Wealthsimple Trading Fees | Are They Simply Too High?
Mike Harry
Feb 2024
5 min read
Fact checked
Introduction: In this detailed fees breakdown, we examine Wealthsimple's Trading Fees across the board. By the end of this article, you will have a comprehensive understanding of all fees charged by Wealthsimple including Trading Fees, Crypto Fees, Management Fees, and Stock & ETF fees!
eToro USA LLC: Investments are subject to market risk. Including the possible loss of principal. Don’t invest unless you’re prepared to lose all the money you invest.
Wealthsimple Fees
Wealthsimple is a financial management platform that offers a wide range of products that includes Stocks, ETFs, Cryptocurrencies, Managed Portfolios, Options and different Savings Products.
Wealthsimple Trading Fees
Wealthsimple is known for its easy to use robo advisor which was created to make investing simple and accessible to its clients.
As it pertains to fees, there are two multiple types users should be aware of including crypto fees, management fees, stock fees in addition to fx fees.
As such, there are a wide range of fees charged by the platform that users should be aware of before the decide to signup and begin investing.
Wealthsimple Trading Fees
There are a wide range of trading fees that Wealthsimple charges it's customers. Included here are fees for buying and selling cryptocurrencies, staking yield fees, management fees on total assets, options trading fees and foreign exchanges fees. Let's review each one of these fees step by step.
Wealthsimple Crypto Fees
Spot trading is not available on Wealthsimple as the company does not not operate an exchange in the traditional sense.
Instead, Wealthsimple taps into the liquidity of other exchanges and charge 1.5-2% fee per crypto buy or sell transaction irrespective if you are a Core, Premium or Generation user.
Wealthsimple Crypto Fees
Additionally, if you stake your tokens using the staking functionality, Wealthsimple charges up to 4.5% of the yield earn on your rewards.
These are very steep fees and we advise our readers to signup to lower cost alternatives such as eToro and Uphold.
In the following links you can read our comparison of eToro vs Wealthsimple and even Wealthsimple vs Binance for those that want to compare the fees of Wealthsimple with a more traditional exchange.
Wealthsimple Management Fees
Management fees are determined by the total assets under Wealthsimple's management.
For clients who have chosen the Wealthsimple Core plan which caters to those with up to $100,000 in assets, an annual fee of 0.5% is charged.
Wealthsimple Management Fees
This rate decreases to 0.4% annually for users of the Wealthsimple Premium plan which is designed for clients who have $100,000 or more in assets.
For users with over $500,000 in assets (Generation), they are charged between 0.2%-0.4% in management fees.
Wealthsimple Stock & ETF Fees
When it comes to Stock fees Wealthsimple, there are 0% commission fees for Core, Premium and Generation users.
Wealthsimple Stock & ETF Fees
That means that irrespective if you have 1$ or $500,000 dollars in assets on the platform, stock trading comes without a commission.
Having said that, there's also foreign exchange fees to consider which are 1.5% for those that convert to CAD from USD.
Wealthsimple ETF & Options Fees
For those that wish to trade ETFs on Wealthsimple, they don't have to pay any ETF fees as this service is similar to stock trading free of charge.
For those that wish to trade Options on Wealthsimple, they will have to pay $2 per contract for Core members, and $0.75 per contract for Premium and Generation members.
Wealthsimple Withdrawal Fees
For those that wish to withdraw funds from the Wealthsimple platform, they are charged a steep 2.5% instant withdrawal fee when withdrawing to their Visa Debit card. Core, Premium and Generation users all have to pay the same 2.5% withdrawal fee.
Wealthsimple TFSA Interest Rate
The cash account interest rate offered by Wealthsimple ranges from 4% (Core users) up to 5% for Generation users. This comes with a CDIC coverage of up to $300,000.
eToro USA LLC: Investments are subject to market risk. Including the possible loss of principal. Don’t invest unless you’re prepared to lose all the money you invest.
