Tag: Deals

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Discount Brokerage Weekly Roundup – May 31st 2013

Discount Brokerage News

This roundup features deal spotting from Disnat and TD Direct Investing at the Cambridge House World Resource Investment Conference, a new review of Qtrade and news about a costly mistake made by a  Questrade trader. In addition we take a quick peek at the latest ranking of Canadian discount brokerages.

Deal Me In

TD Direct Investing is quietly launching the new free trades deals. This is an interesting move on TD’s part given that they’ve largely stayed away from offering free trade promotions and because of the timing/roll-out of the deal.  The “50 free trades” promotion was launched towards the end of May and expires mid-July.  Check out our deals section for more info.

Also in the deals section is an updated promotion from Disnat that was being offered at their SCATE tour and at the last World Resource Investment Conference in Vancouver this past week.

Positive Feedback

Money Smarts blog posted an interesting review of Canadian discount brokerage Qtrade earlier this week.  The review contains some feedback from account holders, and it appears that customer service was a point most (including the article’s author) agreed was a strong point of the Qtrade experience. Interestingly, Qtrade did not perform nearly as strongly on the Dalbar Direct Brokerage Service Experience evaluation as other Canadian discount brokerages did.  The Dalbar study directly measures customer service and so the difference between what many consumer posts suggest and what some other studies also show

False Start on the Offense

Earlier this month, Questrade was in the penalty box with the Investment Industry Regulatory Organization of Canada (IIROC) for trading actions one of its employees took between August of 2009 and February 2010.  According to the decision document, the trader was found to have “entered orders on the Toronto Stock Exchange that he ought reasonably to have known could reasonably be expected to create an artificial bid price for Quebecor Inc. Class A securities”  while Questrade was penalized for not having adequate controls in place to prevent such practices from occurring. Both the trader and Questrade were fined for these infractions.

Joining the Ranks

The June 2013 edition of MoneySense magazine is on newsstands and features a review of Canada’s Best Discount Brokerages.  This is yet another in the growing list of discount brokerage rankings.  The rankings themselves are actually compiled by Surviscor, so the data is also available for free on Surviscor’s site too.  Check out our article regarding the numerous Canadian discount brokerage rankings in which we try to make sense of those who claim to be “Canada’s best discount brokerage.”

Interestingly, JD Power’s Investor Satisfaction Award survey is also currently being deployed to Canadian investors.  The survey is generally conducted in the late spring/early summer time frame and  results should be released in the fall.

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Bulls, Brew & Bottoms: Review of the Vancouver World Resource Investment Conference 2013

World Resource Investment Conference 2013This year’s World Resource Investment Conference (WRIC) in Vancouver came a bit earlier in the calendar than last year’s conference against the backdrop of a mining and exploration market fraught with pain and nervousness. In the mining sector, hope seems to be the rare commodity everyone is looking for these days.

The two-day WRIC featured the standard recipe of resource companies exhibiting and presenting, familiar speakers from Cambridge House conferences past and of course, the big bull.   Unlike previous conferences, however, this year’s WRIC felt like a much smaller show.  Attendance figures showed that close to 3700 individuals attended the conference this year which is down considerably from 2012.

Speakers and exhibitors also pointed out the smaller crowds this time around. One of the more popular speakers often present at Cambridge House shows, Danielle Park, remarked that the small numbers of attendees at this past conference are a far cry from the height of investor fervor during 2007.   As a follow up to that statement, however, she pointed out that fewer investors in the conference may actually be a healthy albeit contrarian indicator that the business cycle in junior mining and exploration stocks is working itself out.

From many of the talks, the sentiment appears to have shifted from denial of bad news to acceptance. As any seasoned investor knows, when it sounds like other investors are throwing in the proverbial towel, it is probably a good time to start looking over the merchandise to see what might go on sale.

Despite the widely acknowledged doom and gloom, there were a number of bright spots throughout the conference.  For attendees, this year’s speakers offered a great mixture of colourful analysis and opinion. In particular, the closing panels on both days saw spirited debates about the future of venture capital funding for junior companies (day 1) and an especially fiery closing panel on the world outlook (day 2) that saw outspoken personalities Rick Rule and Danielle Park exchange clever quips across the panel table, some of which landed on Marin Katusa who was seated between them.

Also spotted at the conference were a couple of the usual discount brokerage suspects, TD Direct Investing as well as Disnat.  What was particularly noteworthy was the promotion by TD Direct Investing that has yet to be widely launched. They have jumped into the ‘free trades’ game and will be offering up to 50 free trades to new clients between now and mid-July.  Check out our deals section here to find out more.   Disnat was also offering an ‘unadvertised’ deal which was being offered during their SCATE tour. The big lures for the Disnat deal are a 1 year subscription to Tyler Bollhorn’s daily alert newsletter and $300 in commission rebates. For more details on this deal, click here.

Other interesting bright spots included the Rocks to Riches course preview in which attendees could learn about some of the important concepts within geology by doing some hands on (experiential) learning.  This course is likely going to be offered in January 2014 at the Vancouver Resource Investment Conference. For more information on it, click here.Visual Capitalist Beer

Lastly, Visual Capitalist, an innovative Vancouver communications firm that creates fun and informative infographics (and apparently craft beer too) on a number of commodity and mining-related topics , is launching the beta-test of their new mining and exploration company comparison tool: TickerScores.  This tool aims to tackle making the difficult process of scanning and researching mining and exploration stocks much more intuitive and far less time-consuming.  To learn more about this neat tool, check out the link here.

The upcoming summer months will provide many answers to the predictions made by the analysts and experts at this conference as to the fate of many cash-strapped junior companies.  This lines up nicely with the timing of the last of the Cambridge House conferences in Canada in 2013, the Toronto Resource Investment Conference to be held in September.  Of course, for those investors and companies hoping for a market bottom, how they manage to stomach these next few months will be worth hearing about in September.

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Discount Brokerage Deals & Promotions – May 2013

ArchivedDeals*Deals have been updated, see below for more details*

This month’s deals and promotions from Canadian discount brokerages feature a new promotion by Questrade, as well as an interesting deal/contest by Scotia iTrade announced last month.  Also, Qtrade‘s transfer fee rebate is also back, this time with no apparent time limits.  Before launching into the new deals, we’ll take a quick recap of which deals have expired and which are expiring this month.

One of the big deals that expired at the end of April was HSBC InvestDirect‘s unlimited trading offer.  While they haven’t typically offered many deals or promotions over the past year, with this recent deal, it could be a sign of some activity to come, especially if they are keen to highlight their recently recognized customer service award from Dalbar to Canadian self-directed investors.    Questrade’s 100 free trade offer which ran last month officially expired and is being replaced by another free trade offer geared towards active traders (see below).  Now that Questrade has pulled the 100 free trade offer, only Scotia iTrade is offering 100 free trades for new accounts.

Disnat‘s 30th anniversary deal which offers $300 in commission credits has been around for a few months and is being extended to May 31st.

Questrade’s latest offering  (the Advantage promotion) is offering 30 days of commission-free trading as well as one month free of the US Advanced data package.  The terms and conditions on this are a bit tricky so be sure to read and understand them.  Several key points to pay attention to are:

  1. The start/end dates for the free data package
  2. The start/end dates for the commission-free trading month
  3. The length of time needed to maintain a minimum balance of $25,000 (this is 6 months)
  4. Commission rebates are credited to client accounts within 3 business days however clients will still have to pay the commissions at the time a trade is executed.

If you are considering the Advantage program, we suggest looking at our detailed report and/or special series that looks into the Advantage plan.

Scotia iTrade also recently announced their “Get Educated” promotion and contest.  This hybrid offering allows individuals opening a new account with at least $50,000 100 commission-free trades (which they have 60 days to use) as well as the opportunity to get 5 ballots to be entered in a draw for a $25,000 cash trading account as well as a “trading education” package (retail value $5,000).  Like many ‘commission free’ offerings, on this promotion individuals are responsible for paying the commission fees which are then refunded to clients overnight. The “contest” portion of the Scotia iTrade offer is open to all Canadians however be sure to read the terms and conditions as well as the rules and regulations for  participation in the contest.

Lastly, when we went to last month’s World MoneyShow in Vancouver, we spotted a deal from National Bank Direct Brokerage that gives individuals who open a new account (with $25,000) 6 months of trading at a $6.95 commission rate.

*Update* May 29th, 2013

Two new deals are being added into the list late in the month.

We spotted this first deal being promoted at the World Resource Investment Conference in Vancouver. TD Direct Investing is launching a new “50 free trades” promotion where new accounts with a $50,000 deposit are eligible to receive up to 50 trades commission free as well as have their transfer fees covered (up to $150).  Clients who have lower amounts to deposit may be eligible for fewer commission free trades. For example, clients who deposit between $25,000 and $50,000 can receive 10 free trades and clients who deposit between $5,000 and $25,000 are being offered 3 free trades.

The second deal, also spotted at the World Resource Investment Conference, is an unadvertised offer by Disnat which looks like an offer from their SCATE tour.  While not as generous as some previous deals, this deal offers $300 in commission credits, 3 months of the lowest rate of commissions and a free year of the Stockscores daily newsletter service.

Discount Brokerage Deals & Promos

Company Brief Description Minimum Deposit Amount Commission/Cash Offer 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 Jitney and receive access to their preferred pricing package and a massive 45% discount on the Real Tick trading platform. n/a Discounted Commission Rates none For more details click here none
Open a new account (TFSA, Margin or RRSP) and receive $50 commission credit . Use promo code: kdkfnbbc $1,000 $50 commission credit none none none
Refer a friend to Questrade and when they open an account you receive $100 and they receive $50. To receive this deal you must be an existing client with an equity account and refer a person that does not reside with you and who has not previously opened a Questrade account. $1,000 $50 commission credit (friend) $100 commission credit (referrer bonus) 60 days Refer a friend none
Open a new account with TD Direct Investing before July 12, 2013 and deposit either A)$5,000 to $25,000 B)$25,000 to $50,000 or C)$50,000 or more to receive commission credits for A) 3 trades, B)10 trades or C) 50 trades. Be sure to read the details about keeping your account balance at qualifying levels, eServices subscription as well as other terms and conditions. A)$5,000 B)$25,000 C)$50,000+ A) 3 Trades (max value $87) commission credit B) 10 trades (max value $290) commission credit C) 50 trades (max value $500) commission credit Trades must be used by September 30, 2013 4pm ET. 50 free trades offer July 12, 2013
Disnat As a follow up to their SCATE tour, Disnat is offering new clients who deposit $10,000 before June 30, 2013 a bundle that includes commission credits and a one year free subscription to Tyler Bollhorn’s Stockscores daily newsletter. This is an unadvertised deal so the details link is to a scan of the flyer with the offer. $10,000 $300 commission credit 30 days For more details, click here and here June 30, 2013
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:$199.80) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $999) 60 days Refer A Friend to Scotia iTrade May 31, 2013
Scotia iTrade Open and fund a new Scotia iTRADE account with at least $25,000 before June 30, 2013 and the commissions associated with your first 100 trades placed within 60 days of the date the account is activated and funded are free. Also, the new FlightDesk platform is being offered for free for 60 days. Use promo code 100FT. See details link for further terms and conditions. $25,000 100 free trades ($999 value @ $9.99 commission rate) 60 days Scotia iTrade 100 free trades + FlightDesk June 30, 2013
Open a new account with National Bank Direct Brokerage before Oct. 31st and the commission rate for equity transactions will be fixed at $6.95 for 6 months. Use promo code: EVENT2013. Since this is unadvertised, you’ll have to call their customer service line: 1-800-363-3511 for full details. $25,000 $6.95 fixed commission rate for 6 months 6 months Click here for a low-res version of flyer or here for a high-res version. October 31, 2013
If you refer a friend/family member who is not already a National Bank Direct Brokerage account holder to them, both you and your friend get a bonus of $100 each. The promotion code “FRIEND” must be used on the account application form. Read the details link for full terms and conditions. Note the maximum referral bonus per client is $1000. $25,000 $100 referral bonus (referrer) $100 referee (your “friend”) Payout occurs after 6 months Share $200 with a Friend Promotion October 31, 2013
Open a new account (TFSA, Margin or RRSP) and receive 30 days of commission-free trading and one month free of the US Advanced market data package. Use promo code ADVANTAGE when signing up. Offer is open to new clients only. There are a number of important conditions to qualify – be sure to read terms and conditions to the deal. $25,000 30 days unlimited commission-free trading + 1 month free Advanced US market data package. 30 days Advantage Promotion June 30, 2013
Disnat Disnat is celebrating its 30th anniversary by offering new & existing clients $300 in commission credits which can be used for up to 6 months. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $50,000 $300 commission credit 6 months Disnat 30th Anniversary Promo May 31, 2013
Scotia iTrade Open a new Scotia iTRADE account before May 31, 2013 and fund it with at least $50,000 (by June 30th, 2013) and the commissions associated with your first 100 trades placed within 60 days of the date the account is activated and funded are free. Also, the new FlightDesk platform is being offered for free for 60 days. Use promo code SP-EDCON. There is also a contest to win a $25,000 trading account that is part of this promotion. See details link for further terms and conditions. $50,000 100 free trades ($999 value @ $9.99 commission rate) 60 days Get Educated Promo May 31, 2013
BMO InvestorLine Open a new account or upgrade an existing account with either A) $100,000 or B)$250,000 to receive $250 cash(for those who deposit $100K) or $600 (for those who deposit $250K). Use Promo Code: BONUS600 NOTE: There are lots of details/important conditions attached to this promotion. Be sure to read the terms and conditions carefully. A) $100,000 B) $250,000 A) $250 Cash Back B) $600 Cash Back Payout occurs after 6 months Spring 2013 Cash Back Promotion June 3, 2013
BMO InvestorLine Open a new account or upgrade an existing account with $500,000 to receive $1500 cash back. Use Promo Code: Select1500. NOTE: There are lots of details/important conditions attached to this promotion. Be sure to read the terms and conditions carefully. This wasn’t an advertised deal, however the terms and conditions are from BMO InvestorLine’s website. $500,000 $1500 Cash Back Payout occurs after 6 months Select1500 Promotion June 3, 2013


Transfer Fee Deals

Below are the discount brokerages deals that cover transfer out fees from other discount brokerages.

Company Brief Description Maximum Transfer Fee Coverage Amount Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Transfer your discount brokerage account to Credential Direct and they’ll pay up to $200 of the transfer fees. If after 90 days you’re not satisfied they will waive the $125 transfer out fee too. $200 $10,000 Switch Me Promo June 30, 2013
Disnat As part of their SCATE tour promotion, if you open a new account by June 30th with $10,000 or more Disnat will cover up to $150 of the transfer fees from another brokerage. $150 $10,000 For more details, click here and here June 30, 2013
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
Open a new account by July 12, 2013 and transfer $25,000 or more to TD Direct Investing and they will cover up to $150 of the brokerage transfer fees. $150 $25,000 50 free trades offer July 12, 2013
Transfer $25,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees $135 $25,000 Transfer Fee Rebate none
Qtrade Investor Qtrade Investor will reimburse your transfer fee up to $125 when transferring a balance of $25,000 or more. For reimbursement, please mail or fax a copy of your statement from the transferring institution that shows the transfer charge to Qtrade Investor at 604.484.2627 and indicate your Qtrade Investor account number. $125 $25,000 Transfer Fee Promo none
Disnat Disnat is celebrating its 30th anniversary by 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 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $150 $50,000 Disnat 30th Anniversary Promo May 31, 2013
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Event Review – World MoneyShow Vancouver – April 2013

World MoneyShow VancouverThis year’s Vancouver World MoneyShow turned out to be a little different than most others. The exhibiting space felt a bit smaller than usual, the lineups took a bit longer and the schedule a bit less punctual.  As it turned out, this year’s MoneyShow would be the one in which this franchise would announce its Canadian retirement.

The big announcement the MoneyShow franchise would be exiting the Canadian market came as a surprise to many. With one more stop to go in Toronto this upcoming October, the MoneyShow organizers said they have enjoyed their time in Canada and will turn over their Canadian show back to the predecessor of the MoneyShow in Canada – the Financial Forum.  Charles Githler, Chairman and Co-Founder of the MoneyShow will be taking the reins for the Financial Forums next year and when we spoke to him at the show, he hinted that something bigger and brighter would be coming next year.

A small (26) and eclectic mix of companies, organizations and services exhibited this year ranging from multibillion dollar energy giant Royal Dutch Shell to consultants offering grant funding tips.  By far the most popular booth was the ‘crack the safe’ promotion held by MoneyShow which offered attendees the chance to punch in a code on a safe for a chance to win the $50,000 it contained.   There was also the usual assortment of promotional items and conference swag. Aside from some interesting pens and rubber ducks, nothing really stood out this year as being very cool conference loot.

Surprisingly, there were three discount brokerages in attendance and one notable absence. TD Direct Investing, National Bank Direct Brokerage and Interactive Brokers all attended the conference this year, however a regular at these conferences, Disnat, did not.  The discount brokerage’s booths varied in their ‘bells and whistles’ and giveaway items. TD Direct Investing’s booth was located in the prime real-estate – right at the entrance to the conference. They had their platforms on display as well as an army of staff to handle questions.  In contrast, Interactive Brokers took a no-frills approach with a lone rep, some brochures and a laptop. National Bank Direct Brokerage was offering their standard ‘hand sanitizer’ (a practical piece of conference gear after all that hand-shaking) as well as a special deal on trading commissions for new account sign ups (the details of which we’ll be posting in our deals section here).

One of the brighter spots of the conference was the assortment of interesting speakers discussing everything from market cycles and seasonality to exploration opportunities to personal finance and everything in between.

Bruce Sellery, personal finance author and owner of Moolala, gave an energetic and thought-provoking series of tips to help Canadians better approach their own financial management.  Other interesting speakers, such as Peter Hodson (of Canadian MoneySaver and 5i Research) gave investors some interesting food for thought about the mutual fund industry as well as important signs to look for when assessing investing opportunities. Most notable among those tips: “pull the weeds and water the flowers” when it comes to managing your portfolio’s winners and losers.  Marin Katsua of Casey Research also shared his dour forecast of the next few months in the mining and exploration space as well as his fascinating case for the energy market potential in Europe.

Overall, participants, speakers and exhibitors seemed to characterize Vancouver’s MoneyShow as a bit slower and smaller than usual. The MoneyShow’s formula of speakers, exhibitors and giveaways nonetheless provided something unique to attendees. Hopefully the Toronto show can be a chance for the Financial Forums to provide Canadian self-directed investors with a glimpse of greater things to come.

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Discount Brokerage Deals & Promotions – April 2013

ArchivedDealsApril’s discount brokerage deals and promotions heralds the return of unlimited trading by an unlikely character in the deals section – HSBC InvestDirect. This deal is in ‘celebration’ of HSBC’s recent award by Dalbar Inc for best customer service at a Canadian discount broker, an award that RBC Direct Investing had won for several years.

On top of unlimited trading, we also have the big 100 trade offers by Questrade and Scotia iTrade, and a Spring cash-back offer from BMO InvestorLine that is sure to get people talking.

Credential Direct also makes an appearance this month with their transfer fee promo. The refer-a-friend offers are still being offered by Questrade, National Bank Direct Brokerage and Scotia iTrade.

Falling off our deals list at the start of this month are TD Direct Investing and Qtrade whose transfer fee deals expired at the end of March.

 

Discount Brokerage Deals & Promos

Company Brief Description Minimum Deposit Amount Commission/Cash Offer 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 Jitney and receive access to their preferred pricing package and a massive 45% discount on the Real Tick trading platform. n/a Discounted Commission Rates none For more details click here none
Open a new A) non-registered account or B) registered account with HSBC InvestDirect between April 1st and April 30th and receive either A)30 days or B)45 days of commission-free trading. no minimum deposit Commission Credit (amount of credit depends on trading activity) A) 30 days (non-registered accounts) B) 45 days (registered accounts) Free Trading Offer For additional information, there is also an FAQ Link April 30, 2013
Open a new account (TFSA, Margin or RRSP) and receive $50 commission credit . Use promo code: kdkfnbbc $1,000 $50 commission credit none none none
Refer a friend to Questrade and when they open an account you receive $100 and they receive $50. To receive this deal you must be an existing client with an equity account and refer a person that does not reside with you and who has not previously opened a Questrade account. $1,000 $50 commission credit (friend) $100 commission credit (referrer bonus) 60 days Refer a friend none
Open a new account (TFSA, Margin or RRSP) and receive 100 commission-free stock trades. $10,000 100 free trades (max total value: $995.00 at $9.95 commission rate) 60 days Refer a friend April 30, 2013
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:$199.80) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $999) 60 days Refer A Friend to Scotia iTrade May 31, 2013
Scotia iTrade Open and fund a new Scotia iTRADE account with at least $25,000 before June 30, 2013 and the commissions associated with your first 100 trades placed within 60 days of the date the account is activated and funded. Also, the new FlightDesk platform is being offered for free for 60 days. Use promo code WAC13-EN. See details link for further terms and conditions. $25,000 100 free trades ($999 value @ $9.99 commission rate) 60 days Scotia iTrade 100 free trades + FlightDesk June 30, 2013
If you refer a friend/family member who is not already a National Bank Direct Brokerage account holder to them, both you and your friend get a bonus of $100 each. The promotion code “FRIEND” must be used on the account application form. Read the details link for full terms and conditions. Note the maximum referral bonus per client is $1000. $25,000 $100 referral bonus (referrer) $100 referee (your “friend”) Payout occurs after 6 months Share $200 with a Friend Promotion October 31, 2013
Disnat Disnat is celebrating its 30th anniversary by offering new & existing clients $300 in commission credits which can be used for up to 6 months. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $50,000 $300 commission credit 6 months Disnat 30th Anniversary Promo May 1, 2013
BMO InvestorLine Open a new account or upgrade an existing account with either A) $100,000 or B)$250,000 to receive $250 cash(for those who deposit $100K) or $600 (for those who deposit $250K). Use Promo Code: BONUS600 NOTE: There are lots of details/important conditions attached to this promotion. Be sure to read the terms and conditions carefully. A) $100,000 B) $250,000 A) $250 Cash Back B) $600 Cash Back Payout occurs after 6 months Spring 2013 Cash Back Promotion June 3, 2013
BMO InvestorLine Open a new account or upgrade an existing account with $500,000 to receive $1500 cash back. Use Promo Code: Select1500. NOTE: There are lots of details/important conditions attached to this promotion. Be sure to read the terms and conditions carefully. This wasn’t an advertised deal, however the terms and conditions are from BMO InvestorLine’s website. $500,000 $1500 Cash Back Payout occurs after 6 months Select1500 Promotion June 3, 2013

Transfer Fee Deals

Below are the discount brokerages deals that cover transfer out fees from other discount brokerages.

Company Brief Description Maximum Transfer Fee Coverage Amount Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Transfer your discount brokerage account to Credential Direct and they’ll pay up to $200 of the transfer fees. If after 90 days you’re not satisfied they will waive the $125 transfer out fee too. $200 $10,000 Switch Me Promo June 30, 2013
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 $25,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees $135 $25,000 Transfer Fee Rebate none
Disnat Disnat is celebrating its 30th anniversary by 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 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $150 $50,000 Disnat 30th Anniversary Promo May 1, 2013
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Discount Brokerage Deals & Promotions – March 2013

ArchivedDealsAs we move past the 2013 RRSP season, many of the promotions offered last month are either expired or will be expiring at the end of this month.  It seems like several discount brokerages are going to pass altogether on offering up any promotions for March whereas others are just extending out the deadlines of existing promotions.  This month there are seven discount brokerages offering promotions with free trades or credits for trades being the most popular.

The BMO InvestorLine RSP promotion offering 250 free trades is set to expire within the first week of March.  While 250 free trades is a substantial offer it is important that potential clients be clear that the “free trades” being offered in the advertisement refer to 250 free trades, not unlimited free trades which some of the other discount brokerages have recently been offering.  At the opposite end of the month, Scotia iTrade‘s 100 free trades offer is set to expire March 31st. Questrade is still running their 100 free trades promotion through till the end of April.

Both Scotia iTrade and National Bank Direct Brokerage are continuing to offer their refer-a-friend deals with iTrade’s offer now extended out until May 31st 2013.

We will keep an eye out for more deals may surface during the month and always invite our readers to share news of any promos they may have seen.

Discount Brokerage Deals & Promos

Company Brief Description Minimum Deposit Amount Commission/Cash Offer 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 Jitney and receive access to their preferred pricing package and a massive 45% discount on the Real Tick trading platform. n/a Discounted Commission Rates none For more details click here none
Open a new account (TFSA, Margin or RRSP) and receive $50 commission credit . Use promo code: kdkfnbbc $1,000 $50 commission credit none none none
Refer a friend to Questrade and when they open an account you receive $100 and they receive $50. To receive this deal you must be an existing client with an equity account and refer a person that does not reside with you and who has not previously opened a Questrade account. $1,000 $50 commission credit (friend) $100 commission credit (referrer bonus) 60 days Refer a friend 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:$199.80) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $999) 60 days Refer A Friend to Scotia iTrade May 31, 2013
Scotia iTrade Open and fund a new Scotia iTRADE account with at least $25,000 before March 31, 2013 and the commissions associated with your first 100 trades placed within 60 days of the date the account is activated and funded. Also, the new FlightDesk platform is being offered for free for 60 days. Use promo code WAC13-EN. See details link for further terms and conditions. $25,000 100 free trades ($999 value @ $9.99 commission rate) 60 days Scotia iTrade 100 free trades + FlightDesk March 31, 2013
If you refer a friend/family member who is not already a National Bank Direct Brokerage account holder to them, both you and your friend get a bonus of $100 each. The promotion code “FRIEND” must be used on the account application form. Read the details link for full terms and conditions. Note the maximum referral bonus per client is $1000. $25,000 $100 referral bonus (referrer) $100 referee (your “friend”) Payout occurs after 6 months Share $200 with a Friend Promotion October 31, 2013
Disnat Disnat is celebrating its 30th anniversary by offering new & existing clients $300 in commission credits which can be used for up to 6 months. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $50,000 $300 commission credit 6 months Disnat 30th Anniversary Promo May 1, 2013
BMO InvestorLine Open a new account or upgrade an existing account with either A) $100,000 or B)$250,000 to receive 250 trades (for those who deposit $100K) or 250 trades + $250 (for those who deposit $250K). Use Promo Code: RSP2013. NOTE: There are lots of details/important conditions attached to this promotion. Be sure to read the terms and conditions carefully. A) $100,000 B) $250,000 A) 250 Free Trades ($2497.50 value @ $9.99/trade) B) 250 Free Trades + $250 ( $2747.50 value @$9.99/trade) 90 days Path to Online Investing Promotion March 4, 2013

Transfer Fee Deals

Below are the discount brokerages deals that cover transfer out fees from other discount brokerages.

Company Brief Description Maximum Transfer Fee Coverage Amount Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Qtrade Investor Qtrade Investor will reimburse your transfer fee up to $125 when transferring a balance of $25,000 or more. For reimbursement, please mail or fax a copy of your statement from the transferring institution that shows the transfer charge to Qtrade Investor at 604.484.2627 and indicate your Qtrade Investor account number. $125 $10,000 Transfer Fee Promo March 31, 2013
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
TD Waterhouse Open a TD Direct Investing account with a minimum of $25,000 by March 1, 2013, and get up to $150 to cover your account transfer fees. $150 $25,000 Switch for free March 31, 2013
Transfer $25,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees $135 $25,000 Transfer Fee Rebate none
Disnat Disnat is celebrating its 30th anniversary by 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 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $150 $50,000 Disnat 30th Anniversary Promo May 1, 2013

 

 

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Desjardins Group buying a piece of Qtrade

Desjardins Group invests in Qtrade for the long-term

Desjardins Group, parent to discount brokerage Disnat, announced earlier this week that they are taking a significant ownership stake in Qtrade Financial Group.  Desjardins has committed to purchasing between 25 to 40% of Qtrade’s outstanding shares initially with the option to acquire the remaining shares within six years.

According to the arrangement between the two companies, Qtrade will continue to operate independently retaining its brand name and current leadership.  With regards to the discount brokerage component specifically, both Desjardins and Qtrade state that for the foreseeable future it will be business as usual.

Ron Cann, Qtrade’s VP of Marketing and Communications, says that the focus will continue to be on delivering a quality experience, something that Qtrade’s discount brokerage has earned top honours for from the Globe and Mail and Morningstar in recent years.  From Desjardins perspective, director of media relations André Chapleau says that the near term will be a time of learning – one in which the opportunities to build synergies will be explored.

Even though these two companies are going to operate independently, and they both seem committed to continuously improving their offerings for Canadian investors, there are still some wrinkles to iron out. Specifically, will Disnat, the discount brokerage side of Desjardins and Qtrade’s discount brokerage business compete directly with one another?  While there might be some overlap, each side seems to feel that their respective target client base is diverse enough in terms of trading style (active trader vs long term investor) and geography (Quebec vs Western Canada) that competition is not really a focal point.  The alignment of Qtrade and Disnat as alternatives to the big-bank owned discount brokerages is what both parties see as a value add for their respective clients and partners.

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Discount Brokerage Deals & Promotions – February 2013

ArchivedDealsThis February will be the busiest month for football, love and RRSP deals.  Winning new business is clearly on the minds of big and small discount brokerages with a number of promotions aimed squarely at Canadian investors looking to open RRSP accounts.

Kicking off the RRSP-specific deals are a couple transfer deals from the usually quiet TD Direct Investing (formerly TD Waterhouse Discount Brokerage) and Credential Direct.   Credential Direct’s offer of $200 to cover transfer fees for accounts of $10,000 and over is currently the most competitive transfer fee deal. For those looking to transfer with less than $10,000 but who have more than $5,000, Credential Direct is also offering to waive the first year’s account administration fee of $50.  TD Direct Investing, by comparison, is offering to cover up to $150 in transfer fees for a $25,000 account.

Of course, February is also about love so what better way to show someone you care than offering them a referral to your favourite discount brokerage?  Refer-a-friend programs appear to be the preferred strategy for  National Bank Direct Brokerage, Questrade and Scotia iTrade. National Bank Direct Brokerage is willing to pony up $200 for referral business with $100 going to each the referrer and referee, with a catch being that payment will take place after 6 months and a cap of $1000 in referral payouts per client.  The 6 month payout time will give both parties plenty of time to think about where to spend their bonus dough. The Scotia iTrade and National Bank Direct Brokerage deals do come with a number of strings attached (the fine print alone on the iTrade deal is over 1400 words long vs ~450 words on the National Bank Direct Brokerage deal) so be sure to read the details carefully and while fully alert. Questrade’s offer of commission credits for referral business – $50 in credits for the referee and $100 for the referrer,  is much simpler to follow and even comes with a link to share the deal.

We’ll keep our eyes peeled for any more promotions, deals and special offers during February for investors and if you know of any we’ve missed, feel free to message us to have them added.

Discount Brokerage Deals & Promos

Company Brief Description Minimum Deposit Amount Commission/Cash Offer 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 Jitney and receive access to their preferred pricing package and a massive 45% discount on the Real Tick trading platform. n/a Discounted Commission Rates none For more details click here none
Open a new account (TFSA, Margin or RRSP) and receive $50 commission credit . Use promo code: kdkfnbbc $1,000 $50 commission credit none none none
Open and fund a new registered, margin or TFSA account and fund it within 30 days with either A)$1,000 B )$25,000 or C)$50,000 and you will be eligible to receive either unlimited free trading for A) 1 month, B) 2 months or C) 3 months depending on your deposit amounts. You must the code RSP2013 to qualify. This is open to new and existing clients. There’s lots of fine print so be sure to read the details link. A) $1,000 B) $25,000 C) $30,000 Unlimited trading (No commissions charged on any trades placed) A) 31 days B) 62 days C) 90 days Unlimited Free Trades Promotion March 1, 2013
Refer a friend to Questrade and when they open an account you receive $100 and they receive $50. To receive this deal you must be an existing client with an equity account and refer a person that does not reside with you and who has not previously opened a Questrade account. $1,000 $50 commission credit (friend) $100 commission credit (referrer bonus) 60 days Refer a friend 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:$199.80) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $999) 60 days Refer A Friend to Scotia iTrade February 28, 2013
Scotia iTrade Open and fund a new Scotia iTRADE account with at least $25,000 before March 31, 2013 and the commissions associated with your first 100 trades placed within 60 days of the date the account is activated and funded. Also, the new FlightDesk platform is being offered for free for 60 days. Use promo code WAC13-EN. See details link for further terms and conditions. $25,000 100 free trades ($999 value @ $9.99 commission rate) 60 days Scotia iTrade 100 free trades + FlightDesk March 31, 2013
Open and fund a new account with National Bank Direct Brokerage with $25 000 or more, and your commission rate for 6 months will be $6.95 Flat. $25,000 $6.95 Flat commission rate 6 months Take Control of the Markets Promo February 28, 2013
If you refer a friend/family member who is not already a National Bank Direct Brokerage account holder to them, both you and your friend get a bonus of $100 each. The promotion code “FRIEND” must be used on the account application form. Read the details link for full terms and conditions. Note the maximum referral bonus per client is $1000. $25,000 $100 referral bonus (referrer) $100 referee (your “friend”) Payout occurs after 6 months Share $200 with a Friend Promotion October 31, 2013
Open an account with either: A) $25,000 or more and receive a $100 cash credit and 25 free equity trades. or B) $50,000 or more to receive $200 cash back and 50 free equity trades. A) $25,000 B) $50,000+ A) $100 cash credit + 25 free equity trades ($823.75 (min)total value @ standard equity rate $28.95) B) $200 Cash credit +50 free equity trades ($697.50 total value @ active trader rate $9.95) 60 days Cash back offer March 1, 2013
Disnat Disnat is celebrating its 30th anniversary by offering new & existing clients $300 in commission credits which can be used for up to 6 months. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $50,000 $300 commission credit 6 months Disnat 30th Anniversary Promo February 1, 2013
BMO InvestorLine Open a new account or upgrade an existing account with either A) $100,000 or B)$250,000 to receive 250 trades (for those who deposit $100K) or 250 trades + $250 (for those who deposit $250K). Use Promo Code: RSP2013. NOTE: There are lots of details/important conditions attached to this promotion. Be sure to read the terms and conditions carefully. A) $100,000 B) $250,000 A) 250 Free Trades ($2497.50 value @ $9.99/trade) B) 250 Free Trades + $250 ( $2747.50 value @$9.99/trade) 90 days Path to Online Investing Promotion March 4, 2013

Transfer Fee Deals

Below are the discount brokerages deals that cover transfer out fees from other discount brokerages.

Company Brief Description Maximum Transfer Fee Coverage Amount Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Transfer an RRSP worth at least $10,000 to Credential Direct and they will cover up to $200 worth of transfer fees. The promo code RRSP must be used on the application $200 $10,000 RRSP Transfer Promo March 1, 2013
Qtrade Investor Qtrade Investor will reimburse your transfer fee up to $125 when transferring a balance of $25,000 or more. For reimbursement, please mail or fax a copy of your statement from the transferring institution that shows the transfer charge to Qtrade Investor at 604.484.2627 and indicate your Qtrade Investor account number. $125 $10,000 Transfer Fee Promo March 31, 2013
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
TD Waterhouse Open a TD Direct Investing account with a minimum of $25,000 by March 1, 2013, and get up to $150 to cover your account transfer fees. $150 $25,000 Switch for free March 31, 2013
Transfer $25,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees $135 $25,000 Transfer Fee Rebate none
Disnat Disnat is celebrating its 30th anniversary by 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 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $150 $50,000 Disnat 30th Anniversary Promo March 1, 2013
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Discount Brokerage Deals & Promotions – January 2013

ArchivedDealsHappy New Year to all of our deal hunting readers and welcome to another edition of Discount Brokerage Deals & Promotions. One of the most popular New Year’s resolutions for folks is to slim down. As it turns out, the number of deals being offered by discount brokerages has also slimmed down.  Right out of the gate, we noticed that a couple of discount brokerages did not update their deals section (Scotia iTrade and Virtual Brokers) and still had posted deals that expired on December 31st, 2012.  We’ve since let them know and will update our deals section when we hear back from them. Update: as of January 7th, it appears that Scotia iTrade has updated their promotions page and extended out their 100 days of free trading offer to March 31st, 2013. Virtual Brokers has yet to update their promotional offer.

Those discount brokerages that did start off 2013 on the right foot were CIBC Investor’s Edge and Disnat, both of whom have extended out their respective promotional offers well into 2013 (and had their sites updated by Jan 1, 2013).   Interestingly, BMO Investorline‘s 150 trade offer expires on January 3rd so we’ll also be on the look out for the update on whether this deal is extended out or replaced. Update: As of January 4th, BMO Investorline has launched a new deal offering 250 free trades or 250 free trades + $250 depending on whether you deposit $100,000 or $250,000 respectively. Their advertisement might be a bit confusing as it advertises 90 days of free trades, however the fine print reveals that is actually 90 days to use up to 250 trades. It is NOT an unlimited trading offer. Be sure to read the fine print carefully as there are a number of conditions attached to this offer.

One of the big deals we’re tracking is Questrade‘s unlimited trading offer which is due to expire in mid-January.  As we mentioned in our outlook for 2013, we think that there will be more discount brokerage deals coming down the road especially now that TFSA contribution limits have been raised and because we’re headed into RRSP season.

Check back here throughout January as we get some more visibility on upcoming discount brokerage deals, promos and special offers for 2013.

Discount Brokerage Deals & Promos

Company Brief Description Minimum Deposit Amount Commission/Cash Offer 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 Jitney and receive access to their preferred pricing package and a massive 45% discount on the Real Tick trading platform. n/a Discounted Commission Rates none For more details click here none
Open a new account (TFSA, Margin or RRSP) and receive $50 commission credit . Use promo code: kdkfnbbc $1,000 $50 commission credit none none none
Open and fund a new registered, margin or TFSA account and fund it within 30 days with either A)$1,000 B )$25,000 or C)$50,000 and you will be eligible to receive either unlimited free trading for A) 1 month, B) 2 months or C) 3 months depending on your deposit amounts. You must the code INFINITE to qualify. This is open to new and existing clients. There’s lots of fine print so be sure to read the details link. A) $1,000 B) $25,000 C) $30,000 Unlimited trading (No commissions charged on any trades placed) A) 31 days B) 62 days C) 90 days Unlimited Free Trades Promotion January 15th, 2013
Refer a friend to Questrade and when they open an account you receive $100 and they receive $50. To receive this deal you must be an existing client with an equity account and refer a person that does not reside with you and who has not previously opened a Questrade account. $1,000 $50 commission credit (friend) $100 commission credit (referrer bonus) 60 days Refer a friend none
Get up to 100 free trades when you fund an account with a minimum of $10,000. You must open this account by November 15th, 2012 and fund it with $10 000 within 30 days of account activation to qualify. You must enter promo code “100FREEQ”. There are quite a few other details, including a minimum balance requirement, so be sure to check the details link. $10,000 100 free trades ($495 value @ cheapest commission rate) 60 days 100 Free Trades January 15, 2013
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:$199.80) B) You(referrer): $100 cash or 50 free trades; Your “Friend”: $100 cash or 50 free trades (max total value: $999) 60 days Refer A Friend to Scotia iTrade February 28, 2013
Scotia iTrade Open and fund a new Scotia iTRADE account with at least $25,000 before December 31, 2012 and the commissions associated with your first 100 trades placed within 60 days of the date the account is activated and funded. Also, the new FlightDesk platform is being offered for free for 60 days. Use promo code WAC13-EN. See details link for further terms and conditions. $25,000 100 free trades ($999 value @ $9.99 commission rate) 60 days Scotia iTrade 100 free trades + FlightDesk March 31, 2013
TD Waterhouse Open an account with $25,000 or more and receive 10 free trades. This offer is only valid at the downtown Vancouver TD Waterhouse Investor Centre. 10 trades must be completed within 6 months of account opening; reimbursement based on $9.99 commission rate. $25,000 10 free trades ($99.99 value at stated commission rate) 6 months scanned photo of flyer none
Open and fund a new account with National Bank Direct Brokerage with $25 000 or more, and your commission rate for 6 months will be $6.95 Flat. $25,000 $6.95 Flat commission rate 6 months Take Control of the Markets Promo February 28, 2013
Open an account with either: A) $25,000 or more and receive a $100 cash credit and 25 free equity trades. or B) $50,000 or more to receive $200 cash back and 50 free equity trades. A) $25,000 B) $50,000+ A) $100 cash credit + 25 free equity trades ($823.75 (min)total value @ standard equity rate $28.95) B) $200 Cash credit +50 free equity trades ($697.50 total value @ active trader rate $9.95) 60 days Cash back offer March 1, 2013
Disnat Disnat is celebrating its 30th anniversary by offering new & existing clients $300 in commission credits which can be used for up to 6 months. To be eligible, new/existing clients need to deposit $50,000 into a Disnat account. You’ll have to call 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $50,000 $300 commission credit 6 months Disnat 30th Anniversary Promo February 1, 2013
BMO InvestorLine Open a new account with $100,000 or more (or for existing clients make a deposit of $100,000 or more) and get $150 cash back and 150 free trades. Use the promo code BONUS when opening a new account (or when making a new deposit of $100,000 or more). See the details link for qualifying account types and conditions. $100,000 $150 cash 150 free trades ($1492.50 value) 60 days Path to Online Investing Promotion January 3, 2013 [EXPIRED]
BMO InvestorLine Open a new account or upgrade an existing account with either A) $100,000 or B)$250,000 to receive 250 trades (for those who deposit $100K) or 250 trades + $250 (for those who deposit $250K). Use Promo Code: RSP2013. NOTE: There are lots of details/important conditions attached to this promotion. Be sure to read the terms and conditions carefully. A) $100,000 B) $250,000 A) 250 Free Trades ($2497.50 value @ $9.99/trade) B) 250 Free Trades + $250 ( $2747.50 value @$9.99/trade) 90 days Path to Online Investing Promotion March 4, 2013

Transfer Fee Deals

Below are the discount brokerages deals that cover transfer out fees from other discount brokerages.

Company Brief Description Maximum Transfer Fee Coverage Amount Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Qtrade Investor Qtrade Investor will reimburse your transfer fee up to $125 when transferring a balance of $25,000 or more. For reimbursement, please mail or fax a copy of your statement from the transferring institution that shows the transfer charge to Qtrade Investor at 604.484.2627 and indicate your Qtrade Investor account number. $125 $10,000 Transfer Fee Promo March 31, 2013
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 $25,000 Transfer Fee Promo none
TD Waterhouse Open a TD Direct Investing account with a minimum of $25,000 by March 1, 2013, and get up to $150 to cover your account transfer fees. $150 $25,000 Switch for free March 31, 2013
Transfer $25,000 or more to a National Bank Direct Brokerage account and they will pay up to $135 plus taxes in transfer fees $135 $25,000 Transfer Fee Rebate none
Disnat Disnat is celebrating its 30th anniversary by 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 1 800 268-8471 and mention promo code Disnat30. See details link for more info. $150 $50,000 Disnat 30th Anniversary Promo February 1, 2013
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4 things for do-it-yourself investors to look out for in 2013

If you are a self-directed investor prepare for even more marketing, incentives and competition for your business in 2013.  With modest trading volumes and account openings in 2012, a gun-shy investor base and increased downward pressure on commission pricing, discount brokerages will be trying very hard to win new business in 2013 but also to keep their existing clients from jumping ship.  So what should do-it-yourself investors keep an eye out for in 2013?

#1 Lots of deals and even more fine print

Investors - Lots of deals and more fine print

Bigger deals for self-directed investors mean lots of fine print to pay attention to. Although they may seem like deals, make sure to ask “What’s the catch?”

Look over and understand the strings attached to offers that require longer-term commitments of your capital. Large numbers of “free trades” are being offered but if you don’t really use them to their fullest, it may not be the best deal for you.  Also, pay close attention to “cash back” offers because those usually have restrictions on minimum balances or moving your money around within certain time frames.

#2 The marketing of “value” instead of “price”

Investors - Marketing of value instead of price

2013 will be an interesting year for pricing.  The ‘race to the bottom’ in pricing will come up against those players who will try to offer more “value” for the money.  The result: brokerages will try to offer “new” services.  Unfortunately, in finance “new” is a double-edged sword.

Sure it may seem like a reasonable premise to try something new especially if something old isn’t working, however unless some new product can be demonstrated to work, why risk one’s money as the guinea pig? So-called “new” services are likely to be repackaged older services so be ready to ask how the “new” service is so different than similar “older” services.

Also, adding bells and whistles that you don’t need or use becomes a frivolous reason to pay more than you otherwise would to forego the frills.  Requesting trials of accounts or services before you commit to opening an account is a great way to test drive whether or not a discount brokerage’s services are worth the price they charge.

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