Canadian Online Brokerage Review – CIBC Investor’s Edge

Mailing Address
800 Bay Street, 2nd Floor
Toronto, ON,
M5S 3A9

Email Address: PCBISImailbox@cibc.com

Phone: 1-800-567-3343

Customer Service Hours:
Mon to Fri 8 a.m. to 8 p.m ET

CIBC Investor’s Edge Review

Updated on: Mar. 8, 2015
As a bank-owned online brokerage, CIBC Investor’s Edge is able to offer its online trading clients the
ability to manage and access products from its banking arm. Over the course of 2013, this discount
broker made a few announcements, most notably regarding their elimination of RESP account fees. Now in late 2014, CIBC Investor’s Edge has revised their pricing to put them back in the race with both bank-owned and independent online brokerages.

Like their peers, CIBC Investor’s Edge offers online trading in stocks, ETFs, mutual funds and bonds. They also have pricing plans for standard and active traders/investors.



Quick Info

Standard Equity Commission $6.95
Best Commission Price $4.95
Minimum to Open Account Not Required
Maintenance/Inactivity Fees $100/year
Commission Free ETFs No

» Get Full Pricing Details

Pricing & Fees

CIBC Investor’s Edge has done something many did not think they would do: lower commission prices to beneath that of their bank-owned competitors. While they were among the last of the bank-owned discount brokerages to lower their pricing under the $10 mark (down from $28.95+ per standard commission trade), Investor’s Edge took things down much further than their competitors by lowering their standard commission price to $6.95. They didn’t stop there, however.

There is also an active trader pricing available which is $4.95 per trade for individuals (or households) that trade at least 150 times per quarter. The ability to pool assets by household and have that count towards trading thresholds is something that is relatively unique to CIBC Investor’s Edge and it is what makes their current pricing very challenging for others to match let alone beat.

As with some of their competitors, CIBC Investor’s Edge does have an “account maintenance” fee. The fee of $100 is charged annually for balances that are less than $10,000 (calculated at the close of business on Sept. 15th). This fee is waived for individuals who also hold a registered account such as an RRSP, RESP, RIF, LIF or LIRA.

Pricing for options contracts also mirror the standard and active trader commission structure. Standard option pricing is $6.95 + $1.25 per contract and active trader options pricing is $4.95 + $1.25 per contract.

Account Types

CIBC Investor’s Edge offers clients the ability to trade online in “non-registered” and “registered” accounts.

Like other discount brokerages, the non-registered accounts at Investor’s Edge include cash and margin accounts in which clients can short stocks as well as trade options.  For account balances of under $10,000, there is a $100 per year “account maintenance” fee that is assessed (the fee is assessed based on the balance as of close of business on September 15th).

For the registered accounts, CIBC Investor’s Edge offers the tax-free savings account (TFSA), registered-retirement savings plan accounts (RRSPs) and registered education savings plan (RESP) accounts.  There are “general administration” fees of $100 per year for RRSP accounts that do not meet the minimum balance threshold of $25,000.  Neither TFSAs nor RESPs have administration fees.

Unlike some of their discount brokerage peers, CIBC Investor’s Edge does not have US dollar registered accounts so clients will have to factor in currency conversion fees into their costs if they plan on trading US-listed securities.

Platform/Data

The online trading platforms offered by CIBC include a standard web-based platform as well a mobile trading app.

The standard web-based trading platform allows for most of the essential functions for order entry, creating/monitoring watchlists as well as basic chart and fundamental research.  It is comparable to most of the standard online trading interfaces offered by other online brokerages.

In addition to the web-based platform, CIBC also offers a mobile brokerage app which is available on iPhone, Android and Blackberry.

Reviews & Ratings

Review What Review Measures Score Date of Ranking
Dalbar Canada Review Client Service Below Average
Below Average
January 2015
January 2014
Globe and Mail Review Overall Impression Letter Grade “C+”
9th out of 12
Letter Grade “C-”
10th out of 12
Letter Grade “C”
8th out of 12
Letter Grade “D”
December 2016
December 2016
December 2015
December 2015
November 2014
November 2014
November 2013
JD Power Review Investor Satisfaction 3rd out of 10
7th out of 10
7th out of 7
6th out of 11
September 2016
September 2015
September 2014
September 2013

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Home Community Canadian Online Brokerage Review – CIBC Investor’s Edge

This topic contains 15 replies, has 2 voices, and was last updated by  BonsaiTreeGardener 1 month, 1 week ago.

Viewing 10 posts - 1 through 10 (of 16 total)
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  • #10030 Reply
    Profile photo of Sparx_Admin
    Sparx_Admin
    Keymaster

    CIBC Investor’s Edge has done something many did not think they would do: lower commission prices to beneath that of their bank-owned competitors. Whi[See the full post at: http://www.sparxtrading.com/canadian-online-brokerage-review-cibc-investors-edge/]

    • This topic was modified 2 years, 5 months ago by Profile photo of Ken Y Ken Y.
    • This topic was modified 2 years, 5 months ago by Profile photo of Ken Y Ken Y.
    #10031 Reply

    James

    I just tried to apply for a CIBC Investor’s Edge account. Oie. The online process is confusing, to say the least, and includes documents that I can only assume are necessary for the protection of CIBC interests and holdings. I have done some investing in the past, so the game is not entirely new to me, but this application is a nightmare. AND, once you’ve gone through the 8 page online process, you have to print the application and bring it in with you. AND you have to remember the other X number of forms which are, unfortunately, as poorly explained as the main application process itself. The entire purpose of self-managed investment accounts is so that the individual can manage his own account. But getting through the application basically requires a degree in accounting, plus at least one futher designation in tax-related accounting and investing, a couple decades of experience in investing and the stock market and a law degree just to understand the brick of paper I was REQUIRED to print. Suffice to say I am cancelling my Investor’s Edge application and going with someone else.

    #10032 Reply
    Profile photo of Sparx_Admin
    Sparx_Admin
    Keymaster

    Thanks for the detailed comment. While it is unfortunate to hear you had a bad experience the comment will be helpful for others to know what they’re getting into. Getting on board with anything these days by paper is a rarity so having to print out the extensive paperwork that accompanies an online brokerage account is understandably frustrating (if not shocking). Even though the account could be opened via the branch or by having forms mailed neither of those options feels like it should be required in an ‘online world’. That said, it looks as if CIBC Investor’s Edge is undergoing some kind of transition with their site so hopefully the account opening process you described is going to be included in the future improvements. Best of luck in the meantime in the search for a smoother experience getting online.

    #10033 Reply

    JF

    from above:
    “Unlike some of their discount brokerage peers, CIBC Investor’s Edge does not have US dollar registered accounts so clients will have to factor in currency conversion fees into their costs if they plan on trading US-listed securities.”

    There is continuous rumours that in RRSP there actually is no conversion spread at CIBC, but i am not sure this has ever been confirmed explicitly, and as a strategy. Do you have anymore insight, as this would pretty much make the absence of US $ account as almost on non-issue (except maybe look wise)

    #10034 Reply
    Profile photo of Sparx_Admin
    Sparx_Admin
    Keymaster

    Thanks for your great comment – we’ll look into this one and see what information we can get/share.

    #12749 Reply

    S.J

    Don’t get sucked in by the low trading rates, CIBC investors edge is garbage. After you fill out their online application, you still need to go to a CIBC and have them mail it in (as previously mentioned, they still haven’t stepped up). Then you wait about a week or 2 for them to open your account. Heaven forbid you decide to trade options in the future and you didn’t click the “I would like to trade options” box on your initial application because you will have to RE-APPLY. I’m not exaggerating, you literally have to do the same procedure as if you’re a new customer and MAIL the same application in AGAIN and wait a few weeks – This cost me a few thousand according to the paper trade I had to make SINCE I COULDN’T TRADE OPTIONS IN TIME. Showing up in person with 3 pieces of ID to one of their branches isn’t enough for them to simply add on a feature to your already existing account (I’ve been a CIBC customer for over 2 decades as well). Concerning their investor’s edge online trading page, It’s amazing…. If it was 1992. CIBC doesn’t impress once again. It has nothing someone who trades would need, no interactive charts for you to overlay on, no chart based indicators given, not even a live stock tracker (you have to click “refresh” every second if you want to pretend you have a live feed). Their mobile app is even worse, all you can do is buy or sell stocks, or look at order status. Once again, no stock tracker, options chain, or any other information is given. Investor’s Edge is essentially for people who buy stocks and just leave them, definitely not for an active trader or someone who’s looking to maximize the efficiency of their portfolio. Take my advice as a new trader, the extra few bucks CIBC saves you is not worth the aggravation. It’s cheap because it sucks.

    #16307 Reply

    Muhammed Darboe

    Was using a cibc margin account in 2015, all my stop-limit orders went straight through to market. But Since the 1st of January 2016, all my trades no matter how small go pending and prices move through my stop-limit price day after day. It’s essential useless for momentum traders.

    #16458 Reply

    Malcan

    I have had a margin trading account with Investor’s Edge for over 20 years. Did not trade, instead just bought a few stocks and kept them for years for the dividends. Recently, I thought I’d put more money into the account to buy more stocks since the market is in a bear phase. Went to a branch with my cheque payable to the my Investor’s Edge account. And guess what, the CIBC bank manager said the cheque could not be deposited into my Investor’s Edge account because the cheque has to be cleared first. Strange. What does CIBC think I’ll do. Bounce a cheque when I’m buying stocks? I thought CIBC would be glad that I’m adding money to the account to buy more stocks, I guess not.

    #16459 Reply

    Malcan

    By the way, the cheque was on my TD Webbroker account. I thought I’d allocate a bit of money from TD Webbroker account to CIBC Investor’s Edge, unfortunately I didn’t get a warm welcome.

    #16486 Reply
    Profile photo of Sparx_Admin
    Sparx_Admin
    Keymaster

    Hi Malcan,

    Thanks for sharing your story. Sounds like a familiar situation I ran into not too long ago with a couple of banking folks. Cheque clearing has some general guidelines that most banks follow however my own experience shows that it varies from institution to institution. Managers do have some discretion when clearing a payment however it all depends on the relationship they have with you and whether they’re prepared to ‘stick their neck out’ for you.

    In today’s marketplace, however, it’s risky for a bank/bank-owned brokerage not to go the extra mile for you and recommend a faster way to complete the transfer (such as using a bank draft or good old cash) and possibly waive the fees incurred by you to make that happen. Client service and satisfaction are much more important now at all major Canadian banks than they have been in recent memory.

    Hopefully you got your money in your account in time to take advantage of something interesting and profitable. You might want to take it up with the CIBC folks on Twitter and/or mention it to their client service team. I know from conversations with CIBC Investor Edge senior management that they have (surprisingly) taken the time to ‘make it right’ with clients who’ve had difficult situations.

    Hope that helps & good luck hunting for bargains!

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