Where to Start Investing in Canada: Wealthsimple vs. Questrade

Where to Start Investing in Canada

Building wealth doesn’t require a complicated strategy or massive upfront capital. It requires establishing a reliable system, keeping your fees low, and letting small improvements compound over time.

For decades, Canadians were steered toward high-fee mutual funds sold at their local bank branches. Paying a 2% or higher Management Expense Ratio (MER) might sound like a minor detail, but over a 20- or 30-year timeline, those fees siphon away hundreds of thousands of dollars of your potential growth.

Today, the landscape is entirely different. You can bypass the traditional system entirely. Getting started now comes down to picking an online brokerage that fits your workflow—one that allows you to easily execute your strategy with minimal friction and minimal fees. The two most dominant platforms for doing this in Canada are Wealthsimple and Questrade.

What This Guide Covers

This guide explains the difference between managed and self-directed investing, breaks down the core strengths of Wealthsimple and Questrade, provides a framework to help you choose the right tool for your specific goals, and offers welcome bonuses to help you set up your first account.

The Two Ways to Build Your System

Before choosing a platform, you need to decide how much manual control you want over your investments. A good financial system is only valuable if you actually stick to it, so you have to be honest about your willingness to manage the process.

The automated route

Robo-Advisors (Managed)

You answer a questionnaire about your goals and risk tolerance. The platform builds and automatically rebalances a diversified portfolio for you. You just deposit money, and the system handles the execution.

The control route

Self-Directed (DIY)

You choose and buy the specific stocks or Exchange Traded Funds (ETFs) yourself. It requires basic knowledge and a bit more discipline, but it allows you to optimize for the absolute lowest fees possible.

Key idea: Both Wealthsimple and Questrade offer excellent options for both paths. Your choice comes down to which platform’s specific features best align with your day-to-day workflow.

Wealthsimple: Optimized for Absolute Simplicity

Wealthsimple has built its reputation on removing every possible barrier to entry. If you want the slickest, most user-friendly app experience available to Canadians, this is it.

On the managed side, Wealthsimple Managed Investing charges a management fee between 0.4% and 0.5%. They take care of dividend reinvestment, rebalancing, and asset allocation automatically.

On the DIY side, Wealthsimple Stocks & ETFs changed the Canadian landscape by introducing zero-commission trading for Canadian stocks and ETFs. If you are starting with small amounts and want to contribute incrementally without getting punished by $5-$10 trade commissions, Wealthsimple is highly effective. They also offer fractional shares, meaning you can invest exact dollar amounts into companies regardless of their share price.

The trade-off: Wealthsimple makes money on currency conversion. If you buy US-listed assets, you will pay a 1.5% fee on both the buy and the sell, unless you upgrade to a paid USD account tier.

Questrade: Optimized for Control and Scalability

Questrade is Canada’s largest independent discount brokerage and is generally favoured by intermediate and advanced investors who want granular control over their portfolios.

For hands-off investors, Questwealth Portfolios (their robo-advisor) is highly competitive, starting at a remarkably low 0.25% management fee—noticeably cheaper than Wealthsimple’s baseline rate.

Where Questrade truly excels is in its self-directed platform. Questrade allows you to buy ETFs for free. You can build a globally diversified, low-cost ETF portfolio without paying commissions to buy in (standard commissions apply when you eventually sell).

Crucially, Questrade handles US dollars natively. If your system involves buying US-listed ETFs or stocks, you can hold USD in your Questrade account without paying a monthly subscription fee or suffering forced currency conversions on every transaction.

How to Choose Your Platform

Both platforms are regulated by the Canadian Investment Regulatory Organization (CIRO) and protect your accounts through the Canadian Investor Protection Fund (CIPF). Here is how to decide based on your specific needs:

You want the easiest app possible

Wealthsimple. The user interface is unparalleled for beginners who want a smooth, modern, mobile-first experience.

You want to buy US stocks

Questrade. The ability to hold US dollars natively without paying ongoing subscription fees or constant 1.5% conversion fees is a major advantage for USD traders.

You trade CAD stocks frequently

Wealthsimple. Zero commissions on all Canadian trades makes it perfect for frequent buyers of Canadian dividend stocks or local ETFs.

You want the cheapest Robo-Advisor

Questrade. Questwealth Portfolios charge 0.25% compared to Wealthsimple’s standard 0.50% (for balances under $100k).

Side-by-Side DIY Comparison

If you are taking the self-directed route, here is how the core metrics stack up:

Feature	Wealthsimple (DIY)	Questrade (DIY)
Buying Canadian Stocks	$0 commission	1¢/share (Min $4.95, Max $9.95)
Buying ETFs	$0 commission	$0 commission
Holding US Dollars	Requires $10/mo Plus subscription	Free / Standard feature
Fractional Shares	Yes (on select assets)	No
Account Minimums	$0	$250 to start investing

Get Started Today (And Claim a Bonus)

The best time to start compounding your wealth was a decade ago; the second best time is today. The hardest part of investing is simply taking action and setting up the initial architecture. Once the account is open and funded, the rest is just maintaining the system.

Use the links below to open your account and claim a welcome bonus to kickstart your portfolio.

Start with Questrade

Best for USD handling, robust trading tools, and ultra-low fee Robo-Advisors.

Start with Wealthsimple

Best for absolute beginners, mobile-first design, and free Canadian stock trades.

Must sign up using referral code: HGSFIX. Earn a bonus when you deposit $100 or more. Any transfers and deposits initiated within the next 30 days count toward the tally, minus withdrawals. See terms and conditions for full details.

Helpful CFT Tools and Guides

Once you open your account, you will need to decide what type of registered account to use (like a TFSA or RRSP) and how much you can comfortably contribute. These tools can help you establish the math behind your strategy.

RRSP vs TFSA Decision Helper

Compare which registered account may make more sense for your next contribution.

Retirement Savings Planner

Estimate how small, consistent contributions will compound over your timeline.

Budget Planner Tool

Understand your income, expenses, and exactly how much you can allocate to your new portfolio.

Net Worth Tracker

Track assets, debts, and the overall progress of your new financial system.

Bottom Line

You do not need to be an expert to start investing, and you certainly don’t need to pay high management fees to a traditional bank.

By choosing a modern platform like Wealthsimple or Questrade, you are taking control of your financial architecture. Whether you prefer the totally automated approach of a robo-advisor or the granular control of a self-directed account, the most important thing is establishing the habit. Keep your fees low, stay consistent, and let time do the heavy lifting.

Disclaimer: This article is for general educational purposes only and should not be considered financial, investment, tax, legal, or accounting advice. We may receive affiliate compensation if you click the links provided and open an account. This helps support CFT at no extra cost to you. Always do your own research or speak with a qualified professional before making major financial decisions.