A recap of my experience switching broker from TD Direct to National Bank Direct Brokerage

I was grocery shopping today with my mom and I spotted some turkeys, which I didn't have in a really long time. The price for a Butterball frozen turkey - the best turkey EVER by the way - was ENORMOUS: $63.99. And that's before taxes! So the delicious Butterball stays where it was in the freezer... I don't care about turkey. But wait, I also saw some ham at $43... and not even half of a big ham... The price for groceries here in New Brunswick is not cheap at all. 

One day, my mom bought a small bag of clementines for $8... She wanted to please me, but I told her not to buy anything high price. I can sacrifice my clementine for instead apple or banana, which are way cheaper fruits. If you buy fruits that are out of price, you are giving the impression that you actually accept to buy items at a high price, and it's not my case, even if I really like orange, clementines, and grapefruits. 

Generally speaking, I find that everything is cheaper in Montreal. However, it's possible to buy groceries at a fair price here where I am in New Brunswick, it's just that you cannot buy everything you want. You need to buy what is on sale and plan your meals accordingly. Nothing too complicated. You need to do what you need to do in order to save a few bucks where you can, and that includes commission fees for trading.

Currently, in Canada, we now have two brokers how are offering a 0$ commission fee for trading: National Bank Direct Brokerage and Desjardins Online Brokerage. National Bank Direct Brokerage was the first institution in Canada to offer this opportunity to investors. Desjardins Online Brokerage followed the lead shortly after the National Bank Direct Brokerage historic move. National Bank Direct Brokerage made its announcement during the summer while I was away on vacation in New Brunswick. 

At the time, we didn't have Internet at home in New Brunswick, so I couldn't do anything. When I came back from my vacation, I immediately took action. In my mind, it was all clear. I had to take advantage of the National Bank Direct Brokerage offers, and ASAP! I had been using TD Direct brokerage services since something like 2007-2008. I actually began to invest in stocks shortly before the 2008 stock crash. Since that time, I had been paying $9.99 per buy and sell trading operations. I just prefer not to even try to calculate the amount of money I spent on trading fees over the years...

I quickly realize that National Bank Direct Brokerage was now a real game-changer. And here is how goes my process from switching from TD Direct to National Bank Direct Brokerage. 

First, I call TD Direct, asking if there were any upcoming changes in regard to their commission fees, and if they were planning to do like National Bank Direct Brokerage. I learned that nothing had been announced in that regard and TD Direct didn't expect to abolish their commission fees at the present time. Unfortunately.

Next, I called National Bank Direct Brokerage. I asked if their $0 commission fee was just temporary, like a promotion or something - or if it was for the long run. I knew the answer to that question, but I just wanted to make sure... And the answer was the one that I expected, this wasn't a promotion for a limited time, it was for the long run. Basically, it's how things were going to be from now on with National Bank Direct Brokerage. The National Bank Direct Brokerage's broker told me that I needed to call TD Direct to make sure everything was ok regarding my margin account.

After that, I contacted TD Direct one more time, explaining that trades with National Bank Direct Brokerage were at a $0 commission fee, that I really liked TD, but I was thinking about switching over to National Bank Direct Brokerage. I explained to the broker that I needed to verify if I could proceed with the transfer and if everything was fine with my margin. The broker put me on hold, and told me everything was fine with my margin. I don't really know what they were looking for, but in my case, everything was ok.

Following this, I opened a broker account with National Bank Direct Brokerage. I already had a small investment with National Bank. I used that already existing account info to log in and from there I completed a PDF form online, on which I entered my info to proceed with the transfer "as is" of my investment portfolio from TD Direct to National Bank Direct Brokerage. The selection of "as is" is really important if you want to take everything you have at your current broker transfer as is over your new broker. "As is" means that you proceed with the transfer as is, without selling anything, without changing anything to your existing investment portfolio.

Opening a broker account with National Bank Direct Brokerage was quite easy and quick. My account was created within 48 hours. Following this, both National Bank and National Bank Direct Brokerage proceed with a credit check, which is mandatory for a margin account. It took a while for my margin account to be created. My non-registered Canadian margin account had been the last account to be transferred from TD Direct to the National Bank Direct Brokerage. 

It took me a good month to get everything transferred to the National Bank Direct Brokerage. I guess I got stuck at the time where the 0$ commission fee was a bit more well-known and I guess that many investors may have switched over the National Bank Direct Brokerage at the exact same time that I did.

I knew that an account of mine at TD Direct was about to get transferred to National Bank Direct Brokerage when the account at TD was no longer there. When an account is nowhere to be seen, it meant that the account will arrive the following business day over the National Bank Direct Brokerage. Following the arrival of one of my accounts over National Bank Direct Brokerage, I checked for those points for each and single investment:

-the list of actual stocks - to check if nothing is missing in that specific account;

-the number of stocks per investment;

-the initial value per share;

-the initial value of the investment.

Following the arrival of an account to National Bank Direct Brokerage, don't panic if you are missing one investment or more. It usually takes 48 business hours before you'll receive everything. It took more than 48 hours for my non-registered portfolio, but I let it go, and I received everything in a matter of a couple of days. If you notice that you are missing an investment, I would suggest that you wait at least 48 business hours before calling National Bank Direct Brokerage.

While proceeding to an "as is" transfer from let's say TD Direct to National Bank Direct Brokerage, don't perform any trades at TD Direct. It's important that you don't change anything because you just don't know exactly when the transfer of assets will be made. When you decide to actually switch brokers, don't proceed to any trades until your transfer is done and completed.

Also, when you decide to switch brokers, save all statements for the previous years and the current years, all past tax papers, etc. Save everything you can because once your account goes transferred over from let say TD Direct to National Bank Direct Brokerage, it's most likely that your account will get closed at TD Direct once everything got transferred over National Bank Direct Brokerage.

I am currently at the real end of this whole transfer process. I asked TD Direct to reactivate my accounts so I can have access to my upcoming tax papers for 2021 via their eServices, which is their service to receive all of your statements online. I don't want to receive anything by mail. TD Direct was able to reactivate my accounts. Everything is now in order. Overall, my switch from TD Direct to National Bank Direct Brokerage went smoothly.

There are just a few things that I don't like with National Bank Direct Brokerage: very long delay before being able to talk to a broker over the phone. And secondly, with National Bank, you don't see the value of the investments that you hold in your portfolio in real-time. There's always that 15 minutes delay, so the value that you see of your stuff online with National Bank Direct Brokerage is never totally accurate. That's for me a major turn-off. However, if you place a buy order, you'll have the value in real-time of the stock you want to buy. When the new acquisition is in your portfolio, the value that shows up is not in real-time. 

I find this to be really insulting. It's like National Bank Direct Brokerage is screaming right in my face: YOU ARE JUST A F SMALL INVESTOR AND YOU DON'T DESERVE BITCH TO SEE YOUR INVESTMENT PORTFOLIOS VALUES IN REAL TIME.

Transfer finally done and completed: my investment portfolio is now with National Bank Direct Brokerage!

Following its arrival, it took more than the usual 48 hours for my non-registered Canadian margin portfolio to be completely transferred over National Bank Direct Brokerage. Most of the investments that I hold inside my non-registered Canadian margin portfolio were transferred over National Bank Direct Brokerage arrived on October 5th. However, on October 5th, two of my biggest holders were missing and haven't been transferred, but they were nowhere to be seen over my old TD Direct account... That's the scariest part, not to be able to see your stocks, but that's actually a good thing, meaning that the transfer is ongoing. My two biggest investments, PPL and ENB, finally arrived on the date of today inside my Canadian margin portfolio over National Bank Direct Brokerage. The date that appears on the Activity page is actually yesterday, but yesterday, PPL and ENB were nowhere to be seen. I am quite happy that this transfer is finally done and completed!

It hasn't been much stressful. Both TD Direct and National Bank Direct Brokerage brokers had been great and done their job. I know that many investors might have done what I did and transferred their assets over National Bank Direct Brokerage. It just required some checking once something new arrived over NBDB. Yesterday evening, I write down in my agenda all the dividend payout dates. It allows me to verify the following: it seems like I am missing two dividend distributions inside my TFSA portfolio, and one dividend distribution over my RRSP portfolio. I will call National Bank Direct Brokerage on Monday only because for now, this lady is still on vacation.

I wrote down in my agenda the dividend distribution date. For that task, I checked each and every single of my dividend stocks over the TSX page. Following what, I click on the Key Data of the stock:

That way, I can verify the payable date of the dividend:

Since I had been holding most of my assets for a really long time, I don't need to worry about the Ex-Date. It's the Payable date that I wrote down in my agenda for each of my stocks. It was a long exercise, but it was worth the effort. In my early days as an investor, I was checking my dividend distribution, but I have to admit that it's something I didn't do for quite some time. However, since I recently switch brokers, I want to verify my dividend distribution. Sincerely, it's a task that we should all do as investors. We are alone to verify our own interests. From now on, I will verify my dividend income and check that I actually received everything the TSX own me :-)

Still no luck at hunting little partridges yesterday, we didn't kill any. Today is a hunting break day.

Slowly but certainly switching broker over to National Bank Direct Brokerage

Don't ask me how well or bad did my non-registered Canadian portfolio today, because currently, that portfolio of mine is gone in the wind. Its no longer at TD Direct and did not arrive yet at National Bank Direct Brokerage. That's the most frightening part because it's kind of strange to have the account - and the money, nowhere to be seen... It's simply the transfer procedure that is ongoing. This means that tomorrow morning, I should begin to see partly - or maybe if lucky enough fully - the investments that I hold inside my non-registered Canadian portfolio over NBDB. Within 48 hours, I should have received everything. As for my US margin portfolio, it still remains at TD at the present time, because I can still see it. :-)

As for my Canadian non-registered margin, upon arrival, probably tomorrow morning, I will of course check if all assets had been transferred, and I will check if the number of shares per investment is correct, and as well the initial investment value per investment. And most important of all, I will check the amount of the margin debt, so it's the same as before. The timing is not exactly perfect as I am soon moving to New Brunswick for a couple of months. I wish everything will be fine within 48 hours so I have nothing to do.

These days, both ETH and Bitcoins are going great. I am keeping my radar on those two. I would like to eventually sell the following investments that I hold inside my TFSA portfolio: Bitcoin Fund The Class A units (QBTC), Purpose Bitcoin ETF CAD ETF non-currency hedged units (BTCC.B), and 3iQ CoinShares Ether ETF (ETHQ). I am still not in a rush to sell, but I had been on those crypto investments for a little while now and I would like to see the color of my money on those.

One thing for sure, I would like to invest something around 2k inside my RRSP by the end of the fiscal year. Not that I am a huge fan of RRSP, but this year, I did a bit of money trading inside my non-registered account, and I did some extra hours at work.

I have still a bit of money left over my TFSA and RRSP portfolios. Being with a $0 commission fee broker is quite helpful a lot because I feel really free investing in what I want, when I want, more than ever before. I always had an interest in ATS Automation Tooling Systems Inc. (ATA), but I never invested in the stock because I feel it was a more risky investment. But now, if I want, I can even invest in one tiny little share of ATS Automation Tooling Systems Inc. (ATA) and that idea alone is enough to make me happy. One of the reasons why I never invested in ATA is that the stock doesn't pay any dividend distribution. 

While shopping around for new investments, I always prefer to pick a business that pays a dividend, even if it's a small distribution. A small amount is always better than nothing at all.

My first investments with National Bank Direct Brokerage: welcoming North West Company Inc. (NWC) and AirBoss of America Corp. (BOS)

I don't know if you have noticed, but my blog feature in Rob Carrick's personal finance reading list in The Globe and Mail, wow wow wow!!!

Thanks for reading, Rob Carrick :-)

The problem I described in the previous post regarding New Brunswick's Travel Registration Program got resolved quite quickly for my old folks. Now, I need to pack my stuff for the next 6 to 7 months, which is ongoing. While getting ready, I bought the latest Edith Butler CD. You might want to listen to the following, even if you don't understand French, because it's really good and I keep listening to it on and on and on! My old folks won't believe their ears.

That's the kind of music real New Brunswickers listen to and enjoy. The real deal. Only good investors can enjoy real music.

I managed to finally make my first investments with National Bank Direct Brokerage. I made two small investments. For my TFSA portfolio, I invested in a few shares of North West Company Inc. (NWC). For my RRSP portfolio, I invested in AirBoss of America Corp. (BOS). I used to have North West Company Inc. (NWC) in my investment portfolio a couple of years ago, so nothing new here, but I wanted to invest in something in order to receive my $135 +taxes credit inside my new TFSA portfolio at National Bank Direct Brokerage.

I also wanted to receive a $135 + taxes for my RRSP portfolio. It's basically why I invested in AirBoss of America Corp. (BOS) for my RRSP portfolio. BOS is a Jean-François Tardif's stock. In Stockopedia, AirBoss of America Corp. (BOS) is well-ranked. AirBoss of America Corp. (BOS) is also on several Stockopedia's screens, which is a good thing in favor of BOS. So I decided, why not? BOS pays a dividend distribution below 2%, but at least they pay a little something.

I updated my dividend income and so far - excluding the dividend earns inside my RRSP - is of $8,443.28, which is about $703 a month. I like this amount because it covers my rent + a small coffee for the month :). I am keeping my apartment in Montreal even if I am moving away to New Brunswick for a couple of months.

My non-registered Canadian margin and US accounts haven't been transferred over National Bank Direct Brokerage yet. I hope it gets done in the next few days before I leave for New Brunswick. So far, my TFSA and RRSP portfolios got transferred without any mistakes over National Bank Direct Brokerage. I prefer that TD Direct take all the time they need in order to transfer my last two accounts correctly.

My experience switching broker from TD Direct to National Bank Direct Brokerage

I notice that my TFSA account was no longer with TD Direct, but it wasn't either way yet arrived in my National Bank Direct Brokerage. However, I check again at the opening, and there it was, my TFSA - but only my TFSA account - was now inside my National Bank Direct Brokerage! Immediately, I check if my number of stocks for each investment was correct, which it is. I also check on my average cost per share, as well as my book cost info. All of those were ok. 

However, I am missing one single investment inside my new National Bank Direct Brokerage TFSA account. One specific investment that I had inside my TD Direct TFSA account hasn't been transferred over my TFSA account that I now have with the National Bank Direct Brokerage. And the fact is, that missing investment is no longer from my TFSA account with TD Direct because my TFSA with TD Direct does no longer exists. So I guess that my missing investment must be somewhere, behind a rock or something lol.

And I am also missing a part of the cash I had inside my TFSA. It wasn't a big amount, but still. To fix this out I called National Bank Direct Brokerage. I was told that I had to wait 48 hours. If after 48 hours I still have elements that are missing from my TFSA portfolio, I need to call NBDB.

So far, only my TFSA account had been transferred, other accounts haven't been transferred yet, which is normal. It took National Bank Direct Brokerage a little while to open my non-registered portfolios margin accounts. I guess that the next account I should receive from TD is my RRSP.

I spent over 41 minutes over the phone trying to talk to a broker with National Bank Direct Brokerage. Customer service is quicker with TD Direct, but I am willing to wait several minutes over the phone to get 0$ commission fee broker account. It sucks to wait, but I put my cell on speakerphone and voilà. I left it on my desk as that and... wait. I guess that people at National Bank Direct Brokerage might be quite busy with all those new clients like myself who just love the idea to trade at a $0 commission fee. It's too much of a hot deal not to take benefit of it.

The funniest thing ever is that I received an email from National Bank Direct Brokerage saying that my first transaction had been done. Not exactly... Transfer only. Before doing any trading, I want all of my stuff to be completely transfer, so sorry National Bank Direct Brokerage.

I think everything will get done by next week. Once that I talked to a National Bank Direct Brokerage broker, I was told that TD Direct was among to faster to complete transfers like those.

I will wait and see.

My last days as a retail investor with TD Direct

Being French Canadian - and Acadian not to say it - is sometimes strange because I do sometimes used English words that I don't exactly know the meaning, but I know that I am using them the right way. This of course is a secret. I have let say an intuition of what some words mean, without really knowing. Since my intuition is almost always accurate, I can say that I am fully bilingual without really being. It must be difficult for an outsider to understand.

Take for example that expression: "retail investor". I know its the way to describe small investors like myself, who are not institutional or professional because I read that expression many times before. However, for me, "retail" is not and elegant fit with "investor". Retail for me refer to store. There's something cheap notion that came with retail that doesn't go to well with what being an investor really mean in its strongest meaning and role.

Currently, I am counting my last days, and hopefully, my last hours as a "retail investor" with TD Direct, aka TD Waterhouse. As announced previously, my account with National Bank Direct Brokerage is now open. Between TD Direct and National Bank Direct Brokerage, I prefer TD Direct platform. but a platform is just a platform. So far, TD Direct didn't change anything yet regarding their commission fees. In result, I am saying goodbye. You need to be a bit dumb to accept paying to trade when you can perform all the trades in the word for 0$.

Thank you National Bank Direct Brokerage.

I am experiencing my last days with TD Direct on an extreme high note. Currently, my non-registered portfolio is at $135,773.98, my TFSA portfolio is a bit lower, playing in the 128k.

Thank you for everything, TD Direct.

I am now (almost) in business with National Bank Direct Brokerage and that's fun fun fun!

Desjardins Online Brokerage is now following National Bank Direct Brokerage lead by offering free trading to their clients. However, between Desjardins Online Brokerage and National Bank Direct Brokerage, I definitively prefer National Bank Direct Brokerage. National Bank is a professional bank, while Desjardins is a big shit show bank. I have to say, I feel at ease with National Bank Direct Brokerage. I want to deal with a brokerage service that knows what they are doing and I get that with National Bank Direct Brokerage.

So far, National Bank didn't disappoint me: opening an account with their brokerage service had been super quick! I proceed with the opening on September 9, and the following day, on September 10, I was receiving an email saying that my broker account with National Bank Direct Brokerage had been opened and that I could access it. I have to say, I already had a small investment with the National Bank, which is the NBI Income Fund that I hold inside my RRSP portfolio. It may have helped to speed up the process. I wasn't able to access my new broker account with the National Bank right away.

To resolve my problem, I call National Bank Direct Brokerage technical support. I was able to reach someone almost immediately. My access problem got resolved quickly and following what I asked to be transferred to a broker because I had a few questions. I had received an alert from Equifax, saying that someone had verified my credit, and I wanted to know if National Bank Direct Brokerage had to check my credit. The answer to that question was yes. For a margin account, they do verify your credit. Following what, I asked if my as is transferred was under progress, and if on their end it was an as is transferred that had been requested - just to make sure - and yes, everything was asked for an as is move. As for the transfer from my old broker to National Bank Direct Brokerage, I need to give them a few more days before it gets done. It should be complete by Thursday.

I had linked my chequing account to my broker account with National Bank Direct Brokerage. When I was talking to one of their brokers earlier today, I was told to send a cheque specimen to their email, which I did. If things continue to run smoothly between me and National Bank Direct Brokerage, I may open a chequing account with National Bank, and a credit card, and oh, a credit line too, please. One thing about me, I like to collect credit lines, credits cards, but best of all, I like to collect stocks.

I really hope that by now, you understand that especially like to collect stocks. And best thing being, since I won't be charged any commissions fees for selling or buying stocks with National Bank Direct Brokerage, you bet that I am going to enjoy it and trade trade trade!

Actually, National Bank Direct Brokerage, is about to see me glow into a DIVIDEND QUEEN. 

Got to take your fun where you can.

Transferring all of my investment portfolios over National Bank Direct Brokerage: the moment of truth

Today, I call both TD Direct and National Bank Direct Brokerage customer service. First, I call TD Direct to see if anything was going to be done regarding commission fees, if things will change anytime soon since National Bank Direct Brokerage no longer charges commission fees to buy and sell stock. According to the TD Direct rep, nothing had been announced and for now, nothing will change. In the immediate, TD Direct will continue to charge a $9.99 commission fee to buy or sell stocks on their platform.

 

From there, it was clear to me: I have to switch to National Bank Direct Brokerage. I asked TD Direct what will be the trading fees. TD answer: $150 per account. This means, if you have a US non-registered account, a Canadian non-registered, a TFSA account, and an RRSP account, you'll be bill $600 for transferring all of your stock shit over to the National Bank. National Bank Direct Brokerage will give you $135 per account that you transferred to help to cover the charges, which make $540. A $60 will have to come from my pocket, which I agree on.

I won't anymore accept to pay $9.99 per trade for buying or selling stocks. After that, I called National Bank Direct Brokerage customer service. On the French line, it said that the waiting delay was 1 h 30... It was possible to schedule an automatic call back, which I asked to keep my priority in the line of calls. And following what I called the English line, and I got someone almost immediately. Fortunately enough, the rep I reached out was speaking French. I could have handled this in a rough and tight English, but I prefer to speak French when possible. I asked if their $0 commission fee thing was just a promotion or if it was there to remain. I was answered that it's here to remain. And from there I asked how to proceed and it goes like this: first, you need to create an account online. Once it's created, in a period of 2 to 5 days, you can call National Bank Direct Brokerage and you can actually proceed with the transfer of your stocks over the phone.

Personally, my transfer wasn't done exactly that way since I already hold a little investment with National Bank, a mutual fund. I connected myself using the link provided by National Bank Direct Brokerage, and I used the login that I currently have in order to open a broker account with the National Bank. I answered a few questions. At a point, their system send me a link to my cell phone via a text message, and I clicked on the link to take a picture of one of my ID, and I also had to take a selfie of myself, which I did with absolutely no makeup on because I simply didn't have time to do better. And finally, I complete a form on which I enter the info in order to proceed with a transfer as is (in French, the correct term would be: comme tel) of all of the stocks I hold, as well as my margin debt, over National Bank Direct Brokerage. That term as is is really important if you want to simply transfer things the way they are currently in your portfolios, and simply have everything transferred - stocks and margin - over your new broker.

While performing a transfer from a broker to another broker, you have many options. As is is one of them, but you can also have all of your stocks sell-off, and only have money transferred to your new broker account. And there seem to be more options available. However, I am not familiar and I didn't get any info on those types of transfers. Personally, I want the as is option please.

I proceed with the as is option today. We'll see how it goes, I will of course keep you posted. At first, the only idea of proceeding to such transfer is scary, but there's nothing to be scared of. Once you decide to proceed, I strongly suggest that you download all the documentation you may have access to from the account that you are leaving behind because once the transfer is being done, your old broker account may get close automatically - I don't know. To download all of your monthly statements for this year and previous years. Personally, I did so, and I download a copy of my orders and I print screen the content of my portfolios in a Word document.

I am just hoping that this transfer will get done quickly. I will keep you posted.