Is Wealthsimple better than a bank for investing?

For most Canadians, yes. Wealthsimple charges $0 commissions on stock and ETF trades, compared to $9.95-$9.99 per trade at the Big 5 banks. Wealthsimple also offers fractional shares, a superior mobile app, and integrated banking. Banks are better for investors who want in-person service or complex accounts like margin trading.

Is my money safe with Wealthsimple compared to a bank?

Yes. Wealthsimple is regulated by CIRO (same regulator as bank brokerages) and is a member of CIPF, which protects your investments up to $1 million per account category. Cash deposits in Wealthsimple Cash are CDIC-insured up to $100,000 — the same protection as bank deposits.

Should I switch from my bank to Wealthsimple?

If you are paying $9.95+ per trade at a bank brokerage, switching to Wealthsimple will save you hundreds or thousands per year. Wealthsimple also covers transfer-out fees from your bank. The main reason to stay at a bank is if you need margin accounts, advanced research tools, or prefer in-person support.

Wealthsimple vs Big 5 Banks for Investing in Canada 2026

Side-by-Side Comparison

Feature	Wealthsimple	RBC Direct	TD Direct	BMO InvestorLine	Scotia iTRADE	CIBC Investor’s Edge
Stock trades	$0	$9.95	$9.99	$9.95	$9.99	$6.95
ETF buys	$0	$9.95	$9.99	$9.95	$9.99	$6.95
ETF sells	$0	$9.95	$9.99	$9.95	$9.99	$6.95
Fractional shares	✅	❌	❌	❌	❌	❌
Account minimum	$0	$0	$0	$0	$0	$0
Inactivity fee	None	None	$25/qtr (under $15K)	None	$25/qtr (under $25K)	None
Mobile app rating	4.7/5	3.5/5	4.0/5	3.7/5	3.2/5	3.5/5

Fee Comparison: Real Cost of Bank Investing

Cost of 10 Stock Trades Per Month

Platform	Monthly Cost	Annual Cost	5-Year Cost
Wealthsimple	$0	$0	$0
CIBC Investor’s Edge	$69.50	$834	$4,170
RBC Direct	$99.50	$1,194	$5,970
TD Direct	$99.90	$1,199	$5,994
BMO InvestorLine	$99.50	$1,194	$5,970
Scotia iTRADE	$99.90	$1,199	$5,994

Cost of Monthly ETF Purchases (Buy-and-Hold)

Scenario	Wealthsimple	Bank Brokerage
Buy 1 ETF monthly	$0/year	$120/year
Buy 3 ETFs monthly	$0/year	$360/year
Buy 1 ETF biweekly	$0/year	$260/year
Over 10 years	$0	$1,200–$3,600

Features Comparison

Trading Features

Feature	Wealthsimple	Banks (Typical)
Commission-free trades	✅ All trades	❌ ($6.95–$9.99/trade)
Fractional shares	✅ ($1 minimum)	❌ (must buy full shares)
Real-time quotes	✅ Free	⚠️ Often delayed or paid add-on
Options trading	✅	✅
Crypto trading	✅	❌
USD account	✅ (Premium, $3/month)	✅ (free)
After-hours trading	❌	❌
Short selling	❌	✅
Margin account	❌	✅

Research and Tools

Feature	Wealthsimple	Banks
Stock screener	Basic	Moderate to advanced
Charting tools	Basic	Moderate to advanced
Analyst reports	Basic consensus	Morningstar, in-house research
News feed	Basic	Comprehensive
Tax reports	✅ (integrated with Wealthsimple Tax)	✅ (downloadable)
Portfolio analysis	Basic	Moderate

Account Types

Account	Wealthsimple	Banks
TFSA	✅	✅
RRSP	✅	✅
FHSA	✅	✅
RESP	✅	✅
LIRA	✅	✅
RRIF	✅	✅
Non-registered	✅	✅
Margin	❌	✅
Corporate	✅	✅ (some)
Joint non-reg	✅	✅
In-trust	❌	✅

The Wealthsimple Ecosystem vs. Bank Ecosystem

Wealthsimple: All-in-One Platform

Service	Included	Cost
Self-directed investing	✅	$0 trades
Robo-advisor (Invest)	✅	0.4–0.5% management fee
Cash account (banking)	✅	$0, earns 3.5–4% interest
Crypto trading	✅	$0 commissions
Tax filing (Wealthsimple Tax)	✅	Free
Peer-to-peer payments	✅	$0

Big 5 Banks: Bundled Services

Service	Included	Cost
Brokerage	✅	$6.95–$9.99/trade
Banking (chequing/savings)	✅	$0–$30/month
Credit cards	✅	Annual fees vary
Mortgage	✅	Competitive rates
In-person branches	✅	Free
Financial advisor	✅	Often commission-based/product-driven
Multi-product discounts	✅	Fee waivers with multiple products

When Wealthsimple Is Better

Situation	Why Wealthsimple Wins
Buy-and-hold ETF investor	$0 commissions save hundreds/year
Beginner investor	Best mobile app, simplest interface
Small/frequent purchases	Fractional shares mean every dollar is invested
TFSA/RRSP auto-investing	Auto-deposit + auto-invest is fully automated
Want banking + investing in one	Cash account + trading + tax filing all integrated
Cost-conscious investor	No commissions, no account fees, no minimum

When Banks Are Better

Situation	Why Banks Win
Need margin account	Wealthsimple doesn’t offer margin
Prefer in-person advice	Banks have branches and advisors
Need advanced research/charting	Banks have more robust tools
Short selling	Not available on Wealthsimple
Bundle discount (mortgage + banking)	Multi-product relationships can reduce banking fees
Large portfolios wanting dedicated advisor	Banks offer wealth management for $500K+
In-trust accounts	Banks support these; Wealthsimple currently doesn’t

Transferring from a Bank to Wealthsimple

Step	Action
1	Open same account type(s) on Wealthsimple
2	In Wealthsimple app: Funding → Transfer from another institution
3	Select your bank, enter account number
4	Choose in-kind transfer (keep your investments)
5	Submit — Wealthsimple handles the rest
6	Wait 7–20 business days
7	Wealthsimple reimburses transfer-out fee ($150) if you transfer $5,000+

Annual Savings: Switching from Bank to Wealthsimple

Trading Frequency	Annual Bank Cost	Annual Wealthsimple Cost	Annual Savings
2 trades/month	$240	$0	$240
5 trades/month	$600	$0	$600
10 trades/month	$1,200	$0	$1,200
20 trades/month	$2,400	$0	$2,400

Over 10 years, even a modest trader saves $2,400–$12,000+ by switching.

Verdict

Investor Profile	Best Choice
Beginner (just starting)	Wealthsimple
Passive ETF investor	Wealthsimple
Active stock trader (moderate volume)	Wealthsimple
Advanced trader (margin, short selling)	Bank brokerage or Interactive Brokers
Want everything in one app	Wealthsimple
Want in-person financial advice	Bank
Cost-conscious	Wealthsimple