two questioning canadians wondering if they should get moomoo investment app

Moomoo Financial Canada stock trading review: Is moomoo good for Canadians?

Money.ca / Money.ca

Colin Graves

By Colin Graves

🗓️

Updated: November 04, 2024

Partners on this page provide us earnings.

Moomoo is a global self-directed investing app that launched in Canada in 2023.

Standout features include low minimum trading fees for Canadian and US stocks, a powerful yet easy-to-use trading platform, a huge library of educational content and a paper trading account that provides $1 million in virtual money.

However, significant drawbacks prevent it from being considered best-of-class among budget online brokerages such as Wealthsimple or Questrade. Only four account types are available (cash, margin, RRSP and TFSA), and there is no ceiling on commissions, so trades can get costly if you wish to purchase large blocks of shares.

Who moomoo Financial Canada is for

Moomoo Canada's low minimum trading fees and wealth of educational resources will appeal to beginner investors, while active traders can appreciate its advanced charting and analysis tools.

However, the lack of a cap on trading fees makes it unsuitable for investors who want to trade large blocks of shares. For example, if you want to purchase 50 shares of company ABC at $25 per share, your fee will be $1.49, assuming it’s a Canadian stock. However, if you wish to buy 2,000 shares of the same stock, the cost jumps to $29.80. If you placed the same order through Questrade, you would pay the maximum fee of $9.95. 

Available accounts

Moomoo Canada offers the following account types: 

You can open an account by visiting the moomoo Canada website or by downloading the app. 

Pros and cons

Pros

Pros

  • Low minimum trading fees

  • No account fees

  • Free paper trading account

  • Extended hours trading

Cons

Cons

  • Only four account types available

  • No web-based trading platform

  • No maximum trading fee

Moomoo Canada stock trading platform fees and commissions

Trading fees

  • Canadian stocks and ETFs: CDN$0.0149/share. Minimum CDN$1.49 per trade 
  • US stocks and ETFs: USD$0.0099/share. Minimum USD$1.99 per trade 
  • US options: $0.09 per contract, minimum $1.50 per order 
  • Margin rate: 7.83% to 8.83%

Account fees

Moomoo Canada does not charge account fees. 

Other notable fees

  • USD/CDN exchange rate: 0.09% + USD$2.00
  • Account closing: $0
  • Deposit via bank transfer (EFT): $0
  • Withdrawal fees (cash, margin, TFSA): First withdrawal is free, then fees range from $2 to $12
  • Withdrawal fees (RRSP): $50 to $62
  • Electronic statements: $0
  • Trade confirmations: $0
  • Inactive account fee: $0
Get started with moomoo

Moomoo Canada app | Dashboards, ease-of-use and experience

Moomoo’s investing app allows users to trade via their desktop or mobile device, but it doesn’t offer a web-based trading platform. Instead, you must download and log into the moomoo app to access your account and place trades. 

The good news is that the app is very capable, and includes enough advanced charting and stock analysis tools to satisfy advanced traders. Here’s a closer look at some of moomoo’s top features: 

  • In-depth charts

    +

    Moomoo’s trading platform includes several helpful charting features. Investors can monitor up to six stocks simultaneously, using real-time data with a 0.03-second refresh rate. There are over 63 available indicators for in-depth technical analysis and 38 drawing tools, and you can customize your technical analysis using over 190 pre-set functions.

  • Stock analysis

    +

    Moomoo makes it easy for short sellers to spot short sale signals with daily short sale, interest and volume rankings. Moomoo’s institutional analysis tools allow you to monitor ownership activities, and you can access visualized charts and statistics to evaluate companies. You can also access detailed financial reports, including key indicators and analyst insights.

  • Paper trading

    +

    Moomoo offers a free paper trading account with $1 million in virtual money, allowing you to improve your skills and test different strategies without putting your money at risk. You can trade over 10,000 stocks and options in the practice account, follow top users and participate in paper trading competitions.

  • Educational resources

    +

    Moomoo offers investors a huge library of over 600 educational resources, including videos and other step-by-step guides. Whether it’s learning how to identify potential market bottoms and bullish signals or how to paper trade, moomoo has you covered.

Customer service and support

If you can’t find answers to your questions through its comprehensive website help centre, moomoo offers telephone and email customer support, along with 24/7 online chat support.

Phone: 1-888-721-0610 (English), open Monday to Friday 8:30 to 4:30 PM

Email: cs@us.moomoo.com

Moomoo reviews and ratings

The moomoo app has a 4.6 star rating on The App Store1, and 4.5 stars on Google Play2. 

The platform has a Trustpilot Canada rating of 3.3 out of 5 stars3, which is considered an average score. What some might find concerning is how the ratings break down. While 49% of Truspilot reviewers have given moomoo a 5-star rating, 40% have issued a 1-star rating, the lowest possible score. Only 11% of reviews fall somewhere in between. This may or may not indicate that people either love moomoo, or hate it. 

I perused user feedback on Trustpilot as well as several moomoo Canada Reddit threads. Positive comments tended to focus on moomoo’s generous new customer promotions, advanced trading tools, and ease of use. However, many users questioned how useful moomoo was for Canadian investors, given that platforms such as Wealthsimple and National Bank Direct Brokerage (NBDB) offer free stock and ETF trades. And I saw a couple of comments from investors who considered Interactive Brokers (IBKR) to be a better platform for active traders. 

What I like and don’t like about Moomoo Direct Brokerage

At first glance, moomoo looks very intriguing. It provides access to thousands of Canadian and US stocks and ETFs with low minimum trading fees, and has a large library of educational content for new investors, along with a free practice account. 

The problem is, many other brokerages do the same things moomoo does, but they do it better. If low fees are your main concern, you can get free trades through Wealthsimple, Desjardins, or NBDB. And platforms such as IBKR or some of the big bank brokerages have more to offer active traders. And most brokerages offer more than four account types, which is a big knock against moomoo. 

With that in mind, moomoo has only been operating in the Canadian market since 2023, and it may expand its capabilities over time. 

How moomoo Canada compares

Wealthsimple vs. moomoo Canada

Wealthsimple logo

Wealthsimple and moomoo are very different trading platforms. Wealthsimple is geared to beginner investors. It offers free stock and ETF trades, but it has little to offer active traders. Its trading platform is much more basic than moomoo’s, with limited market research tools and charts.

If you’re a new investor just looking for access to free stock or ETF trades, you can’t go wrong with Wealthsimple. If you’re an active trader, moomoo will give you the best of both worlds: powerful trading tools and low commissions. It should be noted that Wealthsimple offers more account types than moomoo, including First Home Savings Accounts (FHSAs) and Registered Retirement Income Funds (RRIFs).

Questrade vs. moomoo

Questrade logo

Questrade is Canada’s largest independent brokerage. It offers more account types than moomoo, and you can access managed investment portfolios through its robo-advisor, Questwealth. Questrade’s trading platform is on par with moomoo’s, but with the exception of ETF purchases, its trading commissions are higher. It also has a higher minimum deposit requirement of $1000 versus $0 for moomoo. Overall, Questrade is the more well-rounded platform, but for the lowest trading commissions on stocks, moomoo is the better choice.

Moomoo vs. Webull

Webull logo

In many ways, Webull and moomoo are similar platforms. Webull is a global investment brokerage owned by a Chinese holding company, but is open to Canadian investors. Like moomoo, it offers low trading fees of $2.99/trade for Canadian and US stocks, and only offers four account types (cash, margin, RRSP, TFSA). Overall, moomoo’s commissions are slightly lower.

Related reads: Best trading platform in Canada

Moomoo Canada promotion

At the time of writing, moomoo Canada is offering a few promotions. Details are as follows: 

Deposit reward: You can receive up to $200 in cash coupons by making your first-ever deposit to a moomoo trading account via online bill payment, electronic funds transfer, or wire transfer. If you deposit $100, you are eligible for a $50 stock cash coupon. If you deposit $2,000 or more, the coupon amount jumps to $200. 

First-time transfer-in promotion: If you have never transferred money to your moomoo account, you can earn up to $2,300 in stock cash coupons and Apple gift cards for doing so. The more you transfer to moomoo from an investment account at another brokerage, the more you can earn. 

Team up with a friend: If you have not deposited funds into your moomoo Canada account prior to October 17, 2024, you can earn $100 in stock cash coupons if you invite a friend to moomoo and you both deposit $100. The promotion ends on November 30, 2024. 

Keep in mind that terms and conditions apply for all moomoo promotions, so make sure you understand the rules before participating. Also, stock cash coupons can be redeemed by placing eligible stock orders on the moomoo platform. Upon order completion, the cashback is credited to your moomoo account. 

Related read: Best brokerage account promotions

Take advantage of these moomoo promotions

Moomoo contact information

On trading days, you can contact moomoo customer service at 1-888-436-0085 (toll-free) between 8:30 a.m. and 4:30 p.m. EST. Email support is available at support.ca.moomoo.com.

Moomoo eligibility criteria

You must meet the following requirements to be eligible to open any type of moomoo Canada account:

  • Have a Canadian Social Insurance Number (SIN) 
  • Have a valid residential address in Canada 
  • Mobile phone number 
  • Valid personal email address 

Additionally, certain accounts have specific requirements. For example, you must be 18 or older to open an individual cash, TFSA, or RRSP account. (For an RRSP account, you must be 19 years old in BC, NB, NS and NL). To open a margin account, you must be 21 or older. Lastly, RRSP accounts require you to have a minimum of $7,000 in net assets. 

How to open a moomoo account in Canada

Here are the basic steps to open a moomoo Canada account: 

  1. 1.

    Complete an application on the moomoo Canada website or app, which you can download from the website, the App Store, or the Google Play store. 

  2. 2.

    Moomoo will approve your account within two business days, once your information has been verified. If further documentation is required, you’ll be notified by email. 

  3. 3.

    Once your account has been approved, you’ll receive an email containing your account details. You’ll be prompted to log into your account and create your permanent password. 

Sign up with moomoo

FAQs

  • Does moomoo work in Canada?

    +

    Moomoo offers a trading platform for Canadian investors, and the following account types are available: RRSP, TFSA, cash and margin.

  • How trustworthy is moomoo?

    +

    Moomoo is a legitimate global online brokerage and should be considered trustworthy. In Canada, the company is regulated by the Canadian Investment Regulatory Organization (CIRO). It’s also a member of the Canadian Investor Protection Fund (CIPF), which offers investors up to $1 million in protection in the case of insolvency. Moomoo has similar regulatory arrangements in the various countries where it does business.

  • Is moomoo a Chinese company?

    +

    Moomoo is an American company founded in 2018 in Palo Alto, California. While the company is based in the US, it’s also a subsidiary of Hong Kong-based Futu Holdings Limited.

  • What are the disadvantages of moomoo?

    +

    If you’re considering opening an account with moomoo Canada, there are some drawbacks to be aware of. First, only four account types are available: cash, margin, RRSP and TFSA. Also, while there is a low minimum trading fee, there is also no ceiling on commissions. This means that if you’re buying or selling large quantities of shares, your trading fees could far exceed the maximums charged by other brokers.

  • What is the minimum deposit for moomoo?

    +

    Moomoo has no minimum deposit limits.

  • Is moomoo insured in Canada?

    +

    Moomoo investors in Canada are protected with up to $1 million of coverage through the Canadian Investor Protection Fund, which offers limited coverage to investors in case of insolvency.

  • How much is moomoo Canada’s withdrawal fee?

    +

    Moomoo withdrawal fees vary depending on the account and withdrawal type. The first withdrawal each month is free for individual cash, margin and TFSA accounts. Subsequent withdrawals range from $2 to $12 each. For RRSP accounts, the first withdrawal each month is $50. Subsequent withdrawals range from $52 to $62 each.

Colin Graves Freelance Writer

Colin Graves is a Winnipeg-based financial writer and editor whose work has been featured in publications such as Time, MoneySense, MapleMoney, Retire Happy, The College Investor, and more. Before becoming a full-time writer, Colin was a bank manager for over 15 years.

Disclaimer

The content provided on Money.ca is information to help users become financially literate. It is neither tax nor legal advice, is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional. We make no representation or warranty of any kind, either express or implied, with respect to the data provided, the timeliness thereof, the results to be obtained by the use thereof or any other matter. Advertisers are not responsible for the content of this site, including any editorials or reviews that may appear on this site. For complete and current information on any advertiser product, please visit their website.

†Terms and Conditions apply.