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Jitneytrade – Review of Pricing
(updated Sept. 24/13)
JitneyTrade is not a name that is as well-known a discount brokerage as some other Canadian online discount brokers. Based out Montreal, they’ve been around since 2001 providing discount brokerage services that are primarily geared towards traders.
Like many of the other Canadian online discount brokerages, JitneyTrade offers both “registered” and “non-registered” accounts. Registered accounts include tax-free savings accounts (TFSAs), registered retirement savings plans (RRSPs) and registered education savings plans (RESPs). Fortunately for clients there are US dollar registered accounts. On the downside, however, there are annual charges for their registered accounts (see below) some of which are much higher than their competitors. As a note, for registered accounts you cannot use margin or short stocks.
When you land on JitneyTrade’s website, it is remarkably uncluttered and easy to navigate. While there is not a lot of unnecessary information, there is also a lot that the website doesn’t really tell you. One of the most distinguishing features of this discount brokerage firm is their wide selection of trading platforms – almost a dozen or so. Because they have catered primarily to very active traders, JitneyTrade also offers a customized pricing structure that depends on volume of shares traded. The more you trade, the lower your commission per trade. For the very active trader, they are also willing to tailor a pricing plan that matches your trading style. Just how “active” is “active”? Well, that’s actually negotiable, because it is based on volume of shares traded not necessarily frequency of trades placed (i.e. the number of shares traded per month can happen in one day or be spread out over the month). For clarification, it is certainly worth a call to see what kind of pricing one can get.
For most investors or less active traders, JitneyTrade offers a fairly straight forward pricing structure. The commissions per trade are $8.99 + ECN and exchange fees, regardless of order size or stock price. Their choice of platforms is impressive as well as the fact most level 1 data feeds on most major exchanges are included in the pricing (with the exception of the TSX Venture which is an additional $24-$26 depending on the platform). The minimum account balances don’t apply to “cash” accounts but are in place to open a “margin” account. There are inactivity fees ($20/month) however the threshold to avoid them is fairly low – coming in at one trade per month in any account, registered or non-registered.
The Bottom Line
Very active traders, including day traders, are able to get substantially better commission rates than those currently posted on the website, however it will require negotiating that with the JitneyTrade sales team. One thing that definitely makes JitneyTrade stand out above the rest of their online discount brokerage peers is their wide platform selection and its pricing. For less active traders, the rates, while not the cheapest, are certainly not the most expensive either, at least for the non-registered accounts.
JitneyTrade Website Links:
Here are some useful links to important information on JitneyTrade’s website.
Discount Broker Customer Survey Ratings:
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