Tag: TD Direct Investing

TD Direct Investing

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Discount Brokerage Weekly Roundup – August 12, 2019

One of the highlights of any summer barbecue is the dip. Of course, for anyone who’s ever arrived at one a bit too late, often it’s just the dip that’s left. For DIY investors, it seems that the newsies are no longer talking about the market barbecue anymore and instead are focused on the dip.

In this edition of the Roundup, we take a look at a global trend towards commission-free trading that’s taking shape, and what that might mean for Canadian DIY investors (and online brokerages too). From there, we spotted another emerging trend from one online brokerage who knows how to get noticed this summer. As always, we’ve got a great medley of investor chatter and a few spicy tweets to close things out.

Commission-Free Trading Growing Globally

Now that the back to school sales are ramping up, it’s a sure sign that September is just around the corner. Of course, for DIY investors and online brokerages alike, the approach of September is also the time of year when activity starts to pick up again. The competing forces of volatile, tweet-driven behaviour on the one hand and solid economic fundamentals on the other mean that the stock market (and bond market) are becoming decidedly undecided on a direction. In spite of the surrounding uncertainty for the stock market itself, it seems that a clear trend is emerging for existing online brokerages to contend with: zero-commission trading.

This past week, the US online brokerage that has captured the imagination (and loyalty) of millennial investors, Robinhood, announced that they have officially been permitted to launch in the UK.


Robinhood’s intentions to expand globally are no secret. In 2015, for example, we reported their plans to expand to Australia, and there have been signals for a few years that the UK was also on the roadmap for the no-commission discount broker’s expansion plans. It is a clear indication that in the world of commission-free trading, scale matters.

Nonetheless, unlike in the US, Robinhood’s journey to UK won’t be a cake walk.  There are at least three other firms already offering some form of commission-free trading program in the UK: Revolut, Trading 212 and Freetrade, with Trading 212 having had the largest head start since 2018. Even at home in the US, Robinhood is starting to face new competitors, like JP Morgan, stepping up to offer commission-free trading. And, in Australia, there are also firms already offering commission-free stock trading.

In the wake of Robinhood’s latest announcement, it is becoming abundantly clear that zero-commission trading is no longer an anomaly. Rather, it is now a footrace for new entrants to get into the space, disrupt existing players, and potentially get in front of the global expansion plans of Robinhood.

For Canadian DIY investors, Wealthsimple Trade is the closest to zero-commission trading that we can get. And, in some interesting news that crossed our radars at the end of July, they too are bulking up their technology stack to take on the existing Canadian discount brokerage market. Specifically, a news release at the end of July that mentioned Wealthsimple Trade choosing market data technology provider Xignite could be an indicator that real-time trading quotes are actively under development and coming to Wealthsimple Trade soon. Incidentally, Xignite counts Robinhood as one of its customers, so not only is Wealthsimple Trade tearing a page out of the zero-commission provider’s pricing playbook, but also one from the technology side too.

Although there are no plans or mention of Robinhood expanding to Canada (yet), the lesson from across the globe appears to be that even in comparable markets, there can be multiple zero-commission trade providers. While in Canada there is currently just one, the odds favour there being more than one in the foreseeable future.

If existing Canadian online brokerages were not serious about getting in front of zero-commission trading before, there is now growing international evidence and developments here in Canada that suggest rethinking how to compete in a zero-commission world. New brokerages are figuring out how to provide an exceptional online trading experience at little to no commission cost, and the existing ones who already do are looking beyond their own borders for opportunities to grow.

BMO InvestorLine Staying in the Spotlight

If there’s one lesson to take away from the melee that is the US political system, it’s that being talked about is key to staying on the minds of audiences. This past week, we noted yet another interesting profile of BMO InvestorLine surface on a popular investing website, Benzinga. Earlier this summer, we noted that InvestorLine picked up major coverage from the Financial Post, which offered up an exclusive look at the launch BMO InvestorLine’s new trading platform.

With traditional advertising budgets under fire, BMO InvestorLine appears to be shifting tactics by using public relations (PR) as a tool to set the narrative straight on BMO InvestorLine. Going the PR route means that there are likely to be a lot more eyeballs reading the story than if it were just on the company blog. In fact, there were a few posts about BMO InvestorLine’s latest review/interview on social media, which highlights BMO’s strategy to spread the word about their online trading capabilities.

Ultimately, it is great to see people talking excitedly about one (or more) of the Canadian online brokerages. For the moment, BMO InvestorLine appears to be setting the pace of a new PR-driven strategy.  That said, PR is something that each bank-owned brokerage is generally well equipped to compete against, so BMO InvestorLine may not be uncontested for too long.

Even though we’ve noted an uptick in tweeting and advertising activity from TD Direct Investing as well as from Qtrade Investor recently, it will take more than Twitter to connect with investors. BMO’s latest moves on the PR front show that to boost a tweet’s range, it helps to have one of the big financial information provider names get the social media ball rolling (and having many of the employees help by sharing is great for momentum too).

With fall just around the corner, it’s only going to get trickier for online brokers to stand out with just news releases. To get investors’ attention at this point, and to BMO InvestorLine’s credit, Canadian online brokerages need to come out with features or promotions that get people talking, AND be much more active in reporting what’s happening inside of their own shops. Now, if only there were a channel for them to do that on 😉.

Discount Brokerage Tweets of the Week

From the Forums

Mutually Beneficial?

One DIY investor has questions about the advantages of ETFs over mutual funds. See what fellow forum users had to say in this Canadian Money Forum thread.

Starting Small

A DIY investor wants to know if the learning experience of making small, but risky, investments will eventually result in a payoff, and fellow Redditors chimed in with their opinions. Read it all here.

Into the Close

That’s a wrap on another wild week. There’s a lot of information flying around – from trade rumours to cryptocurrency rallies. With interest rates falling in the US (and around the world) and likely here in Canada too, it’s a particularly important moment for online brokerages to consider how investors will react to an ultra-low interest rate environment and pull their money out of savings and into the stock market.

The one story that happens to be gathering steam though is chatter about interest rate cuts and a recession. With just a few more weeks left to enjoy the summer, it might not be a bad time to unplug. Of course, for those strapped into the roller coaster adventure that is the stock market right now, just make sure to keep your arms in the ride and secure your personal belongings. Good luck & stay profitable!

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Discount Brokerage Deals & Promotions, August 2019

*Updated Aug. 28* As we round the corner into August, most DIY investors are patiently waiting for new discount brokerage promotions to drop. Unfortunately, it seems like most Canadian online brokerages are in summer vacation mode when it comes to offering new deals.

Even so, the summer so far hasn’t been totally silent. HSBC InvestDirect launched a new promotional offer in July and CIBC Investor’s Edge also extended one of their deals until the early portion of August. Perhaps the biggest extension though came from Questrade, which extended their transfer-fee offer yet again, this time pushing the deadline out to the end of September.

With the long weekend almost here, it seems likely that any new offers that want to get a jump on the September rush will be waiting until later this month. We’ve got our radar up and of course, if there are any offers that could benefit other deal hunters, let us know.

Expired Deals

No expired deals to report at this time.

Extended Deals

CIBC Investor’s Edge extended their commission-free trade promotion for just a few more days, extending the offer from July 31st to August 9th.

Questrade’s transfer fee promotion has found yet another life and is now extended until the end of September. See table below for more details.

New Deals

*Update August 28 – Scotia iTrade has a new hybrid offer for prospective account holders. Complete a brief form by October 15, 2019 to be eligible for $6.99 equity and ETF trades until March 1, 2020. You will also receive $50 cash back by January 31, 2020. Scroll down for more details.*

*Update August 28 – If you have an existing Scotia iTrade account, you may be eligible for free trades. Fill out this form by October 15, 2019 to receive 5 commission free trades. You account must be funded with a minimum of $10,000 by October 31, 2019 to qualify for this offer. You are also eligible for 3 free trades when you attend the Scotia iTrade “US Dollar Position” webinar on September 24, 2019.

*Update August 2 – Just when we thought things were going to be a tad quiet heading into a long weekend in August, RBC Direct Investing decided to roll out a tried and tested favourite offer for investors to consider while on vacation. As of the beginning of August, RBC Direct Investing has launched a commission-free trading offer which gives investors 25 commission-free trades which are good for up to one year. Best of all, there’s an easy offer code to remember to access the offer: SPARX. Scroll down for more details.*

Other than that, there were no new deals that launched at the outset of the month, midway through last month HSBC InvestDirect jumped back into the deals pool with a new commission-free trading offer. This promotion offers up 30 commission-free trades to new and existing clients who open an eligible account and doesn’t require a minimum deposit.


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 a qualifying account at HSBC InvestDirect and you may be eligible to receive up to 30 commission-free North American equity or ETF trades. No minimum deposit is required for this offer and it is open to new and existing clients. Trades are eligible to be used for up to 60 days. See terms and conditions for full details. n/a 30 commission-free trades 60 days HSBC InvestDirect Summer Offer September 30, 2019
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, 2019
Scotia iTrade Open a new qualifying account and fund it with a minimum of $2500 by October 31, 2019 to be eligible to receive $50 cash back by January 31, 2020. This offer also includes $6.99 per trade commissions until March 1, 2020. Terms and conditions can be found in the offer URL. $2,500 $50 cash back and $6.99 per Canadian and US equity/ETF trade. Cash back will be deposited by January 31, 2020. $6.99 per trade commission pricing active until March 1, 2020. Cash Back Offer Details October 15, 2019
Open a new account and get 25 commission-free equity and ETF trades when you apply the code “SPARX”. $5,000 25 commission-free Equity & ETF trades 1 Year Commission-Free Trade Details August 30, 2019
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 none
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, 2019
BMO InvestorLine Open a new qualifying account or fund an existing qualifying account at BMO InvestorLine with new assets worth at least A) $250,000; B) $500,000 or C) $2M+ and you may be eligible to a cash back reward of up to A) $500; B) $1,000 or C) $2,500. Use promo code SPARXCASH when registering to qualify. Be sure to read full terms and conditions. A) $250,000 B) $500,000 C) $2M+ A) $500 B) $1,000 C) $2,500 Cash back will be deposited the week of March 16, 2020. BMO InvestorLine Summer 2019 Campaign September 3, 2019

Expired Offers
Last Updated:August 28, 2019 11:49 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
If you (an existing Qtrade Investor client) refer a new client to Qtrade Investor and they open an account with at least $1,000 the referrer and the referee may both be eligible to receive $25 cash. See terms and conditions for full details. $1,000 $25 cash back (for both referrer and referee) Cash deposited at the end of the month in which referee’s account funded Refer A Friend to Qtrade Investor 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 $5,000 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. $5,000 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 January 2, 2020

Expired Offers
Last Updated: August 1, 2019 17:11 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 n/a Transfer Fee Promo September 30, 2019
Transfer $15,000 or more to RBC Direct Investing and they will pay up to $135 in transfer fees. $200 $15,000 Transfer Fee Rebate Details none
Transfer $15,000 or more into a new HSBC InvestDirect account and you may be eligible to have up to $152.55 in transfer fees covered. $152.55 $15,000 Confirmed via email contact with HSBC InvestDirect Rep. Contact client service for more information. none
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 $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 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 Desjardins Online Brokerage 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 Desjardins Online Brokerage 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 none
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account and you may be eligible to have transfer fees covered up to $200. Contact client service for more details. $200 Contact client service for more information Contact client service for more information (1-888-776-6886) none

Expired Offers
Last Updated: August 1, 2019 17:08 PT

Other Promotions

Company Brief Description Minimum Deposit Amount Required Details Link Deadline
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: August 1, 2019 17:09 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 $1000. 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 $1000. PROMO1000 January 2, 2020 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: August 1, 2019 17:10PT
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Discount Brokerage Weekly Roundup – July 1, 2019

Happy Canada Day! It’s great to be back in the saddle again and happily there’s great news to report since the last update a couple of weeks ago. With U.S. markets touching new highs, summer is off to a strong start. Interestingly, so too are a couple of Canadian online brokerages, to the point where other online brokers may not be getting time off to just kick back and relax because they’re going to be playing catch up.

In this edition of the roundup, we wade back into a much shallower deals pool for July and profile the latest turnover in offers for DIY investors. From there, we take a look at a popular online brokerage ranking that was recently released and highlight a dark horse contender that is showing signs of becoming a mainstream brokerage of choice for more Canadian investors. In keeping with roundup tradition, we cap things off with a dollop of chatter from the investor forums as well as from DIY investors on Twitter.

Deals & Promotions on Cruise Control

With the new month comes the usual check-in on the deals and promotions front. This month, it seems like Canadian discount brokerages are gearing down and preparing for what will likely be a very competitive fall and winter. For DIY investors, it means that the deals and promotions in July are more of a lazy river rather than wild water adventure of savings.

There were no big deals to announce at the outset of the month (although technically it was Canada Day so often times promotional news gets delayed because of holidays), however, it is noteworthy to see who is left on the field with promotions during July.

Unlike RRSP season where practically all Canadian discount brokerages were offering some kind of incentive offer, this month there are just two major bank-owned brokerages with cash back or commission-free trade offers: CIBC Investor’s Edge and BMO InvestorLine. In the case of Investor’s Edge, their commission-free trade offer is set to expire at the end of July, whereas for BMO InvestorLine, their promotion extends through to the very beginning of September. Aside from these two firms, the other two noteworthy firms with offers of commission-free trades are Desjardins Online Brokerage and Questrade.

In terms of cash back offerings, what is particularly interesting is something we had mentioned in a previous roundup regarding BMO InvestorLine, namely that their latest tiered cash back promotion has a much higher minimum deposit requirement than previous offers or peer offers. A minimum deposit threshold of $250,000 prices quite a few investors out of that offer, but does signal that BMO InvestorLine is interested and willing to create incentives for individuals with sizable portfolios to give BMO InvestorLine a try. What is also interesting about the upper level of this offer, namely the $2M+ deposit range, is that there aren’t any competitor offers at this level and it is likely the first time that there is a cash back offer for a deposit of this size. Previously the high-water mark was deposits of $1M+ so anyone bringing over more than that would simply have to make do with the bonus offered at the top end of the tiered range.

For those intent on opening an account with less than $250,000 there are still a couple of strong offers from either Questrade or CIBC Investor’s Edge that offer up free trades or cash back.

That said, even though we are not anticipating a watershed of deals to hit the market this summer, it is hard to imagine the field of Canadian online brokerages allowing only four main players to remain unchallenged until September. The resurgence of interest in Bitcoin, a healthy IPO market, and signs of a “melt up” in the stock markets mean that investors may find another reason to step off the sidelines and into the markets this summer. Further, based on the performance of several online brokerages in the latest MoneySense rankings (see next story), there is now  greater impetus for follow up promotion activity.

For now, however, we’re on the lazy river ride – so best to kick back and relax for as long as possible until the competition picks up again.

Best Canadian Online Brokerages for 2019 Announced

With the return of summer, it’s also time again for the annual MoneySense magazine Canadian online brokerage rankings for 2019. As with previous years, financial services research firm Surviscor provided the analysis for these rankings, and provided seven different categories in which different online brokerages were considered to be “the best online brokerage” for something.

This year, the best online brokerage overall according to these rankings was Questrade, which was a close second in last year’s rankings. While the numerical scores weren’t released this year, it was interesting to note how close the two firms were last year. Interestingly, it wasn’t necessarily who came out on top this year, but rather who entered and exited the top five.

MoneySense Best Online Brokerage Rankings: 2018 vs 2019
Rank 2018 2019
1 Qtrade Investor Questrade
2 Questrade Qtrade
3 Scotia iTRADE TD Direct Investing
4 BMO InvestorLine Interactive Brokers
5 BMO InvestorLine

 

The table above shows the best online brokerages for 2018 compared to the best online brokerages for 2019 and while the selection is largely the same (albeit in a different order), this year saw Scotia iTRADE exit the top group and Interactive Brokers enter. In fact, for the 2019 rankings, Interactive Brokers managed to come in at fourth place, ahead of BMO InvestorLine.

There are two important takeaways from the shift observed in this year’s rankings. First, despite Scotia iTRADE lowering their standard commission rates to the widely adopted ~$9.99 level, they nonetheless were displaced from the rankings by a lower-cost competitor. Second, and perhaps most importantly, Interactive Brokers has now started to become a part of the mainstream investor rankings.

After years of having to sit on the sidelines because it was perceived to be an online brokerage for sophisticated or active investors only, Interactive Brokers Canada is starting to be considered a “mainstream” choice. Although not a whole lot about the Interactive Brokers interface has become any simpler per se, the addition of registered accounts like a TFSA and RSP have made them a viable option for many Canadian DIY investors willing to roll up their sleeves and learn how to navigate the Trader Workstation.

One very interesting observation from this year’s online brokerage rankings is that when it came to designating the best online brokerage for customer service, while Questrade scored first, there was a three-way tie for second between Qtrade Investor, RBC Direct Investing and Interactive Brokers.

Based on historical performance and assessment of customer service, it is nothing short of stunning to see Qtrade Investor in a tie with Interactive Brokers, as the two firms could not have more opposite reputations in terms of client service. In terms of Qtrade Investor, there is a well documented trail of accolades of its commitment to service, and almost the same is true for the absence of “hand holding” service from Interactive Brokers. So, to see both of these firms tie for second best in terms of service will definitely raise eyebrows across the industry.

With the inclusion of Interactive Brokers in the Globe and Mail online brokerage rankings, and now cracking the top five in the MoneySense magazine rankings, it’s becoming clear that the online brokerage field in Canada will have to contend with Interactive Brokers’ feature set and pricing more so than at any time in the past.

For DIY investors looking for assistance in making a decision on which online brokerage is best, these rankings are of mixed value.

On the one hand, there is a short list of five firms that have been considered to be “the best overall,” implying that all things being equal, these firms are not necessarily a bad choice. Conversely, with seven categories of best online brokerage, it highlights how certain brokerages do certain things better than others.

Looking at firms who appeared in multiple categories, to Questrade’s credit, they were either the top or in the top two spots in five of the seven categories. Qtrade Investor also appeared in a top two finish in four categories. Curiously, Interactive Brokers earned a top two finish in three categories compared to TD Direct Investing which earned a top two finish in two categories. Nonetheless, TD Direct Investing outranked Interactive Brokers. This last point is especially relevant when considering the progress Interactive Brokers has made in becoming more of a “mainstream” contender, because it suggests that Interactive Brokers may be very close to a top three (or higher) finish overall unless something very innovative is launched by a competing online brokerage.

For the rest of the online brokerage field that did not achieve a top ranking in one of the seven categories, it appears that there is going to be a challenge to overcome the value propositions already on the table. Change in the online brokerage space is largely evolutionary rather than revolutionary, and even with a zero-commission player on the field in Wealthsimple Trade, there are still other brokerages being considered to be better for fees.

The big picture emerging for DIY investors is that services, features, and value will have to improve at firms not ranked in the top five. Those firms will have to move decisively to win over customers who are starting to hear more and more positive rankings and ratings from firms who previously were “outsiders” like Questrade and Interactive Brokers. We’re very much looking forward to seeing which online brokerages start to step up their game in response to a shifting power structure in the Canadian online brokerage market.

Discount Brokerage Tweets of the Week

From the Forums

Golden Years

A poster on RedFlagDeals seeks advice on ways to help their parents save for retirement in a few years’ time. Click here to see what strategies fellow forum users recommended.

Striking a Rebalance

A newcomer to the DIY investing world has questions about the best way to rebalance a portfolio. See what advice other investors provided in this Reddit thread.

Into the Close

That’s a wrap on the Canada Day edition of the roundup. This will be an interesting week for traders given the holiday for Canadians to kick things off, and the holiday for U.S. Independence Day later on the week. One thing is for sure, there will undoubtedly be fireworks – whether it’s because of what’s going to happen now that the tariff standoff is starting to thaw or because of where Kawhi Leonard decides to go next. Have a great week!

 

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Discount Brokerage Deals & Promotions – July 2019

*Updated: July 8* Despite all the fanfare and celebration that typically accompanies the beginning of July, it seems like many Canadian online brokerages are taking a bit of a break from the promotional game. Heading into the first official month of the summer, the discount brokerage deals section appears to be keeping its cool with two big offers expiring in June and no new offers coming to market just yet.

Of course, it being Canada Day, online brokerages are closed at the time of posting this update so there may be something interesting to emerge in the early part of July. Even so, this is one deals pool that we’re not holding our breath in at this point.

Despite rallying markets, a rebound in cryptocurrency and hot IPOs, there’s been muted participation in the deals section – which is not to say that there aren’t promotions in the works – but for the time being, it’s more of a lazy river than a wild water park of savings for DIY investors.

It’s not all bad news for investors or the online brokerages who are still hanging in there with promotional offers, however. There are still a handful of offers – ranging from commission free trades to cash-back offers – for DIY investors to choose from.

As always, we’ll be keeping an eye out on the deals activity during the summer months but if there are any you think would be great to share with readers that we’ve not posted yet, please mention them in the comments or let us know.

Expired Deals

There were two noteworthy offers that expired in June. The first was the RBC Direct Investing cash back offer. This promotion was fairly short-lived and offered up between $100 and $1,000 depending on the amount deposited (ranging between $25,000 and $500,000+).

The second big offer to finally expire was Questrade’s transfer fee coverage promotion. It was a definite game changer in that there was no stated minimum deposit required to have transfer fees covered. Now that the offer has expired though, Questrade is reverting back to the standard minimum deposit requirement of $25,000 to have transfer fees waived.

Extended Deals

*Update July 22 – CIBC Investor’s Edge have extended their commission-free trades promotion for an extra 9 days.  See table below for more details.*

*Update July 8 – Much like a cat, the Questrade transfer fee promotion has found yet another life and is now extended until the end of September. See table below for more details.*

No deals were extended at the outset of July.

New Deals

*Update July 8 – HSBC InvestDirect jumped back into the deals pool with a new commission-free trading offer. This promotion offers up 30 commission-free trades to new and existing clients who open an eligible account. There is no minimum deposit required for this offer. See table below for more details*

No new deals crossed the wire at the beginning of July, however there was a new deal from BMO InvestorLine which did launch in June and which is a unique offer in that it targets a very high minimum deposit tier for investors to qualify. This offer is a cash back promotion that offers between $500 and $2,500 cash back for deposits ranging from $250,000 to $2M+. It is the first time in recent memory that an online brokerage has created a cash back tier for a deposit level so high. Also, it is one of the highest starting points for an offer – perhaps a signal that BMO InvestorLine is targeting higher deposit amounts across the summer (given that this offer is live until the beginning of September).

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 a new qualifying account with CIBC Investor’s Edge and you may be eligible to receive 100 commission-free trades. Eligible trades include equity, ETF and options trades (per contract charges still apply). Commission-free trades are good for up to 90 days after account opening date. Use promo code EDGE28 when signing up. Be sure to read terms and conditions for full details. n/a 100 commission-free trades 90 days CIBC Investor’s Edge Free Trade Promotion August 9, 2019
Open a qualifying account at HSBC InvestDirect and you may be eligible to receive up to 30 commission-free North American equity or ETF trades. No minimum deposit is required for this offer and it is open to new and existing clients. Trades are eligible to be used for up to 60 days. See terms and conditions for full details. n/a 30 commission-free trades 60 days HSBC InvestDirect Summer Offer September 30, 2019
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, 2019
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 none
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, 2019
BMO InvestorLine Open a new qualifying account or fund an existing qualifying account at BMO InvestorLine with new assets worth at least A) $250,000; B) $500,000 or C) $2M+ and you may be eligible to a cash back reward of up to A) $500; B) $1,000 or C) $2,500. Use promo code SPARXCASH when registering to qualify. Be sure to read full terms and conditions. A) $250,000 B) $500,000 C) $2M+ A) $500 B) $1,000 C) $2,500 Cash back will be deposited the week of March 16, 2020. BMO InvestorLine Summer 2019 Campaign September 3, 2019

Expired Offers
Last Updated: July 22, 2019 11:30 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
If you (an existing Qtrade Investor client) refer a new client to Qtrade Investor and they open an account with at least $1,000 the referrer and the referee may both be eligible to receive $25 cash. See terms and conditions for full details. $1,000 $25 cash back (for both referrer and referee) Cash deposited at the end of the month in which referee’s account funded Refer A Friend to Qtrade Investor 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 $5,000 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. $5,000 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 January 2, 2020

Expired Offers
Last Updated: July. 1, 2019 17:45 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 n/a Transfer Fee Promo September 30, 2019
Transfer $15,000 or more to RBC Direct Investing and they will pay up to $135 in transfer fees. $200 $15,000 Transfer Fee Rebate Details none
Transfer $15,000 or more into a new HSBC InvestDirect account and you may be eligible to have up to $152.55 in transfer fees covered. $152.55 $15,000 Confirmed via email contact with HSBC InvestDirect Rep. Contact client service for more information. none
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 $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 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 Desjardins Online Brokerage 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 Desjardins Online Brokerage 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 none
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account and you may be eligible to have transfer fees covered up to $200. Contact client service for more details. $200 Contact client service for more information Contact client service for more information (1-888-776-6886) none

Expired Offers
Last Updated: July 8, 2019 16:30 PT

Other Promotions

Company Brief Description Minimum Deposit Amount Required Details Link Deadline
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, 2019 17:30 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 $1000. 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 $1000. PROMO1000 January 2, 2020 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, 2019 17:30PT
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Discount Brokerage Weekly Roundup – June 3, 2019

June is finally here and although the song of Fire and Ice may now be a fading memory (shout out to Game of Thrones fans), the stock markets are caught in between the opposing forces of their own, with fear and greed causing all sorts of uncertainty for investors.

In this edition of the Weekly Roundup, we recap the latest moves taking place in the deals and promotions arena, including some stealthy activity at one brokerage that is bound to prevent their peers from taking the summer off to relax. From there we review a pair of interesting and opposing forces that reflect the changing nature of investment products and services available to DIY investors at either end of the risk spectrum.

Recap of Canadian Discount Brokerage Deals Action

Between the action on the court for the Raptors and the constant uncertainty weighing on markets, if you’ve got any nails left, chances are you’ll be biting them during the first week of June. To add to the excitement, the Canadian discount brokerage deals and promotions section is going to see a fair bit of turnover during this period as a couple of heavyweight players have deals that are set to expire in this time.

What was interesting heading into the new month of deals is that there were two big players in the Canadian online brokerage space that appeared to be taking a quick dip in the deals pool, and doing so somewhat quietly.

As mentioned earlier in May, RBC Direct Investing has come to market with a cash-back promotion that appears to be targeted at new customers, and will only be available until June 7th. Although not unheard of, short promotions are relatively rare, but do demonstrate that even large institution players now can be much more agile with their offer strategies than they were several years ago.

Another relatively short-term promotion from CIBC Investor’s Edge also came to market at the end of May. Unlike the RBC offer, the promotion from CIBC Investor’s Edge was a commission-free trade deal with an offer of 100 commission-free trades and no minimum deposit requirement, a major promotion compared to other commission-free offers on the market.

In both cases, these deals were not widely or loudly advertised the way other offers from these two firms have been. This is a signal that there is some target activity taking place – perhaps even some early testing to measure the popularity of and market sentiment around these types of offers.

Another curious, and quiet, development was the increase in transfer fee coverage by RBC Direct Investing to go from the standard ~$150 coverage range to now $200. Other than the current Questrade transfer offer promotion (which is for a limited time and expires at the end of this month) which requires no minimum deposit, RBC Direct Investing’s increased transfer fee coverage with a minimum deposit of $15,000 makes it the highest transfer fee coverage offer on the market.

This latest move by RBC Direct Investing will likely force other online brokerages to step up their transfer fee coverage amounts. Historically, there are only a very small handful of online brokers who generate an industry-wide response to new features or pricing, and RBC Direct Investing is definitely one of them.

So, while there were no new deals that launched as of the first of June, the first few days of the month will definitely have us watching to see if new offers launched last month get extended, as well as to see what might be in the works for BMO InvestorLine. The important takeaway here is that the conversation has started to focus back onto the online brokerage features and promotional offers at the big bank-owned brokerages and away from their competitors – a signal in and of itself of who might be steering the direction of the industry over the course of the summer.

Aggressive & Passiv

Over the past two weeks, there have been some interesting developments for products that DIY investors can use to trade the markets with.

The first was an announcement from Horizons ETFs of an active product that targets the marijuana sector, specifically two ETFs that enable investors access to greater leverage (2x) on the long trade of cannabis (HMJU) and a chance to bet against (1x) the sector with an inverse product (HMJI). Like all things related to cannabis, there is a lot of “buzz” attached to the sector, and cannabis, along with cryptocurrency, has been one of the stories to get DIY investors excited about online investing again. According to Horizons’ press release, these two new ETFs seek to replicate the performance of the North American MOC Marijuana Index. The inverse product, HMJI, appears also to be a world first in being able to take a more pessimistic view of the cannabis story.

Shifting gears to the other end of the investor spectrum, last week there was an interesting announcement from a fintech firm, Passiv, focused on passive investing that crossed our radar. Designed to be an “autopilot” style experience for helping individuals rebalance a portfolio, Passiv works with Questrade’s API to do the heavy lifting of keeping track of asset allocations, when to rebalance, and interestingly, also is able to do the rebalancing by executing trades automatically.

This is a hybrid experience between an online brokerage and robo-advisor. It takes the “decision making” layer that investors typically struggle with and pairs it with the “order execution” layer that online brokerages typically offer. It also means that rather than paying fees to a robo-advisor to do this, you can pay for the trading commissions as well as the software fee, something that could be appealing to a niche segment of the online brokerage market. Nonetheless, there is now a solution live and functioning that offers an alternative to robo-advisors for DIY investors.

Helping investors with asset allocation and maintaining a “balanced, diversified portfolio” is by no means a new service. What is new, however, is the appetite for innovation with respect to who is delivering this asset allocation, how much they are charging, and how they are doing this work. Enabling third party vendors to connect to an API means that passionate and motivated entrepreneurs can take their ideas and build a platform that ultimately can add functionality that an online brokerage would have to develop in-house.

The trend of helping DIY investors manage the process of keeping things balanced or in line with their personal financial situations continues to surface through the year. Earlier in 2019, TD Direct Investing launched their GoalAssist feature to help investors with their financial planning. The latest integration announcement with Questrade shows that figuring out how to make DIY investing easier is one way to reduce the reluctance of investors to trade – regardless of where they are starting out financially.

As markets evolve, so too do the products servicing DIY investors. From cannabis stocks to the (intentionally) boring passive management approaches, it is interesting to see how the landscape shift at both ends of the passive vs. active debate can generate solutions for investors. One of the most telling takeaways from this story is that innovation could happen based on the underlying asset or it could happen on the way that asset is accessed. Generally, this is good news for online brokerages. It provides DIY investors with ideas that can be used to make trades with, so we would expect to see more informational resources start to show up related to cannabis investing as well as APIs being something even more brokerages begin to deploy.

Discount Brokerage Tweets of the Week

From the Forums

Take it or Leave it

A Canadian Money Forum poster wants to know if they’ve got FOMO when it comes to gains on long-term holds. See what insights fellow forum users provided here.

Walk the Line

A DIY investor holding a Canada-US dual citizenship searches for an investment strategy to help them make the best of both worlds. Read on to see the advice they received in this Reddit thread.

Into the Close

That’s a wrap on another bizarre week in the markets. Never fear, however, because just when things seem to get strange, there’s another shoe that drops to make everything be just a little more strange. For DIY investors, however, another yield curve inversion as well as lots of unhelpful economic policy emerging from the U.S. means that despite the heat coming up in the summer, it’s going to be very important to stay frosty (or simply sit it all out, let a robot handle it and enjoy a good frosty).

 

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Discount Brokerage Deals & Promotions – June 2019

June is here, and for many Canadian DIY investors, their attention is fixed on the Raptors’ amazing journey to the NBA finals. As we cross into a new month in the deals and promotions section, however, it appears that there aren’t going to be nearly as many slam dunks in here to start off the month as there will be on the court.

Even so, the deals section has started to see a very interesting uptick in activity in what is usually a pretty quiet season for Canadian discount brokerages. While there were no new deals that launched at the beginning of June, there were a pair of intriguing offers that crossed our deal radar in May.

The first, which we noted in an earlier edition of the Weekly Roundup, was a new cash back offer from RBC Direct Investing. This offer was not one that appeared to be advertised as widely as previous offers from one of the largest players in the space – which is a curious maneuver that signals this being more a targeted test than a full-throttle push. Importantly, it was also for a very limited time, as this offer is set to officially expire in early June.

The other interesting deal that surfaced in May was from another bank-owned brokerage – CIBC Investor’s Edge. This was a commission-free trading offer which, like the offer from RBC Direct Investing, was also quietly rolled out and for a very limited time. The latest promotion from CIBC Investor’s Edge is unique in that it is not a tiered promotion, and the offer is for 100 commission-free trades. It is also not a fee rebate offer, so there is no waiting for reimbursement for a trade commission. These two elements make it an especially compelling offer coming from a bank-owned brokerage where this kind of structure is uncommon.

So, the good news for DIY investors shopping around – especially those doing some searching for offers at the beginning of June – is that there are a couple of extra offers still on the board this month.

June will be an exciting month to keep watching the deals action because there are several offers set to expire in the first week. It’ll be worth tuning in between Raptors games to see what unfolds next.

Expired Deals

HSBC InvestDirect’s cash back offer is now officially “on vacation.” We’ve noticed promotional activity from HSBC InvestDirect start to pick up over the past two years so though their current offer has expired, there still may be other promotional offers coming later on in the year.

Also, with summer just around the corner, it was time to do a little spring cleaning. The Moneytalks offer in conjunction with Desjardins Online Brokerage no longer appears to be advertised/active and as a result we are removing it from its place in the other deals/promotions section.

Extended Deals

*Nothing new to report here yet*

New Deals

Though technically not new, it is something that we are adding into the deals section for transfer offers. Although not advertised, BMO InvestorLine does have a tiered transfer fee rebate offer available, with a maximum coverage of $200. To access it or find out additional information about qualifying deposits and rebate rates, contact customer service.

Also updated, RBC Direct Investing’s transfer fee coverage amount has moved up to $200.



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 a new qualifying account with CIBC Investor’s Edge and you may be eligible to receive 100 commission-free trades. Eligible trades include equity, ETF and options trades (per contract charges still apply). Commission-free trades are good for up to 90 days after account opening date. Use promo code EDGE28 when signing up. Be sure to read terms and conditions for full details. n/a 100 commission-free trades 90 days CIBC Investor’s Edge Free Trade Promotion July 31, 2019
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, 2019
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 none
Open and fund a new eligible RBC Direct Investing account with at least A) $25,000; B) $50,000; C) $100,000; D) $250,000 or E) $500,000+ and you may be eligible to receive a cash back reward of A) $100; B) $150; C) $200; D) $500 or E) $1,000. Use promo code CASHB when registering. Be sure to read terms and conditions for full details. A) $25,000 B) $50,000 C) $100,000 D) $250,000 E) $500,000+ A) $100 B) $150 C) $200 D) $500 E) $1,000 Cash back will be deposited by December 16, 2019 RBC Cash Back Offer June 7, 2019
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, 2019
BMO InvestorLine Open a new qualifying account or fund an existing qualifying account at BMO InvestorLine with new assets worth at least A) $50,000; B) $100,000; C) $500,000 or D) $1M+ and you may be eligible to a cash back reward of up to A) $100; B) $300; C) $900 or D) $1600. Use promo code SPARXCASH when registering to qualify. Be sure to read full terms and conditions. A) $50,000 B) $100,000 C) $500,000 D) $1M+ A) $100 B) $300 C) $900 D) $1,600 Cash back will be deposited the week of December 16, 2019. BMO InvestorLine Spring 2019 Campaign June 3, 2019

Expired Offers
Last Updated: June 1, 2019 22:00 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
If you (an existing Qtrade Investor client) refer a new client to Qtrade Investor and they open an account with at least $1,000 the referrer and the referee may both be eligible to receive $25 cash. See terms and conditions for full details. $1,000 $25 cash back (for both referrer and referee) Cash deposited at the end of the month in which referee’s account funded Refer A Friend to Qtrade Investor 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 $5,000 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. $5,000 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 January 2, 2020

Expired Offers
Last Updated: June. 1, 2019 22:00 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 no minimum required Transfer Fee Promo June 30, 2019
Transfer $15,000 or more to RBC Direct Investing and they will pay up to $135 in transfer fees. $200 $15,000 Transfer Fee Rebate Details none
Transfer $15,000 or more into a new HSBC InvestDirect account and you may be eligible to have up to $152.55 in transfer fees covered. $152.55 $15,000 Confirmed via email contact with HSBC InvestDirect Rep. Contact client service for more information. none
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 $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 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 Desjardins Online Brokerage 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 Desjardins Online Brokerage 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 none
BMO InvestorLine Open a new qualifying account with BMO InvestorLine or fund a qualifying existing account and you may be eligible to have transfer fees covered up to $200. Contact client service for more details. $200 Contact client service for more information Contact client service for more information (1-888-776-6886) none

Expired Offers
Last Updated: June 1, 2019 22:00 PT

Other Promotions

Company Brief Description Minimum Deposit Amount Required Details Link Deadline
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, 2019 22:00 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. $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 $1000. 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 $1000. PROMO1000 January 2, 2020 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: June 1, 2019 22:00PT
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Discount Brokerage Weekly Roundup – May 13, 2019

While talk may be cheap, not talking is turning out to be very expensive for two major market moving voices. Ironically, it is the power of conversation that online brokerages are hoping to tap into and yes, for those that aren’t part of the new conversation on money and wealth management, their silence might just turn out to be very costly indeed.

In this week’s roundup, we take a look at a recent investor education event that provides an interesting indicator of measuring engagement in financial content, and how one Canadian online brokerage is well out in front in the content game. Next, we cast the radar wider than normal to see the big picture forming for online brokerages in Canada and the U.S. and what that might mean for DIY investors on both sides of the border. As usual, we’ve got our staples of investor tweets and forum chatter to close things out.

TD Direct Investing Levels Up Investor Education

When it comes to analyzing the stock market, there are all kinds of indicators that investors use to track performance and progress. From MACD’s to Bollinger bands, indicators tend to provide some measure of investor sentiment.

Interestingly, when it comes to measuring the sentiment around investor content, there’s an uncommon indicator that reveals something about the nature of the investors consuming it: hair.

Having sat through countless investor education events and investing seminars (many of those from the back of the room) there has been a constant indicator of who actually attends. Historically, the view of the hair colour (if the hair was there at all) was typically on the lighter end of fifty shades of grey.

It is against this backdrop, however, that the recent investor education event sponsored by TD Direct Investing, entitled “Levelling Up Your Money” stands out as somewhat unique.

From the picture shown above (sourced from Twitter) it is immediately clear that, in addition to being well attended, the “hair” indicator reflects a very different demographic in the room compared a picture below taken at the biggest investor conference in Toronto, the MoneyShow.

Gradually, it appears that a shift in the demographics of both audience and presenters is taking place. There seems to be a new wave of voices and consumers providing and seeking out investment information and education resources.

This past week’s panel featured a solid range of millennial personal finance voices, including Jessica Moorouse, Erin Lowry, and Barry Choi. The focus of this session was on investing, financial planning, and the reality faced by millennials deciding how and where to get started with investing.

What is noteworthy about this particular event is that TD Direct Investing was the title sponsor on an event that brought together a selection of younger personal finance voices that have a direct connection to a “millennial” audience. The result – younger people coming to attend an event in real life to learn about money and wealth.  For TD Direct Investing, it was a unique opportunity to be in the room with and get access to the target pool of their next wave of clients.

Taking it a step further, TD Wealth also featured one of the speakers at the event, Jessica Moorhouse, on a recent edition of their original program Money Talks to discuss millennials and investing.

One reason that this event and the subsequent feature on the Money Talks segment matters is because when it comes to attention and winning “mindshare” with DIY investors, content and influence are two important ingredients.

In terms of producing financial education content, TD Direct Investing is arguably the leading online brokerage in Canada for creating and deploying structured financial education related to investing (especially DIY investing).

They have also historically been very adept at providing “in-person” events and this latest iteration shows what happens when popular online personalities get a platform in the “real world” to provide a session to curious and enthusiastic followers.

Tactically speaking, this puts other Canadian online brokerages in a challenging position to supplement their offering with something as compelling from an educational content standpoint. For consumers looking to learn more about investing, and who base their choice of which online brokerage to go with, TD Direct Investing’s educational content makes them a hard contender to beat.

A second important observation of this event is that the coveted millennial audience is out there and they are curious about learning about investing.

With a big-bank-owned brokerage taking the lead in reaching out to this demographic, it could kickstart activity from other Canadian online brokerages to do the same.

We have already observed a shift in the frequency and style of several other online brokerages’ content efforts to make them more accessible to a contemporary (read: younger) audience. TD Direct Investing’s latest move means that those online brokerages interested in reaching that same demographic are going to have to, ironically, level up their game to go beyond just execution price to gain traction with a younger investor.

A Convenient Truth

Despite the differences broadcast in the news between Canada and U.S., one thing that online brokerages on both sides of the border face as a challenge is looking for ways to grow their business. This past week, there were interesting stories on both sides of the border that collectively point to a strategy of diversification on the part of online brokerages to keep their businesses economically viable.

Case in point, even though the heady times of early 2018 are in the rear view mirror for cryptocurrency traders, late last month a Bloomberg story reported that one of the well known online brokerages in the U.S., E*Trade Financial, is going to enter into the cryptocurrency trading space by enabling direct trading of Bitcoin and Ether. Direct competitor to E*Trade, TD Ameritrade, has also been reportedly quietly testing Bitcoin trading (not just the futures trading which is already available on their platform). With Robinhood already well out in front of the “crypto” trend at online brokerages with their launch last year of cryptocurrency trading, the normalization of crypto trading at online brokerages may be soon at hand. For Canadian online brokerages, this is one trend that could help to ignite a connection with millennial investors and those investors who seem more comfortable with the digital currency trade.

Perhaps the most compelling example of the evolution of the “online brokerage” into a holistic financial management platform is with Interactive Brokers. They have gone from the platform of choice for active traders to an “integrated” model that lets clients earn, borrow, spend and invest.

Meanwhile, in the Canadian online brokerage space, the recent example of independent online broker Questrade adding a residential and commercial mortgage lender, Community Trust, to their stable of services signals a major step change for this financial services provider who started out focusing on DIY investing.

With new competitive forces continuously pushing commission fees ever lower, there are examples in the U.S. and Canadian markets that reflect how online brokerages are responding: diversification. What that means for DIY investors appears to be that as wealth and money become increasingly digitized, the line between traditional banking service providers and traditional investing services is going to get very blurry.

As the mammoth valuations on Uber and Lyft highlight, convenience culture is alive and thriving.  If any online brokerage north or south of the border can walk the tightrope of being compliant with regulations while also providing an experience to access financial services that screams convenience and reliability, it won’t just be on our radar, it will be on a lot of others’ too.

Discount Brokerage Tweets of the Week

From the Forums

Start Your Engines

With the launch of Uber’s brand-new IPO, one DIY investor has questions about the best time to invest in this company. See what other forum users had to say in this RedFlagDeals thread.

Getting Invested

One DIY investor has contribution questions after being offered a chance to invest in their company at a discount. See what advice fellow Redditors provided here.

Into the Close

That’s a wrap on another edition of the roundup. While there’s controversy on the origin of the phrase/curse “may you live in interesting times,” there’s probably more agreement on the fact that we’re living through those very interesting times. After a nail biting weekend courtesy of the Raptors, Game of Thrones, and trade talks, there’s a pretty high bar for the next week to surpass in terms of “interesting.” Here’s hoping there’s something boring to talk about next week!

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Discount Brokerage Deals & Promotions – May 2019

*Updated: May 27* April showers are supposed to bring May flowers but when it comes to deals for DIY investors in Canada, the promo parade in May is definitely getting rained on. After an incredibly busy start to the year – especially in the lead up to the RSP contribution deadline, deals activity at Canadian brokerages has tapered off considerably at the start of May.

Although some pullback in discount brokerage deals and promotions activity is normal for this time of year, to see brokerages step back in terms of offering incentives is noteworthy. Specifically, the context this year matters: there has been strong stock market performance to begin the year; there are lots of big-name IPOs coming to market and a new ultra-low cost competitor has entered the online brokerage space. Add these factors up, and it should be a perfect storm for Canadian discount brokerages to be more aggressively promoting offers to win over new investors and appealing to investors who are now more tuned into what the markets are doing.

Of course, it’s great news to the handful of online brokerages who are offering promotions to investors as they will get a greater share of attention from investors hunting around for an offer on a new account.

Specifically, to start off the month, BMO InvestorLine, CIBC Investor’s Edge, Desjardins Online Brokerage, HSBC InvestDirect and Questrade have offers in play. That said, CIBC’s offer is scheduled to expire on May 2nd and HSBC InvestDirect chose to extend their offer to the end of May from its previous deadline of April 30th.

On balance, we see a strong likelihood that additional online brokerage offers come to market over the late spring/early summer period. The opportunity to get access to a younger, engaged investor ahead of the major IPOs taking place this year seems too tempting to pass up. We’ll be keeping our eyes open for deals that hopefully also evoke that same sentiment.

Expired Deals

Heading into May, National Bank Direct Brokerage’s offer for 50 commission-free trades officially expired as did the BMO SmartFolio promotional offer for the free first year of management (BMO SmartFolio’s cash back offer is still running until June).

Extended Deals

In a surprise move, HSBC InvestDirect opted to extend their winter promotion for another month, with the new deadline for their cash back offer falling on May 31st.

New Deals

*Update: May 27 – There have been a couple of interesting deals from large bank-owned online brokerages to cross the deal wire this month.

RBC Direct Investing kicked things off earlier this month with a cash back offer for new (i.e. not existing) clients of RBC Direct Investing. This new promo was a really limited time offer and expires in early June. Cash back rewards for this promotion range from $100 for a minimum deposit of $25,000 to $1,000 cash back for a deposit of $500,000+. See table below for more details.

CIBC Investor’s Edge also launched a new deal in May that is going to turn a few heads with investors and competitors alike. CIBC Investor’s Edge is offering 100 commission-free trades which are good for 90 days from the date of account opening. This deal is especially enticing as it has no minimum deposit requirement stated to qualify and commission fees are waived at the time the trade is placed meaning there is no long wait for a commission rebate. See table below for more information.*

There are no new deals to announce (yet).



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 a new qualifying account with CIBC Investor’s Edge and you may be eligible to receive 100 commission-free trades. Eligible trades include equity, ETF and options trades (per contract charges still apply). Commission-free trades are good for up to 90 days after account opening date. Use promo code EDGE28 when signing up. Be sure to read terms and conditions for full details. n/a 100 commission-free trades 90 days CIBC Investor’s Edge Free Trade Promotion July 31, 2019
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, 2019
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 none
Open and fund a new account with at least A) $25,000; B) $100,000; C) $250,000; D) $500,000 or E) $1M+ AND place at least three commission-generating trades and you may be eligible to receive a cash back promotion amount of at least A) $188; B) $388; C) $688; D) $988 or E) $1288. Be sure to read offer terms & conditions for full details. A) $25,000 B) $100,000 C) $250,000 D) $500,000 E) $1M+ A) $188 B) $388 C) $688 D) $988 E) $1288 Cash back will be deposited by November 29, 2019 HSBC InvestDirect 2019 Winter Offer May 31, 2019
Open and fund a new eligible RBC Direct Investing account with at least A) $25,000; B) $50,000; C) $100,000; D) $250,000 or E) $500,000+ and you may be eligible to receive a cash back reward of A) $100; B) $150; C) $200; D) $500 or E) $1,000. Use promo code CASHB when registering. Be sure to read terms and conditions for full details. A) $25,000 B) $50,000 C) $100,000 D) $250,000 E) $500,000+ A) $100 B) $150 C) $200 D) $500 E) $1,000 Cash back will be deposited by December 16, 2019 RBC Cash Back Offer June 7, 2019
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, 2019
BMO InvestorLine Open a new qualifying account or fund an existing qualifying account at BMO InvestorLine with new assets worth at least A) $50,000; B) $100,000; C) $500,000 or D) $1M+ and you may be eligible to a cash back reward of up to A) $100; B) $300; C) $900 or D) $1600. Use promo code SPARXCASH when registering to qualify. Be sure to read full terms and conditions. A) $50,000 B) $100,000 C) $500,000 D) $1M+ A) $100 B) $300 C) $900 D) $1,600 Cash back will be deposited the week of December 16, 2019. BMO InvestorLine Spring 2019 Campaign June 3, 2019

Expired Offers
Open and fund a new qualifying account with CIBC Investor’s Edge with a deposit of at least A) $25,000; B) $50,000 or C) $100,00+ and you may be eligible to receive a cash back bonus of A) $100; B) $200 or C) $400. This offer is open to both new and existing clients. Be sure to read full terms and conditions for complete details. A) $25,000 B) $50,000 C) $100,000 A) $100 B) $200 C) $400 Cash back will be deposited on the week of September 2nd. CIBC Investor’s Edge Cash Back Promo May 2, 2019
Last Updated: May. 27, 2019 08:30 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
If you (an existing Qtrade Investor client) refer a new client to Qtrade Investor and they open an account with at least $1,000 the referrer and the referee may both be eligible to receive $25 cash. See terms and conditions for full details. $1,000 $25 cash back (for both referrer and referee) Cash deposited at the end of the month in which referee’s account funded Refer A Friend to Qtrade Investor 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 $5,000 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. $5,000 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 January 2, 2020

Expired Offers
Last Updated: Apr. 1, 2019 17:00 PT

Transfer Fee Promotions

Company Brief Description Maximum Transfer Fee Coverage Amount Minimum Deposit Amount for Transfer Fee Eligibility Details Link Deadline
Move your brokerage account to Questrade and they’ll cover the transfer-out fee up to $150. $150 no minimum required Transfer Fee Promo June 30, 2019
Transfer $15,000 or more into a new HSBC InvestDirect account and you may be eligible to have up to $152.55 in transfer fees covered. $152.55 $15,000 Confirmed via email contact with HSBC InvestDirect Rep. Contact client service for more information. none
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 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 Desjardins Online Brokerage 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 Desjardins Online Brokerage 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 none
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: May 1, 2019 21:00 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: May1, 2019 21:45 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. $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 $1000. 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 $1000. PROMO1000 January 2, 2020 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: May 1, 2019 21:45 PT
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Discount Brokerage Weekly Roundup – April 29, 2019

The end of April is almost here and for Canadians, that means tax time and deadlines. While some folks are taking their cues from the Game of Thrones and making things dramatic into the finish, it seems like there are also a few interesting cliff-hangers emerging in the deals space heading into May.

In this edition of the Weekly Roundup, we take a look at the state of the deals & promotions space heading into the new month, and what the current deal deadlines portend for Canadian brokerages and investors with a wave of IPOs on the horizon. Next, we dive into yet another story emerging from the US online brokerage space, a signal of a very “interesting” trend emerging at US online brokers that could make its way north of the border. Keeping in the spring spirit, we also have a few online brokerage potpourri stories that caught our attention, which we’ve included in this week’s roundup. As always, we’ll cap things off with chatter from the investor forums and on Twitter.

Deal Countdown

Like anyone watching Game of Thrones, folks tracking the discount brokerage promotions heading into May are asking a similar question: What’s going to happen next? As we move into the new month there are several important promotional offers that are set to expire, and as those deals go, the field of brokerage deals will have thinned out considerably.

On the chopping block at the end of April are offers from HSBC InvestDirect and National Bank Direct Brokerage, followed by a cash back promotion from CIBC Investor’s Edge, which is set to expire on May 2nd.  This contraction in deals will reduce the number of online brokerages offering either cash back or commission free trading deals down to three – BMO InvestorLine, Desjardins Online Brokerage and Questrade.

With both the RSP contribution season and the income tax deadline now behind us, whether or not there are catalysts for DIY investors to be opening online brokerage accounts or stepping into the market hinges on the popularity of the upcoming swell of IPOs, as well as general economic outlook.

In the case of the IPO “frenzy”, there are still some significant names coming to market, like Uber, Pinterest and Slack, which could help drive interest by younger, tech-savvier investors eager to participate in stories of stocks that they are familiar with.

With regards to economic outlook, although there are constant jitters with regards to political and economic stability, the consensus view from economic forecasts as of the past week point to a relatively stable market (sorry inverted yield curve).

For Canadian online brokerages, the macro picture suggests that the biggest catalyst over the summer months will be an especially hot IPO season and a generally favourable economic outlook. Importantly, most of the big stories are going to originate out of the US – something that tactically favours online brokerages that offer US accounts (registered and non-registered). This is a considerable cost savings for those active traders hoping to hitch their wagons to the fast action in the US markets.

With so many big US tech stories racing to the public markets, it would be hard to imagine a scenario in which Canadian online brokerages pass up the opportunity to win over new investors with promotional offers. These are undoubtedly interesting times for the Canadian online investing industry. While online brokerages may not be standing still during the summer months, they are likely going to be especially busy making the most of the IPO wave. So, while we don’t know for sure what’s going to happen next, the upside for Canadian DIY investors is that there’s a good chance deals action will pick up in anticipation.

Taking it to the Bank

It has been a newsworthy past few weeks for US online brokerage Robinhood. The zero-commission online brokerage is yet again on our radar as another story has popped up in April, this time relating to the application by Robinhood to become a chartered bank in the United States.

The way in which Robinhood is angling to offer high interest chequing and savings products is a direct response to their false start on the high interest savings account launch earlier this year. Nonetheless, it looks like they’re undeterred by the long compliance road ahead and are pushing to offer what would traditionally be “banking” services.

Far from a novel idea to offer investors something extra for holding their cash with a brokerage (Interactive Brokers does it and has met with some success in the US), the big picture for online brokerages is that sticking to just order execution is not going to be enough to sustain the business. The bigger lesson for bank-owned brokerages here in Canada is that nobody in the wealth management space is going to be respecting traditional boundaries anytime soon. With robo-advisors now becoming more accepted by mainstream investors, and those same robo-advisors wading into the online brokerage space (ahem Wealthsimple Trade) or online brokerages wading into the robo advice space, the “one stop shop” for wealth and financial management appears to be the model that many of these brokerages will be pursuing.

As such, it feels like it’s not so much a matter of if, but rather when and who will be the first ones in Canada to offer much more competitive interest rates on cash sitting idle (i.e. the “dry powder”).

Of course, opening up the “high interest” account for uninvested cash would almost certainly be a slippery slope. Once one major firm does it, the rest will undoubtedly follow. Whether it follows the model of commission fees being dropped (as RBC Direct Investing did in 2014), like most new feature roll outs in Canada, there will definitely be a “wait and see” if it’s anyone other than a big-bank owned brokerage.

Ironically, for Robinhood, as they continue to pursue offering interest, the consumer interest in the brand will likely grow. In Canada, where the competitive dynamics are slightly different, it would be interesting to see what would happen if one of the smaller online brokerages were to get creative for online investors holding idle cash. One fan theory: Canadian DIY investors would be much more inclined to stick things out rather than transfer brokerages.

Online Brokerage Potpourri

Here are some more quick highlights of items that crossed our radar.

Booking an Interesting Detour

TD Direct Investing is the title sponsor for an upcoming session with two influential voices in the personal finance & investing space: Erin Lowry, author of Broke Millennnial Takes On Investing and personal finance personality Jessica Moorhouse. In addition to doing a sponsored session on investing, it’s also interesting to take note of a paid promotional segment on YouTube in which Moorhouse walks through the TD Direct Investing GoalAssist feature.

With so many millennial eyeballs having moved to YouTube and social media rather than traditional media, this is another example of online brokerages looking to work with & enlist influential voices in the personal finance space to extend their message into harder to reach audiences.

Online Brokerage Summit Highlights

Another interesting industry event that took place earlier in April in Chicago was the annual online brokerage summit held by Trading Central. This year’s event marked the tenth edition of the conference and featured influential voices from the Canadian and US online brokerage spaces. An interesting recap of the event was written by Kathryn St. John from Trading Central and is available here. Among the key themes/challenges cited: the race for the millennial investor. In that light, it seems particularly timely to see events such as the TD Direct Investing sponsorship of a millennial-focused content provider, as well as a general tilt towards making platforms more appealing and accessible to a new “crop” of investors.

Discount Brokerage Tweets of the Week

From the Forums

Pump up the Volume

One new DIY investor wants more information on the significance of ETF trade volume. Forum users on Canadian Money Forum chime in here.

On Borrowed Dime

A DIY investor has questions about borrowing specifically to invest. See what other forum users had to say in this Reddit thread.

Into the Close

Talk about a hard act to follow – the week ahead will certainly be filled with no shortage of reaction to an epic Game of Thrones episode and a record-breaking opening to Avengers Endgame and basketball playoffs. Of course, with winter still sticking around (amirite Calgary?) in different parts of the country, it’s not a bad time to stay indoors. Here’s hoping there will be some warm patches (like GDP in Canada) to look forward to as well as a profitable trading week ahead.

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Discount Brokerage Weekly Roundup – April 8, 2019

Even though spring has clearly arrived, there are still many folks anticipating the coming of winter. After years of anticipation, the finale of Game of Thrones is almost here, bringing an end to an amazing decade plus run. If it sounds eerily familiar to the reporting on the decade-long bull market run up – it just might be.

In this edition of the roundup, we take a look at the pullback in deals and promotions heading into April that may leave brokerages scrambling to ride the tech IPO wave set to wash over markets later this year. Also in the spotlight this roundup is the latest move by one online brokerage to shuffle the deck on their premium account offering – perhaps creating an unintended race for lucrative clients in the months ahead. As always, we’ve tapped into the investor forums and Twitter to see what online investors were curious about this past week.

Deals Update for April

Let’s face it, by now most Canadians have had their fill of winter. One of the downsides of the end of the winter stretch for DIY investors, however, is that discount brokerage deals activity tends to melt away much faster than the snow on a Vancouver sidewalk.

With the RSP contribution deadline in the rear-view mirror, the start of April saw a pullback in the number of offers and the number of online brokerages actively trying to recruit new clients or assets through the use of promotions.

Deal attrition in March resulted in the following online brokerages allowing their existing offers to expire:

The news at the beginning of the month wasn’t all negative, however. There were two important extensions from online brokerages popular with highly price sensitive online investors: CIBC Investor’s Edge and Questrade.

In terms of CIBC Investor’s Edge, their cash back offer has been extended through to the beginning of May. This positions their offer against only a small number of other active cash back offerings currently in the market. For CIBC Investor’s Edge, a less crowded deals space offers a double win: first, this means more spotlight on their brand and second, more spotlight on an offer that is particularly compelling to DIY investors – the cash back bonus.

For Questrade, their unique transfer fee coverage promotion has been extended through to the end of June. This means that they are actively challenging other brands and competitors by offering to pay for transfer fees imposed by those brokers on clients who wish to leave. It is worth restating that for investors with smaller-asset portfolios (under $15,000 – $25,000) who are looking for a different provider, this is the best exit plan currently available.

In most years the last big possible spike in investors seeking out new investment opportunities, including investment accounts, would be the income tax refund window, which would typically wrap up in May. That said, 2019 is a unique year for unicorn tech stories going to IPO. Names like Uber, Airbnb, Slack, and more are still scheduled to come to market, which means investors will be keen to access these investment opportunities and, as a result, will be kicking the tires on which online brokerage will be best for these IPOs. For that reason, even though there have been a few April showers when it comes to discount brokerage deals, it seems like this year there will likely be a few savvy brokerages bringing some flowers (or promotions) to win over DIY investors ahead of the big rush to step into the IPO wave.

Aim for the Stars

Earlier this month, BMO InvestorLine rolled out some important changes to their “5 star” program, a premium set of services that are offered to higher value clients. Prior to these changes, the 5 star program consisted of three tiers – Silver, Gold, and Platinum – which offered qualifying clients discounts on trading commissions (when first launched), preferred interest rates, reduced fees on non-trading transactions as well as real-time quotes, level 2 quotes, service perks and access to their top tier trading platform. Importantly, the threshold to qualify for the 5 star program started at $250,000 for the Silver tier. Clients with assets of $500,000 or more qualified for the Gold tier, and assets of $10M or more qualified for Platinum status.

Under the new structure, the 5 star program features three tiers – Gold, Platinum, and Diamond to replace the Silver, Gold, and Platinum. Qualifying for the first tier in the new structure requires $250,000 or more, which suggests that the previous Silver and Gold tiers have now been amalgamated into the Gold tier. The threshold for Platinum Star is $2M in assets or higher and Diamond Star is $5M or higher.

What has certainly gotten forum users chatting is the fact that under the new system, certain benefits are no longer available to Gold tier clients, such as access to BMO’s premium platform, Market Pro, which was replaced by a “lite” version. Also no longer available to Gold tier clients is streaming level 2 trading data, which, for active traders, will be a big adjustment.

Despite the turbulence encountered on the forums, it is an interesting move by BMO InvestorLine to redraw the lines on the premium account experience – especially lowering the threshold for Platinum and creating a new tier, Diamond.  On the one hand, it makes more premium experiences available for valuable clients more accessible, but on the other, it clearly creates a sore point for some other of their clients.

Other bank-owned brokerages have comparable programs in place for higher value clients so it will be interesting to see how they respond in kind. The table stakes are highest with this segment of client, and most premium programs have a minimum threshold that starts at $250,000 which creates an interesting opportunity for competing firms in some areas, and potential hurdles in others. Specifically, if the forum posts offer any indication of what clients are thinking, the segment between $250,000 and $2M might be more volatile than in previous years.  Quite possibly, competitors may take this signal to draw more attention to their typically hushed premium programs – especially if they’re prepared to offer streaming level 2 quotes.

Discount Brokerage Tweets of the Week

From the Forums

Getting Ahead of the Curve

A DIY investor on RedFlagDeals wants to know how to readjust their portfolio to weather a possible looming recession. See what advice other forum users provided here.

Feeling Robotic

One new online investor has questions about wading into investing and the differences between robo advisors. Check out this Reddit thread for other forum users’ opinions.

Into the Close

Talk about mixed signals. Even though ominous signals for markets loom in the distance, there’s all kinds of economic data and exciting stories to make 2019 another volatile adventure. While everyone is trying to figure out the market’s endgame, there are other endgames close at hand. Between the Avengers and Game of Thrones, there’s going to be no shortage of reasons to avoid April showers to get in some serious screen time.