How much money do I need to start investing in Canada?

You can start investing in Canada with as little as $1. Wealthsimple Trade and Questrade have no minimum account size. XEQT trades for about $30/unit. You can start with $100 and add small amounts regularly.

Should I invest in my TFSA or RRSP?

For most Canadians under $55,000/year income, use the TFSA first. For higher incomes ($55,000+), prioritize RRSP for the tax deduction, then fill TFSA. Both accounts can hold the same investments (ETFs, stocks, GICs). The account type is separate from what you invest in.

📈 Investing Guide · 2026

How to Start Investing
in Canada 2026:
The Beginner's Playbook

Q: How do I start investing in Canada?

To start investing in Canada: 1) Open a Wealthsimple Trade or Questrade account (both free), 2) Open a TFSA within that account, 3) Buy a single all-in-one ETF like XEQT or VEQT. That's the entire strategy. Invest regularly, don't panic during downturns, and let it compound over decades.

You don't need to pick stocks, understand options, or watch financial news. The simple strategy that beats 90% of professional fund managers: buy one all-in-one ETF and hold it for decades.

The 5-Step Plan to Start Investing in Canada

Open a Wealthsimple Trade account. Free, regulated, CIPF-insured. Takes 10 minutes. Fund it with $500+ to start — you can always add more later. Use the referral link for up to $150 free in stock credits.
Open a TFSA within Wealthsimple. Once your account is open, create a TFSA (Tax-Free Savings Account). You have up to $95,000 in lifetime TFSA room if you've been eligible since 2009. All growth inside a TFSA is completely tax-free.
Transfer money into your TFSA. Use Wealthsimple's "Add Funds" feature. Transfers from your bank usually take 2–5 business days. Start with whatever you can afford — $500, $1,000, or whatever feels comfortable.
Buy XEQT (or VEQT). Search for "XEQT" in the Wealthsimple app. It trades at around $30/unit. Buy as many units as your balance allows. That's it. You now own 9,000+ stocks across Canada, US, and international markets through one purchase.
Set up automatic contributions. Automate monthly transfers from your bank to Wealthsimple. Buy more XEQT each month. Resist the urge to check daily. This "set it and forget it" approach outperforms most professional investors over 20+ years due to lower fees and staying invested.

TFSA vs RRSP: Where to Invest?

TFSA — Start Here

All growth 100% tax-free
Withdraw anytime, no penalty
$7,000 limit in 2026
$95,000 lifetime room (since 2009)
Best for income under $55k/yr
Flexible — can hold stocks, ETFs, GICs

RRSP — For High Earners

Contributions reduce taxable income
Growth is tax-deferred
18% of income, max $32,490 in 2026
Withdrawals taxed as income
Best for income over $55k/yr
Use for retirement (age 71 max)

The Dead-Simple ETF Strategy

The One-Fund Portfolio

Used by thousands of Canadians. Recommended on r/PersonalFinanceCanada.

Open Wealthsimple Trade or Questrade

Open a TFSA (or RRSP if higher income)

Buy XEQT (100% equity, 9,000+ stocks, 0.20% fee)

Add money every month. Buy more XEQT.

Don't sell during market downturns. Stay the course.

Want less risk? Use XGRO (80/20) or XBAL (60/40) instead. Want more stability near retirement? Add bond ETFs.

Investing Platforms Compared

Platform	Commission	Best For	Bonus
Wealthsimple Trade	$0	Beginners, all Canadians	Up to $150 free
Questrade	$0 (ETF buys)	Active traders, ETF-focused	$50 rebate
Wealthsimple Invest (robo)	0.4–0.5%/yr	Hands-off investors	Up to $150 free
TD Direct Investing	$9.99	TD customers	None
RBC Direct Investing	$9.95	RBC customers	None

Common Investing Mistakes to Avoid

Trying to time the market. "Time in the market beats timing the market." People who stay invested through downturns consistently outperform those who try to buy low/sell high.
Paying high fees. A 2% annual management fee on a $100,000 portfolio costs $2,000/year — every year. XEQT costs 0.20%. The difference compounds massively over 20–30 years.
Holding cash instead of investing. Even at 4% in a HISA, inflation (2–3%) erodes purchasing power. Long-term equity returns average 7–10%/year historically.
Picking individual stocks. 90%+ of professional fund managers underperform the index over 15+ years. Individual investors do even worse. Own the whole market through XEQT instead.
Not using your TFSA. The TFSA is one of the most powerful wealth-building tools available. All growth inside is tax-free forever. Max it out every year.

Frequently Asked Questions

How do I start investing in Canada as a beginner?

Open a Wealthsimple Trade account (free, 10 minutes), open a TFSA within it, deposit money, and buy XEQT. That's the entire strategy. No stock picking, no market timing, no financial advisor needed. Regular contributions + staying invested = long-term wealth.

How much money do I need to start investing?

You can start with as little as $1 on Wealthsimple Trade or Questrade — there's no minimum account size. XEQT trades at around $30/unit. Practically speaking, starting with $500–$1,000 gives you enough to buy a few units and build the habit of regular investing.

What is the safest investment in Canada?

GICs at CDIC-insured banks are the safest (guaranteed principal, CDIC insured). For slightly more return with minimal risk: high-interest savings accounts at EQ Bank (3.75%, CDIC insured). For long-term wealth building (5+ years), diversified ETFs like XEQT have historically been the best risk-adjusted investment available to retail investors.

Is investing in the stock market risky?

Short-term, yes — markets can drop 20–40% in a crash. Long-term (20+ years), the Canadian and global stock markets have never permanently lost money for buy-and-hold investors. The risk is primarily in selling during downturns. If you invest in a diversified ETF and don't sell when markets drop, your long-term outcome is historically positive.

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Disclosure: Bremo earns referral commissions on KOHO and Wealthsimple signups. This is not investment advice. Past performance does not guarantee future results. Investing involves risk including possible loss of principal. Information as of March 2026.

How to Start Investingin Canada 2026:The Beginner's Playbook