Founded in 2014, Wealthsimple is a well-known Canadian fintech firm that serves as a robo-advisor and investment platform. It is a popular alternative for people wishing to start investing or managing their money more wisely because of its user-friendly interface, affordable fees, and accessibility.
Users can specify their financial objectives, risk tolerance, and investment preferences, and Wealthsimple's platform will automatically deploy their funds among a variety of exchange-traded funds (ETFs) depending on these criteria.
In this article, we will uncover Wealthsimple’s availability and expansion plans in the US, as well as provide alternative solutions.
Is Wealthsimple available in the US?
Unfortunately, Wealthsimple is no longer available in the US, and it is exclusively available for Canadian residents.
According to its website, “To open a Wealthsimple account, you must be a resident of Canada. Wealthsimple is not licensed to hold accounts for individuals residing outside of Canada, including Canadian citizens living abroad”.
Wealthsimple was introduced to the US market in January 2017, offering a stock and ETF trading account with zero-commission fees. However, in 2021, Wealthsimple sold its US book of business to Betterment in order to focus solely on the Canadian market and ensure a proper product offering. The company’s CEO, Mike Katchen, announced that Wealthsimple’s ambitions remain beyond Canada, but no expansion plan is outlined for the time being.
Wealthsimple’s alternatives in the US
If you are a US investor wishing to take advantage of the benefits offered by robo-advisors similar to Wealthsimple, here are the top Wealthsimple alternatives accessible in the US market.
Here’s a comparison table of top financial platforms in the US that share comparable features:
Final thoughts
When it comes down to choosing the best Wealthsimple alternative in the US, understanding the distinct features and benefits of these platforms is required to help investors make informed decisions and select the one that best suits their needs.
Some of the best alternatives for Wealthsimple in the US include Acorns, Betterment, Wealthfront, and eToro which offer comparable features and benefits.
We hope this article has assisted you in locating US alternatives to Wealthsimple that provide similar portfolio management capabilities and can assist you in improving your investment approach.
Other FAQs about Wealthsimple in the US
Can I use Wealthsimple from the US with a VPN?
No, you cannot use a VPN to open a Wealthsimple account from the US since you must provide specific documentation that proves that you are residing in Canada upon account opening.
Can I use my Wealthsimple Card outside Canada?
Yes, you can use your Wealthsimple card while traveling (with a few exceptions and fees from Mastercard).
Some of the best alternatives for Wealthsimple in the US include Acorns, Betterment, Wealthfront, and eToro which offer comparable features and benefits.
You can only upgrade individual self-directed trading accounts to USD. Managed, Cash, and Crypto accounts aren't eligible for USD accounts. USD accounts are only available for trading stocks and ETFs, not cryptocurrencies. Tip: USD accounts can't be opened by themselves.
In the extremely unlikely event that Wealthsimple were to go out of business, your account would remain safe. All securities are beneficially held under your name, and if we were to close, you could choose to keep your money with Wealthsimple Investments Inc. or transfer it to a new advisor or your bank account.
To open a Wealthsimple account, you must be a resident of Canada. Wealthsimple is not licensed to hold accounts for individuals residing outside of Canada, including Canadian citizens living abroad.
For Wealthsimple Cash, joint Cash, and Save clients, any balance in your account(s) is held in trust for you with members of the Canada Deposit Insurance Corporation (CDIC), a federal Crown corporation. CDIC protects eligible deposits held at CDIC member institutions in case of a member institution's failure.
The funds in all of your individual and joint Cash accounts are placed in trust with up to five tier 1, CDIC-member, regulated Canadian financial institutions. CDIC protection against the failure of these banks extends to Wealthsimple Cash account holders for up to $500,000 CAD across all Cash accounts.
A wire transfer is an alternative method to add Canadian Dollar (CAD) funds or US Dollar (USD) to your accounts at Wealthsimple. After we receive your wire, there's a 5 business day holding period before funds are available.
As of March 31, 2024, the firm holds over C$38.7 billion in assets under management. It is primarily owned by Power Corporation indirectly at 56.6% through investments made through their holdings in Power Financial, IGM Financial and Portag3. Wealthsimple Inc.
There are no limits to the amount or frequency that you are able to withdraw. Note: Funds from a recent deposit must clear the 5 business day settlement period before you can withdraw them. If you're looking to withdraw coins, please refer to this article.
The new Wealthsimple app is a single place to trade thousands of stocks and ETFs, buy and sell over 40 cryptocurrencies, get a customized investing portfolio (with handy access to our human experts), earn 1% on all your savings and get rewards as you shop at your favourite stores.
Is it safe to save money with Wealthsimple? Definitely. Any funds deposited into an account will be held in trust by CDIC members. This allows your funds to be protected up to $300,000 in the aggregate.
Since its inception in 2019, Wealthsimple has become one of the best alternatives to Robinhood in Canada. Like Robinhood, Wealthsimple offers no trading commissions, no account maintenance fees, and no minimum deposits to open an account.
Acorns comes with an FDIC-insured checking account with debit card, making it a suite of financial tools instead of just an investing platform. Wealthsimple has a “savings” account that is still invested in ETF's and is not FDIC-insured but is SIPC-insured as an investing account.
Key Takeaways. Coinbase offers lower fees, more cryptocurrencies, and more features for crypto investors. Wealthsimple offers stocks and cryptocurrencies and quality customer support!
Introduction: My name is Saturnina Altenwerth DVM, I am a witty, perfect, combative, beautiful, determined, fancy, determined person who loves writing and wants to share my knowledge and understanding with you.
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