3-star brokerage rating

TD Waterhouse Review

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TD Waterhouse Commissions, Fees, and Minimum Deposit

Stocks and ETFs $9.99
Stocks and ETFs $7 if making 150+ trades per quarter
Options $9.99 + $1.25 per contract
Options $7 + $1.25 per contract if making 150+ trades per quarter
Transaction Fee (TF) Mutual Funds (FundSmart) No commissions apply to buy or switch from a wide range of eligible funds. A short-term redemption fee may apply.
Other Mutual funds $45
Fixed Income 1% - 4% of face value

TD Waterhouse (a subsidiary of The Toronto Dominion Bank) is a Canadian discount brokerage with a flat fee commission structure (if you are a U.S. citizen or legal resident, then go to TD's U.S. brokerage - TD Ameritrade Review). They deal predominantly in North American stocks, ETFs and mutual funds with limited options and fixed income investments availability. The target client for TD Waterhouse is an investor who re-weights their portfolio a dozen times a year or less and occasionally dabbles in individual stocks.

Due to the relative lack of competition in the Canadian discount brokerage arena, TD Waterhouse is able to command a rather high commission schedule (all figures in the table above are in Canadian dollars).

TD Waterhouse Account Application

Opening a TD Waterhouse account is a painless undertaking. A 15 minute online application process is all that is required to open an account. The longest step is waiting for two separate envelopes to arrive by mail, one containing your log-in id and the other containing your password. Funding your new account is accomplished easily by linking your bank. Withdrawals take one business day to execute and arrive in your bank account.

TD Waterhouse Website/Trading Platform/Tools Review

TD Web Broker Review

The trading platform for TD Waterhouse is very simple, easy to use and has everything necessary for an average investor who isn't interested in all the fancy charts and tools. Free real-time quotes for up to 10 stocks and mutual funds, real-time account details and a convenient three-step order entry process are the pillars of WebBroker - their web-based trading platform. TD Waterhouse also offers an Active Trader platform as well as access to Thinkorswim (platform review), but the eligibility requirements are quite steep and a client who does qualify would be able to obtain access to platforms just as advanced and powerful elsewhere for significantly lower cost.

TD Waterhouse Customer Service

TD Waterhouse made customer service a priority. Friendly and helpful agents are easily reached through 1-800 numbers. The broker has Investor Centers located across Canada offering interactive educational seminars.

TD Waterhouse Website (TDWaterhouse.ca)

TD Waterhouse Reviews

TDWaterhouse.ca website is well designed and allows clients to quickly navigate to the WebBroker platform or any of the wealth of educational and research articles and insights. A big downfall of the site is the apparent inability to handle heightened load, such as when the markets are experiencing above average volatility and many clients are trying to log in to their accounts.

TD Waterhouse Pros

  • Commission-free mutual fund buying and switching
  • Easy to use trading platform
  • Superior customer service, including numerous local investor centers
  • The security and protection of being a subsidiary of an established 'Big 5' Canadian bank
  • Simple account opening

TD Waterhouse Cons

  • High commissions
  • Tendency for the website and trading platform to slow down or be rendered inaccessible on high volume market days
  • Surcharges on stocks priced under $2 and orders with over 1,000 shares

TD Waterhouse Review Summary

TD Waterhouse is a great choice for a Canadian investor looking to manage their retirement account through a discount brokerage. They have excellent customer service and educational tools, combined with commission-free mutual fund buying and switching. The $9.99 flat fee structure of their commissions is standard in the Canadian discount broker field and does allow for moderate cost speculation in stocks.

An active investor will find TD Waterhouse lacking in all critical areas, not the least of which is the propensity for their site to be down on large volume days when the markets are making big moves. Steep commissions combined with a lack of advanced tools like customizable charts and one-touch order entry, leave a trader looking to play shorter term moves better served at Questrade.

Beginner investors and anyone who prefers hands-free approach to investing should check out WealthSimple.

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About the Author
Chad Morris is a financial writer with more than 20 years experience as both an English teacher and an avid trader. When he isn’t writing expert content for Brokerage-Review.com, Chad can usually be found managing his portfolio or building a new home computer.