Which Company/Website do you use and think is best to do stock trading?

[His Majesty]

Hey mates, was just wondering what you guys think are some of the better companies to trade with. Would you recommend doing it through a major bank like RBC or Scotia iTrade, TD Waterhouse, etc. or through a stock only company?

BTW, I'm just a beginner.

[theycallmebruce]

Try RBC Direct Investing. They recently started a "practice account" that allows you to trade with fake money. This is a good way of getting started since you are a novice to investing. Good luck.
Bruce

[JaguarTO]

TD Waterhouse has always had a top recommendation in all the financial mags, RBC has come on strong in the last couple of years. You can free trial both without opening an account.

[His Majesty]

I'm signing up with RBC Investments today and using their practice accounts.

How do you guys shelter your profits you make from taxes? Through RRSP account or TFSA? TFSA I believe is 10k limit right?

What I don't get is why you would use RRSP when you still get taxed upon withdrawl? I guess you want to use that money that would be taxed as more investments?

[doctor one]

I use TD as a trading account, but use the Globe Investor Gold (annual fee) for tracking my portfolio as well as research etc. These resources along with a lot of viewing of BNN and Stockchase.com to round out the investor knowledge. In addition I subscribe to Vector Vest and am pleased with the information as well.

Good Luck

[JaguarTO]

What I don't get is why you would use RRSP when you still get taxed upon withdrawl? I guess you want to use that money that would be taxed as more investments?


The theory is that when you withdraw the money your tax rate will be less. When RRSP's were first introduced there were 10 or more tax brackets. With three tax brackets today the reasons to use RRSP's are decreasing and if your investment strategy is successful you may actually pay higher taxes on withdrawal. When I first contributed to an RRSP I was making $16,000 per year. Now I am making more that 10x that in dividend income alone; therefore, I will definitely pay a higher tax on the withdrawal of money from my RRSP. Each case will be different.
If you give your money to a charity that will shelter the income, invest in a business and you don’t pay taxes until you sell the business, TSFAs; however, the limits are small today but they will grow and RRSPs; however you can wait until your tax rate is higher before you contribute as your annual limit accumulates.