Robo-advisor Wealthsimple announced it is launching a new trading service in Canada, which will allow users to buy, sell, and track stocks and exchange-traded funds (EFTs) with zero trading commissions.
The service, called Wealthsimple Trade, will give users access to unlimited zero-commission trades of over 8,000 publicly-traded stocks and ETFs listed in Canadian and US exchanges. The service does not require a minimum account size, so users will be able to start trading with $1.
Wealthsimple Trade will be available on iOS and Android. At launch, the app will feature unlimited commission-free trades, up to $1,000 available to trade instantly, market and limit orders, a watchlist feature to monitor stocks without having to buy them, and personal cash accounts.
“We saw an opportunity to take the simple, human approach we’re known for and apply it to the trading experience.”
“The options for stock trading in Canada aren’t great. Traditional brokerages have high fees, the technology is dated and clunky, and the experience isn’t exactly user-friendly,” said Mike Katchen, CEO and co-founder of Wealthsimple. “We saw an opportunity to take the simple, human approach we’re known for and apply it to the trading experience.”
Wealthsimple said the new platform will allow new investors to learn about investing in stocks, while allowing existing Wealthsimple users to consolidate their investments. In addition to enabling users to trade, Wealthsimple Trade will also educate users about investing and the risks associated with selecting stocks.
“Our approach to investing hasn’t changed: the smartest way to grow your money long-term is to have a diversified, low-cost portfolio that tracks the market, contribute regularly, and stay the course,” said Katchen. “But that doesn’t mean there’s no place for buying and selling individual stocks — as long as it’s done responsibly as part of a holistic financial plan.”
Wealthsimple Trae is currently in a beta version and will roll out to users by invitation this month, followed by a public launch later this year. Those interested in early access can sign up for the waitlist to receive an invitation via email in the coming weeks.
In February, Wealthsimple raised $65 million from Power Financial, and in April, Wealthsimple launched a savings account.
Photo via Wealthsimple
