Free Stock Trading in Canada in 2023
In recent years, millions of people around the world have taken stock trading into their own hands thanks to the rise of online trading. Free stock trading in Canada has made it possible for many new investors to not only enter the market, but to also manage their own portfolios with relative ease.
Trading apps like Robinhood have changed the game with their zero commission trading options, low to no fees, and zero account minimums. This means that the money you would have spent trading can now be invested into your future.
Just like traditional brick and mortar brokerages, not all free stock trading platforms are created equal. Free will save you money, but you might have to give up some extras in return. Not only that, some brokerages make up for not charging you commissions in other ways, and if you’re not careful, you could end up paying for those fees in some form or another later down the line.
If you are looking for more comprehensive services and options than zero commission brokerages provide, you might want to check out our full rundown on the best online brokers in Canada.
Now, let’s dive into the world of free stock trading brokers in Canada so you can find out which one will be the best fit for your own financial future.
Comparison of the Best Free Stock Trade Brokers in Canada
When selecting a broker, the key is to look for hidden charges and fees that might not be advertised up front. We’ll break it down below in our review of the six best zero commission online brokers in Canada.
4.8 / 5FREE buying and selling of 100+ ETFs
$8.75 per trade or $6.95 for active investors
4.3 / 5Free BUY of ETFs (full trading prices apply to ETF sales)
$0.01 per share with a minimum of $4.95 per trade and a max of $9.95
4.1 / 5$0 for buying or selling ETFs
$0 for buying or selling stocks
3.4 / 5$0 for buying or selling ETFs
$0 for buying or selling stocks
None
3.2 / 5$0 for TD ETFs only
$0 for the first 50 stock trades per year, $9.99 thereafter
None
3 / 5$0 for buying or selling ETFs
$0 for buying or selling stocks
None
While there are multiple options to choose from when it comes to free stock trading in Canada, you’ll want to know about any hidden fees, what products are on offer, and most importantly, know that your money is safe and sound.
Read on to find out more about what to expect from each of our top picks, and to find out which one might be really worth it for you and your goals.
What is Free and What Still Costs Money?
We’ve given you the rundown on the free ETFs and stocks, and minimum account deposit costs, so now let’s take a look at other commissions and fees that these brokers charge. This is often a place where brokers charge more in order to make up for the lost commission on trades.
Broker | Mutual Funds | Options Trading | Annual Fee | Inactivity Fee |
Free | $8.75 + $1.25 per contract or $6.95 + $1.25 per contract for active traders | $25 per quarter (can be waived if certain requirements are met) | Charged as an administrative fee if minimum requirements are not met | |
$9.95 per trade | $9.95 per trade + $1 per contract | None | None | |
Not Available | Not Available | None | None | |
$0 for buying or selling most funds | $0 per trade + $1.25 per contract | $100 (can be waived if certain requirements are met) | Charged as an administrative fee if minimum requirements are not met | |
Not Available | Not Available | $0 | $0 | |
$0 for buying or selling most funds | $1.25 per contract, minimum $8.75 | $30 inactivity fee per quarter, waived if certain requirements are met | $100 per year for registered accounts, waived if certain requirements are met |
We can see that although some brokers are really committed to offering free services to their clients, others are making up for free in other places.
1. Qtrade – Best Free Stock Trading in Canada
One of our top recommended discount brokers in Canada, Qtrade’s got a fantastic promo offer, free portfolio simulator to help new investors learn the ropes, excellent customer service and range of account options.
- ETF Trading Fees: More than 100 free ETFs available
- Stock Trading Fees: $8.75
- Options Trading Fees:$6.95 + $1 per contract
- Annual Fees: $0
2. Questrade – Best For Low Fees
Questrade has long been one of our favorite online brokers and for good reason. Their ultra low fees, free ETF purchases, access to a number of trading options to help you build a diversified portfolio, active trader pricing and excellent research resources make it a great choice for your free online broker.
- ETF Trading Fees: $4.95 + ECN fees
- Stock Trading Fees: $0
- Options Trading Fees:$9.95/m + $1 per contract
- Annual Fees: $0
3. Wealthsimple Trade – Best $0 Commission Broker
When it comes to free, Wealthsimple Trade delivers. It offers 100% free commissions on all trades, and is one of the few brokerages offering crypto trading. Because of its low costs, customers shouldn’t expect stellar customer service, and some will find its platform to be too basic for their needs.
- ETF Trading Fees: $0
- Stock Trading Fees: $0
- Options Trading Fees: Not Available
- Annual Fees: $0
4. National Bank Direct Brokerage – Best Bank For Free Stock Trades
As far as the big banks go, National Bank Direct Brokers, or NBDB, was one of the first to offer free trading. While it is one of the few brokers with a brick and mortar presence, its trading platform definitely needs some work to compete with the other purely online brokerages offering zero fee trading.
- ETF Trading Fees: $0 for trades made online
- Stock Trading Fees: $0 for trades made online
- Options Trading Fees: $0 + $1.25 per contract
- Annual Fees: $100 if account holds less than $20,000 or fewer than 5 trades are made per month
5. TD Easy Trade – Best New Free Stock Trading Brokerage
TD Easy Trade, formerly TD Goal Assist, was created with the new investor in mind. It’s limited in the type of trading you can do, as well as in that it only has TD ETFs available. It’s an app-only platform that allows users to use the goal planning feature allowing them to easily track and monitor their progress. As it’s a relatively new TD product, we’ll have to wait and see how it evolves.
- ETF Trading Fees: $0 for TD ETFs, which are the only ones available on the platform
- Stock Trading Fees: $0 for the first 50 trades per year, $9.99 thereafter
- Options Trading Fees: N/A
- Annual Fees: $0
6. Desjardins – Best for Active Traders
Desjardins waited a while to jump into the free online trading game, and as such, they still have some work to do to get caught up. The platform leaves a lot to be desired, and even so, comes at a cost. While Disnat Classic is free of charge, Disnat Direct, which is aimed at more active traders, can cost up to $155 per month.
- ETF Trading Fees: $0
- Stock Trading Fees: $0
- Options Trading Fees: $1.25 per contract/$8.75 minimum
- Annual Fees: $0 (but keep in mind there is a $30 inactivity fee if certain requirements are not met)
Commission Free Investing Canada: Is It Really Free?
Growing up, grandpa might have told you nothing is ever free.
While that might not be 100% true, it’s a cliche for a reason. Brokers need to make money somehow, and if it’s not from your trades, then where does it come from?
Some online brokers sell your purchase information to other Wall Street companies so that those “big fish” can then turn around and “front run” your trade – making them massive profits in the long run as they continuously skim miniscule amounts from millions of investors every day.
Another thing to be aware of is that some online brokers will purposely delay the payment for order flow – leading to slightly higher buy prices and marginally lower sell prices.
Many experts say that such practices should not be allowed, as it is allowing big investment firms access to unfair advantages. Others argue that without these methods in place, traders will not be able to access commission free ETFs or stocks, which may turn some potential investors off from jumping into the market in the first place.
Over time, we believe some of these strategies will no longer be allowed as regulators clamp down on these potentially unfair practices. Until then, it’s best to do your research and decide what you’re willing to give up to save money on your investments.
Frequently Asked Questions
Summary
As free stock trading becomes more widely accepted, and even expected, we see no reason not to take that free ride as a way to build wealth for your future. Keep in mind though, that not all costs will come in the form of money. Some costs could be paid in the form of time and opportunity if you’re not cautious.
In our opinion, Questrade is the best low-cost option overall that still provides quality service. Qtrade gives you the best value for your money, while Wealthsimple Trade is the best free stock trading option in Canada, but be aware that service might be lacking.
The bottom line is that as long as you know what you are getting into and have a clear strategy, you’ll be able to make an informed decision. The most important thing is to get in there and start investing today!
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