RBC InvestEase: Is It Worth It?

By Remitbee - Mar 2, 2022

Launched in November 2018, the RBC InvestEase service has generated a lot of interest. This robot advisor investment tool is often considered by people looking for a simple and straightforward investment solution in Canada. However, is RBC InvestEase actually any good? Here is the breakdown on if RBC InvestEase is worth your time or not.

What is RBC InvestEase?

RBC InvestEase’s tagline is “simplified online investing”. It is a robo advisor investment service. A robo advisor is an automatic financial tool which means that there is no human input in the investment process. The software gathers information from you, the client, and then decides how to invest. It then automatically continues to do so for the duration of the time you have the account. RBC InvestEase has two options for accounts: a Tax-Free Savings Account (TFSA), or Registered Retirement Savings Plan (RRSP). You can also choose to have an unregistered account.

You pick an account type and put money into it. The minimum to get started is 100 CAD. Following that, RBC InvestEase makes a customized investment recommendation for you. Then, on your behalf, your money gets put into an ETF portfolio. Two portfolio options exist, the Standard Portfolio and the Responsible Investing Portfolio. The Responsible Investing Portfolio has ETFs that have a positive impact on society. It is for investors who wish to attain their long-term objectives while also making a contribution to society.

RBC InvestEase Fees and Charges

RBC InvestEase charges a 0.50 percent yearly management fee plus sales tax. The sales tax is paid monthly, depending on your account's average assets under management. The weighted average management expense ratio (MER) of the ETFs in your portfolio is the next set of fees that the bank charges.

RBC InvestEase Pros and Cons

Pros

  • Good for beginners with no investment knowledge
  • Fees and costs are low
  • RBC is a trusted organization
  • All transfers from another account above $1000 are covered

Cons

  • The portfolio only has EFTs in it
  • No personal support from an advisor
  • Need a balance of at least 1,500 CAD to get a full portfolio
  • There is no tiered pricing for larger accounts

RBC InvestEase Alternative: Stock Trading

Trading stocks, especially in USD, is a popular option for Canadian residents, for a number of reasons. You have the advantage of getting access to the top stock exchanges in the world, NASDAQ and the New York Stock Exchange. Plus, you can save even more on the fees and rates by using a service like Remitbee’s CAD / USD exchange. Most investment platforms, when you request to invest in US stocks, use their own exchange rate. The investment companies explicitly say that they make a profit on this exchange.

You can keep more of that money in your pocket by using Remitbee instead. Here’s how it works.

  1. Open a USD account with your bank. For example, RBC. This is a simple process that usually can be done online in a few clicks.
  2. Sign up for a Remitbee account. Remitbee’s signup process is also straightforward.
  3. Connect your stock account at your investment company with your bank USD account. This will make it easy to move money from your bank to fund your stock trading.
  4. Use your Remitbee account to get USD. Click on currency exchange when logged into your Remitbee account and exchange CAD/USD.5.
  5. Wait for the money to arrive in your USD account. Conversions with Remitbee are usually completed in two business days.
  6. Transfer converted funds into your stock account

Most services that let you trade stocks also accept your bank’s bill payment option, which makes the transaction even easier. Simply select your stock trading service as the “payee” in your bill payment options.

Want to learn more about Remitbee’s currency exchange service? Read more about our best-in-class USD to CAD and CAD to USD exchange here.

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