Questrade vs Qtrade – Who’s The Best Canadian Broker 2023?

After several years of Questrade claiming the top spot in our list of best Canadian discount brokers 2023 proved to be the year that Qtrade claimed the crown.

You can tell from our full length Qtrade review and Questrade review that we are big fans of both brokerages, and that any honest Qtrade vs Questrade comparison will show two brokerages closely competing on fees and platforms.

The deciding factors in choosing Qtrade over Questrade are:

1) Qtrade is consistently ranked higher on the Globe and Mail and Moneysense brokers ratings.

2) Qtrade has a decisive customer service advantage over every other online broker in Canada right now – and that is especially true vs Questrade.

3) We love Qtrade’s free ETF buying AND selling – whereas Questrade only allows you purchase ETFs for free.

4) Qtrade’s current promo offer is substantially better than Questrade’s – making it an even more clear value selection.

The Qtrade vs Questrade Quick Comparison

If you are looking for a quick comparison of Questrade vs Qtrade, have a look at the somewhat visual chart below that touches all the main areas on our comprehensive broker reviews.

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Please see our full-length Qtrade Review or Questrade Review for more information on our two leading brokers.

Brokerage Investing Account Options

Back when MDJ started to compare online broker investing account options there were some big differences between the “haves” and the “have nots”. Thankfully, competition has essentially guaranteed that most brokers now offer all of the major Canadian account options.

When we specifically compare the account options for Qtrade and Questrade, we find that there isn’t much difference at all.

Both of our leading brokerages offer the main accounts that most Canadians will use: RRSP, TFSA, RESP, non-registered trading accounts, margin trading accounts, and joint investment accounts.

Additionally, both Qtrade and Questrade offer the following investing account options: USD accounts, spousal RRSP accounts, options trading accounts, corporate trading accounts, and basically any account that you’ll find anywhere else. RDSP accounts continue to be the forgotten account in Canadian personal finance.

Customer Service Comparison

While Questrade continued to lead the pack when it comes to per-trade fees in Canada, the rush to DIY investing – combined with Covid-related logistics issues – led to customer frustration with Questrade throughout 2020 and 2021.  With many commenters reporting wait times of 3-5 hours whether they used the call-in feature or online messaging, there was a premium to be put on customer service.

Now that’s not to say that Questrade won’t adapt and adjust to these new market realities in 2023, but for now, Canadians’ consistent expectation of solid customer service means that Qtrade has climbed to our #1 position when it comes to crowning the King of the Discount Brokerage mountain.

Questrade has reported that they’ve made an effort to substantially boost their customer service manpower, so we wait and see to what degree long-term improvements have been made.

All of that said, if you’re an experienced investor that rarely requires help when using your discount brokerage platform, then the consistent commitment to low fees might mean that Questrade is still the best fit for you.

Qtrade, on the other hand, has really doubled down when it comes to hiring enough customer service professionals, and making sure they are prepared to their high standards.

Don’t just take my word for it…

“Qtrade excels in every area – especially in customer service.”

MARK BROWN, INVESTING AND RANKINGS EDITOR FOR MONEYSENSE

“We congratulate Qtrade Investor for its convincing win…and for its commitment to innovation and unmatched service levels.”

Glenn LaCoste, President of Surviscor

Rob Carrick over at the Globe and Mail has given Qtrade the highest marks for several years now as well.

What it really boils down to is that Qtrade has a decade-and-a-half of experience when it comes to being the leader of online broker customer service.

There simply is no comparison if you’re looking for a long-term brokerage solution that you can trust to stay on top of the game.

Questrade vs Qtrade ETFs

Much to my delight, both Questrade and Qtrade have prioritized their ETF trading strategies, and both discount brokers are far ahead of Canada’s big banks in this area.  Here’s the deal:

Qtrade: Will allow you to both buy AND sell ETFs over 100 ETFs for free.  While not all ETFs are covered, index investors (aka: Couch Potato Investors) can find everything they need on this list, including my favourites:

• Horizons S&P/TSX 60 Index ETF  (HXT)
• Horizons S&P 500 Index ETF (HXS)
• iShares MSCI Emerging Markets Index ETF (XEM)
• iShares Global Real Estate Index ETF (CGR)
• iShares Canadian Government Bond Index ETF (XGB)
• iShares Core Growth ETF Portfolio (XGRO)
• iShares Core Equity ETF Portfolio (XEQT)

If you are all about cutting fees to the absolute bone, opening an account with Qtrade and rebalancing using these ETFs is absolutely free.  You simply can’t beat that.

Questrade: Will allow you buy ETFs for free, BUT you have to pay when you sell ETFs.  This means that when you’re rebalancing your couch potato account, you will have to pay their normal trading fees for each ETF order that you sell, each time you sell it.  Buying ETFs for free is still a really good deal, it’s just not equivalent to what Qtrade is offering.

The Bottom line is that Qtrade does ETFs better.

Qtrade Investor vs Questrade Fees and Commissions

There is no doubt that Questrade really shines when it comes to fees and commissions.  They have continually emphasized this point over the years, and their basic trading fee of $4.95 for up to 500 shares, and a maximum of $9.95 per trade is an excellent value.

That said, Qtrade’s $8.75 price per trade (with a discount down to $6.95 for frequent traders) is no slouch either, and comes in below the trading fees for RBC, TD, BMO and Scotiabank.

Here’s a few other fee comparison points in the Qtrade vs Questrade battle:

• ECN Fees: ECN fees are usually relatively small amounts tacked on to the base trading fee.  Qtrade never charges these fees while Questrade charges them when a trade “removes equity from the market”.  For most investors it’s a relatively small amount if it’s charged at all.
• Account Fees: Qtrade charges a $25 quarterly account fee – but it will be automatically waived in either case if you follow the steps we’ll outline below. Questrade currently has no inactivity fee.
• Mutual Purchase Fees: Questrade charges investors who purchase mutual funds while Qtrade does not.
• Dividend Reinvestment Plan (DRIP) Fees: Qtrade and Questrade have both Canadian and American DRIPs that are completely free.
• Forex Spread Fees: Questrade will charge you roughly 5% more in order to transfer your money from Canadian Dollars to United States Dollars – or vice versa.
• Transfer Fees: Both Questrade and Qtrade will reimburse you up to $150 to transfer your broker account over to them.

Avoiding the Qtrade Account Fees

If you want to make the best use of Qtrade, it’s essential that you pay attention to how to avoid the pesky account fees.  These can chew at small accounts fairly rapidly. Each company makes the quarter fee easy to waive provided that you…

Qtrade – Do one of the following:

1) My recommendation to new investors is to set up an automated contribution to their brokerage account. This simply means that you send $100 (or more) from your bank account to your brokerage account each month.  This is an excellent initial goal for a new DIY investor. Qtrade refers to this as a “recurring electronic funds contribution” and it has no fees attached.

If you set up this solid investment practice, then you can avoid Qtrade’s quarterly account fees no matter what your balance or trading levels.

2) Have at least $25,000 in assets on the last business day of each 3-month period (called “quarters” in the investing world).

3) Complete two commission-generating trades in the preceding quarter.

4) Complete 8 or more trades in the last 12 months

5) The fee is also waived if you are considered a “Qtrade Young Investor” (aged 18-30) and set up a $50 PAC.

Qtrade vs Questrade Fees Bottom Line

Qtrade is the best Canadian brokers for those whose portfolio and trades consist of mostly Canadian ETFs. Questrade is the cheapest broker for anyone else.

Are Qtrade and Questrade Safe?

Yes!

Both Qtrade and Questrade are extremely safe to use.

They are as safe as any other financial institution in Canada – which is known for its incredibly safe and secure banking infrastructure.

Just to be absolutely clear – both Qtrade and Questrade brokerages are just as safe as the brokerages from TD, RBC, BMO, CIBC, and ScotiaBank.

Our two favourite discount brokerages offer the latest in digital security, but what makes me even more confident that my money is safe is the Canadian Investment Protection Fund (CIPF).

The CIPC was set up by the Canadian government to protect Canadian investors.  The idea is that the federal government will insure up $1 Million Canadian in each of your investment accounts (RRSP, TFSA, etc).

Now – it needs to be said that when we say that Qtrade and Questrade are safe, what we’re talking about here is safe from hackers, fraud, bankruptcy, etc.  Not that you personally are safe from investment risk.  If you invest in crazy meme stocks and lose a bunch of money that’s not your brokerage’s fault!

Comparing Questrade and Qtrade Desktop and Mobile App Platforms

You can see from our displays below that both Qtrade and Questrade have really created and refined excellent desktop and mobile app platforms.

That said, the Qtrade app has higher ratings in both the Apple App Store and the Google Play Store.

Overall you can’t go wrong with either option as far as their newest desktop rollouts go.  Personally, I think the user experience is excellent for both Questrade and Qtrade’s desktop platforms (which is why I use them and usually stay off of investing mobile apps altogether).

That said, I think the Qtrade platform is a little more beginner-friendly.

Globe and Mail Qtrade vs. Questrade Comparison

We were happy to see that Rob Carrick over at the Globe and Mail agreed with our Qtrade vs Questrade take, with Qtrade taking home the highest rating, but Questrade coming in right behind with a solid B+.

In his 2022 broker comparison Carrick wrote:

“As has often been the case in this ranking over the years, Qtrade Direct Investing is the broker that does it best. Other brokers beat Qtrade in specific areas like commission costs, but Qtrade’s overall goodness becomes apparent as soon as you log in and find a neat little dashboard to get you up to speed on your investments.”
Qtrade’s consistently strong showing in this ranking speaks to another of its virtues, constant improvement. Other brokers get better in fits and starts, while Qtrade moves ever forward.
There are huge amounts of embedded value, starting the moment you log into your account and see a dashboard that is second to none in showing what you need to know about your portfolio.”

To be fair, he does leave our favourite broker some room for improvement when it comes to showing analyst research (my personal least important factor when choosing a broker as I prefer to do my own research).

When it comes to Questrade, Carrick writes:

“What is it with the “Q” brokers, Qtrade and Questrade? Both are outstanding in the way they never let up on making improvements. A big add for Questrade lately is instant deposit, which lets you transfer money, typically as much as $3,500 a day, into your account in real time. Questrade has a sharp mobile app and a crisp, all-business website for clients.”

Ultimately, it’s always good when our own conclusions on the two top brokers in Canada are confirmed by Canada’s top personal finance columnist!

Questrade vs. Qtrade: Frequently Asked Questions

Comparing the Qtrade vs Questrade Promo Offers

With the 2023 RRSP season fast approaching, Canada’s two top online brokerages are putting their best foot forward when it comes to enticing you to either begin your DIY investing journey with them – or to move your accounts over.

Obviously you can contribute to your RRSP (or TFSA, RESP, or any other account) at any time in a calendar year, but if you want your contribution to generate a tax deduction for 2022, you must have contributed to your RRSP by March 1st, 2023.  Not coincidentally, that is also the threshold date for you to take advantage of the current Qtrade promo offer – which is the best discount brokerage offer we’ve ever seen.  Qtrade used this offer last year during RRSP season and we were super happy to see them bring it back for 2023.

The basic idea is that Qtrade is going to give you money in two different ways:

1) If you’re new to Qtrade – they’re going to give you 50 bucks just for opening any account with them.

2) Regardless of if you’re new or not, Qtrade is going to pay you some serious cash for switching over to their services.  Just for depositing – or switching over from another brokerage – $5,000… they’re going to put $150 in your account!

It doesn’t end there though.  The more you bring over, the more Qtrade is willing to pay you.  Here’s a look what they’re offering:

If I Deposit or Transfer…	Qtrade Pays Me
$1M or More	$2,000
$500K-$999K	$1,000
$250K-$499K	$700
$100K-$249K	$500
$50K-$99K	$250
$5K-$49K	$150

Questrade won’t leave you high and dry without any goodies for a new sign up.  They’re going to give you $50 in free trades if you start and fund an account right now.  That said, it’s pretty clear whose offer comes out ahead at this point.

Qtrade Refines Real-Time Account Opening

One area that Qtrade worked hard to refine in 2021 was their new account openings.

As a result, they have now streamlined the process to the point where an account can be opened within minutes (qualifying for their best-in-class cash back promotion) as opposed to the old 2-3 business days strategy.

It’s super fast and intuitive to get started, and pairs neatly with the new digital-friendly branding that Qtrade decided to go with in their latest design makeover.

The Head of Qtrade and VirtualWealth®, Christine Zalzal had this to say about Qtrade’s move to faster real-time account openings: “More Canadians than ever want to make their own investment decisions. Whether they are new or experienced investors, Qtrade is focused on empowering them to execute on their decisions quickly and with confidence. We know Qtraders will appreciate getting their account opened almost instantaneously when they apply.”

One of the ways in which Qtrade has been able to remain in the top echelon of Canadian online brokers from Day 1, is their continued commitment to innovative excellence.  It’s great to see that they show no signs of slowing down!

Why Qtrade Is Our Top Canadian Broker For 2023

What the Qtrade vs Questrade comparison ultimately comes down to for us is that we just like the customer service, user experience, and overall platform of Qtrade significantly more than Questrade.

Questrade’s $2-per-trade advantage on stocks (not ETFs) just isn’t enough to make up for how innovative and helpful Qtrade is to the average Canadian investor.

Qtrade’s consistent excellence over the years includes winning the Qtrade vs Questrade (and everyone else) battle for the #1 spot in the Globe and Mail rankings in 2022, 2021, 2020, 2019, 2018, 2016, 2014, 2011, 2010, 2009, 2008, 2007, and 2006.

Switching brokerages is a pain. Consequently, when you choose where to place your money, you’re essentially placing a bet that your selection will continue to keep up over the long term. No discount brokerage in Canada can offer that same track record as Qtrade.

Ultimately, what I hope to see (on behalf of Canadian DIY investors) is for the Qtrade vs Questrade battle to continue to inspire both companies to keep innovating and finding ways to cut costs.