What this means is that you can transfer US$ money to your rrsp without going through currency conversion which costs 0.5% at Questrade and usually more at other brokerages. The other benefit is for selling and buying equities that trade on American stock exchanges. This would include any US stocks as well as all ETFs sold by American companies such as Vanguard. Previously when selling the US$ equity the money would get converted to Canadian dollars and then you would have to convert again to buy another US security thereby paying the currency conversion fee twice.
I’ve read of various customer complaints in blog world but I have to say that I’ve been quite pleased with their service. I have my rrsp as well as my open account with Questrade mainly because they have by far and away the lowest commissions available at $4.95 per trade for trades of 495 shares or less.
If you want to sign up with Questrade then feel free to use this link or just use “FourPillars” as the referrer when you fill out the application. For other bloggers feel free to sign up for the referral program and of course use “FourPillars” as the parent affiliate.
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The RESP Book: The Simple Guide to Registered Education Savings Plans
Everything you need to know about RESPs.