Scotia iTRADE review: Is it good?
Updated: September 04, 2024
Our take
Scotia iTRADE is the discount brokerage arm of Scotiabank. Its standard pricing is similar to other big bank brokers, but it offers lower active trader pricing than its direct competitors. Investors can access over 100 commission-free exchange-traded funds (ETFs) and open a practice account.
But that doesn’t mean that Scotia iTRADE is designed for beginners. Active traders stand to benefit the most from its powerful advanced trading platform, low active trader pricing and in-depth market research capabilities.
Who Scotia iTRADE is for
Scotia iTRADE is best-suited for active traders who will benefit from its advanced trading tools and active trader pricing, which is lower than several other big bank brokers. It can also make sense for existing Scotiabank customers who prefer to manage their banking and investments under one roof. It’s not an ideal platform for novice investors with smaller portfolios, who are better served by lower-cost platforms such as Wealthsimple, TD Easy Trade, or even Questrade.
Available accounts
A major advantage Scotia iTRADE has over some brokerages is the number of account types you can open. Here’s a list of what’s available:
- Cash account
- Margin account
- Registered Retirement Savings Account (RRSP)
- Tax-Free Savings Account (TFSA)
- Registered Retirement Income Account (RRIF)
- Life Income Fund (LIF)
- Locked-In Retirement Savings Plan (LRSP)
- Locked-In Retirement Account LIRA
- Restricted Life Income Fund (RLIF)
- Registered Education Savings Plan RESP
- First Home Savings Account FHSA
- Non-personal accounts (sole proprietorship, corporation, trust or estate, investment club, non-profit, etc.)
Pros and cons
Pros
-
Robust trading platform
-
Excellent educational tools
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Over 100 commission-free ETFs
-
Practice trading accounts available
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Lower active-trader pricing than some other bank brokers
Cons
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High trading fees
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Can’t trade fractional shares
-
Mobile trading platform not as good as some competitors
Scotia iTRADE fees and commissions
Trading fees
- Stocks and ETFs: $9.99 (drops to $4.99 for 150+ trades per quarter)
- Options: $9.99 + $1.25 per contract ($4.99 + $1.25 per contract for 150+ trades/quarter)
- Mutual funds: $9.99 (no-fee for money market mutual fund trades)
- Fixed income: $1 per $1,000 Face Value ($24.99 min. to $250 max.)
- Exchange-traded debentures: $1 per $1,000 Face Value ($24.99 min. to $250 max.)
The above fees reflect online trades. There is an additional charge of $65 for trades placed through a telephone representative.
Account fees
- RSP/RIF/LIRA/LIF: $100/year (fee waived with aggregate account balance of $25,000+ or 12+ commissionable trades per year)
- TFSA: No fee
- FHSA: No fee
- RESP: $25/year (fee waived with aggregate accounts of $15,000 and over)
- US-friendly RESP: $30/quarter, per registered account
Other notable fees
- Account transfer out (full or partial): $150
- Safekeeping: $50/month per certificate
- Account research requests: $50/hour
- Statement or cheque copied or confirms: $5 per item
- Paper statement fees: $3/month
- Paper trade confirmations: $2
- Domestic wires (out): $25
- Foreign wires (out): 25 + clearing fee
- Returned cheques/deposits: $25
- Estate processing fee: $200
Scotia iTRADE app and dashboards: Ease-of-use and experience
Desktop platform
Scotia iTRADE recently launched its new trading platform, which it refers to as the new Scotia Online experience (vs. the classic experience). The new design is meant to provide more account information in a single view while making it easier to place trades and access active orders, among other improvements.
At the time of this writing (August 2024), users can login to the classic experience and access the new experience by selecting a “Try It Now” banner. You can switch between the two experiences.
The new experience isn’t yet fully operational; however, you can access most functions. Also, the new online experience has no impact over two other iTRADE platforms, its mobile app and Trade Pro.
Trade Pro
Trade Pro is Scotia iTRADE’s advanced trading platform. The web-based app is fully customizable and optimized for faster trade execution. It has a dual screen feature that allows you to spread your viewing area across two monitors.
Trade Pro allows for detailed streaming of a wide range of data in real-time, including multiple watchlists, corporate and Canadian and US market data and more. You can purchase various market data packages, with pricing that varies depending on your trading activity.
Mobile app
Scotia iTRADE released a new mobile trading app in late 2022, adding increased security features, including two-step verification and added functionality. The app allows you to access real-time account information and quotes, manage open orders and receive push notifications.
You can also transfer funds in real-time between your Scotiabank and Scotia iTRADE accounts. If you bank elsewhere, you can also transfer between iTRADE and third-party accounts. The app has a rating of 4.2 out of 5 stars on the Apple App Store and 4 out of 5 stars on the Google Play store.
Research and education
Scotia iTRADE’s website includes a wealth of educational resources for customers, including how-to videos and demos with step-by-step instructions for logging into your account, transferring funds and placing equities and options trades.
Investors can also access research reports from top experts, including Reuters, ValuEngine, Sabrient and Scotiabank Global Banking and Markets.
Scotia iTRADE also offers practice accounts, where you can learn to use iTRADE’s investing tools and develop your investing skills with a fictional portfolio of CND$100,000 and USD$100,000. You’ll have access to most Scotia iTRADE account features and you can reset your portfolio at any time. You can sign up for a practice account as an existing iTRADE customer or as a Scotiabank online banking client.
Customer service and support
Scotia iTRADE provides customer support via telephone and email. You can also visit a Scotiabank branch for general support, or if you live close to one, a Scotia iTRADE Investor Information Centre.
I reviewed several online channels to get an idea of what people are saying about its customer service. It has a rating of 1.8 out of 5 stars on Trustpilot. While it’s considered poor, the rating is only based on 16 reviews, a small sample. I couldn’t locate a Better Business Bureau rating for iTRADE, only one for Scotiabank as a whole.
A perusal of Scotia iTRADE threads on Reddit reveals a mixed-bag of customer experiences. Many users expressed dissatisfaction with the updates iTRADE made to its mobile app, while others were perfectly happy with its platform. I will note that some complained about certain features, while being unaware that they had been improved. For example, one user mentioned that they couldn’t view filled orders in real-time. The feature was available, but they were looking in the wrong place.
What I like and don’t like about Scotia iTRADE
Let’s face it. Big bank brokers like Scotia iTRADE are not going to compete on price with Wealthsimple or Questrade any time soon. But I appreciate that iTRADE has tried to add value by offering over 100 free ETFs and lower active trader pricing than its direct competitors. I also like that they offer a practice trading account.
Read more: Wealthsimple vs. Questrade
When it comes to drawbacks, reviews of its mobile trading app are mediocre, with a lot of users not sold on the new UI. Pricing — including the pesky account fees — is an issue, and it would be nice to see support for fractional shares in the near future.
How Scotia iTRADE compares
Scotia iTRADE vs. RBC Direct Investing
Scotia iTRADE and RBC Direct Investing are very similar in that they are both big bank brokers that charge high standard trading fees, when compared to competitors like Questrade and Wealthsimple. But iTRADE gets a slight edge over RBC on two counts: It offers over 100 commission-free ETFs (the list includes some of the most popular ETFs in Canada) and it has lower active trader pricing ($4.99 vs. $6.95, for clients who place 150+ trades per quarter).
Overall, existing RBC banking clients are probably better off staying put, but active traders looking for a new home can save money with iTRADE. Neither platform offers fractional share trading as of yet.
Scotia iTRADE vs. TD Direct Investing
TD Direct Investing has been named The Globe and Mail’s top online brokerage for two years running1, and its trading platforms are superior to Scotia iTRADE, both from a user experience and investing tools standpoint. It also now offers fractional shares, which is a major enhancement.
However, TD Direct Investing is even more expensive than Scotia iTRADE. The standard trading fee is identical ($9.99), but TD’s active trader pricing of $7.00 per trade is significantly higher than iTrade’s $4.99. In addition, Scotia iTRADE now offers over 100 commission-free ETFs, while TD Direct Investing does not.
Overall, if you’re an existing Scotia iTRADE client or a fee-conscious active trader, stick with iTRADE; if you’re willing to pay a bit extra for a premium experience, go with TD Direct Investing.
Read the full TD Direct Investing review
Scotia iTRADE vs. Wealthsimple
Wealthsimple is Canada’s largest robo-advisor, but it also offers commission-free stock and ETF trades through its self-directed investing platform. It also supports fractional shares. If you’re a new investor and don’t require the advanced trading features and research tools iTRADE offers, then Wealthsimple is the way to go. Scotia iTRADE is the better choice for more sophisticated investors.
Read the full Wealthsimple review
Scotia iTRADE contact information
If you have an inquiry, you can contact Scotia iTRADE through the following channels:
Telephone:
Client services: 1-888-872-3388 (Monday to Friday, 8:00am to 8:00pm ET)
Client onboarding/New accounts: 1-888-769-3723 (Monday to Friday, 8:30am to 5:30pm ET)
Email:
Service inquiries: service@scotiaitrade.com
To open an account: openaccount@scotiaitrade.com
Mail:
Scotia iTRADE
PO Box 4002 Station A
Toronto, ON
M5W 0G4
Scotia iTRADE eligibility criteria
To open a personal account with Scotia iTRADE, you must meet the following criteria:
- Be a Canadian resident
- Over the age of majority in your province of residence
- Have a Social Insurance Number (SIN)
- Provide valid Canadian Government-issued photo ID (e.g. passport, drivers license)
How to open a Scotia iTRADE account
According to Scotia iTRADE, you should be able to open a personal account online in about 15 minutes.
Here are the steps to follow:
- 1.
Head to the Scotia iTRADE website and select “Open An Account.
- 2.
Indicate whether you are a new or existing customer.
- 3.
You will be guided through the online application, which must be completed and submitted in the same session.
- 4.
Once your application has been verified, you’ll be able to fund your account.
Note that if you want to open an RESP or a Legal Entity account, you cannot do so online. Instead, call Scotia iTRADE at 1-888-769-3723.
FAQs
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.
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