Canadian Online Brokerage Review – TD Direct Investing (TD Waterhouse)

Canadian Discount Broker - TD Direct Investing

Mailing Address
77 Bloor Street West, Main Floor
Toronto, ON
M5S 1M2
Website: https://www.td.com/
Email Address: td.waterhouse@td.com
Phone: 1-800-465-5463
Customer Service Hours: 24hrs, seven days a week

TD Direct Investing Review

Updated on: Feb. 8, 2019
TD Direct Investing (formerly known as TD Waterhouse Discount Brokerage) is one of Canada’s largest discount brokerages. As a bank-owned online brokerage, it is able to offer clients the ability to manage multiple accounts (including personal banking) and products via the TD online platform. What makes TD Direct Investing stand out relative to most of its bank-owned peers is the amount of education it provides as well as the diverse set of trading platforms. Specifically, TD Direct Investing offers web-based and desktop platforms for active traders as well as longer term investors.

Quick Info

Standard Equity Commission $9.99
Best Commission Price $7
Minimum to Open Account Not Required
Maintenance/Inactivity Fees $25/quarter
Commission Free ETFs No

» Get Full Pricing Details

Pricing & Fees

As with several of its peers, earlier in 2014 TD Direct Investing lowered their standard commission pricing in this case to $9.99 per trade (flat). There are no deposit or trading minimums required in order to qualify for the standard pricing. For active traders, defined as clients who trade 150 or more times per quarter, the cost per trade is $7 flat. Options trading has also seen a reduction in price with the standard fee per options trade as $9.99 + $1.25 per contract and $7 + $1.25 per contract for active traders.

Although all clients are able to receive $9.99 per trade pricing, clients with balances underneath $15,000 are subject to a “custody fee” ($25) which is charged on a quarterly basis. Fortunately, there are certain conditions under which this fee can be waived, including:

1. Making at least 2 commission-generating trades within 6 months
2. Having a TD Direct Investing registered account
3. Being enrolled in a pre-authorized contribution plan of $100 per month or more

Account Types

Like many other online brokerages, TD Direct Investing offers registered and non-registered accounts. The registered account types include TFSAs, RDSPs, RRSPs and RESPs. TD Direct Investing has two kinds of RRSP accounts the ‘self-directed’ RSPs (and RIFs) and the ‘basic’ RSP. The important difference between the two is that the ‘basic’ RSP plan does not let users directly hold equities, options or mortgages whereas the ‘self-directed’ plan does.

In terms of non-registered account types, TD Direct Investing offers cash and margin accounts. In order to trade options and to short sell, a margin account and approval is required.

For several years, one of the biggest disadvantages concerning TD has been the lack of USD registered accounts. The ‘official line’ is that these accounts are forthcoming in 2014 and are currently undergoing testing, however the actual roll out date has not been announced. In the meantime, to address the currency conversions within registered accounts, TD Direct Investing has implemented a service called the U.S. Dollar Money Market Sweep & Redemption Service. Although the name is long, basically the service automatically routes the funds required to settle the transaction through a US dollar money market fund in such a way that a client doesn’t pay the foreign currency conversion fee. They have also extended this service to dividend payments so that clients receiving dividend payments (or making purchases) in US dollars won’t have to pay additional conversion fees. TD Direct Investing’s website details this process, so if it is of interest, be sure to review how it works.

Platform/Data

TD Direct Investing offers a broad selection of trading platforms that cater to investors of all activity levels. As a bank-owned discount brokerage, they are in the minority of providers that has web browser based as well as desktop based trading platforms. Although the platforms each have their strengths and limitations, choosing the right platform largely comes down to what kind of trading style you expect to have. TD’s online trading platforms include:

Platform Web/Desktop Based
Webbroker Web
Advanced Dashboard Web
Active Trader Desktop
US Trading Platform (ThinkOrSwim) Desktop

TD Direct Investing also offers mobile trading on the WebBroker and US Trading Platform. TD’s mobile/tablet apps are available for iOS, Android and Blackberry (smartphone) devices.

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 “A”
Letter Grade “B”
Letter Grade “B+”
3rd out of 12
Letter Grade “B+”
4th out of 12
Letter Grade “B”
6th out of 12
Letter Grade “C”
February 2019
February 2018
December 2016
December 2016
December 2015
December 2015
November 2014
November 2014
November 2013
JD Power Review Investor Satisfaction 7th out of 8
7th out of 8
7th out of 10
6th out of 10
3rd out of 10
4th out of 7
4th out of 11
June 2019
September 2018
September 2017
September 2016
September 2015
September 2014
September 2013
MoneySense Top Pick – Market Data
Top Pick – Market Data
Runner Up – Getting Started
Top Pick – Market Data
June 2019
July 2018
July 2017
July 2017

Compare

Coming Soon

What Would You Like to do Next?

Home Community Canadian Online Brokerage Review – TD Direct Investing (TD Waterhouse)

This topic contains 56 replies, has 3 voices, and was last updated by  A Customer 2 months ago.

Viewing 10 posts - 1 through 10 (of 57 total)
  • Author
    Posts
  • #28290 Reply

    A Customer

    TD WebBroker Watchlist and Holdings pages displays bad data
    Yet again, TD WebBroker is displaying garbage data in my WebBroker Watchlist and Holdings page:
    Eg. it is 9:26am Aug.14/2019
    Enbridge (ENB) closed at $45.48 yesterday, and it is now trading at $44.16/share. Therefore it is down $1.32/share, but my WebBroker account is displaying that it is -$0.58
    THIS IS GARBAGE DATA!
    I have reported this same problem many times over the past couple of years, but TD doesn’t seem to be able to fix this problem. How am I expected to rely on the data in my WebBroker account?
    This problem never seemed to occur for the 10 years prior to a couple of years ago. Did they hire an IT manager who doesn’t know what he is doing?
    Jeez, fix the problem, TD!

    #28271 Reply

    Brock

    Pro: nice looking interface, multi-leg orders on US, Ink research (insider trading), Think or Swim available for US Margin Accounts

    Con: poor website navigation, no multi-leg orders for Canadian ticker, only 2 leg orders for US, switched to Morningstar quant reports from CFRA, website instability – many, many bugs in coding, poor customer service when issues are escalated, incorrect options data, Advanced Dashboard is terrible (a high school kid could create a better platform), high fees, poor education offered, past activity limited to only 90 days.

    #26570 Reply

    Kenneth

    After two decades of being TD Direct Investing customer, I moved my accounts to other brokerages, namely Interactive Brokers and Questrade.

    Here are my reasons:
    TD Direct Investing is way behind Interactive Brokers in terms of what they offer through their platform (Compare TD Advanced Dashboard with Interactive Brokers Traders Workstation)
    TD Direct investing flat rate commission of $9.99 means I pay 10 times more to TD for buying or selling 100 shares than I pay Interactive Brokers (only $1) for same shares!!!
    When it comes to Option trading: TD Direct investing charges around $42 for exercise or assignment of options and Interactive Brokers charges $0 for being assigned and very small amount for exercise.
    Incompetence: The main reason for my switch was constant frustration dealing with incompetent TD Direct Investing employees and their operating system. Giving wrong answers to my questions, sending money to the wrong TD branch for customer to pick up, making mistakes in implementing my instructions, prolonging a simple process that should not take more than two weeks to months, etc.

    Bottom line: Avoid TD Direct Investing if you are an average stocks/options trader with average investing knowledge and sophistication and you want to:
    Save big on trade commissions and avoid frustration

    #26529 Reply

    Don Piears

    I have shares bought through you but I cannot access your site. The only site I have been able to look at demands a log-in password, but previously I used to give parts of my password as requested.Also, the site doesn’t recognise my account user name. Please help.

    #26021 Reply

    George

    Hi all,

    Maybe someone can help me.

    I just got into the pot stocks game 1 year ago. I started with $1,000

    At the moment I am up $600. What would be the smart thing do with the $600 profit?

    If I sell and take the profit, then I will have to buy again anyway, and at a higher price. Or should I sell, take the profit and buy additional shares with it? Or should I just leave the profit there and hopefully in 20 years my initial investment of $1,000 might become 10,000 or even more?

    Thanks for your help. Much appreciated.

    George

    #25495 Reply

    Mary Edmondson

    Hi
    I was attacked by employees from TDWaterhouse brokerage. I launched a terrific trading system there earning a systematic 50% return. I had a dream to trade and invent systems. It took me 30 years to do that in my spare time. I got brain injury and lead poisoning in my teaching job so it was very difficult for me. Electronic weapons were used. My system is Covenant Treaty property but women are not welcome even if we are a huge success. I did not get brain injury treatment because a false mental health fraud was created.All my work was taken. I do not recommend these criminals to anyone.
    TD and Royal Bank use my work leaving me injured to die living in my car. RCMP and Apple helped them.
    Merry Christmas Canada
    Mary

    #24650 Reply

    doug

    TD Direct has a “let them eat cake” attitude on dealing with clients. That’s if you can get them to answer the phone. They are egalitarian though, doesn’t matter if your accounts are $1.5 million or $25,000. You’re all treated the same indifferent way. My recent beef with them is on a late arriving, time sensitive, Corporate Action Notice. Arrived too late to even partake of the offer. Now we are left with a tax issue rather than the option to defer taxes with a take up of new shares. TD’s broker reply was “Take it up with Canada Post”. This is the 12st Century TD, everybody connects digitally & you even do it with your clients when logging in to our accounts. We are faced with adverts before accessing our accounts, so why not do the same with Corporate Action Notices, tailored to the individual accounts that will get to the client in a timely manner? Snail Mail is soooo much better, eh?
    Have an issue you want to discuss with them? Phone only………wait…..wait some more. There is no address for service on any of their websites. Got mine from the late arriving Corporate Action Notice. US clients are treated better & I would suggest that your fees & charges are subsidizing better access for US clients over the home town ones. They don’t have to pay for Level 2 quotes. For them, it’s free. Used to be Presidents account holders had a different phone line to call & better access. Not today. Please wait a while.

    Problem is it isn’t much better any where else, or marginally so & they all know it. It’s the Canadjian way. Yugo Service, one indifferent size fits all.

    #24329 Reply

    Ed Ares

    After having brokerage accounts with National Bank, RBC, Scotia iTRADE and Disnat, I can say that TD Direct Investing is the best of all. I have never had any issues with their trading platform, no long wait times when I call them, their integration with TD Canada Trust allows for immediate transfers to and from the brokerage side, and the most important for me is their second to none market data and analysis.

    #23358 Reply

    Harry

    Please be prepared for explaining your black balling of this Investment Manager, who had the temerity to rescind the allocation of a recent Convertible–done way inside the time interval provided for doing so, and whereby notification was issued via a ?”Resource Official, that no further expressions of an interest by the writer on behalf of the Family Company’s portfolios thereafter.
    It isn’t Masrani that you will be explaining this matter to.
    Take Care.
    Harry.

    #23124 Reply

    gerald turner

    TD Direct Investing are totally useless if you retire and move from Canada to the USA. Despite regulations that specifically allow for retirement accounts to be traded online through webroker, TD refuse to implement changes to allow this. Instead they make you call an 800 number and wait up to 45 minutes to place a trade. They are the absolute scum of the earth and use a made up excuse for this based on specific US state restrictions – even though the SEC rules exempt them from this. Their IT department must be a bunch of lazy morons – and their so called customer care group doesn’t have a frigging clue.

Viewing 10 posts - 1 through 10 (of 57 total)
Reply To: Canadian Online Brokerage Review – TD Direct Investing (TD Waterhouse)
Your information: