RBC Direct Investing is an online brokerage platform for independent investors looking to trade stocks, ETFs and other investment stocks. RBC Direct Investing (RBC DI) is RBC’s discounted online brokerage that provides individuals with the opportunity to trade stocks, ETFs, mutual funds, options and fixed income securities in taxable and tax-protected retirement accounts. Investors interested in opening an account with RBC will benefit from reading the following reviews to understand what they can get from the online trading platform. Then, if they are already an RBC client but not yet an RBC Direct Investing client, they go to the home page, click on the “Open an Account” link and select the registration method for existing clients.
If you’re an RBC customer, you can open an account in minutes (but it may take longer if you don’t have an RBC bank account). In addition, you can quickly transfer money from your RBC bank account or other banks. However, only RBC-bank customers can withdraw money for free, and there are also commissions for accounts below a certain account balance.
If you are already using RBC banking services, you may not be charged any fees if you meet specific criteria (see details). However, for those who have less than $15,000 on their balance, RBC charges $25 quarterly. Plus, you can avoid the $25 quarterly maintenance fee by investing $15,000 or more. In addition, you may be eligible for a quarterly account maintenance fee of $25 per quarter if your account balance is less than $15,000.
If you trade 150 or more times per quarter, you will be charged a fixed amount of CAD 6.95 per transaction. However, if you make more than 150 trades per quarter, you are considered an active trader and pay $6.95* for ETFs and stock exchanges and $6.95* + $1.25* per contract. This is because equities, ETFs and options commissions are at volume levels, and you get a rebate after 150 trades per quarter. As you can see, the easiest is a flat fee of $9.95 per transaction (shares or ETFs), which drops to $6.95 for active trading accounts, determined by 150 or more trades per quarter.
What you need to pay attention to are the trading and non-trading fees. For example, in the case of investing in stocks, commissions are the most substantial fees. There are seven different RBC commissions, and each has its nuances. In addition, you will pay different amounts for trades depending on the type of investment you are buying and selling.
What is RBC Directing Investing?
Invest in a long list of mutual funds designed so you can pool your money with other investors to cut your costs. As for investment options, you can trade stocks, exchange-traded funds (ETFs), mutual funds, options, bonds, treasury bills, bonds, and guaranteed investment certificates. Choose between Canadian and US stocks; ordinary and preferred shares; new problems; options; rights and guarantees; stocks, fixed-income funds and money market mutual funds; exchange-traded funds (ETFs); and fixed income investments such as Treasury bills, bonds, and GICs. In addition, there are several registered and unregistered accounts that you can invest in (including TFSA, RRSP or RESP, cash and margin accounts).
You can contact RBC Customer Support for assistance with your account or investments. The platform has an online community where investors can connect to discuss investment ideas. For novice investors, it offers a range of learning resources and online practice accounts to familiarize you with the platform before investing real money.
I highly recommend this service to any investor, especially beginner and hobbyist investors, as the site splits the data efficiently and provides thoughtful tools and tutorials for creating portfolios. In addition, RBCDI offers services such as mobile trading, free educational workshops, research and planning tools, hands-on trading accounts, and the convenience of linking investment accounts to RBC bank accounts. Its direct competitors in Canada are brokers owned by central banks such as TD Direct Investing and independent online brokers such as Questrade and Wealthsimple Trade.
If you trade less than 150 trades per quarter, RBC Direct Investing charges a fixed options transaction fee of $9.95 per contract plus $1.25 per contract. In terms of RBC Direct Investing transaction fees, you will pay $9.95 per trade (including ETF trades) and can trade on any stock market in North America.
Our review of Questrade found it to be the industry leader in low transaction fees in Canada, but RBC isn’t holding back in this category. Additionally, RBC offers a “Pay with Points” service that allows you to pay transaction fees with points, giving you a slightly above-average boost of up to 7.5/10. RBC now allows its customers to pay for transaction fees using RBC Rewards points, an innovative way to take advantage of all the benefits the bank has to offer. Individuals with a personal RBC account can convert their RBC Rewards points into their investment account contributions.
If you are banking with RBC, probably the most significant advantage is the ability to deposit cash into your account instantly. You can use the RBC Mobile app to access your deposit and investment accounts, and you need the app. You can access all your RBC accounts and use them for your investment needs through the application. As mentioned above, RBC is the largest bank in the country, and its investment platform has all the latest security measures, including two-factor authentication.
It is regulated by the Investment Industry Regulatory Organization of Canada (IIROC) and is a Canadian Investor Protection Fund (CIPF) member. It also offers other benefits such as the ability for clients to convert their RBC Rewards points into investment grants, an online forum for investors to share ideas and ask questions, various investment tools, a mobile app, and even a free RBC practice. Accounts, which many large banking intermediaries do not have. You may pay a little more to use an RBC online broker than some cheaper Canadian brokers. Still, you will get a platform and account options suitable for investing through one of the largest Canadian companies.
If you hold combined assets, you will not be entitled to maintenance fees on your account. Instead, you must pay a quarterly fee of $25 to maintain your account unless the account balance in your RBC Direct Investment account exceeds $15,000 or more. When redeeming a Silver Certificate, you can expect to pay $28.95 plus $0.10 per ounce.