Updated: April 2025 | bremo.io financial guides

Self-Directed RESP Canada 2025 — Investment Guide

No fee everyday banking

Set up direct deposit and skip the monthly fee. Free to open, and the Easy plan has no monthly fee. Worth doing if you will actually move your pay or your CRA deposits over, not if the card sits unused. Code BREMO2026.

See how it works

A self-directed RESP puts you in control of your child's education investments. With the right platform and strategy, you can maximize long-term growth at minimal cost — far outperforming group or bank-managed plans. Here's how to set up and manage a self-directed RESP effectively.

Best Approach: Open at a discount broker (Questrade or Wealthsimple), invest in a low-cost all-in-one ETF (XGRO or VGRO), shift to conservative holdings by age 15. MER under 0.25% vs. 1.5-2.5% at banks = thousands saved.

Best Platforms

Questrade: Commission-free ETF purchases, low account fees, full investment range. Best for hands-on investors. Wealthsimple Invest: Automated portfolio management at 0.5% fee — ideal for hands-off investors. RBC/TD Direct Investing: Full service, higher fees, good if you already bank there. CIBC Investor's Edge: Competitive pricing for existing CIBC customers.

Recommended ETFs

XGRO (iShares Core Growth ETF): 80% equity / 20% bonds, MER 0.20% — good for 5-15 years to enrollment
VGRO (Vanguard Growth ETF): 80% equity / 20% bonds, MER 0.24% — similar to XGRO
XBAL (iShares Balanced ETF): 60% equity / 40% bonds — better from age 12 onward
XINC (iShares Conservative ETF): 40% equity / 60% bonds — for ages 14-17
CASH ETFs / GICs: final 2 years before enrollment to lock in capital

Age-Based Investment Strategy

Birth to 10: 80-100% equities for maximum growth. Ages 10-14: shift to balanced (60-70% equities). Ages 14-16: conservative (40-50% equities). Age 17+: GICs and short-term bonds to protect capital from market swings the year before tuition is due.

Annual Maintenance

Review annually. Rebalance if any class drifts more than 10% from target. Add contributions throughout the year. Reinvest CESG and CLB grants into the portfolio immediately. Log in once a year to check and adjust — this is not a high-maintenance account.

Fee Savings Over 18 Years

On a $50,000 RESP balance: bank mutual fund at 2% MER costs $1,000/year; index ETF at 0.20% costs $100/year. Over 18 years, that $900/year difference compounds to over $30,000 in additional wealth. Fee minimization is one of the highest-return decisions in long-term investing.

Free Banking — No Fees, No Minimum Balance

KOHO offers free banking with no monthly fees. Use code BREMO2026 for a bonus when you sign up.

Open KOHO Free — No Fees — Code BREMO2026