Questrade Review

The Good:

Questrade Democratic Pricing - 1 cent per share, $4.95 min / $9.95 max
Questrade is a Canadian-based company, so if you are Canadian, this is the place for you. You can set up your TFSA and/or RSP accounts with Questrade, without any fees for opening/closing/inactivity. The fact that they are Canadian-based also (obviously) makes them more educated on the TSX and TSX-V, which makes dealing with support all the more easy.

Questrade has a very low commission policy: a minimum of $4.95 per trade, up to a maximum of $9.95. The actual amount is decided up by their “democratic one penny per share” policy, which is actually a pretty neat idea. If you are an active trader in particular, Questrade’s low commission will save you a considerable amount of money, especially compared to the rates at most banks ($20+ per trade). Click here for a complete rundown of Questrade's commission structure.

Questrade has a competitive fee structure. In addition to the aforementioned zero-free rsp and TFSA accounts, they also do not charge any fees for EFT withdrawals to Canadian bank accounts, and no fees for account inactivity or closing the account. This is good policy as other discount brokerages tend to nickel-and-dime their clients with petty fees. Click here for a complete breakdown of Questrade's fee structure.




The Could-Be-Better:

questrade logoQuestrade FAQ Snippet

Q: Is there a minimum deposit to open my account?
A: Yes. A minimum deposit of CAD $1,000 is required to open a stocks & options account.

Q: How do I know which platform is right for me?
A: Whether you’re a casual investor or a professional trader, Questrade has a platform to meet your needs. The platform you choose will depend on...continue reading.

Questrade offers a wide variety of options when it comes to platforms. However, they have a somewhat complicated process of explaining just how much each one costs. Generally speaking, the better the platform, the more expensive the trades. This is a departure from the industry standard of offering the best platform to the clients with the most money, and I’m not sure if I like it or not. Having said that, their base platform is very functional and is more than enough for most investors, so in the end it’s not a big issue. Click here for a breakdown of Questrade's platforms and the fees associated with each.


While Questrade might be the best online brokerage in Canada, they don’t offer much in the way of educational resources. Sure, they have a few links and a few articles with tips and such, but their resources are dwarfed by the bigger American companies. However, to me personally this is not a big deal, as there are literally dozens of outstanding educational websites on the Web that will teach you everything you need to know. I don’t come to a trading website for knowledge—I come to trade stocks.




Summary:

If you’re Canadian, Questrade is (in my opinion) your best option for online trading. You won’t get killed by commission rates like you would if you traded at your bank, and the fact that they are based in Canada makes them ideal for setting up RSPs and Tax-Free Savings Accounts. (By the way: if you’re Canadian, looking to get into the stock market, and do *not* have a TFSA, read up on them and open one ASAP—seriously).



Not sure if Questrade is for you?
   Check out more BestOnlineTrader reviewed sites:
                   tradeMONSTER
                   TradeKing
                   E*Trade
                   OptionsHouse





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