can receive 10 commission-free trades when investing $1,000 or more in a new Scotia iTrade account. Trades are good for use for up to 1 year from the date the account is funded. Use promo code SRPE15 when applying (in English) or SRPF15 when applying in French. Be sure to read full terms and conditions for full details. $1,000 StartRight Free Trade offer none

Expired Offers
Last Updated: Apr. 1, 2018 18:45 PT

Digital Advice + Roboadvisor Promotions

Robo-advisor / Digital advisor Offer Type Offer Description Min. Deposit Reward / Promotion Promo Code Expiry Date Link
Discounted Management Open and fund a new Questrade Portfolio IQ account with a deposit of at least $1,000 and the first month of management will be free. For more information on Portfolio IQ, click the product link. $1000 1st month no management fees KDKFNBBC None Questrade Portfolio IQ Promo Offer
Discounted Management Open a new account with BMO SmartFolio and receive one year of management of up to $15,000 free. See offer terms and conditions for more details. $1,000 1 year no management fees STSF April 1, 2018 SmartFolio New Account Promotion
Cash Back – Referral BMO SmartFolio clients will receive $50 cash back for every friend or family member who opens and funds a new SmartFolio account. Friends and family referred to SmartFolio will receive $50 cash back for opening and funding an account, plus automatic enrollment into SmartFolio’s mass offer in market at the time. See offer terms and conditions for more details. $1,000 $50 cash back (referrer) $50 cash back (referee) Unique link generated from SmartFolio required. None SmartFolio Website
Transfer Fee Coverage Transfer at least $25,000 into Virtual Wealth when opening a new account and you may be eligible to have up to $150 in transfer fees covered by Virtual Wealth. $25,000 up to $150 in transfer fees covered None None Contact customer service directly for more information.
Last Updated: Apr. 1, 2018 18:45 PT
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Discount Brokerage Deals & Promotions – March 2018

*Updated Mar. 19* With so much activity and anticipation leading up to the RSP contribution deadline for the 2017 tax year, the rollover into March 1st feels a little like the start of a new year.

Discount Brokerage Deals Quick Nav

  1. Cash Back/Free Trade/Product Offer Promotions
  2. Referral Promotions
  3. Transfer Fee Promotions
  4. Contests & Other Offers
  5. Digital Advice + Roboadvisor Promotions

This past RSP season was one of the busiest in recent memory with almost all of Canada’s discount brokerages offering up some kind of deal or promotion to open a new account. Not only has the calendar rolled over, but also a few offers from Canada’s online brokerages have also turned a corner.

In the weekly roundup preceding the launch of this deals update, we also broke down how savvy DIY investors can get more mileage out the current discount brokerage deals by considering multiple brokerages instead of just one. Another important point from that post was that the details of the offer also matter, so be sure to understand the terms and conditions of the offer before agreeing to sign up.

So, with the rest of 2018 now ahead of us, the deals crop at the start of March looks healthy, clocking in at least 24 offers for DIY investors to choose from. We’ve crunched the numbers on the current cash back offers to list the ones that offer the biggest rewards at each deposit tier currently being advertised by all online brokerages. With the exit of TD Direct Investing and Scotia iTRADE, the standout cash back bonus offer field now includes Credential Direct and HSBC InvestDirect – at least for a portion of March.

As always, if there are any offers that you know about that other readers might find helpful, please feel free to share them in the comment section below.

Canadian discount brokerage promotions - cash back offers
Cash back bonus offers for Canadian discount brokerages (As of Mar. 19, 2018)

Expired Offers

Starting first with the promotions that expired heading into March. Qtrade Investor’s cash back promotion officially expired at the end of February as did Scotia iTRADE’s cash back bonus and the transfer offer which accompanied it. At the time of writing, offers from TD Direct Investing and CIBC Investor’s Edge are set to expire at 11:59pm ET on March 1st.

Extended Offers

BMO SmartFolio extended its offer of one year with no management fees. The new deadline to take advantage of this offer is now April 1st.

New Deals

The newest offer to cross the tape for DIY investors is from Qtrade Investor. The transfer fee “promotion” lowers the deposit level to qualify for a $150 fee rebate from $25,000 to $15,000. It is not the first time this offer has been run by Qtrade Investor however it is interesting to note that there is no deadline associated with this offer suggesting this might now become a standard offering. Also interesting is the timing given the wave of contributions to RRSPs that has just taken place. The deposit amount looks like it will be friendly to younger investors and beginner investors with modest portfolio sizes as well as those who are looking for an inexpensive way to “try out” Qtrade Investor.

Discount Brokerage Deals

  1. Cash Back/Free Trade/Product Offer Promotions
  2. Referral Promotions
  3. Transfer Fee Promotions
  4. Contests & Other Offers
  5. Digital Advice + Roboadvisor Promotions

Cash Back/Free Trade/Product Offer Promotions

Company Brief Description Minimum Deposit Amount Commission/Cash Offer/Promotion Type Time Limit to Use Commission/Cash Offer Details Link Deadline
Jitney Trade A Sparx Trading exclusive offer! Use the promo code “Sparx Trading” when signing up for a new account with Jitneytrade and receive access to their preferred pricing package. n/a Discounted Commission Rates none For more details click here none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive $88 in commission credits (up to 17 commission-free trades). Use promo code SPARX88 when signing up. Be sure to read terms and conditions carefully. $1,000 $88 commission credit 60 days Access this offer by clicking here: $88 commission-credit offer . For full terms and conditions, click here. none
Open and fund a new account (TFSA, Margin or RRSP) with at least $1,000 and you may be eligible to receive 5 commission-free trades. Use promo code 5FREETRADES when signing up. Be sure to read terms and conditions carefully. $1,000 5 commission-free trades 60 days 5 commission-free trade offer December 31, 2018
Open and fund a new account with Virtual Brokers with at least $5,000 and you may be eligible to receive up to two months of trading at $4.99 per trade (maximum of 15 trades per month). Use promo code 499COM2017 when signing up to qualify. See terms and conditions for full details. $5,000 Up to 2 months of trading at $4.99 per trade (max 15 trades per month) Commissions will be reimbursed after June 30, 2018. For more details, click here March 31, 2018
Disnat Desjardins Online Brokerage is offering new clients 1% of assets transferred into the new account in the form of commission credits (to a maximum value of $1,000). Minimum qualifying deposit is $10,000. To qualify, individuals will have to call 1-866-873-7103 and mention promo code DisnatTransfer or email: [email protected]. See details link for more info. $10,000 1% of assets transferred in the form of commission-credits (max credits: $1,000) 6 months Disnat 1% Commission Credit Promo March 31, 2018
Open a new account at National Bank Direct Brokerage with at least a) $10,000 or B) $20,000+, and you may be eligible to receive up to A) 10 or B) 25 commission-free trades. For the 10 free trades offer, enter promo code FREE10 and for the 25 free trades offer enter promo code FREE25. This offer is also available to existing clients. Be sure to read terms and conditions for full details. A) $10,000 B) $20,000+ A) 10 commission-free trades B) 25 commission-free trades 12 months Free Trades Campaign April 30, 2018
Open a new account with HSBC InvestDirect by transferring in at least A) $25,000; B) $100,000; C) $250,000; D) $500,000 or E) $1,000,000 or more from another Canadian financial institution and execute at least three commission-generating trades by April 30th, 2018, and you may be eligible to receive a cash bonus of up to A) $88; B) $188; C) $288; D) $688 or E) $988. Be sure to read terms and conditions for full details. A) $25,000 B) $100,000 C) $250,000 D) $500,000 E) $1M+ A) $88 B) $188 C) $288 D) $688 E) $988 Transfer-in bonus will be deposited by November 30, 2018. Winter Offer – Transfer-In Bonus March 30, 2018
Open and fund a new qualifying account with at least $25,000 and you may qualify for one month of unlimited commission-free trades and up to one month free of an advanced data package. Use promo code ADVANTAGE14 when opening a new account. Be sure to read terms and conditions for full details. $25,000 commission-free trades for 1 month + 1 month of advanced data. 1 month Active Trader Program December 31, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, with at least A) $100,000; B) $200,000 or C) $300,000+ in net new assets and you may be eligible to receive up to A) $200 or 20 commission-free equity trades; B) $400 or 40 commission-free equity trades; or C) $750 cash back or 75 commission-free equity trades. Commission-free trades are good for up to two months. In addition, eligible individuals can receive an extra $50 as part of the refer a friend program. Use promo code SPARXCASH when signing up for the cash back offer or SPARXTRADES when signing up for the commission-free equity trade bonus. Be sure to read the terms and conditions for more details on the offer. A) $100,000 B) $200,000 C) $300,000 A) $200 or 20 commission-free equity trades. B) $400 or 40 commission-free equity trades. C) $750 or 75 commission-free equity trades. Cash back will be deposited the week of Nov. 12, 2018. Commission-free equity trades are good for up to two months. BMO InvestorLine Winter 2018 Campaign April 1, 2018

Expired Offers
Open and fund a qualifying account with TD Direct Investing with at least A) $10,000; B) $50,000; C) $100,000; D) $250,000 or E) $500,000+ and place at least 5 commissionable trades within 90 days of account opening and you may be eligible to receive either A) $100; B) $200; C) $300; D) $500 or E) $1,000 in cash back. Be sure to read full terms and conditions for eligibility for this offer. A) $10,000 B) $50,000 C) $100,000 D) $250,000 E) $500,000+ A) $100 B) $200 C) $300 D) $500 E) $1,000 Cash award will be paid to the client before the last day of the month following the conclusion of the qualification period (90 days). #RetireReady Promotion March 1, 2018
Transfer at least A) $25,000; B) $50,000; or C) $100,000 into a new or existing RRSP, spousal RRSP or TFSA at CIBC Investor’s Edge before March 1, 2018 and you may be eligible for a cash back offer of A) $100; B) $200 or C) $400. Be sure to read terms and conditions for full details. A) $25,000 B) $50,000 C) $100,000 A) $100 B) $200 C) $400 Cash back will be deposited the week of May 4, 2018 (for transfers received by Dec. 31, 2017) or July 3, 2018 (for transfers received after Dec. 31, 2017). CIBC Investor’s Edge Cash Back Promo March 1, 2018
Open a new account or fund an existing account at Credential Direct with at least A) $15,000; B) $50,000; C) $150,000; D) $500,000 or E) $1M+ and you may be eligible to receive a cash bonus of A) $75; B) $125; C) $200; D) $500 or E) $1,000. For new clients, use promo code CASH2018RSP when applying. Existing clients can access this promotion from the promotions page available on the account backend. A donation equivalent to 10% of the bonus payout will also be made by Credential Direct to Boys and Girls Clubs of Canada. Be sure to read terms and conditions for full details. A) $15,000 B) $50,000 C) $150,000 D) $500,000 E) $1M+ A) $75 B) $125 C) $200 D) $500 E) $1000 Cash will be credited to qualifying investor accounts the week of August 20, 2018 Winter Offer 2018 March 16, 2018
Last Updated: Mar. 19, 2018 15:50 PT

Referral Promotions

Company Brief Description Minimum Deposit Amount Incentive Structure Time Limit to Use Commission/Cash Offer Deposit Details Link Deadline
Refer a friend to Questrade and when they open an account you receive $25 cash back and they receive either A) $25; B) $50; C) $75; D) $100; or E) $250 depending on the amount deposited amount. Enter code: 476104302388759 during account sign up to qualify. Be sure to read the terms and conditions for eligibility and additional bonus payment structure and minimum balance requirements. A) $1,000 B) $10,000 C) $25,000 D) $50,000 E) $100,000+ $25 cash back (for referrer per referral; $50 bonus cash back for every 3rd referral) For referred individuals: A) $25 cash back B) $50 cash back C) $75 cash back D) $100 cash back E) $250 cash back Cash deposited into Questrade billing account within 7 days after funding period ends (90 days) Refer a friend terms and conditions Code Number: 476104302388759 none
Scotia iTrade If you refer a friend/family member who is not already a Scotia iTRADE account holder to them, both you and your friend get a bonus of either cash or free trades. You have to use the referral form to pass along your info as well as your friend/family members’ contact info in order to qualify. There are lots of details/conditions to this deal so be sure to read the details link. A) $10,000 B) $50,000+ A) You(referrer): $50 or 10 free trades; Your “Friend”: $50 or 10 free trades (max total value:$99.90) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $499.50) 60 days Refer A Friend to Scotia iTrade tbd
BMO InvestorLine If you (an existing BMO InvestorLine client) refer a new client to BMO InvestorLine and they open an account with at least $50,000 the referrer and the referee may both be eligible to receive $50 cash. To qualify the referee must use the email of the referrer that is linked to their BMO InvestorLine account. See terms and conditions for full details. $50,000 You(referrer): $50; Your Friend(referee): $50 Payout occurs 45 days after minimum 90 day holding period(subject to conditions). BMO InvestorLine Refer-a-Friend October 31, 2018

Expired Offers
Last Updated: Mar. 1, 2018 19:00 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Transfer $15,000 or more to Qtrade Investor from another brokerage and Qtrade Investor may cover up to $150 in transfer fees. See terms and conditions for more details. $150 $15,000 Transfer Fee Rebate none
Transfer $15,000 or more to HSBC InvestDirect, and they will pay up to $150 in transfer fees. $150 $15,000 2018 Winter Offer – Transfer-In Bonus March 30, 2018
Transfer $15,000 or more to RBC Direct Investing and they will pay up to $135 in transfer fees. $135 $15,000 Transfer Fee Rebate Details none
Transfer $20,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees. $135 $20,000 Transfer Fee Rebate none
Transfer $25,000 or more from another brokerage and Credential Direct will cover up to $150 in transfer fees. Use promo code SWITCHME when signing up to qualify for the transfer promotion. $150 $25,000 Credential Direct Transfer Fee Rebate none
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
Transfer at least $25,000 or more in new assets to TD Direct Investing when opening a new account and you may qualify to have transfer fees reimbursed up to $150. Be sure to contact TD Direct Investing for further details. $150 $25,000 Contact client service for more information (1-800-465-5463). none
Transfer $25,000 or more to Virtual Brokers and they may cover up to $150 in transfer fees. $150 $25,000 Transfer Fee promo April 30, 2018
Transfer $25,000 or more into a CIBC Investor’s Edge account and they will reimburse up to $135 in brokerage transfer fees. Clients must call customer service to request rebate after transfer made. $135 $25,000 Confirmed with reps. Contact client service for more information (1-800-567-3343). none
Disnat Disnat is offering up to $150 to cover the cost of transfer fees from another institution. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1-866-873-7103 and mention promo code DisnatTransfer. See details link for more info. $150 $50,000 Disnat 1% Commission Credit Promo March 31, 2018
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account, by transferring in at least $200,000+ in net new assets and you may be eligible to have transfer fees covered up to $200. Use promo code SPARXCASH when signing up to also be eligible for cash back offer or SPARXTRADES to be eligible for the commission-free trade offer. Be sure to read the terms and conditions for more details on the offer. $200 $200,000 BMO InvestorLine Winter 2018 Campaign April 1, 2018

Expired Offers
Last Updated: Mar. 1, 19:00 PT

Other Promotions

Company Brief Description Minimum Deposit Amount Required Details Link Deadline
Disnat Desjardins Online Brokerage, in conjunction with MoneyTalks, is offering 3 months of the “Inside Edge” investor information service to Desjardins Online Brokerage clients. Use promo code DESJ2016 during checkout to qualify. Be sure to read full terms and conditions for more information. n/a MoneyTalks Inside Edge Discount none
Disnat Desjardins Online Brokerage is offering $50 in commission credits for new Disnat Classic clients depositing at least $1,000. See terms and conditions for full details. $1,000 Broker@ge 18-30 Promotion none
Scotia iTrade Scotiabank StartRight customers can receive 10 commission-free trades when investing $1,000 or more in a new Scotia iTrade account. Trades are good for use for up to 1 year from the date the account is funded. Use promo code SRPE15 when applying (in English) or SRPF15 when applying in French. Be sure to read full terms and conditions for full details. $1,000 StartRight Free Trade offer none

Expired Offers
Last Updated: Mar. 1, 2018 19:00 PT

Digital Advice + Roboadvisor Promotions

Robo-advisor / Digital advisor Offer Type Offer Description Min. Deposit Reward / Promotion Promo Code Expiry Date Link
Discounted Management Open and fund a new Questrade Portfolio IQ account with a deposit of at least $1,000 and the first month of management will be free. For more information on Portfolio IQ, click the product link. $1000 1st month no management fees KDKFNBBC None Questrade Portfolio IQ Promo Offer
Discounted Management Open a new account with BMO SmartFolio and receive one year of management of up to $15,000 free. See offer terms and conditions for more details. $1,000 1 year no management fees STSF April 1, 2018 SmartFolio New Account Promotion
Cash Back – Referral BMO SmartFolio clients will receive $50 cash back for every friend or family member who opens and funds a new SmartFolio account. Friends and family referred to SmartFolio will receive $50 cash back for opening and funding an account, plus automatic enrollment into SmartFolio’s mass offer in market at the time. See offer terms and conditions for more details. $1,000 $50 cash back (referrer) $50 cash back (referee) Unique link generated from SmartFolio required. None SmartFolio Website
Transfer Fee Coverage Transfer at least $25,000 into Virtual Wealth when opening a new account and you may be eligible to have up to $150 in transfer fees covered by Virtual Wealth. $25,000 up to $150 in transfer fees covered None None Contact customer service directly for more information.
Last Updated: Mar. 1, 2018 19:00 PT
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Discount Brokerage Weekly Roundup – February 23, 2018

It’s hard to believe but time flies when you’re winning medals. Team Canada has had a great run at these Olympic games and not too long after the games are over so too will some online brokerage deals and promos as well as the chance to contribute to RSPs for the 2017 tax year.

With the RSP contribution deadline looming, this week’s roundup is a blend of news centred around the RSP deadline and what that means for Canadian discount brokerages and DIY investors. First, we take a look at how the clear winner in the rankings race this past year has made some championship moves in promoting their win. Next break down the math on some online brokerage offers to show how savvy investors can get creative with deals and save/receive even more. As usual, we’ll also check in on Twitter to recap the latest chatter from investors and showcase a pair of posts highlighting what folks were talking about in the forums.

Making A Splash

The ripple effect of the online brokerage rankings continued to permeate the news with online investors this week. For those who missed last week’s roundup, Qtrade Investor took top spot in the Globe and Mail online brokerage rankings and in doing so ranked at the top of or near the top of all the major online brokerage rankings for 2017.

This week, Qtrade Investor officially published a news release announcing their win but, in an even more interesting maneuver, also published the full online brokerage rankings article on a cleverly crafted page with the url: join.qtrade.ca. This year’s online brokerage rankings were made available only to subscribers of the Globe and Mail, so on a number of levels, Qtrade Investor publishing the article in its entirety (with permission from the Globe and Mail) means that curious readers can find the full text of the rankings without having to pay for a Globe and Mail subscription. Well played Qtrade.

With just a week to go until the RRSP contribution deadline, there will likely be many last-minute DIY investors who will be looking to get their contributions in for the 2017 tax year. So, it’s game on for Canada’s online brokerages to do their best to land new assets before the RSP buzzer hits.

As we noted last week and yet again, online brokerages like Interactive Brokers and Scotia iTRADE are pushing the advertising button with some unmissable campaigns on BNN.

And, speaking of BNN, this week there was also a segment on choosing an online brokerage in which Glenn LaCoste of Surviscor offered up some perspective on Canadian online brokers as well as provided some tips on choosing an online brokerage.

Tips from Surviscor’s Glenn LaCoste on Choosing an Online Brokerage.

This interview provided an interesting perspective about how online investors could approach shopping for a new online brokerage provider, namely that rather than just stick to one online brokerage, that DIY investors try going to several brokerages to see what might work. Ultimately, LaCoste recommends the ‘try before you buy’ approach with the value proposition for each particular online brokerage really coming down to the convenience and relevance of features that investors use.

Clearly, choosing an online brokerage is on the minds of many investors heading into the RSP deadline. And, as luck would have it, this year there is also a bumper crop of deals and promotions to choose from for either switching online brokerages or for choosing an online brokerage for the first time.  Keep reading for highlights of the offers set to expire at the RSP contribution deadline.

An I-deal Combination

This year’s RSP contribution deadline offers more than just stress to some procrastinators – it also offers the prospect of a deal or promotion for opening up an online investing account. There are lots of great deals and promotions to choose from however time is running out on a few promotions timed to expire at or just ahead of the March 1st deadline. When we reviewed the offers that were set to expire by March 1st, an interesting pattern jumped out – namely that they were all cash back bonuses and that most of these were being offered by big bank-owned brokerages. So, in typical fashion, we thought it might be interesting to compare these offers and to also see how DIY investors can get the best return on their business with some creative shopping.

First, a quick recap of all the open cash-back offers at Canadian discount brokerages shows that there are numerous offers for investors to choose from. To help make shopping a little easier, we’ve colour coded the highest cash back offer in each deposit range with green being the highest and red being the lowest.

Now, as with all things, the details are important to pay attention to when looking at these offers. Specifically, for two online brokerages, HSBC InvestDirect and TD Direct Investing, in order to qualify for the offers, a certain number of trades must be placed. Also, the offer by BMO InvestorLine does not include TFSA accounts while the offer by CIBC Investor’s Edge is only for registered accounts (TFSA and RRSP accounts). Still, for anyone shopping for an RRSP online investing account, there is a lot of choice.

Of the offers mentioned above, the following four offers are set to expire at or just before the contribution deadline of March 1st.

 Online Brokerage Expiry Date Cash Back Range Deposit Range Special Conditions
CIBC Investor’s Edge 3/1/18 $100 – $400 $25,000 – $100K+ TFSA, RRSP only
Qtrade Investor 2/28/18 $50 – $1,000 $50,000 – $1M+ None
TD Direct Investing 3/1/18 $100 – $1000 $10,000 – $500K+ Need to make 5 trades to receive bonus
Scotia iTRADE 3/1/18 $50 – $1200 $25,000 – $1M+ Pre-paid Visa gift card

For some investors, the decision about which online brokerage to choose won’t necessarily be dictated by what promotions are being offered, however savvy and experienced investors do pay attention to, and occasionally are swayed by, the offers being advertised.

Of course, for DIY investors that are looking to maximize the return on the opening of a new account, they may use the deal amount to be the deciding factor when trying to pick between two closely related online brokerages.  For example, an investor with $100K to invest in an RRSP could land $400 from CIBC Investor’s Edge instead of $188 for going with HSBC InvestDirect.

In most instances, DIY investors will only want to open one account and doing so would net the best offer anyway, however in a handful of instances, investors with higher portfolio amounts and a real desire to maximize their returns could also consider opening up multiple accounts.

Consider the following. With a $400K portfolio the best offer at a single institution is $750 (at BMO InvestorLine). If, however, that same $400K is divided up across four offers at the $100K deposit level at four different brokerages, the reward jumps to $1,150 (and it goes to $1200 if taking advantage of stackable refer-a-friend offers).

This is really interesting when one considers that the maximum cash bonus being offered for deposits is $1200 which requires $1M+ at Scotia iTRADE. In fact, it “only” takes $400K to get more cash back than with a deposit of $1M+ at all of the other brokerages (except iTRADE).

Yes, it is more work (some might argue more work than it’s worth) however for higher portfolio amounts, this strategy can yield some intriguing results. The savvy investor with a $1M portfolio can actually land $2050 in cash bonus back rather than $1200 by opening up five online brokerage accounts instead of just one.

Aside from just trying to chase bonuses, there are other advantages to diversifying between brokerage accounts, namely that investors can get access to features that are unique to each (e.g. research).

This year there are a lot of offers and choices for DIY investors to consider and ultimately benefit from when opening an online trading account. For the extreme deal seekers, this also creates some interesting opportunities to sample several brokerages and get paid a little more for the effort of doing so.

Discount Brokerage Tweets of the Week

Lots of chatter about registered accounts, new account openings and some garden variety technical difficulties. Mentioned by Canadian DIY investors were BMO InvestorLine, CIBC Investor’s Edge, Questrade, RBC Direct Investing, Scotia iTRADE, and TD Direct Investing.

From the Forums

Comparing Questrade and BMO InvestorLine

Fine tuning a passive investing portfolio is always interesting for DIY investors. In this post from reddit’s Personal Finance Canada section, one user is looking to get some commentary on Questrade and BMO InvestorLine for maintaining a couch potato approach.

Better Terms

One of the goals of SparxTrading.com is to provide DIY investors with better information and better value when hunting for and opening online investing accounts. It was an interesting observation on referral offers in this post from reddit’s Personal Finance Canada that calls out some important details about the way in which referral offers work. Good to read for individuals interested in the Questrade referral code offer which is widely published.

Into the Close

That’s a wrap for this week. While our closing won’t be as elaborate as the closing ceremonies for the Winter Olympics we can toss in some appropriately themed music to take DIY investors into the week before the RSP deadline. Stay warm (especially the Vancouverites!) and enjoy the festivities – team Canada has lots to celebrate this year!

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Discount Brokerage Weekly Roundup – February 16, 2018

The Olympics are here and in full swing. As the world’s attention turns to the winter games, closer to home there is a fierce competition going on between Canadian online brokerages. The big prize: winning the share of wallet of Canadian investors. Interestingly, like the Olympics, there is also a fair bit of judging and controversy this week.

This week’s roundup takes a deep dive on the widely anticipated 2018 Globe and Mail Canadian online brokerage rankings and several of the noteworthy observations about this year’s rankings and the state of the industry. Next, a quick but possibly groundbreaking move by one of Canada’s junior stock exchanges that could bring blockchain into DIY investing (legitimately). As always, we’ll take a look at what DIY investors were talking about on Twitter and in the investor forums.

2018 Globe and Mail Online Brokerage Rankings Released

It’s hard to believe but the 19th edition of the Canadian online brokerage rankings were released this week. The journey here has certainly been one of endurance as technology has evolved considerably since 1999 and pricing, for the most part, has come down dramatically.

Interestingly, the bank-owned online brokerages continue to dominate the landscape however when it comes to performance on the Globe and Mail’s online brokerage rankings, it’s the non-bank-owned online brokerages that continue to shine.

Before diving into the results, it is interesting to note a few observations about the study and presentation of the latest ranking data.

The first thing that stands out is that this year’s ratings showed up much later than they usually do. Instead of a typical publish date of November or December, the ratings showed up this year with just two weeks to go before the RSP deadline. Perhaps this is timed for those last-minute shoppers, however, given the sharp spike in interest in DIY investing that hit in December and January, these rankings would likely have grabbed considerable attention in the wake of the interest and online brokerage outages that took place to kick off the year.

As with previous editions, this year’s rankings use the letter grade system to evaluate the brokerages overall performance, with key measurements of the discount brokerage field consisting of parameters such as:

  1. Who has paperless accounting?
  2. How do stock trading commissions compare?
  3. Is commission-free ETF trading available?
  4. Foreign exchange charges
  5. Are U.S.-dollar registered accounts available?
  6. What can broker smartphone and tablet apps do?
  7. Can clients send secure e-mails to get questions answered?
  8. Is there a wide choice of places to park cash?
  9. Can clients compare their portfolio returns with benchmark stock and bond indexes?
  10. How does the client website experience rank on a scale of 1 to 5?

Another tradition of the online brokerage rankings is that they added some newer features to the way the information was presented. This year’s comparisons are a bit more dynamic than year’s past, with the ability to compare specific brokerages using the factors listed above. Gone is the large table view which provides a bird’s eye look at the field across all features and instead a more focused look is possible. Based on the design, it appears a bit easier to navigate the comparison on a mobile screen than having to scroll left or right on a table, so the mobile user was clearly considered when putting this review feature in place.

This year’s rankings are also behind a pay-wall, which means that only subscribers to the Globe and Mail can review in detail the results of this year’s study. Fortunately, we’ve summarized and reported the results below and this year’s scores will be added to each broker profile so readers can compare the historical performance of a particular online brokerage in a variety of ratings. Because the Globe and Mail has disabled commenting on articles as of December 2017, this year, it was unfortunate we were not able to review the reactions of readers to the results as the responses also offer some insight as to whether the online brokerage rankings resonated with general sentiment.

With the stage set for the results themselves, let’s dive in to see what stood out from the online brokerage field this year.

There were a number of very interesting observations about this year’s rankings however to keep things digestible, we’ve selected three of the most interesting (to us) factors to hone in on.

First, Qtrade Investor taking top spot in this year’s rankings means that they have cleaned up in 2017. Specifically, they have ranked first or almost first in all of the major Canadian online brokerage rankings in 2017. Despite the very different methodologies used to evaluate online brokerages that each of these rankings present, three very different studies found Qtrade Investor stood out from their peers. For that reason, expect to see Qtrade Investor be a part of the DIY investor dialogue in 2018 for recommendations or to be short listed as an online brokerage worth considering.

In an interesting marketing quirk, the fact that Questrade – the only other Canadian online brokerage that starts with Q and has ‘trade’ in its branding, also finished on the podium (in a three-way tie with Interactive Brokers and Scotia iTRADE) means that there is sure to be some confusion as to which brokerage is which. Given how much more advertising Questrade does than Qtrade, however, this may actually tilt in Qtrade Investor’s favour.

The second very interesting observation about this year’s results is that Interactive Brokers finally made it into the list of Canadian discount brokerages considered. For many years they were left off the list, not meeting the criteria of being a typical choice for the everyday investor. With the addition of registered accounts, notably the RSP and TFSA accounts by Interactive Brokers Canada, the full spectrum of very active and less active investors appeared to be able to access this online brokerage for more than just day trading. Even more significant than being included this year is the position that Interactive Brokers Canada ranked in. Finishing in a tie for second place alongside “mainstream” brands such as Questrade and Scotia iTRADE means that Interactive Brokers came out ahead of most of the other Canadian online brokerage service providers.

Regular readers of the weekly roundup will note that we often report the (relatively low) average commission paid by IB clients and the unbroken streak of constant quarterly growth in accounts observed for the better part of a decade. This kind of attention on a brand many Canadian investors might not have considered is likely to pose a challenge to the incumbent online brokerages. Further, it also appears that Interactive Brokers is aggressively stepping up their marketing efforts in Canada.

The image below was snapped on BNN’s homepage, a very bold move by IB Canada to be front and centre with Canadian DIY investors. Look for Interactive Brokers to continue to make their presence felt in Canada with a broader market of DIY investors than the “active trader” segment.

Finally, and somewhat related to the first two observations, was that most of the top rated online brokerages in Canada were not bank-owned online brokerages at all. It appears that despite the scale and convenience factor that bank-owned online brokerages bring, when it comes to appeal to the average DIY investor, Rob Carrick’s view is that the non-bank-owned online brokerages are simply doing a better job – for the most part. A key data point in favour of that is seen in the cost of converting to US funds which showed just how much clients of Interactive Brokers and Questrade could save relative to other online brokerages when purchasing stocks in USD by converting CAD dollars.

There was one curious ranking which seems somewhat controversial – and that is awarding Scotia iTRADE, the only bank-owned online brokerage to finish tied for second place, with a B+.

One of the biggest points of debate is the fact that Scotia iTRADE is the only Canadian online brokerage to charge a standard commission pricing of at least $24.99 for accounts with less than $50,000. By presenting the rate that Scotia iTRADE charges as 9.99 per trade alongside other Canadian brokerages that charge $9.99 or less to all clients regardless of account balance creates a perception of parity in pricing when it doesn’t exist.

To be fair, there was a footnote about the commission pricing being higher for individuals with less than $50,000 however the spirit of the Globe and Mail’s rankings have usually leaned towards features that save consumers – in particular younger or more modest portfolio holders – from paying very high fees. To be in the same rank as either Questrade or Interactive Brokers, both of whom have sharply lower pricing by comparison, doesn’t quite stack up. Pricing aside, there was also a versatility gap when it came to US dollar registered accounts that is highlighted in the table above. Specifically, Scotia iTRADE did not offer any (at the time of publication) whereas brokerages such as Virtual Brokers offered a higher number.

The justification that was provided (which acknowledged looking past both the pricing and lack of USD registered accounts) was that the user experience, in particular the website, was more than helpful enough to make up for the value difference. To be fair, for clients with more than $50,000 at Scotia iTRADE, the value equation certainly appears compelling, however that is a rather sizeable hurdle to overcome for many beginner DIY investors.

One of the important takeaways about the Globe and Mail rankings is that there is a high degree of subjectivity that goes into awarding the final grade. The ranking breakdowns were not provided at the time of publishing so it is difficult to see the weights that each factor played in determining the grades, however the apparent importance of website experience coupled with the subjective nature of that rating means that DIY investors relying on the rankings should understand that their experience may vary from the assessments put forward by Rob Carrick.

Nevertheless, this year’s online brokerage rankings do contain interesting nuggets worth reading and considering when choosing a possible online brokerage. The new dynamic features add an interesting user experience to the comparison process and with additional coverage of Interactive Brokers, this year’s results seem to reaffirm Carrick’s view that bank-owned online brokerages aren’t necessarily the gold standard, rather, the independent and non-bank-owned options are stronger competitors than they’ve ever been.

Blockchain on the Horizon

The Canadian Securities Exchange announced this week that they are seeking regulatory clearance to launch a clearing and settlement platform powered by blockchain that will enable trades to settle instantly. Moreover, this platform will also enable the CSE to allow companies to issue Security Token Offerings (STOs) that will utilize smart contracts as a mechanism to bring regulated securities to public markets.

On the settlement front, this is a potential game changer for investors who would no longer have to wait days for trades to settle and as such wait to access funds from the sale of a stock position. More than the time factor, this could be the next catalyst for trading commission prices to go lower as the cost for clearing and settling trades would likely also be lower with fewer intermediary steps and a lower cost for the online brokerages to plug into this clearing system.

Right now, there’s still a regulatory process that will dictate the launch of this platform however the announcement in and of itself should be enough to spur the current (and only) clearing house in Canada to explore means to innovate.

Discount Brokerage Tweets of the Week

Another week of technical difficulties and interesting client service issues aired in the public view. Mentioned by Canadian DIY investors were BMO InvestorLine, CIBC Investor’s Edge, Questrade, RBC Direct Investing, Scotia iTRADE, TD Direct Investing, and Virtual Brokers.

From the Forums

Win, Lose or Withdraw

TFSAs can be powerful vehicles for DIY investors to build wealth, but there are finer points to understanding how they work. This post, from the Canadian Money Forum, provides a valuable look at how the ins and outs of the TFSA work for DIY investors.

Digging for Info

The first time in the markets can be an intimidating moment. This post from reddit’s Canadian Investor forum thread highlights one user’s experience and also contains a very interesting (albeit brief) comparison of Interactive Brokers and Questrade – two names that made news this week.

Into the Close

That’s a wrap on another volatile week in the markets. Thankfully it’s a long weekend for Canadian investors which also happens to coincide with the lunar New Year. Have a safe, happy and relaxing long weekend and best wishes for a prosperous year of the dog!

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Discount Brokerage Weekly Roundup – February 2, 2018

Welcome to February. Instead of V for Valentine’s it appears that the first V is for volatility. Gravity kicked in very quickly for stock markets this week, as it often does, when supply suddenly outstrips demand. Curiously, for online brokerages, demand continues to be strong, and investor demands continue to increase.

In this Groundhog Day edition of the roundup we recap the week’s developments starting first with the continuing saga of DIY investors trying to navigate outages and client service delays. From there, we shift to happier news, namely the latest deals and promotions to cross the wire from Canadian discount brokerages. Also, we’ll take a look at the latest investor education initiative from a bank-owned online brokerage that may breathe some life into this subdued sector. As always, we’ll scan what DIY investors were talking about on Twitter and in the investor forums.

Deja Queue

It’s somewhat ironic that on Groundhog Day that we’re once again revisiting the news that online brokerages are fumbling in early 2018. As coincidental as the timing is, the movie Groundhog Day has become a popular example of history repeating itself unless things change, and for many DIY investors in Canada, this feels like deja-vu all over again.

For several of Canada’s large bank-owned online brokerages, wait times for phone agents and technical difficulties for trading platforms continue to be high. It has now reached a level that brokerages have taken to posting messages on the front end or the welcome screens on the backend that issues persist.

In monitoring the recent struggles of DIY investors to connect with Canadian online brokerages, one very interesting trend is emerging. Specifically, because online brokerages are either slow to address clients on phone lines or are experiencing multiple platform or feature outages, DIY investors are taking to Twitter to notify members of the media to intervene.

While it’s not without precedent, the pace and magnitude of media personality participation in 2018 is something the Canadian online brokerage industry should be incredibly concerned about. Not only are DIY investors learning to tweet at members of the media about the issues that are occurring, but members of the media are responding.

Last month, the Globe and Mail’s Clare O’Hara published an article that shone a spotlight on the tribulations of DIY investors’ trading platforms going down. Even more intriguing are examples such as an exchange this past week on Twitter between a Scotia iTRADE client and the personal finance writer at the Toronto Star, Ellen Roseman.

From an outsider’s perspective, it appears that escalating client service issues to members of the personal finance media expedited a response.

And this is not an isolated incident. Notifications to anyone and everyone who may listen – including the media, is now something Canadian discount brokerages need to be prepared to handle. If the teams at online brokerages were already overwhelmed, this extra strain certainly doesn’t make things easier.

Of course, the longer it takes the Canadian discount brokerage industry to address response times and stability issues, the louder the complaints will get and inevitably DIY investors will go beyond tagging media and begin approaching regulators to comment or address what’s going on. And, at that point, for online brokerages it may start to feel like a bad dream come true.

Deals and Promotions update

As we profiled last week and in the deals and promotions section, there is a lot of choice when it comes to cash back offers from Canadian discount brokerages. In total, there are eight online brokerages offering a cash back deal and of those, five different online brokerages have the ‘best’ deal (i.e. offer the most cash back) depending on the amount deposited.

For commission-credit offers, however, the field is much smaller and there is a clear difference between the highest offer and everyone else.

Before diving into this month’s top offers, it’s useful to point out that commission credit offers are those for which an online brokerage provides a refund/rebate or credit for the entire trade commission. There are offers from Jitneytrade and Virtual Brokers which do offer discounted commission rates, but those have not been included here.

Another interesting quirk about commission credit offers is that they are generally time-limited. As such, it is important to be clear on how long you have to use the commission credit and when you may receive the rebate/refund for the commissions on those trades if that is the structure of the offer.

Currently there are four online brokerages that offer commission credit promotions. Specifically, BMO InvestorLine, Desjardins Online Brokerage, National Bank Direct Brokerage and Questrade each have offers.

As shown in the table above, when it comes to commission-free trade offers, Desjardins Online Brokerage currently has the most competitive offer for deposits over $10,000.  Although qualifying for Desjardins’ offer begins at deposits of $10,000 (which offers 10 trades), National Bank Direct Brokerage’s offer of 10 commission-free trades is slightly better than Desjardins’ offer of the same amount of trades because the time frame to use the trades is 1 year with NBDB versus 6 months for Desjardins Online Brokerage’s offer.

For deposits of between $1,000 and $10,000, the exclusive Sparx88 offer with Questrade offers up at least 9 commission free trades. Because Questrade has variable pricing, we used the most expensive commission price of 9.95 per trade when estimating the number of commission-free trades available. In the best case of all trades costing $4.95 per trade, however, investors can receive up to 17 commission free trades. Another perk about this specific promotion is that there is a 60-day window to use these trades rather than the standard 30 days.

Whether it is commission-free trades or cold hard cash, the great news for DIY investors is that February 2018 seems to be a fantastic month for promotions when opening up a new online trading account. With close to 30 offers to choose from and a very strong selection, DIY investors are almost certain to get a little something extra for joining a new online brokerage or transferring assets into an existing account.

National Bank Direct Brokerage Offers Options Education

Although investor education has been largely on the backburner for many Canadian online brokerages over the past year, National Bank Direct Brokerage and the Montreal Exchange are putting options education back into the spotlight with a new webinar series.

Starting in mid-February and running through to early June, this six-webinar course will run through the basics of options trading. Topics for this series include:

  • Options fundamentals (Feb. 13th)
  • Option strategies for RRSP & TFSA (Mar. 14th)
  • Options trading: Myths and reality (Apr. 4)
  • Options trading mistakes to avoid (Apr. 25)
  • Options as a hedging strategy (May 16)
  • Options as an income strategy (June 6)

Montreal Exchange also has run options education days in cities across the country for the past few years, as well as provided considerable options education resources so they are seasoned providers of investor education in this space.

For individuals who can’t attend the webinar live, there will be recordings of the session posted to the webpage here.

Even More Passive Investing

This week, Vanguard Investments Canada launched a series of three ETFs that are sure to get the attention of DIY investors interested in simple passive investing strategies. In fact, they already have.

Earlier in the week the Globe and Mail’s Rob Carrick published an article describing the three funds: Vanguard Conservative ETF Portfolio (TSX:VCNS); Vanguard Balanced ETF Portfolio (TSX:VBAL) and Vanguard Growth ETF Portfolio (TSX:VGRO).

With asset allocations baked into a single ETF and with low management costs, the most striking observation made by Carrick was that these products are “simple enough to steal some business away from robo-advisers.”

And, that business, could be stolen by online brokerages. Specifically, online brokerages that offer commission-free ETF trading, such as National Bank Direct Brokerage, or those that offer commission-free ETF buying (Questrade and Virtual Brokers), could stand to benefit the most. The combination of low/no commission fees and simplicity of management mean that online brokerages can market to passive investors with messaging that doesn’t promote someone having to make numerous trades; instead the goal can be asset gathering, which is another way in which online brokerages can generate revenue.

Discount Brokerage Tweets of the Week

Mentioned by Canadian DIY investors were BMO InvestorLine, CIBC Investor’s Edge, Questrade, RBC Direct Investing, Scotia iTRADE, and TD Direct Investing.

From the Forums

Gimme a reason

It’s not often that we see a post from a DIY investor who wants to switch but just needs to be sold on why. Interestingly, in this post from reddit’s Personal Finance Canada thread, one investor did just that by asking for a reason to switch away from Credential Direct. Even more interesting, however, were the responses on just how to structure an exit to incur the fewest fees.

Quick start

It’s no secret that DIY investors hoping to open an online trading account have encountered delays in the application process that can last for days. According to this post on reddit’s Personal Finance Canada thread, however, there is one online brokerage that happens to be able to speed up the process considerably. Find out who’s getting ahead of their peers in the race to bring new clients on board digitally.

Into the Close

That’s a wrap for another eventful week. This weekend will also likely be just as eventful (especially for sports fans).  After such a rough week in the markets, probably the best chance for cryptocurrency ‘traders’ and cannabis investors to see green is by tuning into the Super Bowl on Sunday or by reaching for the guacamole. Have a great weekend!