Low-fee laggard RBC Direct Investing adopts commission-free ETFs

The transfer suggests the aggressive strain for low- and no-fee buying and selling continues in any respect factors alongside the digital brokerage spectrum. In February, Questrade adopted zero commissions on all shares and ETFs, becoming a member of Wealthsimple Commerce, Nationwide Financial institution Direct Brokerage, and Desjardins On-line Brokerage within the commission-free membership. In the meantime, world mobile-focused buying and selling platforms like Webull, Interactive Brokers and Moomoo have moved into the Canadian market with low fee charges.

Rival bank-owned brokerages resembling BMO InvestorLine and Scotia iTrade, in addition to some impartial buying and selling platforms, have provided a choice of 0% fee ETFs for years. TD Direct Investing gives 50 free trades per yr on all shares and ETFs for shoppers utilizing its Simple Commerce cellphone app.

RBC Direct Investing shoppers can now purchase and promote common iShares funds at no cost, together with iShares S&P/TSX 60 Index ETF (XIU), iShares Core Canadian Universe Bond Index ETF (XBB), and iShares Core Fairness ETF Portfolio (XEQT). Yow will discover the total checklist of zero-commission ETFs at RBC Direct Investing. All are from ETF big iShares, a division of world asset supervisor BlackRock, Inc., with which RBC has had a distribution partnership since 2019.

Usually, RBC expenses $9.95 for inventory and ETF trades—close to the highest finish of self-directed brokerage commissions in Canada—or $6.95 for shoppers who make 150 or extra trades per quarter. It permits shoppers to pay commissions on inventory and ineligible ETF trades with Avion Rewards factors.

As of August 1, RBC can be eliminating its quarterly account upkeep charge, no matter account dimension. Like different brokerages, it guarantees to offset as much as $200 in third-party charges once you switch your account from one other brokerage.

For those who’re contemplating a change out of your present brokerage or opening a inventory buying and selling account for the primary time, take a look at MoneySense’s roundup of the finest on-line brokers in Canada for 2025.

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About Michael McCullough

Michael is a monetary author and editor in Duncan, B.C. He’s a former managing editor of Canadian Enterprise and editorial director of Canada Vast Media. He additionally writes for The Globe and Mail and BCBusiness.