If you are thinking about investing online then there are many services available. Questrade and Wealthsimple are both popular investing services. So it may be tough to decide which one is the best service for you. The two investing services are solid Canadian options for investing that can help you to develop your money. You will also be able to succeed in your investment goals. For helping you choose the best online service you can have a look at Questrade vs Wealthsimple points here. Know which investment option suits you the best.
The Wealthsimple is suitable for those who prefer automated Robo-advisor investing. This service provides a commission-free online discount brokerage service. On the other hand, Questrade is the perfect choice for active traders. They can save fees and at the same time get access to robust market data and other benefits. A simple comparison of Wealthsimple vs Questrade will allow you to know other important details. Continue reading to know more.
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What is Wealthsimple?
One of the best investing services in Canada is Wealthsimple. It is an online wealth management service. Also, it is a robo advisor. The investment service was started in 2014. Now it is managing over $10 billion in assets. It is also operating in the United Kingdom.
The management investment portfolios of Wealthsimple use a passive strategy which is a Noble prize-winning research. Further, the low-cost ETF portfolios available in Wealthsimple are created to help investors with different risk tolerance. Therefore if you prefer a conservative, growing, aggressive portfolio then Wealthsimple is the best one for you.
It is effortless to use the Wealthsimple online service. You can just set it up one time and the company will take care of the rest. The service has pre-designed an ETF portfolio that provides DIY investors commission-free online brokerage. It is called the Wealthsimple Trade through which you can purchase stocks and ETFs.
Recently the online investment service has started a Wealthsimple Cash service. It is a free hybrid account that provides saving and chequing account features. This feature is not available in many online investment services in Canada. There are also many other account options offered by Wealthsimple.
What is Questrade?
The Questrade is in the business for over 20 years. This company introduced the concept of trading commissions to many investors in Canada. It owns more than $25 billion in assets and has over 200,000+ new trading accounts every year. So that is why it is considered the fastest growing online investment service in Canada.
The brokerage offered by the service provides access to free ETF purchases on options, stocks, and others. Recently it shared about its Robo-advisor service called Questwealth Portfolios. It is one of the services that have low management fees. The service uses the active management style.
The thorough comparison of Questrade vs Wealthsimple
1. Trading fees
The Wealthsimple trade asks for no fees for buying and selling stocks. It is just $0. But there is one exception. When making the USD trade the investor has to pay a 1.50% currency conversion fee.
On the other hand, Questrade charges the minimum amount of $4.95 to sell the ETFs and buy or sell stocks. The investors have to pay USD 19.95 for expensive metals and then $9.95 + $1 for options. For some of the trades, the ECN fees will apply. Also buying ETFs is free of cost.
2. Investment products
The Questrade provides investment products like ETFs, stocks, GICs, initial public offerings, and bonds. As for Wealthsimple, the products available for investment are stocks and ETFs. But there are other assets on the Wealthsimple trade app as well. The assets are not Canadian and the US. Also, the stocks and EFTs will be listed.
3. Account options
In both Wealthsimple and Questrade, there are popular options for investment accounts. The accounts are personal non-registered accounts, RRSP, and TFSAs. In Questrade the investors can also find the accounts such as RESPs, LIRA, LIF, RRIF, margin accounts, corporate investment, and more.
4. Minimum Investment
With $100 a person can start the Wealthsimple Trade account. There is no minimum account balance requirement. An investor can open an account with just $1.
If a person is opting to trade on Questrade then they must maintain the minimum balance of $1,000 to start trading.
5. Trading platform
The rating of the Wealthsimple app is 4.6/5. It also has received lots of positive reviews. Also, the interface of the app is clean and simple to use. The trading platform is also present on the desktop. But it is different than the Wealthsimple Invest account termed as the Robo-advisor service.
The Questrade has a trading platform which is a web app. It works on all devices, apps, and IQ Edge. Its positive review is less compared to the Wealthsimple.
6. Market data
Wealthsimple provides free stocks and ETF price data. The data will get delayed for fifteen minutes. But the users can upgrade their account to get a premium account that costs $3 per month. They will get snap quotes and also the benefit of instant deposits up to $1,000. The snap quotes are the real-time data and the user has to refresh it for new updates.
The basic Questrade account contains snap quotes. The users have to pay $19.95 to $89.95 per month to get access to stream real-time data.
The Wealthsimple and Questrade trading accounts are protected from insolvency by the Canadian Investor Protection Fund (CIPF).
Questrade vs Wealthsimple – Choose what’s best for you
We have made a good comparison of the two trading platforms. But you have to choose the one that will help you to flourish in online investment. You know that Wealthsimple is the leader of the Robo-advisor front. Their investment portfolios are cheaper than mutual funds. Even novice investors can enjoy the benefits experienced by rich and popular investors. So there are many perks.
But the investment portfolio and the management style of Questrade are also good. Many people find it suitable than the Wealthsimple. But you have to be an experienced investor to invest in Questrade. The basic knowledge in investing will not be enough.
These are the Questrade vs Wealthsimple points that will enable you to choose the best investment platform. Hope you enjoy all the good parts of investing in the best online investment service.
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