Virtual Brokers, a new discount broker is taking out full page ads in The Globe and Mail offering trading commissions as low as $6.49 per trade and US dollar denominated RRSP and TFSA accounts. I’m not about to take a chance with a small broker for a few dollars less in commissions but nevertheless, decided to check out the website. Virtual Brokers seem to be geared more to traders because financial instruments available are limited to stocks, options, bonds and debentures. You are out of luck if you want mutual funds or GICs. They have both a per share and per trade commission structure. The per trade commission is $6.49 plus ECN fees.
Virtual Brokers say they offer USD-denominated RRSP and TFSA accounts “so you can keep your cash in US dollars” but the details are skimpy. Note that a RRSP admin fee ($85) and TFSA admin fee ($42.50) are applicable if total household assets is less than $85,000 CAD. I’d be interested to hear if any of you have tried Virtual Brokers.
Note: Thank you for your kind words in the comments section of the Five Years and Counting… giveaway. I’ve randomly picked out five names. The giveaway winners are: Stephen (#408), Mike W (#187), Jason (#33), Antoine (#458), Dutchie (#66) and Chocobo (#333). I’ll contact the winners shortly. Thanks again for entering.