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BMO Eliminates Trading Fees to Compete with Discount Brokerages
The bank said the changes will make it the first major Canadian lender-owned brokerage to eliminate commissions on stock and ETF trades.
- BMO InvestorLine announced it will eliminate commissions on stock, ETF, and option trades, becoming the first of Canada's five largest banks to adopt zero-commission trading effective September 14.
- Digital competitors including Wealthsimple Financial Corp., Questrade Financial Group Inc., and Robinhood Markets Inc. have captured significant assets as Canadians seek cost-effective trading options, forcing traditional banks to respond.
- BMO group head of wealth management Deland Kamanga described InvestorLine as a "powerful front door" for clients, noting the bank's fastest-growing segment consists of investors under the age of 35.
- Beyond commission cuts, the bank will eliminate brokerage account administration fees and reduce options contract costs, as CEO Silvio Stroescu aims to remove "pricing friction" for all investors.
- University of Toronto researcher Claire Célérier cautioned that increased access may encourage "unsophisticated investors" to take excessive risks, warning that platforms often profit as retail investors lose money on leveraged products.
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17 Articles
17 Articles
The Toronto Star+9 Reposted by 9 other sources
BMO InvestorLine to offer commission-free stock and ETF trading
TORONTO - BMO InvestorLine is offering commission-free trading on all stocks and exchange-traded funds in a bid to grow its digital self-directed investing platform.
·Toronto, Canada
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BMO Action Line combines its lowest ever costs with access to advanced negotiation tools, professional analysis and
·Montreal, Canada
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Total News Sources17
Leaning Left8Leaning Right0Center4Last UpdatedBias Distribution67% Left
Bias Distribution
- 67% of the sources lean Left
67% Left
L 67%
C 33%
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