Which Broker Do you Use?
Re: Which Broker Do you Use?
Shakespeare & Optional, did you call your existing broker to see if they would offer you anything to stay rather than lose you to BMO? Does this ever work with discount brokers?
- Shakespeare
- Veteran Contributor
- Posts: 23396
- Joined: 15 Feb 2005 23:25
- Location: Calgary, AB
Re: Which Broker Do you Use?
RBCDI paid several $K to get me and didn't get it back. I doubt they will pay $1K more.
Added: the BMO FAQs suggest GICs can't be transferred, so I guess I'll stay with RBCDI.
Added: the BMO FAQs suggest GICs can't be transferred, so I guess I'll stay with RBCDI.
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
Re: Which Broker Do you Use?
- HSBC brokerage has low ranking on in the Globe's chart.johnsmith1 wrote: ↑05 Apr 2017 18:26 why don't you stick with hsbc? premier account holder pays only 6.95 per trade?
Mordko wrote: ↑05 Apr 2017 17:53 Yes, I believe so. At one point I attempted to move a decent amount from HSBC Premier to Questrade as "bill payment" and discovered that there was a $25K limit if you do it via computer banking. If you call afterwards, the limit went up to $125K making it a daily bill payment limit of $150K per person.
- Could be wrong but don't believe you can hold USD and CAD assets in the same account which I find convinient.
- Account manager at the bank was unhelpful when I approached them with my questions about HSBC brokerage.
- Questrade does not charge for buying ETFs.
-
- Veteran Contributor
- Posts: 3956
- Joined: 10 Sep 2012 17:26
- Location: QC
Re: Which Broker Do you Use?
I'm with Virtual Brokers (VB) which does not charge anything to buy ETFs under their Classic commission structure. (That's unlike other non-bank brokerages which often charge ECN fees along with "no-commission" trades). I switched there from BMO Investor Line (BMOIL); VB almost entirely paid my BMOIL exit fees. I've since then saved way more than the few remaining dollars of exit fees that were not covered.
A Canadian-based-ETF investor might want to consider National Bank Direct Brokerage (NBDB) where buying and selling at least 100 units of such ETFs is free. I guess that to buy less than 100 units, one would first sell 100 units then buy them back along with new units to avoid commissions. If I wasn't grandfathered into the old "Free ETF" and "The Penny" VB commission plans, charging $0.01 per unit (min $0.01, max $9.99) for selling ETFs, I would switch to NBDB.
As an aside, VB provides protection up to $10 million from Lloyds of London, in addition to the $1 million protection through CIFP.
Even with a very lazy 4-ETF portfolio, fees accumulate quickly. Between two spouses, the ETFs are easily spread across 6 accounts (his and her RRSP, TFSA, and non-registered accounts). Mathematically, this translates into 12 holdings (at least two ETFs are spread across two distinct accounts, per spouse). We're easily talking about 50 transactions per year for the couple, even if they're patient and only make quarterly contributions (and sometimes rebalance). That's $500 at most bank-based brokerages which charge $10 per trade. That's why I left BMOIL; I like to keep my fees low and I have no use whatsoever for all their other goodies (research screens and whatever).
A Canadian-based-ETF investor might want to consider National Bank Direct Brokerage (NBDB) where buying and selling at least 100 units of such ETFs is free. I guess that to buy less than 100 units, one would first sell 100 units then buy them back along with new units to avoid commissions. If I wasn't grandfathered into the old "Free ETF" and "The Penny" VB commission plans, charging $0.01 per unit (min $0.01, max $9.99) for selling ETFs, I would switch to NBDB.
As an aside, VB provides protection up to $10 million from Lloyds of London, in addition to the $1 million protection through CIFP.
Even with a very lazy 4-ETF portfolio, fees accumulate quickly. Between two spouses, the ETFs are easily spread across 6 accounts (his and her RRSP, TFSA, and non-registered accounts). Mathematically, this translates into 12 holdings (at least two ETFs are spread across two distinct accounts, per spouse). We're easily talking about 50 transactions per year for the couple, even if they're patient and only make quarterly contributions (and sometimes rebalance). That's $500 at most bank-based brokerages which charge $10 per trade. That's why I left BMOIL; I like to keep my fees low and I have no use whatsoever for all their other goodies (research screens and whatever).
Variable Percentage Withdrawal (finiki.org/wiki/VPW) | One-Fund Portfolio (VBAL in all accounts)
-
- Veteran Contributor
- Posts: 13310
- Joined: 20 Feb 2005 16:47
Re: Which Broker Do you Use?
If I move an unregistered account is the $1,000 taxable?
What about transfer-out fees? Does BMOIL cover them or is that just part of the bribe?
- Shakespeare
- Veteran Contributor
- Posts: 23396
- Joined: 15 Feb 2005 23:25
- Location: Calgary, AB
Re: Which Broker Do you Use?
The RBCDI bribe wasn't taxable, but the Terms and Conditions (link as popup Offer) say
which probably means it's taxable.There may be tax implications to the Award. For registered accounts, no tax receipt will be issued for the Award. If you require tax advice, please contact your personal tax advisor.
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
Re: Which Broker Do you Use?
I am surprised. When I moved my RRSP from RBC DI to Scotia iTrade a year or so ago (due to a bribe they had), all my 5 year compound GICs were transferred over. I'd suggest you ask a BMO IL advisor directly.Shakespeare wrote: ↑06 Apr 2017 00:19 Added: the BMO FAQs suggest GICs can't be transferred, so I guess I'll stay with RBCDI.
finiki, the Canadian financial wiki The go-to place to bolster your financial freedom
Re: Which Broker Do you Use?
May depend on how it is paid. In at least one case (as I recall a few years back), it showed up as a "negative Administration fee" in my non-reg account and I didn't claim it as taxable income.Shakespeare wrote: ↑06 Apr 2017 09:28 The RBCDI bribe wasn't taxable, but the Terms and Conditions (link as popup Offer) saywhich probably means it's taxable.There may be tax implications to the Award. For registered accounts, no tax receipt will be issued for the Award. If you require tax advice, please contact your personal tax advisor.
finiki, the Canadian financial wiki The go-to place to bolster your financial freedom
Re: Which Broker Do you Use?
A couple of years back, a friend transferred from a "full service" broker at CIBC to a self-directed account at BMOIL. GICs (don't recall if they were CIBC products) and CIBC HISAs were transferred.Shakespeare wrote: ↑06 Apr 2017 00:19Added: the BMO FAQs suggest GICs can't be transferred, so I guess I'll stay with RBCDI.
Peter
Patrick Hutber: Improvement means deterioration
Patrick Hutber: Improvement means deterioration
- Shakespeare
- Veteran Contributor
- Posts: 23396
- Joined: 15 Feb 2005 23:25
- Location: Calgary, AB
Re: Which Broker Do you Use?
OK, I'll visit the branch. Other than that, all I have to do is (maybe) sell the RBCDI HISA.
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
-
- Contributor
- Posts: 511
- Joined: 30 Aug 2005 11:26
Re: Which Broker Do you Use?
According to BMO all transfers above $250k get transfer fees (up to $200) reimbursedbrucecohen wrote: ↑06 Apr 2017 09:08What about transfer-out fees? Does BMOIL cover them or is that just part of the bribe?
“Courage is what it takes to stand up and speak. Courage is also what it takes to sit down and listen.” - Winston Churchill
- Shakespeare
- Veteran Contributor
- Posts: 23396
- Joined: 15 Feb 2005 23:25
- Location: Calgary, AB
Re: Which Broker Do you Use?
Transfer filled out and sent from branch.
Question for BMOIL RRSP holders: can you, like RBCDI, buy a stock in your RRSP and go negative, immediately selling HISA to cover?
Question for BMOIL RRSP holders: can you, like RBCDI, buy a stock in your RRSP and go negative, immediately selling HISA to cover?
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
Re: Which Broker Do you Use?
ECN fees: sometimes it's 3 cents at Questrade, or 10 cents... Nothing to write home about.longinvest wrote: ↑06 Apr 2017 07:48(That's unlike other non-bank brokerages which often charge ECN fees along with "no-commission" trades).
Nah, you only add new funds (and any cash from distributions) to the asset classes that are below their target allocation. And you don't necessarily add funds to each account every quarter (e.g. depending on your priorities, you could fill up TFSA No. 1 in January, then fill up TFSA No. 2 whenever you have the other $5.5k, etc.)longinvest wrote: ↑06 Apr 2017 07:48We're easily talking about 50 transactions per year for the couple, even if they're patient and only make quarterly contributions (and sometimes rebalance).
I reckon 10-25 transactions per couple per year is totally feasible, even with 6 accounts. Of those transactions, no more than 4-5 should be sells, in accumulation mode.
finiki, the Canadian financial wiki: a knowledge base of financial subjects written from a Canadian perspective
Re: Which Broker Do you Use?
HISA counts as a cash equivalent, so yes.Shakespeare wrote: ↑08 Apr 2017 14:15 Transfer filled out and sent from branch.
Question for BMOIL RRSP holders: can you, like RBCDI, buy a stock in your RRSP and go negative, immediately selling HISA to cover?
Take care, after buying something, to note that the $9.95 fee is not yet deducted - so the apparent deficit that you need to cover is short ...
Peter
Patrick Hutber: Improvement means deterioration
Patrick Hutber: Improvement means deterioration
- Shakespeare
- Veteran Contributor
- Posts: 23396
- Joined: 15 Feb 2005 23:25
- Location: Calgary, AB
Re: Which Broker Do you Use?
Thank you.
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
-
- Veteran Contributor
- Posts: 3200
- Joined: 01 Mar 2005 15:02
- Location: Hornby Island BC
- Contact:
Re: Which Broker Do you Use?
I use my barber Luigi's brother in law Marko. He works out of his apartment and has promised really big returns. I will keep you posted.
Live Rich, Die Broke (but not too soon).
Re: Which Broker Do you Use?
I would find it more reassuring if he flew his Cessna to Colombia from time to time, with stop-overs at uncrowded air strips in California.
George
The juice is worth the squeeze
- optionable68
- Veteran Contributor
- Posts: 1919
- Joined: 19 Feb 2005 18:47
- Location: GTA
Re: Which Broker Do you Use?
Ditto. Just received my new BMO IL account number. Wanting for the funds transfer to go through.
3-time winner of FWF Annual Stock Market Predictions contest
- Shakespeare
- Veteran Contributor
- Posts: 23396
- Joined: 15 Feb 2005 23:25
- Location: Calgary, AB
Re: Which Broker Do you Use?
Did you get a chequing account for linkage? I did.
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
Re: Which Broker Do you Use?
Note the linked chequing account has 'limited' privileges, e.g. 1-2 transactions a month for free before being charged. It is mainly meant to move money out to another BMO account or a Bill Payment to other places. If you need a more versatile BMO chequing account, you will need to sign up for that.
finiki, the Canadian financial wiki The go-to place to bolster your financial freedom
- Shakespeare
- Veteran Contributor
- Posts: 23396
- Joined: 15 Feb 2005 23:25
- Location: Calgary, AB
Re: Which Broker Do you Use?
Sorry; I meant to say I got a $4/month (refunded for seniors) account. Perhaps it wasn't necessary.
Added: from BMO InvestorLine - FAQs - Account Features and Account Inquiries
Added: from BMO InvestorLine - FAQs - Account Features and Account Inquiries
How can I access the cash in my BMO InvestorLine investment (non-registered) account?
If you have opened a Cash or Margin account with us, we have automatically included AccountLink® Service as part of your account features. AccountLink Service consolidates your financial requirements into one easy-to-manage package. AccountLink is a service that we include for all non-registered accounts. It wraps the convenience of a BMO Bank of Montreal chequing account in with your BMO InvestorLine securities account. [My red].
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
- optionable68
- Veteran Contributor
- Posts: 1919
- Joined: 19 Feb 2005 18:47
- Location: GTA
Re: Which Broker Do you Use?
I didn't get the chequing account. I am transferring only 1 of my RSPs and have no plans to deposit additional funds into the BMO account at this point. If I change my mind, I guess I could always get a linkage account at that time.
Taxable investments remain with IB with linkage there.
3-time winner of FWF Annual Stock Market Predictions contest
Re: Which Broker Do you Use?
The chequing account is for moving funds the other way, i.e. from the brokerage account. But with an RRSP, there is no need to do so until one RIFs (or makes withdrawals). I got the linkage account because my BMOIL account is non-reg and part of my income stream comes from there.
finiki, the Canadian financial wiki The go-to place to bolster your financial freedom
- Shakespeare
- Veteran Contributor
- Posts: 23396
- Joined: 15 Feb 2005 23:25
- Location: Calgary, AB
Re: Which Broker Do you Use?
Which is exactly what I'm doing - although BMO doesn't know that.The chequing account is for moving funds the other way, i.e. from the brokerage account. But with an RRSP, there is no need to do so until one RIFs (or makes withdrawals).
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
Re: Which Broker Do you Use?
When I have tried this, they've stopped the trade and phoned me to say I had to sell $$ from my HISA first, then buy the stock. I am a 5 star gold investor with BMOIL so they know I'm good for the money.... Seems picky to insist of the order of these transactions.Shakespeare wrote: ↑08 Apr 2017 14:15 Transfer filled out and sent from branch.
Question for BMOIL RRSP holders: can you, like RBCDI, buy a stock in your RRSP and go negative, immediately selling HISA to cover?
Regards,
Pickles
Pickles