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 10
6th out of 10
3rd out of 10
4th out of 7
4th out of 11
September 2018
September 2017
September 2016
September 2015
September 2014
September 2013
MoneySense Getting Started
Market Data
Runner Up
Top Pick
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 52 replies, has 3 voices, and was last updated by  George 4 weeks, 1 day ago.

Viewing 3 posts - 51 through 53 (of 53 total)
  • Author
    Posts
  • #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.

    #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

    #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

Viewing 3 posts - 51 through 53 (of 53 total)
Reply To: Canadian Online Brokerage Review – TD Direct Investing (TD Waterhouse)
Your information: