INVESTING

In a loud world, learning this one thing unlocks peace

Learning is an act of defiance these days.

Notifications are always buzzing, news is always breaking. The possibility the next video you scroll to will be something that changes your whole life is always there, too. And that's on top of family, work, and friends.

It's a lot. And it can make learning something new—especially something with stakes like picking the right place for your investments—daunting. This guide changes that.

No noise, no confusion, just answers. By the end, you'll have a clear, steady sense of how investing with a brokerage like Questrade builds you a safe financial harbour amid all life's other uncertainty.

What is a brokerage account, really?

In under 10 words: a brokerage account is a home for your investments.

In a little more than 10 words: a brokerage account lets you buy, sell, and hold assets that can grow in value like stocks and ETFs. It's different from a bank account, which holds the cash you use in your current, daily life and instead holds the assets you'll use to build the life you want.

It's the bridge between saving and investing—between parking money and letting it really grow. With a brokerage account, you get access to the real engine of economic growth: the stock market.

But access isn't created equal. Where you open your brokerage account makes a big difference, from the fees you pay, to the investing tools you have, and the education resources you can access.

This is where Questrade shines, giving you zero commission trading, no account opening fees, no account minimums, best-in-class trade-finding tools, and even educational livestreams.

Why not just use a bank account for saving?

Your bank account is excellent at what it was made to do: keep your money safe and accessible.

But it was never designed to grow your wealth. Money sitting in a typical savings account often loses its buying power over time due to inflation.

That's not just a hypothetical—it's happening right now, with the money in your savings account.

Consider this:

You have $10,000. You can keep it in a high-interest savings account (HISA) or invest it in an ETF that tracks the S&P 500.

• High-Interest Savings Account (HISA)
  • Pro: It's virtually risk-free. Your initial $10,000 can't drop in value.
  • Con: The growth is minimal and often fails to keep up with inflation.
• S&P 500 ETF
  • Pro: The potential for growth is significant. Historically, the stock market has returned an average of around 8% per year over the long term.
  • Con: The value of your investment will go up and down as the market changes, though over time, even the worst market crashes have been followed by periods of growth.

Your money—and the way it grows—isn't just digits in an app. It's plane tickets, it's peace of mind, it's saying goodbye to work deadlines sooner because you got to retire early (yes, it's still possible).

That's the real difference between saving accounts and brokerage accounts. One gets you through the day, and one gets you to a place where all your days are a little better.

The pathways to your biggest goals

A brokerage isn't just one account, it's your gateway to the most powerful wealth-building tools available to Canadians.

Each one blends unique benefits, designed to help you reach a specific life goal. These are some of the most popular:

• The TFSA (Tax-Free Savings Account)
  • Best for: Nearly any goal. Your money can be withdrawn any time, and grows tax-free.
  • Why it's great: No taxes! Your gains on Canadian investments aren't taxed, and neither are your withdrawals.
  • Contribution facts: Your contribution limit is set annually by the government, and any unused room automatically carries forward to future years.
• The RRSP (Registered Retirement Savings Plan)
  • Best for: Your long-term retirement savings.
  • Why it's great: You get a tax deduction when you contribute, and your investments grow tax-deferred.
  • Contribution facts: Your annual contribution room is calculated as 18% of your previous year's earned income, up to a maximum dollar amount set by the CRA.
• The FHSA (First Home Savings Account)
  • Best for: Saving for your first down payment.
  • Why it's great: It's a powerful hybrid of the TFSA and RRSP. Your contributions are tax-deductible, and your withdrawals for a home purchase are tax-free.
  • Contribution facts: You can contribute up to $8,000 per year for this account, up to a lifetime maximum of $40,000.
• The RESP (Registered Education Savings Plan)
  • Best for: Saving for a child's education.
  • Why it's great: Your investments grow tax-sheltered, and the government adds money through grants to help you save even faster.
  • Contribution facts: While there is no annual contribution limit, a lifetime maximum of $50,000 can be contributed for each beneficiary.

At Questrade, you can open any of these accounts or transfer an existing one, allowing you to choose the right pathway and power it with low-cost investments.

How to choose the right brokerage for you

This is the most important decision you'll make. Choosing the right brokerage can save you a lot of money and set you up for success.

• Why fees matter (a lot)
  Fees aren't just an inconvenient price of admission you pay to get into trading, they directly affect your outcomes, too.
  Many big banks charge commission fees for each trade you make, which adds up fast. At a low-cost brokerage like Questrade, you can trade for a fraction of that cost—because we don't have trading commissions, making all your trades more valuable.
• Look for a platform that grows with you
  When you're starting out, you may want something simple. But as you get more comfortable, only having entry-level tools also puts a ceiling on your growth. That's why we made our platforms with every level you reach in mind, from first trades to day trades.