Great video, as usual! You can also do Norbit's Gambit on National Bank with zero commissions. Now I am curious of how the math would work out vs. Quest Trade.
@@CanadianTShirt wealthsimple have a US dollar account for US$10 per month, their is conversion fee when you trade. But funding account with CAD $ will charge conversion fee. Several months ago I started to compare Weapthsimple US account, Questrade, and Interactive Broker. I didn't not get to finish completely but Interactive Broker was the cheapest. I also needed a US LLC (or other reason), so then I learn I can use my LLC to buy US stocks for FREE.
@@CanadianTShirt This would be awesome Adrien. I would very much be looking forward to this video. Can you also touch on which brokerages allow options trading?
Very interesting points! I've used Wealthsimple religiously with US Stocks but as my portfolio continues to approach the 6 digit mark I definitely see the value with Questrade.
You're not alone! No commissions is a HUGE benefit and a massive draw for new investors! But those conversion fees sneak up on you... especially as your portfolio grows and you'll have to pay an even bigger fee when you cash out 😕
Grear video! I called my bank up to ask about the coversion fee. The bank person didn't even know that there is a hidden fee. I found out online that they call it a margin rate and that it is 2.5% on top of exch rate so 1% more than questrade or wealthsimple. So you see what banks are doing.
I'm not all that surprised to be honest... I've done the math on my EQ bank (which I love) but if you look at their conversion rate vs the true conversion rate, it comes to about 2.5% which sucks
And remember they will "hide" their conversion fees within the exchange rate. They'll give you a worse rate than the actual rate. I touch upon this right before the walkthrough
I'm the same! I also use robo investing (a bit) with Wealthsimple and Questwealth. But for self-directed investing, most of my money is in Questrade =)
Hoping you can answer this! What would be cheaper over time, VFV in wealthsimple with its higher MER fee but no exchange fees or VOO in questrade with its lower MER fee but norbits gambit costs?
Great question and it really depends! When it comes to upfront costs, for smaller sums of money yes it's easier to buy VFV in WS. But as your portfolio grows, then that increased MER and that 1.5% conversion fee really starts to make a huge difference, especially when you eventually sell
To add one more factor into the equation, you have to consider what type of account you're holding it in. If you're holding VOO in your RRSP, then you can save that 15% US tax on those dividends! With VFV, there's no way to avoid this 15% hit to your dividend. Watch my VFV vs VOO video for the full breakdown =) ua-cam.com/video/IlSEg6Fux_A/v-deo.html
Thanks for the quick response! Yes i decided the same thing that if its a short term small dca play it should be into vfv in wealthsimple tfsa but if ifs big lump sums long term investing then voo in my rrsp through questrade norbit gambit is best. That 15% withholding tax comes to about 0.2% saved per year plus ofc the 0.06% difference in MER fees
I really appreciate your video! i had the bad experience to invest with wealthsimple on US stocks and i rapidly saw the disaster and step back. but the damage has been done :(
I'm sorry to hear that but I'm glad you found the impact of those fees sooner rather than later! A ton of people still don't know about these conversion fees
If you have over 100k on wealthsimple you have access to free USD accounts. You can deposit and withdraw USD without using wealthsimple conversion rate.
Yes with WS Premium you will avoid the conversion fees but ONLY if you already have USD... Most Canadians don't, so even with Premium you STILL pay that 1.5% fee whenever you exchange currencies!
And I get the appeal of fractional shares, especially for large share price stocks but I would rather just buy ETFs to gain the benefits of fractional shares. Plus it makes it a nightmare to track and file your taxes when you have 3.412323 shares vs just 3 shares. But it's a personal preference! =)
My pleasure and I'm glad you are enjoying your investing journey so far! Wealthsimple is the BEST for absolute beginners! Especially if you're just starting with Canadian investments =)
As you get more comfortable with investing and move towards the US side, it might be worthwhile to consider Questrade or other brokers. It's totally fine to use a mix of both! That's what I do =)
If i buy US ETFs on Questrade and receive dividends monthly will i be charged conversion fees on those dividends because right now WS is charging a big chunk out of those dividends.
If you have the Wealthsimple basic (without paying the $10 a month) then your dividends will automatically be converted back into CAD... That forces you to spend a 1.5% fee again if you want to reinvest them into that US ETF
not sure i got this right. if you send USD to wealthsimple you can trade US stocks with no round trip conversion... also does wealthsimple do TFSA and do either charge monthly usage platform fees
Yes if you already have a source of USD, you can deposit it into Wealthsimple if you have the USD account, it will cost you $10 a month or you need $100K in assets
I moved to Interactive broker from questrade for US investing due to commission high cost from questrade. Would love to hear your thoughts on IB vs others in Canada.
Does Questrade make taxes easy? Looking into it for someone who doesn't want to deal with all the USD conversations for tax purposes. Gambit seems like it would complicate it even more.
And Norbert's Gambit wouldn't be taxable since you don't earn a profit, remember you are still "losing" $5 in fees so it's a taxable loss. This will all be included in your tax slips the same as if you sold any stock for a loss
Question - I've been a long time listener, but I wanted to ask you about your thoughts on the risks of Norbert's gambit. Isn't there a possibility that the stock used to convert could drop in value, so the risk would be that whatever you are temporarily investing could lose money (possibly more than 1.5%) while waiting for them to transfer the money in the stock over from CAD to USD? This was my one concern, as I was using it to convert a large sum of money from CAD to USD. Appreciate your channel!
you could also lose over those 3 days if the stock moves in the upside costing you more in the long run, PG was just by chance in that one example. is all based on if you plan ahead of time and have to time to wait.
For me, I am a long term investor. I couldn't care less about 2-3 days. Statistically speaking, the market is essentially a toss up over 1-3 days. 50:50 chance of going up or down so I don't stress
Now if it's right around the time for the quarterly earnings, that's a different story and you should expect a significant swing in those few days. But as you said, you would plan ahead to ensure your cash is ready to deploy =)
Do not Canadian brokers offer access to the FOREX markets to buy currencies on a commission free basis? Why it's so complicated and people have to use Norbert Gambit to get such a basic feature?
Certain brokerages like Questrade and the big banks let you buy into the ForEx market. I believe that Wealthsimple is working on it too but I'm not sure if there's a big demand for that among their audience
@@CanadianTShirt it's a great way and probably the cheapest one to exchange currency - no doubts, and we appreciate you excellent explanation - it's really awesome! And you are right, probably there is no such a wide demand for direct FX market access among WS audience.
I made a huge mistake buying stocks on QT like 1 at a time (what I can afford) - I think better to wait to have a good chunk of money to combine the commission fee in one transaction.
Interesring video. Let me explain my scenario. I was working in the US where I have some USD in Vanguard VTSAX. But, now I am working in Canada and looking to buy VOO ETF through questrade using the norbert’s gambit method. Should I buy them in TFSA vs RRSP vs non- registered account considering the fact that I have moved to Canada this year? Also, When I move back to the US for work after a few years, Can I move this VOO to my US Vanguard account?
Can you do an in-kind transfer with your USD accounts at wealthsimple to questrade for when you decide to withdraw your money to save the 1.5%? I don't believe they charge a fee to transfer like traditional banks.? Or am I wrong about this.
At the end of the day, they still want to make money off you so there might be a limitation on how much USD you can transfer out in-kind. If you give it a try, let me know if it worked! =)
Hey Adrian! Question, I agree with using Questrade for US Stocks especially in RRSP, but you said you still feel Wealthsimple is amazing for Canadian stocks, I have a TFSA with Wealthsimple, and hold a lot of VFV, because I don't have the contribution room in my RRSP. What do you think of this?
Yes in a TFSA, VFV is okay since you can't avoid the 15% tax on dividends in a TFSA, no matter what you do. And if it's a Canadian ETF, then both WS and Questrade will be commission free =)
Wondering if this wouldn't be way cheaper in National Bank Direct Brokerage account? They do not change to buy and sell and norbert's gambit is 9 dollars plus tax.
I will be making that comparison soon! I'm very happy to see NB be the first big bank to reduce their fees! But there are other pros and cons to consider! =)
Hey Adrain, big fan. Just wanted to get your opinion here. I don’t have much left after all expenses and could do a max 250 CAD weekly so that amounts 1000 CAD monthly. I have always DCA my portfolio. So here’s my question. I noticed that portfolio grew significantly when I purchased US stocks vs Canadian - so I did a mix of these stocks in wealth simple account. I see that you mentioned minimum amount of 365 CAD(?) to invest in US stocks in quest trade in order break even commission charges in wealth simple. Would you recommend holding cash in quest trade till I reach certain amount (364 CAD) and then buy USD stocks in quest trade- I heard there is minimum amount that you can transfer to quest trade- it doesn’t take 20 or 30 CAD deposits.
How consistent are you with those weekly contributions? If you're able to do $250 a week, then if you want to invest that in US stocks and ETFs, I would suggest doing bigger batches. Maybe saving up for one big $1000 conversion with Norbert's Gambit every month or maybe even something like this:
Two weeks you combine $500 and do Norbert's Gambit to convert into USD. Then the other two weeks, you stick to Canadian. That way you are equally balanced 50/50 between Canadian and US and you get to lower your total costs by doing a bigger batch for Norbert's Gambit
@@CanadianTShirt Thanks a lot! makes sense probably would have to 250 CAD biweekly for US stocks in QT and 125 CAD weekly for Canadian ones in WS. Is there any disadvantage if i do more micro transactions in WS as opposed to bulk buy in WS just I will plan on doing in QT for US stocks and always appreciate for knowledge that you share.
@CanadianTShirt thanks :) ... I loaded 6k worth of options on it exp in March 2025 at 16 strike.... hoping to win big haha... keep up the good work. I learned quite a bit from you.
I hear you but remember fractional shares are a totally new thing. They've only been around for about 2 years so it's not like it was a deal breaker before then
And I get the appeal of fractional shares, especially for large share price stocks but I would rather just buy ETFs to gain the benefits of fractional shares. Plus it makes it a nightmare to track and file your taxes when you have 3.412323 shares vs just 3 shares. But it's a personal preference! =)
I have actually been very impressed with Moomoo over the past few months, especially as such a newcomer to Canada. Stay tuned for an in-depth review =)
@@CanadianTShirt it is the only trading platform I use. I have never invested much so not paying any fees really helps. I have never noticed a currency conversion fee but it could be there I haven’t done a detailed analysis like you have.
And I get the appeal of fractional shares, especially for large share price stocks but I would rather just buy ETFs to gain the benefits of fractional shares. Plus it makes it a nightmare to track and file your taxes when you have 3.412323 shares vs just 3 shares. But it's a personal preference! =)
Yeah, buying ETFs makes sense because it's free. I would love it if Questrade would adapt to offering partial share buys on their platform, either single stocks or ETFs. If that happens, I would probably switch. Sorry man, I wasn't trying to be negative towards you or your content. You actually have a really great explanation towards the topics you cover. As a fellow Canadian investor, it's nice to see these kinds of content. Thank you
Oh not at all! Believe me, I get a ton of negative comments (especially when I talk taxes lol) but I didn't get the sense that you were negative at all! Don't worry about it! 😊
Thank you for sharing. I just checked my last transaction when I bought qqq there was no 1.5% exchange fee. Should I assume it's just applicable for stocks and etfs?
In your demo of buying through Wealthsimple, I see it prompts to you that you can save the CAD14.x conversion fee if opt for USD account, is it not ture?
Update: Oh I think I understand why you said the Wealthsimple's USD account is not good. It still requires you to pay the conversion fee 1.5% for converting CAD to USD for the first time. But then you can use these USD freely for consecutive trading, so long as you do not take it out in CAD. That still can save a lot for me, as I seldom take out money from stock account for urgent use.
I know what you mean! I was a little intimidated the first time I read about it many years ago, "journal requests", waiting for trades to settle, it sounded complicated but now it's become a monthly habit. It's really so simple and I don't mind waiting 2-3 days to save a ton of money =)
Good eye! Yes when buying a US stock, the $5 commission is in USD. The calculations with Questrade were already complicated enough with the ECN fees and everything so I didn't want to overcomplicate it further. This video was already longer than I wanted it to be 😅
But in my follow up video, it will be a thorough breakdown of the FULL calculation, including the ECN fees, the $5 fixed commission, the extra cost per share and the USD/CAD conversion. It's a complex calculation but the net result is the same. For smaller amounts, it's roughly a fixed cost versus a 1.5% fee. Good catch!
Do what works for you! Just be aware of the long term costs, based on my portfolio today, WealthSimple would have costed me THOUSANDS over the years....
That's the scariest thing... I don't care what they're offering, if they are not secure and insured and regulated by the government, I will NEVER give them my money!
Much needed breakdown!! I’ve been searching everywhere for a video that’s THIS transparent and clear. Excited to see your other brokerage comparisons 🤩
@@saccharide The difference is that with WS Premium you get free USD accounts so you don't HAVE to convert for every trade. You can sell a USD stock and reinvest it into another USD stock with no fees. You can also link a USD bank account and withdraw there for free without having to convert back to CAD with WS.
However there are other things to consider namely the annual fees on CDRs and the non-avoidable 15% withholding tax on dividends in the CAD ETFs. There's no such thing as a free lunch sadly
For wealthsimple, check CDRs of popular US stocks. (as a beginner you would never plan beyond these 50-60 popular s&p 500 stocks) behind the curtains it cost you 0.6% fees (included in stock price) but also protects you if USD goes down against CAD
Norbert’s Gambit is not for everyone. Opportunity cost is a lesson I learned the hard way on a large conversion trade. It takes a long time for the settlement of the trades. I missed out on doubling my money because I wanted to save something like $300 in conversion fees. If you’re converting and buying something stable that you don’t expect to rally while you wait for the conversion, then it’s great. Or if you’re converting money to have so you can spend it on things later, then it’s great. But if you’re needing to buy a stock etc and there’s a window of opportunity for a rally, then don’t bother, just pay the 1.5% fee.
do you mean recent august market decline? or certain stock price drop? b/c usually during recession investors have enough time to do all the Norbert gambit processing. in addition as the Bogleheads say : time in the market beats timing the market
Hey, great video! I have another idea. What if I use Norbert's Gambit in Questrade and then transfer the USD to Wealthsimple premium to buy and sell commission free. When I need to withdraw, I can transfer USD back to Questrade and do the Norbert's Gambit again. What do you think?
I have never tried that, I believe that technically that would work but it seems like an awful amount of work just to save $5... remember your stocks will be locked-in for 2-3 weeks during that transfer
They used to show the conversion fee when you were buying a US stock. Once I reached premium it stopped showing it so I thought I wasn’t being charged any currency fees. However, it seems as though I’ve been paying these fees the whole time, probably in the form of a higher exchange rate and I didn’t even know
But if you are converting from Canadian, you will have to hit that ? icon (as shown in my WS walkthrough at the end of the video) and that's where you'll see the details on those fees... I agree it should always be visible but that's the way it is...
When I used to convert CAD to USD it would show 1.5% fees = x$ on my screen. Once I hit premium and convert CAD to USD they stopped showing the pop up including the fee. To me it seems like they’re trying to hide the fee
I deactivated my WS Premium account (I only tried it for one month) but there definitely is a way to see the fees. I would be illegal for them to hide it entirely
Good points but if I had to start over I would still go with Wealthsimple especially as a beginner that may jump in and out of positions (ETFs) until they find their risk tolerance and footing. Spent too much on the sell side fee with Questrade. And Questrade doesn’t have partial shares so if you have OCD that sucks and it’s sub optimal since you’re not fully invested at all times on QT
That's fair! I agree that Wealthsimple is the most beginner friendly. I will be highlighting all those points (including fractional shares) in part 2 of the comparison! =)
For me personally, I don't want fractional shares. They make it much harder to track on Excel and when you file taxes on investment income, it can become a hassle. But that's just a personal preference! I certainly see the appeal of fractional shares! Especially for those stocks with high share prices
That's a great point and one that I will highlight in part 2 of the comparison! I have seen HUGE innovation and new features with Wealthsimple over the years. They really are closing the gap in such a relatively short amount of time
That would be an interesting idea, a monthly subscription to allow for Norbert's Gambit... I still think it would cost them too much money. Their conversion fees are literally one of their biggest revenue streams so I doubt they want to risk it but we'll see! 😁
@@CanadianTShirt That's true, but with videos like this one and the one about why to invest in VOO instead of VFV you're educating people on benefits of Questrade. If enough people start using tactics like Norbert's Gambit, WS should hopefully realize that and make changes. Unlike inert Questrade, they are very good at identifying trends and taking action.
I agree with you there, but remember I have a tiny amount of influence. Compared to the millions that Wealthsimple spends on ads. I mean just look at how much they've been able to dominate the beginner investor market in a few short years. Sure they might lose a few more "experienced" customers once they learn about these high conversion fees but that will be overshadowed by the HUGE and growing influx of beginner investors
So the message that came up on wealthsimple you could be saving $14 on FX fees with USD account or with a premium member Israeli only if you already had US dollars to put into it?
Exactly, the only way to avoid conversion fees is if you already have USD. Then no conversion is necessary. But most of us have CAD so you'll have to convert and eventually convert back
Great video as usual! Question for you, I am currently holding a considerable amount in usd, would doing an account transfer to quest trade avoid me the Wealthsimple conversion fees (usd $)?
So you already have the Wealthsimple Premium account? If it's a large amount, yes you want to avoid paying 1.5% on that... it would likely be worth transferring that cash to Questrade (will take a few weeks for the transfer) and then use Norbert's Gambit to convert to CAD
Great video. I have been using questrade for spousal rrsp only as wealthsimple doesn't support it. But now I am thinking to transfer everything from WS to QT. Do you think I can transfer my USD holdings to questrade without incurring the exchange fee?
Technically I think it should work but at the same time, WS wants to earn their money from the conversion so it's possible they might have a limitation on how much USD you can transfer over, keep me posted =)
It would take many weeks to transfer out and I'm not sure if they would allow you to transfer out very large amounts. It's worth a shot but I could see them having a limit on it. They do want to earn their fees after all
I have both platforms and seeing as I am not a millionaire yet WS is the best platform , even for US the fess are minimal compared to the the QT runs. The dashboard for QT sucks , can even be confusing at times. So until Im making $100K trades WS is for me. And when I am making millions I wont care anyways. Its like being an Iphone user VS a Samsung user.
It's your money and feel free to use the platform you're most happy with. However WS will cost you a significant amount in conversion fees in the long run. As I showed in my personal portfolio, WS would cost me an extra $3000 over Questrade... keep that in mind
You don't have to make $100K trades at once, that is insane. But if your total portfolio has grown to $100K, then WS will cost you $1500 once you eventually cash out and convert back to CAD. Be careful
You can always do an in-kind transfer and move those US stocks over to Questrade! That way when you eventually sell, you can use Norbert's Gambit and avoid that massive 1.5% on that large amount!
What if we use questrade for us stocks and wealthsimple for cad stocks? Is there something i will miss out on if i split up my amounts, maybe some bonuses if i have more money in just one platform?
could you please do a video on the best international etfs for worldly exposure and explain exactly how important it is to have a portion of your portfilio allocated to such investments, thanks ! love the vids !
I WISH that was true but sadly it's not... WealthSimple Premium does NOT avoid conversion fees....they still charge you that 1.5% whenever you exchange
Can I do a work around with my US Stock sells from Wealthsimple by transferring my US dollars to a Canadian Bank with a US cash account, then send it to Questrade in US dollars to convert back to Canadian?
It might be easier to just transfer those US stocks from WS into Questrade. Then you can sell it there and use Norbert's Gambit to convert back into CAD
I never seen conversion fee into my RBC investing account. Im charged when I buy stock tough. There is a fixed fees thats isnt really worth for small purchase but get better the higher you invest
@@CanadianTShirt Well It convert in real time and I never seen any amount removed from my account when I transfer from my account. Like I said the only thing that isnt worth is if u buy stock in less than 1000$ that 9$ each time can get costly. But I usaeually purchase for 5000$/9$ cost so its not so bad.
Great video to show the comparison! I was also using Questrade for US stocks until I discovered it only cost $2 for Interactive Broker to convert CAD to USD up to $100,000. Any plans on making a video about IBKR?
Why not do NG in Questrade then transfer your money to wealthsimple USD account? I have wealthsimple premium, so USD accounts are free. What do you think CIAT?
Great video man, thanks for being concise without the typical annoying fluff and begging me to smash that like button most UA-cam channels have. I Subscribed, and smashed that like button based on my own judgement.
They're definitely a contender! I'm so glad to see one of the big 6 banks dropping their commission fees! I hope that pressures the others to drop as well! 😊
You're not alone! It's an exciting time with so many competitive options nowadays! When I first got started with investing, Questrade was the only one that wasn't charging $10 per trade 😅
HI! QUESTION Regarding questade, I do not have any RRSP Option whenever i try to open but it only shows RSP, Is there any difference between the two? because i wanted to invest on US Etf and i want to use rrsp because you said to use an RRSP when buying us stocks, BUt i can't open because there is no RRSP option :(
If I invest 450 CAD every two weeks in USD ETFs for 20 years, what would be the best strategy? Should I continue using Wealthsimple with instant buying, or switch to Questrade and use Norbert’s Gambit? Thanks 🙏🏼
I mentioned CDRs in the middle of the video. They can be a great option, especially for those stocks with giant share prices. But keep in mind that you will have much lower trading volume and as your portfolio grows, that annual fee will really start to add up
I have two questions how about the cost of CDRs for swing trading? Will cost effect you a lot? Second question is will they add more CDRs?@@CanadianTShirt
I don't engage in swing trading so I don't want to give advice there. You should talk to Shay, my friend from the Humbled Trader. She's a pro on that =)
I personally don't trade options so I don't want to give advice on things I don't have expertise in but I know that Questrade, IBKR and Moomoo are popular platforms for options trading in Canada
Thank you for the help of explaining the differences between the two investing platforms. I have US stocks in Wealth Simple. Can i just switch them to Questrade only? What would be the smart thing to do?
Hi Adrian! Great video you posted, I just use Questrade for investing and just opened a high interest savings account with Wealthsimple. Just wanted to ask you a question. Besides your Margin, TFSA, RRSP, and FHSA accounts, what kind of investments do you hold in your “Cash” account at Questrade? And what are your saving/investing goals for that account? Do you hold ETFS or growth stocks? Thanks!
I am missing something entirely… these seem convoluted?! Why not just enable FX option on your account, transact cad.usd sum and then buy the US traded stocks on NYSE or NASDAQ? You can equally buy the US traded stock on margin account with cad currency and the brokerage will lend you the currency for interest, which in itself can make you money if the interest reverses in your favor…
I've never used them, the only big 5 bank I've used is TD Direct Investing and I switched over to Questrade almost a decade ago. Those $10 commission fees were brutal...
Great video, as usual! You can also do Norbit's Gambit on National Bank with zero commissions. Now I am curious of how the math would work out vs. Quest Trade.
You got it Candace! I'll be making a bunch more brokerage comparison videos so stay tuned! =)
@@CanadianTShirt wealthsimple have a US dollar account for US$10 per month, their is conversion fee when you trade. But funding account with CAD $ will charge conversion fee.
Several months ago I started to compare Weapthsimple US account, Questrade, and Interactive Broker. I didn't not get to finish completely but Interactive Broker was the cheapest.
I also needed a US LLC (or other reason), so then I learn I can use my LLC to buy US stocks for FREE.
National Bank is better if you have a larger balance to swap over..... Just pay a $10 journaling fee
@@CanadianTShirt This would be awesome Adrien. I would very much be looking forward to this video. Can you also touch on which brokerages allow options trading?
@@CanadianTShirt Please doo!
Very interesting points! I've used Wealthsimple religiously with US Stocks but as my portfolio continues to approach the 6 digit mark I definitely see the value with Questrade.
You're not alone! No commissions is a HUGE benefit and a massive draw for new investors! But those conversion fees sneak up on you... especially as your portfolio grows and you'll have to pay an even bigger fee when you cash out 😕
I learnt about Norbert gambit through this channel, it was so helpful.. Thank you so much!!
I'm so happy to hear that! I made that video 5 years ago but I'm so proud that people are STILL finding it valuable! 🙏
Grear video! I called my bank up to ask about the coversion fee. The bank person didn't even know that there is a hidden fee. I found out online that they call it a margin rate and that it is 2.5% on top of exch rate so 1% more than questrade or wealthsimple. So you see what banks are doing.
I'm not all that surprised to be honest... I've done the math on my EQ bank (which I love) but if you look at their conversion rate vs the true conversion rate, it comes to about 2.5% which sucks
Workaround- I convert CAD to USD using my BMO account and then just instant transfer USD to WealthSimple USD premium account. No fees and super quick.
Double check the conversion fees at BMO. I guarantee you they charge a conversion fee, likely even worse than Wealthsimple
And remember they will "hide" their conversion fees within the exchange rate. They'll give you a worse rate than the actual rate. I touch upon this right before the walkthrough
@@CanadianTShirt I have an employee account at BMO so that might be the reason I get the exact exchange rate without markups.
Oh interesting... ya look into it and let me know if that's the case!
Awesome Video! I use both platforms too but only the robo investing in Wealthsimple. The rest I trade on Questrade for CAD and US investing.
I'm the same! I also use robo investing (a bit) with Wealthsimple and Questwealth. But for self-directed investing, most of my money is in Questrade =)
Thanks for this. Now I have to transfer to interactive broker so I can do my fractional shares
I'll be doing an in depth review of IB soon, stay tuned!
Yet another informative video. Thank you Adrian! Can you add RDSPs to your video to-do-list?
It's on the list! There's so much to break down with the RDSP!
Honestly I have a list pages long of topics I want to cover... it's tough getting through it all! I'm just a one man show 😅
Hoping you can answer this! What would be cheaper over time, VFV in wealthsimple with its higher MER fee but no exchange fees or VOO in questrade with its lower MER fee but norbits gambit costs?
Great question and it really depends! When it comes to upfront costs, for smaller sums of money yes it's easier to buy VFV in WS. But as your portfolio grows, then that increased MER and that 1.5% conversion fee really starts to make a huge difference, especially when you eventually sell
To add one more factor into the equation, you have to consider what type of account you're holding it in. If you're holding VOO in your RRSP, then you can save that 15% US tax on those dividends! With VFV, there's no way to avoid this 15% hit to your dividend. Watch my VFV vs VOO video for the full breakdown =)
ua-cam.com/video/IlSEg6Fux_A/v-deo.html
Thanks for the quick response! Yes i decided the same thing that if its a short term small dca play it should be into vfv in wealthsimple tfsa but if ifs big lump sums long term investing then voo in my rrsp through questrade norbit gambit is best. That 15% withholding tax comes to about 0.2% saved per year plus ofc the 0.06% difference in MER fees
Sounds like a plan!
I really appreciate your video! i had the bad experience to invest with wealthsimple on US stocks and i rapidly saw the disaster and step back. but the damage has been done :(
I'm sorry to hear that but I'm glad you found the impact of those fees sooner rather than later! A ton of people still don't know about these conversion fees
If you have over 100k on wealthsimple you have access to free USD accounts. You can deposit and withdraw USD without using wealthsimple conversion rate.
I cover this point in detail at 5:30, please watch the whole video
Yes with WS Premium you will avoid the conversion fees but ONLY if you already have USD... Most Canadians don't, so even with Premium you STILL pay that 1.5% fee whenever you exchange currencies!
Great Video However, you buy fractional share at Wealtsimple but you scant at questrade iff I'm not wrong
That's true but remember fractional share is a totally new thing, it's only been around for about 2 years
And I get the appeal of fractional shares, especially for large share price stocks but I would rather just buy ETFs to gain the benefits of fractional shares. Plus it makes it a nightmare to track and file your taxes when you have 3.412323 shares vs just 3 shares. But it's a personal preference! =)
Just getting started as a Canadian investor using wealthsimple, thanks for all of the great information!
My pleasure and I'm glad you are enjoying your investing journey so far! Wealthsimple is the BEST for absolute beginners! Especially if you're just starting with Canadian investments =)
As you get more comfortable with investing and move towards the US side, it might be worthwhile to consider Questrade or other brokers. It's totally fine to use a mix of both! That's what I do =)
Amazing video, keep up the good work!
Thanks buddy! You got it! 😁
TFSA- Canadian products-Wealthsimple
RRSP- US products- Questrade
That's a common strategy! =)
If i buy US ETFs on Questrade and receive dividends monthly will i be charged conversion fees on those dividends because right now WS is charging a big chunk out of those dividends.
With Questrade if you have a CAD ETF, you receive dividends in CAD. For a US ETF, you receive dividends in USD. No currency conversion required!
If you have the Wealthsimple basic (without paying the $10 a month) then your dividends will automatically be converted back into CAD... That forces you to spend a 1.5% fee again if you want to reinvest them into that US ETF
not sure i got this right. if you send USD to wealthsimple you can trade US stocks with no round trip conversion... also does wealthsimple do TFSA and do either charge monthly usage platform fees
Yes if you already have a source of USD, you can deposit it into Wealthsimple if you have the USD account, it will cost you $10 a month or you need $100K in assets
Questrade doesn't have monthly fees. And yes both platforms support the TFSA =)
I moved to Interactive broker from questrade for US investing due to commission high cost from questrade. Would love to hear your thoughts on IB vs others in Canada.
Yup! IBKR has significantly improved their fees and pricing models over the past few years! I'll break it down in a comparison video =)
Love your content thanks for these great advice
It's my pleasure! I'm happy to help! =)
Does Questrade make taxes easy? Looking into it for someone who doesn't want to deal with all the USD conversations for tax purposes. Gambit seems like it would complicate it even more.
Yup! They will give you all the tax slips you need in February, your T3, T5, RRSP contributions etc
And remember these only apply in a non-registered account! For your TFSA and tax sheltered accounts, no taxes so no slips =)
And Norbert's Gambit wouldn't be taxable since you don't earn a profit, remember you are still "losing" $5 in fees so it's a taxable loss. This will all be included in your tax slips the same as if you sold any stock for a loss
Compare with interactive brokers
You bet! I'll be making several videos on other brokerages including IBKR! =)
Could you please compare National Bank direct
You bet I will! It's already on my list of upcoming reviews! =)
Question - I've been a long time listener, but I wanted to ask you about your thoughts on the risks of Norbert's gambit. Isn't there a possibility that the stock used to convert could drop in value, so the risk would be that whatever you are temporarily investing could lose money (possibly more than 1.5%) while waiting for them to transfer the money in the stock over from CAD to USD? This was my one concern, as I was using it to convert a large sum of money from CAD to USD. Appreciate your channel!
That is quite useful. So the norbert gambit will take at least 3 days right?
For me it takes 2-3 days. In this example, the money was ready in 2 days, on Wednesday. But I was away so I could only film it on Thursday =)
How about inter active brokers against questrade fee?
They are also much better than Wealthsimple! They have a more complicated pricing model but I'll make a comparison video soon!
you could also lose over those 3 days if the stock moves in the upside costing you more in the long run, PG was just by chance in that one example. is all based on if you plan ahead of time and have to time to wait.
If you are a short term trader (day trading or swing trading) then sure those 2-3 days matter
For me, I am a long term investor. I couldn't care less about 2-3 days. Statistically speaking, the market is essentially a toss up over 1-3 days. 50:50 chance of going up or down so I don't stress
Now if it's right around the time for the quarterly earnings, that's a different story and you should expect a significant swing in those few days. But as you said, you would plan ahead to ensure your cash is ready to deploy =)
Do not Canadian brokers offer access to the FOREX markets to buy currencies on a commission free basis? Why it's so complicated and people have to use Norbert Gambit to get such a basic feature?
Certain brokerages like Questrade and the big banks let you buy into the ForEx market. I believe that Wealthsimple is working on it too but I'm not sure if there's a big demand for that among their audience
And honestly I know Norbert's Gambit sounds complicated but once you try it, it's actually very simple. I do it every month now, it's become a habit
@@CanadianTShirt it's a great way and probably the cheapest one to exchange currency - no doubts, and we appreciate you excellent explanation - it's really awesome! And you are right, probably there is no such a wide demand for direct FX market access among WS audience.
I'm happy to help! =)
Finally first
hahaha well done buddy! You earned the gold! 🥇
I made a huge mistake buying stocks on QT like 1 at a time (what I can afford) - I think better to wait to have a good chunk of money to combine the commission fee in one transaction.
That's the way I do it! If I have small amounts of money, I'd rather just buy ETFs to avoid those commissions
Having that $5 commission fee forced me into the habit of buying stocks in bigger chunks, $500 and above =)
@@CanadianTShirt yes , same here. Learned my lesson😅
@@mohammedosman88 that's how we learn!
Interesring video. Let me explain my scenario. I was working in the US where I have some USD in Vanguard VTSAX. But, now I am working in Canada and looking to buy VOO ETF through questrade using the norbert’s gambit method. Should I buy them in TFSA vs RRSP vs non- registered account considering the fact that I have moved to Canada this year? Also, When I move back to the US for work after a few years, Can I move this VOO to my US Vanguard account?
Can you do an in-kind transfer with your USD accounts at wealthsimple to questrade for when you decide to withdraw your money to save the 1.5%? I don't believe they charge a fee to transfer like traditional banks.? Or am I wrong about this.
I haven't tried this, I hope they would allow it but I don't know for sure
At the end of the day, they still want to make money off you so there might be a limitation on how much USD you can transfer out in-kind. If you give it a try, let me know if it worked! =)
Hey Adrian! Question, I agree with using Questrade for US Stocks especially in RRSP, but you said you still feel Wealthsimple is amazing for Canadian stocks, I have a TFSA with Wealthsimple, and hold a lot of VFV, because I don't have the contribution room in my RRSP. What do you think of this?
Yes in a TFSA, VFV is okay since you can't avoid the 15% tax on dividends in a TFSA, no matter what you do. And if it's a Canadian ETF, then both WS and Questrade will be commission free =)
But once you start using your RRSP, I would suggest VOO and then use Norbert's Gambit to convert into USD to buy that VOO =)
Wondering if this wouldn't be way cheaper in National Bank Direct Brokerage account? They do not change to buy and sell and norbert's gambit is 9 dollars plus tax.
I will be making that comparison soon! I'm very happy to see NB be the first big bank to reduce their fees! But there are other pros and cons to consider! =)
@@CanadianTShirtlooking forward to this video!
You bet!
Interactive all the way for usd
They're one of the best for sure when it comes to FX fees! I have a ton to discuss their pros and cons, stay tuned for an in depth review! =)
Hey Adrain, big fan. Just wanted to get your opinion here. I don’t have much left after all expenses and could do a max 250 CAD weekly so that amounts 1000 CAD monthly. I have always DCA my portfolio.
So here’s my question. I noticed that portfolio grew significantly when I purchased US stocks vs Canadian - so I did a mix of these stocks in wealth simple account.
I see that you mentioned minimum amount of 365 CAD(?) to invest in US stocks in quest trade in order break even commission charges in wealth simple. Would you recommend holding cash in quest trade till I reach certain amount (364 CAD) and then buy USD stocks in quest trade- I heard there is minimum amount that you can transfer to quest trade- it doesn’t take 20 or 30 CAD deposits.
How consistent are you with those weekly contributions? If you're able to do $250 a week, then if you want to invest that in US stocks and ETFs, I would suggest doing bigger batches. Maybe saving up for one big $1000 conversion with Norbert's Gambit every month or maybe even something like this:
Two weeks you combine $500 and do Norbert's Gambit to convert into USD. Then the other two weeks, you stick to Canadian. That way you are equally balanced 50/50 between Canadian and US and you get to lower your total costs by doing a bigger batch for Norbert's Gambit
Again you know your situation and income / expenses so find a strategy that works for you but I hope that gave you something to think about =)
@@CanadianTShirt Thanks a lot! makes sense probably would have to 250 CAD biweekly for US stocks in QT and 125 CAD weekly for Canadian ones in WS. Is there any disadvantage if i do more micro transactions in WS as opposed to bulk buy in WS just I will plan on doing in QT for US stocks and always appreciate for knowledge that you share.
Nope! That's one of the beauties of WS, no commission fees at all! So whether you buy $20 or $2000, it's the same thing =)
I like questrade )). Hey what do you think of Air Canada stock ?I feel like I can get huge again and right now it's 16.50.
I don't personally own it, at least not directly
But I do have some exposure to Air Canada through various ETFs!
@CanadianTShirt thanks :) ... I loaded 6k worth of options on it exp in March 2025 at 16 strike.... hoping to win big haha... keep up the good work. I learned quite a bit from you.
Best of luck on that Peter! I hope it works for you! 😊
What is your opinion on National Bank Direct Brokerge?
I'm very happy to see one of the big six banks pushing towards lower fees! This is a great step forward!
I will be making an in-depth review of NB soon so stay tuned! =)
Thank you for sharing!!!
You're welcome! I'm glad you found it useful! 😊
I switched from qt to Ws because of fractional shares if I could do that on qt I would have stayed
I hear you but remember fractional shares are a totally new thing. They've only been around for about 2 years so it's not like it was a deal breaker before then
And I get the appeal of fractional shares, especially for large share price stocks but I would rather just buy ETFs to gain the benefits of fractional shares. Plus it makes it a nightmare to track and file your taxes when you have 3.412323 shares vs just 3 shares. But it's a personal preference! =)
What about moomoo
I have actually been very impressed with Moomoo over the past few months, especially as such a newcomer to Canada. Stay tuned for an in-depth review =)
What about mogo trading?
I haven't personally used it but I've been following along with their updates for their past 2 years. Stay tuned! =)
@@CanadianTShirt it is the only trading platform I use. I have never invested much so not paying any fees really helps. I have never noticed a currency conversion fee but it could be there I haven’t done a detailed analysis like you have.
It's a pretty new platform but they're doing interesting things. Stay tuned for a deep dive review =)
But at Questrade, you can't buy partial shares. Sucks. 👎
That's true but remember partial shares are a very new thing. They didn't exist until 2 years ago
And I get the appeal of fractional shares, especially for large share price stocks but I would rather just buy ETFs to gain the benefits of fractional shares. Plus it makes it a nightmare to track and file your taxes when you have 3.412323 shares vs just 3 shares. But it's a personal preference! =)
Yeah, buying ETFs makes sense because it's free. I would love it if Questrade would adapt to offering partial share buys on their platform, either single stocks or ETFs. If that happens, I would probably switch. Sorry man, I wasn't trying to be negative towards you or your content. You actually have a really great explanation towards the topics you cover. As a fellow Canadian investor, it's nice to see these kinds of content. Thank you
Oh not at all! Believe me, I get a ton of negative comments (especially when I talk taxes lol) but I didn't get the sense that you were negative at all! Don't worry about it! 😊
And it's 100% a case of personal preference. I will be talking about fractional shares in detail in part 2 of my WS vs QT review =)
Thank you for sharing. I just checked my last transaction when I bought qqq there was no 1.5% exchange fee. Should I assume it's just applicable for stocks and etfs?
QQQ is an ETF so it definitely would apply. I'm assuming you already had USD cash in your WealthSimple account then
The 1.5% fee is applied when you convert CAD into USD or vice versa
@CanadianTShirt no I actually don't have usd in my account. I am pretty sure about it
@CanadianTShirt I am sorry you were right. They smartly add conversion fee into the conversion rate. It's kind a hidden
Yup that's how they get you.... I hope this helped! =)
In your demo of buying through Wealthsimple, I see it prompts to you that you can save the CAD14.x conversion fee if opt for USD account, is it not ture?
Update: Oh I think I understand why you said the Wealthsimple's USD account is not good. It still requires you to pay the conversion fee 1.5% for converting CAD to USD for the first time. But then you can use these USD freely for consecutive trading, so long as you do not take it out in CAD. That still can save a lot for me, as I seldom take out money from stock account for urgent use.
Loved the Cole's Notes on how to do Norbert's Gambit. I heard about it all the time but never investigated because it sounded hard...I was wrong.
I know what you mean! I was a little intimidated the first time I read about it many years ago, "journal requests", waiting for trades to settle, it sounded complicated but now it's become a monthly habit. It's really so simple and I don't mind waiting 2-3 days to save a ton of money =)
You take 10$ per month in WS and dont have to worry about anything.... Not a great comparison if so things u are hiding
Please watch the entire video.... the $10 a month WS Premium does NOT avoid those hefty conversion fees
I have a WHOLE chapter addressing this point at 5:30, give it a watch
12:01 are you mixing fees paid in CAD and USD?
Good eye! Yes when buying a US stock, the $5 commission is in USD. The calculations with Questrade were already complicated enough with the ECN fees and everything so I didn't want to overcomplicate it further. This video was already longer than I wanted it to be 😅
But in my follow up video, it will be a thorough breakdown of the FULL calculation, including the ECN fees, the $5 fixed commission, the extra cost per share and the USD/CAD conversion. It's a complex calculation but the net result is the same. For smaller amounts, it's roughly a fixed cost versus a 1.5% fee. Good catch!
Too much hassle not worth it
Do what works for you! Just be aware of the long term costs, based on my portfolio today, WealthSimple would have costed me THOUSANDS over the years....
I break down these costs in detail pertaining to my portfolio at the end of the video =)
Make a video about buying crypto through wealthsimple
There's not a whole lot to talk about, they are very straightforward and "simple" Although their crypto fees are on the higher side
@@CanadianTShirt yeah they are. I want to use a cheaper one but am afraid the platform will turn out like ftx
That's the scariest thing... I don't care what they're offering, if they are not secure and insured and regulated by the government, I will NEVER give them my money!
It's worth paying a higher fee for the peace of mind and confidence in the institution 👍
Check out Newton. It is a Canadian based crypto platform. It’s legit. I’ve had an account with them for a few years
dislike for the clickbait
What clickbait? 🤷♂️
Much needed breakdown!! I’ve been searching everywhere for a video that’s THIS transparent and clear. Excited to see your other brokerage comparisons 🤩
Thanks Joyee! I know it was longer than most but I wanted to be thorough and cover everything! 😊
Ya there are so many more competitive brokerages now compared to when I first got started! So much to discuss! 🙌
I just discovered you on TikTok last week, now I discovered you have a YT channel as well!
I'm glad I could bring you together! Joyee is the best! 🙌
Hi, I have a question, is Moomoo also like Questrade? Someone said in a video that Moomo charges less than Questrade, is that true? Thanks in advance.
what if you have WS premium...free with more than $100k invested....does it make sense then to have WS over QT?
You're still paying/losing 1.5% on each leg. In the video, the $10/mo (that you're saving with Premium) isn't even considered
@@saccharide The difference is that with WS Premium you get free USD accounts so you don't HAVE to convert for every trade. You can sell a USD stock and reinvest it into another USD stock with no fees. You can also link a USD bank account and withdraw there for free without having to convert back to CAD with WS.
I guess it all depends how much you buying
CDRs and CAD ETFs. You don't need to convert at all.
You are correct and I cover that in the video around 7:30
However there are other things to consider namely the annual fees on CDRs and the non-avoidable 15% withholding tax on dividends in the CAD ETFs. There's no such thing as a free lunch sadly
For wealthsimple, check CDRs of popular US stocks. (as a beginner you would never plan beyond these 50-60 popular s&p 500 stocks) behind the curtains it cost you 0.6% fees (included in stock price) but also protects you if USD goes down against CAD
hope weathsimple will see this video, and fix the “bug”😂
It's not a bug, it's a feature lol
Since they don't charge commission fees, these conversion fees are one of the main ways they make money
I'm excited to see the IBKR comparison!!!
You bet! There's a ton to discuss! =)
@@CanadianTShirt brokers is 1:1 conversion and cheaper than quest trade
Norbert’s Gambit is not for everyone. Opportunity cost is a lesson I learned the hard way on a large conversion trade. It takes a long time for the settlement of the trades. I missed out on doubling my money because I wanted to save something like $300 in conversion fees.
If you’re converting and buying something stable that you don’t expect to rally while you wait for the conversion, then it’s great. Or if you’re converting money to have so you can spend it on things later, then it’s great. But if you’re needing to buy a stock etc and there’s a window of opportunity for a rally, then don’t bother, just pay the 1.5% fee.
do you mean recent august market decline? or certain stock price drop? b/c usually during recession investors have enough time to do all the Norbert gambit processing. in addition as the Bogleheads say : time in the market beats timing the market
You don't need to convert. ZSP, HXQ, and all the CDRs.
Yes it's true and I cover that in the video around 7:30
Keep in mind that you WILL be paying an annual fee for that option though so it might end up costing you more in the long run, for larger amounts
Hey, great video! I have another idea. What if I use Norbert's Gambit in Questrade and then transfer the USD to Wealthsimple premium to buy and sell commission free. When I need to withdraw, I can transfer USD back to Questrade and do the Norbert's Gambit again. What do you think?
I have never tried that, I believe that technically that would work but it seems like an awful amount of work just to save $5... remember your stocks will be locked-in for 2-3 weeks during that transfer
But if you're brave enough to try it out, give it a shot and let me know if they allow it! 😄
They used to show the conversion fee when you were buying a US stock. Once I reached premium it stopped showing it so I thought I wasn’t being charged any currency fees. However, it seems as though I’ve been paying these fees the whole time, probably in the form of a higher exchange rate and I didn’t even know
So if you already have cash in USD, then there's no conversion fee since there's no conversion!
But if you are converting from Canadian, you will have to hit that ? icon (as shown in my WS walkthrough at the end of the video) and that's where you'll see the details on those fees... I agree it should always be visible but that's the way it is...
When I used to convert CAD to USD it would show 1.5% fees = x$ on my screen. Once I hit premium and convert CAD to USD they stopped showing the pop up including the fee. To me it seems like they’re trying to hide the fee
I deactivated my WS Premium account (I only tried it for one month) but there definitely is a way to see the fees. I would be illegal for them to hide it entirely
Good points but if I had to start over I would still go with Wealthsimple especially as a beginner that may jump in and out of positions (ETFs) until they find their risk tolerance and footing. Spent too much on the sell side fee with Questrade. And Questrade doesn’t have partial shares so if you have OCD that sucks and it’s sub optimal since you’re not fully invested at all times on QT
That's fair! I agree that Wealthsimple is the most beginner friendly. I will be highlighting all those points (including fractional shares) in part 2 of the comparison! =)
For me personally, I don't want fractional shares. They make it much harder to track on Excel and when you file taxes on investment income, it can become a hassle. But that's just a personal preference! I certainly see the appeal of fractional shares! Especially for those stocks with high share prices
Very informative as always. WS are very innovative. I wouldn't be surprised if they introduced another paid tier and offer Norbert's Gambit.
That's a great point and one that I will highlight in part 2 of the comparison! I have seen HUGE innovation and new features with Wealthsimple over the years. They really are closing the gap in such a relatively short amount of time
That would be an interesting idea, a monthly subscription to allow for Norbert's Gambit... I still think it would cost them too much money. Their conversion fees are literally one of their biggest revenue streams so I doubt they want to risk it but we'll see! 😁
@@CanadianTShirt That's true, but with videos like this one and the one about why to invest in VOO instead of VFV you're educating people on benefits of Questrade. If enough people start using tactics like Norbert's Gambit, WS should hopefully realize that and make changes. Unlike inert Questrade, they are very good at identifying trends and taking action.
I agree with you there, but remember I have a tiny amount of influence. Compared to the millions that Wealthsimple spends on ads. I mean just look at how much they've been able to dominate the beginner investor market in a few short years. Sure they might lose a few more "experienced" customers once they learn about these high conversion fees but that will be overshadowed by the HUGE and growing influx of beginner investors
I hope you're right! But as of now, I don't think they have a financial incentive to change in this regard. Time will tell!
Your videos are a gem. Keep the education going Adrian. We all thank you for that.
Thank you Enid! I appreciate your kind words as always! 🙏
Can you please compare buying US stocks on Questtrade vs IBKR
You bet I will! That video is coming up! =)
So the message that came up on wealthsimple you could be saving $14 on FX fees with USD account or with a premium member Israeli only if you already had US dollars to put into it?
Exactly, the only way to avoid conversion fees is if you already have USD. Then no conversion is necessary. But most of us have CAD so you'll have to convert and eventually convert back
National Bank is better if you have a larger balance to swap over..... Just pay a $10 journaling fee
Yup that flat fee is very appealing! I will be making a comparison video soon so stay tuned! =)
Or, just use interactive brokers and you can even hold the Japanese yen while the carry trade unwinds.
Yup I'm very happy seeing the evolution of IBKR over the years and their reduced pricing model! Stay tuned for a full review =)
Great video as usual! Question for you, I am currently holding a considerable amount in usd, would doing an account transfer to quest trade avoid me the Wealthsimple conversion fees (usd $)?
So you already have the Wealthsimple Premium account? If it's a large amount, yes you want to avoid paying 1.5% on that... it would likely be worth transferring that cash to Questrade (will take a few weeks for the transfer) and then use Norbert's Gambit to convert to CAD
Great video. I have been using questrade for spousal rrsp only as wealthsimple doesn't support it. But now I am thinking to transfer everything from WS to QT. Do you think I can transfer my USD holdings to questrade without incurring the exchange fee?
I haven't tried that.... I hope that it would work if you do an in-kind transfer. Give it a shot and please let me know!
Technically I think it should work but at the same time, WS wants to earn their money from the conversion so it's possible they might have a limitation on how much USD you can transfer over, keep me posted =)
could you just transfer out of wealthsimple instead of selling?
It would take many weeks to transfer out and I'm not sure if they would allow you to transfer out very large amounts. It's worth a shot but I could see them having a limit on it. They do want to earn their fees after all
Very clear,transparent, and easy to follow!
Thank you! I'm glad you found it easy to follow! 😊
I have both platforms and seeing as I am not a millionaire yet WS is the best platform , even for US the fess are minimal compared to the the QT runs. The dashboard for QT sucks , can even be confusing at times. So until Im making $100K trades WS is for me. And when I am making millions I wont care anyways. Its like being an Iphone user VS a Samsung user.
It's your money and feel free to use the platform you're most happy with. However WS will cost you a significant amount in conversion fees in the long run. As I showed in my personal portfolio, WS would cost me an extra $3000 over Questrade... keep that in mind
You don't have to make $100K trades at once, that is insane. But if your total portfolio has grown to $100K, then WS will cost you $1500 once you eventually cash out and convert back to CAD. Be careful
If you have over 100k portfolio you get free USD account tho ... Just don't buy us stock with CAD
Yup I cover the Wealthsimple USD account in detail in the middle of the video. If you have USD already, great!
But if you don't, you will have to pay the SAME 1.5% fee to convert into USD. The premium account does not help you there
What should I do if I already have stocks in USD bought through Wealthpimple? is it better to leave it there and wait to grow? Thanks
You can always do an in-kind transfer and move those US stocks over to Questrade! That way when you eventually sell, you can use Norbert's Gambit and avoid that massive 1.5% on that large amount!
Watch my step by step tutorial on How to Transfer to Questrade =)
ua-cam.com/video/Bf1zufNlQSk/v-deo.html
what's your opinion on IBKR as a Canadian for daytrading?
I don't engage in day trading but I know that IBKR is a popular platform for it! I will be making an in depth review soon so stay tuned! =)
Does it apply to RRSP account as well ?
Yes the same principal applies no matter what account you use!
I do Norbert’s Gambit in Questrade and take the USD and deposit it in Wealthsimple. I also have free USD accounts because I have over 100k
What if you convert your money using norbits gambit using quest trade but do all your buying and selling on wealth simple?
I've never done this, I think technically it would work but it seems like a lot of trouble just to save $5
Plus you would have to pay that $10 a month fee for WealthSimple premium or have $100K of assets
IBKR?
That review is coming! There is a TON to talk about! =)
What if we use questrade for us stocks and wealthsimple for cad stocks?
Is there something i will miss out on if i split up my amounts, maybe some bonuses if i have more money in just one platform?
Not at all! That's a very common strategy, in fact I mention that at the end of the video! A lot of people us WS for Canadian and QT for US =)
Dont tell to wealthsimple 🤫😂
haha actually I hope they watch this video! Hopefully they can make their US fees more competitive =)
could you please do a video on the best international etfs for worldly exposure and explain exactly how important it is to have a portion of your portfilio allocated to such investments, thanks ! love the vids !
Once you have more than $100,000 in wealth simple there are 0 conversion fees.
I WISH that was true but sadly it's not... WealthSimple Premium does NOT avoid conversion fees....they still charge you that 1.5% whenever you exchange
I have a WHOLE chapter on this important point around 5:30. And please watch the entire video =)
What about Interactive Brokers?
I've been impressed with IBKR and how they've improved their pricing model over the years! I'll do an in depth review shortly! =)
Can I do a work around with my US Stock sells from Wealthsimple by transferring my US dollars to a Canadian Bank with a US cash account, then send it to Questrade in US dollars to convert back to Canadian?
I haven't tried that, I believe that would work but it would likely take weeks for all those points of transfer
It might be easier to just transfer those US stocks from WS into Questrade. Then you can sell it there and use Norbert's Gambit to convert back into CAD
Watch my tutorial here to see How to TRANSFER to Questrade =)
ua-cam.com/video/Bf1zufNlQSk/v-deo.html
I never seen conversion fee into my RBC investing account. Im charged when I buy stock tough. There is a fixed fees thats isnt really worth for small purchase but get better the higher you invest
Remember a lot of the banks (and brokers) will "hide" their conversion fee within the exchange rate!
And a lot of time this is WORSE than 1.5%... so the exchange rate they give you is 2% worse than the true rate. Double check with your RBC account =)
@@CanadianTShirt Well It convert in real time and I never seen any amount removed from my account when I transfer from my account. Like I said the only thing that isnt worth is if u buy stock in less than 1000$ that 9$ each time can get costly. But I usaeually purchase for 5000$/9$ cost so its not so bad.
Great video to show the comparison! I was also using Questrade for US stocks until I discovered it only cost $2 for Interactive Broker to convert CAD to USD up to $100,000.
Any plans on making a video about IBKR?
Why not do NG in Questrade then transfer your money to wealthsimple USD account? I have wealthsimple premium, so USD accounts are free. What do you think CIAT?
Great video man, thanks for being concise without the typical annoying fluff and begging me to smash that like button most UA-cam channels have. I Subscribed, and smashed that like button based on my own judgement.
Great video as always. What do you think about National Bank Direct Brokerage compared to WS and QT?
They're definitely a contender! I'm so glad to see one of the big 6 banks dropping their commission fees! I hope that pressures the others to drop as well! 😊
I will be making an in-depth review soon, stay tuned! 😁
@@CanadianTShirt will be eagerly waiting for that video 😅
You're not alone! It's an exciting time with so many competitive options nowadays! When I first got started with investing, Questrade was the only one that wasn't charging $10 per trade 😅
HI! QUESTION Regarding questade, I do not have any RRSP Option whenever i try to open but it only shows RSP, Is there any difference between the two? because i wanted to invest on US Etf and i want to use rrsp because you said to use an RRSP when buying us stocks, BUt i can't open because there is no RRSP option :(
So if I do DCA on stock, Questrade will be a worse option since it doesn't matter how much stock you buy it is still a fixed fee of $5?
If I invest 450 CAD every two weeks in USD ETFs for 20 years, what would be the best strategy? Should I continue using Wealthsimple with instant buying, or switch to Questrade and use Norbert’s Gambit? Thanks 🙏🏼
You would likely save a bit of money if you combine it into $900 monthly and then use Norbert's Gambit to do the conversion!
The higher the amount, the more you save. For smaller amounts, that $5 fixed fee takes a bigger chunk of the pie
@@CanadianTShirt thank you 😊 great work
@@goldenruler5371 happy to help!
Do a video on MOGO Trade!
You bet I will! Stay tuned! =)
I think if you really want to buy a specific us stock with WS .. the best deal is CDR.
I mentioned CDRs in the middle of the video. They can be a great option, especially for those stocks with giant share prices. But keep in mind that you will have much lower trading volume and as your portfolio grows, that annual fee will really start to add up
But it's definitely a great option! Keep in mind that only select stocks have CDRs but a lot of the biggest, most popular ones will =)
I have two questions how about the cost of CDRs for swing trading? Will cost effect you a lot?
Second question is will they add more CDRs?@@CanadianTShirt
I don't engage in swing trading so I don't want to give advice there. You should talk to Shay, my friend from the Humbled Trader. She's a pro on that =)
But with CDRs, that fee is an annualized one so for a few weeks, it shouldn't affect you much at all
Where is the best place for options trading in Canada?
I personally don't trade options so I don't want to give advice on things I don't have expertise in but I know that Questrade, IBKR and Moomoo are popular platforms for options trading in Canada
Realky like your videos bro
Thanks buddy! I appreciate that! 🙏
Thank you for the help of explaining the differences between the two investing platforms. I have US stocks in Wealth Simple. Can i just switch them to Questrade only? What would be the smart thing to do?
Yes you can transfer your US stocks and cash from WS into Questrade! Watch my step by step tutorial here =)
ua-cam.com/video/Bf1zufNlQSk/v-deo.html
You would be doing an in-kind transfer so that it will NOT sell those stocks and thus avoid triggering that 1.5% fee with Wealthsimple =)
Interactive brokers?
That's definitely coming! There's a ton to breakdown! =)
Hi Adrian! Great video you posted, I just use Questrade for investing and just opened a high interest savings account with Wealthsimple. Just wanted to ask you a question. Besides your Margin, TFSA, RRSP, and FHSA accounts, what kind of investments do you hold in your “Cash” account at Questrade? And what are your saving/investing goals for that account? Do you hold ETFS or growth stocks? Thanks!
I am missing something entirely… these seem convoluted?! Why not just enable FX option on your account, transact cad.usd sum and then buy the US traded stocks on NYSE or NASDAQ? You can equally buy the US traded stock on margin account with cad currency and the brokerage will lend you the currency for interest, which in itself can make you money if the interest reverses in your favor…
Can you do BMO InvestorLine ?
I've never used them, the only big 5 bank I've used is TD Direct Investing and I switched over to Questrade almost a decade ago. Those $10 commission fees were brutal...
Don't get me wrong, BMO is a strong platform with good features and research but they are expensive...