However, if you’re comfortable taking on more risk for the potential of higher returns and want greater exposure to the global stock market even if it means fewer dividends, Wealthsimple is the better choice! As far as performance goes, Wealthsimple has left Questwealth in the dust. This would bring the total fees of Wealthsimple slightly higher as well. However, it’s important to consider fees in the context of returns as well. Where a bank might place you in a mutual fund that charges you 1% to 3% in fees (or more! Currently residing in Calgary, Alberta, Canada, but hooked on travelling. My Wealthify investments are up 6%, whereas my Wealthsimple investments are up 9%. Questrade is Canada’s leading discount broker, offering low-commission trading for self-directed investors. Our recommendations and rankings are based on our BrokerChooser.com does not provide any investment advice, we only help you to find the best broker for Money After Graduation, MAG, and coin logo are service marks of Money After Graduation Inc. Other marks contained on this website are the property of their respective owners. Wealthsimple offers two ethical investing options: Socially Responsible Investing portfolios (in Conservative, Balanced, or Growth based on your risk tolerance) and a Halal portfolio. This would be closer to the 0.40% figure you found! Questwealth does not currently offer a Halal investing option. By trading with securities and derivatives you are taking a high degree of risk. Questwealth is the robo-advisor arm of the discount brokerage, Questrade. Savings. This makes assembling your own portfolio extremely affordable! Limited options to customize your investment goals. Of these ethical options, we review all seven as suitable for beginner investors. Self-directed investing will spare you paying any fees to someone else to manage your investments, but you’ll miss out on the other services and benefits a robo-advisor provides. Your email address will not be published. We get a Questwealth invests more heavily in bonds and REITs, securities that tend to pay out solid dividends on a frequent basis. Because the Questwealth portfolios are so heavily invested in Canadian equities, they’ve suffered the lag of the Canadian stock market in the past few years. Bridget you are representing Calgary and Alberta well! Also most investors do not invest only in ETFs. some of the brokers. Here’s the difference below: One of the most important areas that Questwealth is lagging behind Wealthsimple is providing ethically responsible investing options. The account verification took a bit longer, ~2-3 business days, Both web and mobile investment platforms are available, They have a clear structure and user-friendly layouts. your deposited money. User-friendly and fully digital account opening. However, Wealthsimple more than makes up for it with higher capital gains returns. Yes you can! commission, with no additional cost to you. Money After Graduation Inc is a financial literacy website dedicated to help you pay off debt, save money, increase your income, and invest in the stock market. The Best Personal Finance Books of All Time, Dudebro Culture Ruined Personal Finance (and …, open a Wealthsimple account and get your first $10,000 managed free by clicking here, Wealthsimple offers two ethical investing options, Questwealth has recently added socially responsible investing portfolios, Questwealth invests more heavily in bonds and REITs, Wealthsimple has left Questwealth in the dust, Questrade the best choice for a brokerage account, check out our post Wealthsimple Trade vs Questrade, Wealthsimple Review: hassle-free investing, Wealthsimple’s Socially Responsible Investing Portfolios Just Got Better. If Questrade doesn’t charge for trading etf’s & you exclusively invest with etf’s – how do they make money? It’s a Canadian company, but your citizenship determines what accounts you can open (TFSA, RRSP, etc) and how you are taxed on investment income! Wealthsimple and Questwealth are two leading robo-advisors in the Canadian fintech space. Can I open both two separate TFSA accounts, one with Wealthsimple Robo Advisor and other with Questrade for DIY? All you need to do is open an account, add some funds, and they’ll take care of the rest! Wealthsimple also has a discount brokerage offering $0 commission trading called Wealthsimple Trade. Thanks for this article. If you want to compare the holdings of the Wealthsimple vs Questwealth portfolios directly, here is how they stack up. Robinhood: Get one free $3-$7 value stock when you open an account. However, if you were managing your own investments and made your own portfolio out of ETFs, you’d still pay those same ETF MER fees, too! There are still MER fees on the ETFs they add to the portfolio. They offer TFSAs, RRSPs, RESPs, and unregistered accounts, so you can invest in whatever tax-optimized way you need. Wealthsimple also has a discount brokerage offering $0 commission trading called Wealthsimple Trade. You can unsubscribe any time from within the email. Nutmeg vs Wealthify: Private Banker International compares two of the most popular robo-advice platforms in the UK to see which can best help beginner investors make their hard-earned wealth work harder for them. The remaining 2% most likely represents cash holdings in your account. There’s nothing stopping you from choosing your favorite Wealthsimple or Questwealth portfolio and assembling it yourself in your brokerage account. BSc. Can't say anything about Nutmeg, but if you are considering Wealthify, you should also consider Wealthsimple. your needs. Please read our Privacy Policy and Terms & Conditions of Use. The Halal portfolio consists of 50 common stocks in companies that comply with Islamic law and do not profit from gambling, firearms, tobacco, or other restricted industries. For an in-depth comparison of their trading platforms, check out our post Wealthsimple Trade vs Questrade. Even though they charge higher fees, Wealthsimple has offered returns as much as 6x higher than the Questwealth portfolios. To give you an idea of how the above fit into allocations, this table compares the approximate exposure to different markets and assets of each portfolio: The Questwealth portfolios have a heavy home country bias, investing more than 1/3 of each portfolio in Canadian securities. Don’t forget behind every robo-advisor is a team of financial analysts managing and rebalancing your portfolio for you. Your email address will not be published. However, the sum of all your contributions cannot exceed your lifetime or annual contribution limits. They don’t charge for you to buy ETFs, but they do charge for you to sell them! The Wealthsimple portfolios have delivered 6 to 7 times better returns in the past 3 years than Questwealth. Learn how your comment data is processed. Note that both Wealthsimple and Questwealth are actively managed portfolios, so these holdings may change! They’re watching the market and making trades as needed to ensure your investments never drift from your risk tolerance. For an in-depth comparison of their trading platforms, check out our post Wealthsimple Trade vs … You can choose from a lot of account types. You can open one TFSA with Wealthsimple and put $3,000 in, and you can open a second with Questrade and put $3,000 in, for a total of $6,000. Here’s a summary of how the Wealthsimple invest portfolios stack up against Questwealth: Wealthsimple is a Canadian robo-advisor that will invest your money in the stock market for you. They’re also going to the trouble of re-investing your dividends and minimizing your taxes, two tasks that can take a lot of work if you decide to DIY. Compare Wealthsimple vs Wealthify Online brokers compared for fees, trading platforms, safety and more. Why is it asking me if I am a US citizen? For example, in 2020 the TFSA contribution limit is $6,000 for the year. You can get $50 in free trades by signing up here. Younger investors are especially cognizant of how their choices affect human labor and environmental impact in the global supply chain, and they want to do their part to do good in the world. So far, the Wealthsimple portfolios have far outperformed Questwealth. As of April 2019, the only providers on our Best Buys page who offer ethical options are: Vanguard, Nutmeg, Wealthify, PensionBee, Barclays Smart Investor, Wealthsimple, and Moola. methodology, independent from partnerships we have. You should start trading only if you are aware of this risk. Questwealth has recently added socially responsible investing portfolios to their offering. Wealthsimple, on the other hand, invests more aggressively in the USA and global stock markets, with 33% to 75% of their portfolios invested in markets outside of Canada. Wealthsimple is a clear leader in the robo-advisor space because they provide such a beautiful, easy to use platform. Please use our link to open your account so that we Because the MER fees are so small and charged whether your ETFs are in a self-directed portfolio or with a robo-advisor, it’s not really worth it comparing them in the total cost because they’re pretty much the same across the board. Robo-funds are being heavily advertised. Questwealth offers five different pre-built portfolios that you can choose from depending on your risk tolerance. WealthSimple: Get first $5,000 managed for FREE at Wealthsimple. My risk profile is the same on Wealthify and Wealthsimple, and I opened both accounts at the same time and put in the same amount of money. They’ve been a leader in Canada for providing a robust trading platform at the fraction of the costs charged by brokerages associated with big banks. We think this is somewhat restrictive. I don't really have the time at the moment to look into investing too deeply or I'd be doing it manually - though I probably wouldn't be too good at it. Equities / ETFs / Funds / Bonds / Options / Futures, I acknowledge that my information will be used in accordance with the. You need to agree with the terms to proceed.