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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
Young Investor Offer 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

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

This topic contains 72 replies, has 3 voices, and was last updated by  Kevin Baigent 6 hours, 19 minutes ago.

Viewing 10 posts - 1 through 10 (of 73 total)
  • Author
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  • #29513 Reply

    Kevin Baigent

    They used to be the best in the game. They aren’t even average anymore. Difficult to see pending orders and hard to contact. I am in the process of moving my American funds trading account to Scotia bank and if they are better will move my Canadian trading account too. Only thing I am not sure about is whether to sell all my td stock. Like the dividend but have to think after my own experience and bad reviews I have read here it makes me think their stock price may be down over the next couple years.

    #29446 Reply

    William Goslett

    Absolutely horrible horrible service. I have waited 2x for over 1hour this morning. Cheap banks will not man their lines with staff. They are always experiencing a higher than normal call volume.
    Some every day.
    They may as well just tell you that they have your money so drop dead we don’t want to give you service.

    Read the comments above. Pretty much identical. We are TD. We hate our customers and if we have your money, we don’t want to talk to you.We will abuse you waste your time and then disconnect you after having you on hold for hours.

    #29406 Reply

    Kumar k

    You can bang your head against the wall.
    I tried every 2-3 weeks when i end up hanging up.
    You divert you attention to the forehead bleeding instead of all the money you are losing

    WHO DO WE TELL

    #29405 Reply

    Kumar K

    This is the worst service ever. Every 2-3 days the dam shitty system does not allow assess.
    Yes no access and they keep claiming Techincal Difficulties. WHAT THE crap

    Loose money every other week as can not get in to buy or sell
    They should be dam sued or out of business

    WHO THE DAM DO WE TELL

    #29372 Reply

    Hermm

    What is a leg? the fees are high 9.99 a trade, but the only way to switch broker’s would be to cash in all your investments, and start fresh. is this correct????? Service is terrible took 2 days, to sell my td mutual funds in webbrocker and by that time i lost $500. the fund dropped? should have been the amount stated when i made the order April 30 20. and it sat there until fund dropped, i have heard of wealthsimple put is An app and takes awhile to transfer cash in to it. Feel handcuffed here.

    #29371 Reply

    Michael

    I have been a loyal customer of this bank. The service was excellent but now it is completely the opposite . Their software is crap. Their commission is high and their service does not exist. You call them and they put you on hold for one hour till you give up and hang off
    Be careful before you transfer your account to TDWaterhouse

    #29355 Reply

    Rob

    TD Direct worst service, they do not answer phone calls. This morning around 7:15am I was on the phone for 1 hour 15 minutes, after waiting that long voice message tells due to technical reasons they can not answer now call later. this is going on for last 3 months. Other brokers i.e. BMO Investorline is answering after reasonable wait. It is time to switch to another institution. TD Direct do not car for clients anymore. I am thinking about switching after 25 years.

    #29353 Reply

    Rajinder Dhaliwal

    I am TD Direct client for very long-time. Recently there costumer service is zero. I have been on the for an hour each time without luck. They tell you use automated services. How you correct execution error by using automated service.
    Today April 29th, I call 16:25pm to deal with the error, I am on the phone for over one hour no answer. During thins wait I also send email to tddirectinvesting@td.com, no response. I do not understand how one could spend one fifteen minutes waiting. My call was after market close. Their voice indicates that it may take longer but not response after hour & fifteen minutes.
    After 30years with them I am considering changing my brokerage.

    #29322 Reply

    Mel

    Yes, WebBroker does support two-leg option trading: Go to Trading –> Options –> Strategies –> Multi-Leg. This way you will be charged only one commission fee plus $1.25 per contract for each leg.

    #29307 Reply

    Preet Chawla

    I am considering TD Direct investing and I am being told that it does support two leg options for Canadian stock. Please let me know if this info is wrong. I would greatly appreciate your help. Thanks.

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