You have the power to increase your buying strength. It’s called Margin Power and it’s an exclusive to Questrade. Margin Power connects the savings in your TFSA with the trading in your margin account. What you get is the opportunity to enter new positions in your margin account.
Access additional buying power from your TFSA
Trade without selling securities or transferring cash
Increase potential profitability in your margin account
Tap into your TFSA to buy more
Margin Power leverages the assets in your TFSA to enter new positions in your margin account. Once activated, your trading platform will show the buying power of your margin account and the increased buying power available via your TFSA.
Your TFSA stays tax-free
With Margin Power, your TFSA stays tax-free and holds the same contribution room. There’s no need to transfer cash or securities between your TFSA and margin accounts. You can trade normally in both.
It’s like overdraft protection
Margin Power functions as a type of overdraft protection: if the value of the positions in a margin account should drop, the untapped marginable assets from your TFSA could protect you from a margin call.
Get access to leverage to buy more
With a margin account you team up with Questrade to seize bigger opportunities. Think of it as a loan that gives you the leverage to purchase more investments. When you invest with additional money from us, you potentially increase your gains.
Learn about different margin accounts
Use leverage to trade more securities
When opportunity strikes, margin trading lets you buy more. By borrowing from Questrade, you have extra buying power. To trade on margin you need a margin account.
A tax-free savings account was created as a way to save for retirement. But in truth, the account has so much flexibility it’s also great for short-term goals. Different than an RRSP, with a TFSA there’s no tax on any growth earned, including interest, dividends and capital gains. Every year you’re given $5,500 to fill. You can choose to save a mix of investments, like GICs, stocks, bonds, mutual funds and more. You can withdraw tax-free and with Questrade there’s no annual account fees.
You link the two accounts on the account management screen of Questrade.
No, you can't use margin in a TFSA account. Margin Power links the accounts so you can leverage your TFSA assets to use in your margin account.
Trading on margin involves greater risk than just trading with the cash in your account and is generally not recommended for beginners.