Our review of TD Direct Investing 2025 2.5/5

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TD Direct Investing in Brief

Our opinion of TD Direct Investing

We particularly liked the seamless integration between TD Direct Investing and TD Bank accounts, which simplifies fund transfers for existing TD customers. The availability of in-person support through TD branches is also a unique advantage for those who prefer a face-to-face interaction. Additionally, the platform provides a solid range of educational resources and research tools, making it appealing for beginner investors seeking guidance.

We would have liked to see more competitive pricing, as the $9.99 trading fee is significantly higher than the industry average. The outdated platform design and lack of advanced trading features, such as customizable charting tools or automated trading options, were also disappointing. Furthermore, the absence of a demo account and welcome bonuses limits its appeal for new investors looking to test the platform before committing.

Who is TD Direct Investing designed for?

TD Direct Investing is best suited for long-term, conservative investors who prioritize integration with their banking services and value the ability to access in-branch support. However, it falls short for active or professional traders seeking cost-effective, modern trading solutions.

Before you zero in on TD Direct Investing, explore other options in the market.

Let's find out more about our test results on TD Direct Investing.

Security and reliability 3/5

TD Direct Investing is the online brokerage division of TD Bank, one of Canada’s largest financial institutions, with a history spanning more than 150 years. The brokerage itself has been in operation for over two decades, positioning itself as a reliable choice for Canadian investors seeking a self-directed investment platform. While the platform is trusted due to its association with TD Bank, its reputation among users is mixed, as reflected by its 1.7/5 Trustpilot rating from 231 reviews.

The broker is regulated by the Investment Industry Regulatory Organization of Canada (IIROC) and is a member of the Canadian Investor Protection Fund (CIPF), ensuring compliance with Canadian securities regulations and offering account protection of up to $1 million. TD Direct Investing is also registered with the Ontario Securities Commission (OSC), British Columbia Securities Commission (BCSC), and Alberta Securities Commission (ASC), providing added assurance for Canadian investors.

Features for Risk Management

• CIPF Membership: Protects account balances up to $1 million in the event of broker insolvency.
• Basic Stop-Loss Orders: Helps users manage downside risk in volatile markets.
• Portfolio Performance Tools: Allows investors to track and assess risk exposure in their portfolios.

Despite these features, the platform lacks advanced risk management tools such as margin accounts with leverage, conditional orders, or comprehensive options trading strategies.

Market and asset diversity 2.5/5

TD Direct Investing positions itself as a brokerage that focuses primarily on long-term investments, offering a variety of traditional asset classes tailored to Canadian investors. The platform provides access to stocks, ETFs, mutual funds, bonds, GICs, and options, catering to conservative investors who prefer self-directed investing.

However, the absence of global asset classes like forex or CFDs limits its appeal to more diverse or active traders. Compared to competitors, TD Direct Investing offers a narrower selection of investment options, making it less suitable for those seeking a broader range of markets.

Our opinion on TD Direct Investing's offerings

While TD Direct Investing offers a solid range of traditional assets such as stocks, ETFs, and mutual funds, its lack of access to forex, CFDs, and international markets limits its competitiveness. Additionally, the number of available ETFs and stocks falls below the market average, reducing its appeal for investors looking for diverse or niche market opportunities. For traders with more varied needs, alternative brokers may provide better asset and market coverage.

Platforms and tools 2.5/5

TD Direct Investing provides access to three main platforms: the WebBroker platform, the Advanced Dashboard, and its mobile app. While these platforms cater to self-directed investors, they lack the advanced functionality and modern design seen in competitors' offerings.

WebBroker

WebBroker is the primary trading platform, offering access to account management, trade execution, and basic market research tools. It includes features such as real-time quotes, market news, and portfolio performance tracking. However, the interface is outdated, and navigating through various functionalities can feel clunky and unintuitive.

Advanced Dashboard

The Advanced Dashboard is targeted at active traders, providing access to streaming real-time data, customizable charting tools, and technical indicators. While it is a step up from WebBroker in terms of analysis capabilities, the dashboard still lacks modern features like algorithmic trading or customizable alerts, which are standard among many global brokers.

Mobile App

TD Direct Investing’s mobile app allows for on-the-go trading and portfolio management. The app includes basic functionalities such as viewing balances, placing trades, and accessing market news. However, it is considered less user-friendly and feature-rich compared to apps offered by competitors. Limited charting options and lagging performance during high market volatility are recurring complaints.

Analysis Tools and Decision Aids

• Market News and Analyst Reports: WebBroker offers access to third-party research and news sources but lacks integration with premium analysis tools.
• Portfolio Tracking: Basic tools to track and evaluate portfolio performance.
• Order Types: Provides basic order types such as market, limit, and stop orders but lacks conditional orders or advanced strategies for options trading.

Fees, spreads and commissions 2/5

TD Direct Investing is positioned as a traditional broker with flat-rate commissions for trading stocks and ETFs. While the fees are transparent, they are significantly higher than those of most online competitors, especially for active traders or those making frequent trades. The platform does not offer spreads for forex or CFDs, as these asset classes are not available.

Additional Fees:

• Deposit/Withdrawal Fees: No fees for deposits or withdrawals via bank transfer. Wire transfer fees may apply for international accounts.
• Inactivity Fee: $25 per quarter for accounts under $15,000 in assets, unless exempted under certain conditions (e.g., registered accounts or active trading).
• Overnight Fees: Not applicable as TD Direct Investing does not offer margin or leveraged trading.
• Account Transfer Fees: $135 for full account transfers to another institution.
• Paper Statement Fees: $2 per statement if electronic statements are not selected.

How is TD Direct Investing price positioning?

TD Direct Investing's fees are among the highest in the Canadian brokerage market, particularly for stocks, ETFs, and options trading. The lack of competitive pricing makes it less appealing for active or cost-conscious traders. Although there are no deposit or withdrawal fees for basic transactions, the inactivity fee and high transfer costs further reduce its affordability. Brokers with lower fees and spreads provide better value for frequent traders or those managing smaller portfolios.

Customer reviews 1.4/5

TD Direct Investing has a Trustpilot rating of 1.4/5 based on 2,469 reviews, highlighting recurring customer dissatisfaction with its platform, customer service, and overall experience.

Here are some recent testimonials from Canadian users:

• Karen M (March 12, 2024): "I switched to TD Direct Investing expecting smooth integration with my TD bank accounts, but the platform is outdated and difficult to navigate. It took me almost an hour to figure out how to place a simple trade, and even their customer support was slow in resolving my query. Definitely not beginner-friendly."
• Mark T (July 5, 2024): "The fees are just too high for someone like me who trades a few times a month. Paying $9.99 per trade feels excessive when other brokers charge much less. The lack of a demo account also made it hard for me to practice before committing to real money. I wouldn’t recommend this for active traders."
• Olivia R (January 15, 2025): "I experienced frequent issues with the mobile app, which crashed several times while I was trying to monitor my portfolio. It’s frustrating, especially when you’re trying to make trades during market hours. I expected more from a broker backed by a major bank like TD."

How is TD Direct Investing positioned in relation to its competitors?

Conclusion of our review on TD Direct Investing

TD Direct Investing offers a comprehensive range of traditional assets like stocks, ETFs, and mutual funds, appealing to long-term investors. Its integration with TD Bank and access to in-person support are beneficial for customers already within the TD ecosystem.

However, the platform falls behind competitors in terms of modern features like copy trading, advanced platform usability, and demo accounts. The high trading fees make it less appealing for active traders, while the lack of global asset classes such as forex or CFDs limits its market appeal.

In comparison, other brokers provide a more extensive range of assets, lower costs, and advanced trading platforms, making them more attractive for diversified and cost-conscious investors. TD Direct Investing may suit conservative investors seeking traditional investments but lacks the innovation required for competitive trading environments.

Before opening an account with TD Direct Investing, compare the best brokers in Canada:

What types of accounts are available with TD Direct Investing in Canada?

Non-Registered Account

The non-registered account is a flexible option for investors who do not require tax advantages. It allows access to the full range of TD Direct Investing’s assets, including stocks, ETFs, mutual funds, and bonds. However, gains are fully taxable, and it is best suited for those seeking short-term investments or exceeding registered account contribution limits.

RRSP Account

The RRSP account allows for tax-deferred growth on investments, making it an excellent choice for long-term retirement savings. Contributions are tax-deductible, and withdrawals are taxed as income. However, early withdrawals before retirement age are subject to penalties and withholding taxes.

TFSA Account

The TFSA account is ideal for investors looking for tax-free growth. Any withdrawals are not subject to tax, making it a highly flexible option for both long-term savings and short-term goals. Contribution limits apply annually, and over-contributions result in penalties.

RESP Account

RESP accounts are specifically designed for saving for a child’s post-secondary education. Contributions grow tax-free, and withdrawals for educational expenses are also tax-free. It is suitable for parents or guardians seeking to benefit from government grants such as the Canada Education Savings Grant (CESG).

No Demo Account and Islamic Account

TD Direct Investing does not currently offer a demo account, which makes it challenging for beginners to practice trading or explore the platform without committing real funds. Additionally, there is no Islamic account available, meaning the platform is not compliant with Shariah principles, which could alienate a segment of investors.

Deposits and withdrawals at TD Direct Investing: How does it work?

TD Direct Investing offers standard deposit and withdrawal options like bank transfers and cheques, which are fee-free for most methods. However, wire transfers come with additional charges, which vary depending on the bank.

Unlike some competitors, TD Direct Investing does not provide faster funding options such as credit cards, debit cards, or e-wallets (e.g., PayPal), limiting flexibility and convenience. Competitors that include these features often provide more efficient and modern solutions for client transactions.

Does TD Direct Investing offer copy trading?

TD Direct Investing does not currently offer copy trading or social trading features. The platform is primarily designed for self-directed investors who prefer to manage their portfolios independently. Unlike some brokers that provide advanced tools for replicating the strategies of successful traders or engaging in community-based trading insights, TD Direct Investing lacks these functionalities.

Without dedicated copy trading software or social trading platforms, such as those offered by brokers specializing in community-driven trading, users of TD Direct Investing cannot access features like automated trade replication or performance tracking of top traders. Additionally, there are no provisions for shared trading insights or interaction within a trader community, which limits its appeal for users seeking collaborative or hands-free trading opportunities.

For investors interested in copy trading, alternative brokers that offer specialized platforms like Myfxbook or eToro would be better suited. TD Direct Investing is geared toward those who prioritize traditional self-directed investment tools over automated or community-based strategies.

What is the tax treatment of income generated by TD Direct Investing?

In Canada, any income generated from trading via TD Direct Investing is subject to taxation under the country’s tax laws. Depending on the type of income, it may be categorized as capital gains, dividends, or interest income. 

Applicable Tax Regime

Capital gains are taxed at 50% of the individual’s marginal tax rate, while dividends and interest income are taxed at different rates depending on the source and type. For registered accounts like RRSPs or TFSAs, any gains are tax-sheltered or tax-exempt as long as they comply with contribution and withdrawal rules.

How to Declare Trading Income or Revenues?

• For Non-Registered Accounts: Include income from trading on your T1 General Tax Return under the "Investment Income" or "Capital Gains" sections. Ensure you report all realized gains or losses during the tax year.
• For Registered Accounts: RRSP withdrawals must be reported as income and are subject to withholding taxes, while gains or withdrawals from a TFSA are tax-free and do not need to be declared.
• Dividends and Interest Income: Declare these amounts in the corresponding sections of your tax return, and claim applicable credits such as the Canadian Dividend Tax Credit, where eligible.

Points to remember while filing taxes

• Keep detailed records of all trades, including purchase and sale prices, dates, and commissions.
• Review the T5008 form provided by TD Direct Investing, summarizing your investment income and dispositions for the year.
• Use CRA’s MyAccount or authorized tax software to file your returns and ensure all trading activity is accurately reflected.
• Consult a tax professional for guidance, especially if you engage in frequent trading, which may be classified as business income and subject to different tax rules.

Contact: How do I contact TD Direct Investing customer service?

FAQs

Nishadh Mohammed

Nishadh Mohammed is a seasoned news editor and financial writer, working with HelloSafe since May 2023. Nishadh has developed expertise in financial markets, insurance, and investment products, with a deep understanding of the Canadian financial landscape. He has honed his SEO skills and content marketing strategies while writing for Canadian publishing houses. Armed with a master's in Business Analytics and extensive journalistic experience, Nishadh uniquely combines data proficiency and thorough research to deliver comprehensive and accessible information.