Qtrade vs Questrade – Which Online Brokerage is Better?

If you’re anything like me, you may have heard of Qtrade Direct Investing™ and Questrade and thought they were the same. Everyone abbreviates everything. Makes sense right? 

If you were like me with this assumption, we were both wrong.  Questrade and Qtrade are not the same company. And although both are online discount brokerages, they are actually very different.

To explain the differences, I’ve done a deep dive into both brokerages and will break it down for you.  Keep reading all the way until the end to get my opinion of which online brokerage is better – Qtrade or Questrade.

This post may contain affiliate links, meaning I may receive a commission if you purchase through my links.  Please read my disclaimer for more information.

Qtrade

Qtrade is an online brokerage platform that has been voted best online brokerage 25 times in the past 17 years by Globe & Mail, Moneysense, and Surviscor. With all of these accolades, I’m surprised that I didn’t learn about them earlier in my investing journey.

They were founded in 2000 with the goal of building investor confidence.  And have obviously been around longer than I’ve been an investor. With their robust education platform, portfolio analytics tools, and analyst information, I would say that they are definitely helping to build investor confidence.

Qtrade is owned by Aviso Wealth, one of Canada’s largest independent wealth management firms.  Aviso has over 500,000 clients and more than $95 billion of investment assets.

Qtrade is a great option for beginner or more advanced DIY investors.  And if you’re looking for a robo-advisor, Qtrade has you covered there, too, with their Qtrade Guided Portfolios.

Features of Qtrade

One of the big features of Qtrade, compared to other online brokerages, is Qtrade’s Portfolio Score tool.  This tool will analyze your investment portfolio and give you a score and feedback for improvement.  

The Portfolio Score tool analyzes your portfolio for “downside protection,” performance, diversification, income, and fees.

It’s a great option if you are looking for improvements on your portfolio, a “second set of eyes,” or even for confirmation that you’re on the right track to achieve your investment goals.

Qtrade portfolio score tool example
Source: https://www.qtrade.ca/en/investor/trading/portfolio-analytics.html 

Qtrade Pros & Cons

Looking at the overall Qtrade platform, here are some pros:

  • Instant account opening
  • Frictionless client onboarding
  • 100+ commission-free ETFs (buying and selling) without a minimum requirement
  • Second-to-none portfolio analytics
  • Best-in-class customer service

In my opinion, there are also some areas where Qtrade could improve.  Here are the cons of going with Qtrade:

  • Quarterly admin fee (waived if conditions are met)
  • No CFD or Forex trading (if that’s your thing)
  • No partnership with Passiv (so you will have to pay to incorporate this tool with your investment portfolio).

Questrade

When I first started DIY investing, Questrade was the online trading platform I started with.  They were founded in 1999 and are currently Canada’s largest independent fintech company.  And because of their large marketing budget, chances are you’ve probably heard of them.

Their marketing works. Over 250,000 accounts are opened annually with Questrade. And they currently have over $30 billion in assets under administration. 

Questrade is also a platinum member and 11-time winner of Canada’s Best Managed Companies awarded by Deloitte.

Features of Questrade

One of the big features of Questrade is its one-stop-shop approach to investing and finances in general.

As a DIY investor, you can use the Questrade portal.  And with Questrade’s partnership with Passiv, you get free access to Passiv Elite.  This enables you to put your portfolio on autopilot – you essentially become your own robo-advisor for a fraction of the cost.

Side note – if you are a Questrade user and not already signed up for Passiv, it’s absolutely worth your time to do so (and it’s free to Questrade users).  Getting signed up and everything linked up is super easy – just click here to get started.

Or, if you’re looking to invest with a pre-built portfolio, you can do that through Questwealth Portfolios. 

You can even get your mortgage through them with QuestMortgage (something I haven’t done).

Questrade Pros & Cons

Looking at the overall Questrade platform, here are some pros:

  • Low trading fees
  • Instant account funding
  • CFD and Forex trading (if that’s your thing)
  • API Plugin & free Passiv integration 

But I think there are also some areas where Questrade could improve. Here are the cons of going with Questrade:

  • ECN fees (although minimal)
  • Limited portfolio analytics
  • Fees for ETF sell orders
  • Customer service inconsistencies (although I have never had any issues)

Comparison Between Qtrade and Questrade

Let’s look at some of the key comparison categories head-to-head.  When looking for an online trading platform, I recommend looking at fees and commissions, account minimums, investment and account options, customer service, educational materials, current promotions, and of course, the security of your money.

So here’s the head-to-head comparison of which online brokerage is better: Qtrade or Questrade in the above-mentioned categories.

Fees and Commissions

QtradeQuestrade
Qtrade has various fees and commissions
> Equities – $8.75 per trade
> Options – $8.75 per trade + $1.25 per contract
> ETFs – select (100+) – FREE
> ETFs – other – $8.75 per trade
> Admin fee – $25 per quarter (waived if $25,000 in the account, regular trades, Young Investor offer, or automatic deposit of at least $100/month)
> Formal Trusts – $100 set up + $50 per year
> Transfer out – $150
> E-Statements – FREE
> ECN fees – NONE
Questrade has various fees and commissions
> Equities – $0.01 per share ($4.95 min – $9.95 max per trade)
> Options – $9.95 per trade + $1.00 per contract
> ETFs – Buy – FREE
> ETFs – Sell – $0.01 per share ($4.95 min – $9.95 max per trade)
> Admin fee – NONE
> Bonds/GICs – min. $5000 purchase
> Transfer out – $150
> E-Statements – FREE
> ECN fees – Minimal
Winner: QUESTRADE

Account Minimums

QtradeQuestrade
No minimum deposit is required to open a free Qtrade account and start investing.There is no minimum to open a free account with Questrade, but there is a $1000 minimum to start investing.
Winner: QTRADE

Investment and Account Options

QtradeQuestrade
The following account types are offered by Qtrade:
> TFSA
> RRSP (& Spousal)
> Margin
> LIRA
> RESP (& Family)
> RIF
> LIF
> Cash (includes Trusts)
> FHSA

The following investment options are offered by Qtrade:
> Stocks
> ETFs
> Mutual Funds
> Bonds
> New Issue (eg – IPOs)
> GICs
> Options
The following account types are offered by Questrade:
> TFSA
> RRSP (& Spousal)
> Margin
> LIRA
> RESP (& Family)
> RIF
> LIF
> Formal & Informal Trusts
> Forex and CFDs
. FHSA

The following investment options are offered by Questrade:
> Stocks
> ETFs
> Options
> FX
> IPOs
> CFDs
> Mutual Funds
> Bonds
> GICs
> International Equities
> Precious Metals
Winner: QUESTRADE

Customer Service

QtradeQuestrade
> No 24/7 support
> Live chat, phone, and email – only available on weekdays
> Specific trading support line (to make trades over the phone)
> Personally, I have never had to use Qtrade customer service.
> Does an intuitive interface decrease the need for customer service?
> No 24/7 support
> Live chat, phone, and email – only available on weekdays
> Inconsistent reviews
> Personally, I have never had any issues with Questrade customer service, but the only reviews are all over the place
Winner: QTRADE

Educational Materials

QtradeQuestrade
> Educational tools tailored to investor level
– New
– Some experience
– Expert
> Research tools (beyond educational)
> 30-day practice account
– Research
– Analysis
– Stock screeners
> Learning center (basics and concepts)
> Guides, posts, webinars, FAQ
> Chat outreach function
> 90-day practice account (not well advertised)
– $500,000 USD & CAN in virtual “play money”
Winner: QUESTRADE

Current Promotions

QtradeQuestrade
Get up to $2000 cashback when you open any new self-directed trading account + $50 sign-up bonus for new customers who deposit a minimum of $1000. Must use this link and promo code: CASHBONUS2024 Questrade offers $50 in free trades when you use this link to open and fund an account with a minimum of $1000.
Winner: QTRADE

Security of Your Money

QtradeQuestrade
> Regulated by IIROC (Investment Industry Regulatory Organization of Canada)
> CIPF (Canadian Investor Protection Fund) member
> Bank-level encryption
> 2-Factor authentication
> 100% reimbursement of any losses in the account from unauthorized online brokerage account activity. See the policy on the Qtrade site.
> Regulated by IIROC (Investment Industry Regulatory Organization of Canada)
> CIPF (Canadian Investor Protection Fund) member
> Bank-level encryption
> 2-Factor authentication
> Additional $10 million in private insurance
Winner: TIE

Which Online Brokerage is Better – Qtrade or Questrade?

I didn’t even know Qtrade existed when I started investing. I was naive and didn’t do my research.  Now that I have researched it more, I appreciate their 30-day trial period for a mock portfolio (what a great way to practice investing), their lower ETF fees, the ability to invest with less than $1000, and the Portfolio Score tool. (Part of me wishes all my investments were with them just to see my Portfolio Score).

Since learning about Qtrade, and for research purposes of this post, I have opened a Qtrade account.

With Questrade, we aren’t paying any fees to buy ETFs, but eventually, those ETFs will need to be sold, and depending on our strategy for that, there could be some decent fees that eat into our profits. 

One thing Questrade does have going for it is the lack of administration fees. When we started investing on our own, we didn’t have the $25,000 required to waive the admin fee with Qtrade.

So, which online brokerage is better – Qtrade or Questrade? If you’re a beginner investor or have a very (what I call) simple portfolio, then Qtrade is better.  But if you have (what I call) a complicated portfolio and are looking to invest in such things as precious metals or forex trading, then Questrade is better.

Unfortunately, I don’t have a time machine, so I am not 100% sure what decision I would have made when I first started had I known about Questrade and Qtrade.

Final Thoughts

When choosing an online trading platform, you must consider more than just one factor.  Sure, someone might recommend one to you, or one is offering a really sweet sign-up bonus right now, but that doesn’t mean that that is the right brokerage for you.

Hopefully, this comparison highlighted some of the pros and cons of each and gave you something to think about.

Your goals and investing style will determine which online brokerage is better, Qtrade or Questrade?

As for me, I will keep accounts open in both and take advantage of what both platforms have to offer.  And as a bonus, it helps to diversify where my money is, adding an extra level of CIPF (Canadian Investor Protection Fund) coverage.

Online brokerage services are offered through Qtrade Direct Investing, a division of Credential Qtrade Securities Inc. Qtrade, Qtrade Direct Investing, and Write Your Own Future are trade names and/or trademarks of Aviso Wealth.

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