Wealthsimple vs the Big 5: an honest comparison
RBC, TD, BMO, Scotia, CIBC vs Wealthsimple. The marketing pitches differ; the math is more nuanced. Here's the honest comparison across the categories that actually matter.
Wealthsimple now serves 4 million Canadians with $125B in assets under administration. The Big 5 — RBC, TD, BMO, Scotia, CIBC — serve essentially everyone else. So should you switch?
Here's the honest, category-by-category comparison. Wealthsimple wins clearly in some areas, loses in others, and ties in some places where the marketing pretends otherwise.
Where Wealthsimple wins clearly
1. Investment fees
Wealthsimple Trade: $0 commissions on stock trades, $0 account fees, low FX costs.
Big 5 brokerages (RBC Direct, TD Direct, BMO InvestorLine): $5-$10 commission per trade, occasional account maintenance fees, FX markups around 1.5-2%.
Over a typical retail investor's lifetime, the commission savings compound to thousands. For active traders, tens of thousands.
Winner: Wealthsimple, decisively.
2. High-interest savings
Wealthsimple Cash: typically 2.75-3.25% in 2026 (rates fluctuate with the Bank of Canada).
Big 5 savings: 0.05-0.30% on regular savings accounts. Even “high interest” promo rates rarely sustain above 1-1.5%.
On a $20,000 emergency fund, Wealthsimple pays ~$600/year more than a Big 5 savings account. Pure savings, no risk increase.
Winner: Wealthsimple, decisively.
3. App and UX
Wealthsimple's app design is widely considered the best in Canadian fintech. Clean interface, fast, consolidated view of investments + spending + savings.
Big 5 apps are functional but cluttered, slower, and often require navigating between multiple sub-apps for related tasks.
Winner: Wealthsimple. Subjective but widely held.
Where the Big 5 still win
1. Mortgages and significant lending
Wealthsimple doesn't offer mortgages. For a major home purchase, you'll need a Big 5 (or a mortgage broker accessing them) anyway.
Big 5 also offer larger personal lines of credit, HELOC products, and small business loans at scale.
Winner: Big 5.
2. Branch network
If you need to deposit a physical check, get a notarized document witnessed, or talk to a human about something complicated, Big 5 branches exist in most communities.
Wealthsimple now accepts cash deposits at 5,000+ Canada Post locations, which closes part of the gap. But for actually sitting down with a financial advisor in person, the Big 5 still own that.
Winner: Big 5 for in-person needs. Wealthsimple has closed more of the gap than most people realize.
3. Complex business banking
Wealthsimple Business now offers chequing, USD accounts, and a portfolio line of credit. Genuinely good for small businesses.
For a growing business needing payroll services, merchant accounts, complex cash management, large operating loans, or international wire infrastructure, Big 5 still offer a fuller suite.
Winner: Big 5 for businesses past the very-small stage.
Where it's closer than the marketing suggests
1. Customer service when something breaks
Wealthsimple's in-app support is decent for routine issues. For genuinely complicated problems (disputes, fraud, lost funds), the experience can be slower than a Big 5 — where you can escalate to a branch manager or phone agent who can override system decisions.
Big 5 service quality varies wildly by branch, but the institutional pathways exist.
2. CDIC coverage structure
Wealthsimple accounts are CDIC-insured through partner banks. The coverage is real but the structure is layered. Big 5 deposits are CDIC-insured directly with no intermediary.
For typical balances ($100K or less), this doesn't matter functionally. For balances approaching CDIC limits, understand the structure before going all-in.
3. Credit cards
Wealthsimple's prepaid card has 1% cashback and no FX fees. Solid.
Big 5 premium cards (Visa Infinite, Mastercard World Elite, etc.) offer 1.5-4% cashback in various categories plus travel insurance, lounge access, and other perks. For heavy spenders or travelers, the math often favors a premium Big 5 card.
For light card users or anyone who hates annual fees, Wealthsimple's simpler structure wins.
The realistic answer for most Canadians
The right setup for most people is not either/or — it's both, with intent:
- Wealthsimple for: investments, high-interest savings, day-to-day spending. The fee and interest-rate advantages are real and compound.
- A Big 5 for: mortgage, primary chequing if you need physical branches, premium credit card if it suits your spending. Keep at least one relationship active for the things Wealthsimple doesn't cover.
This is the “don't put all your eggs in one basket” principle applied to banking. The cost of maintaining a Big 5 account alongside Wealthsimple is usually $0 (basic chequing is free at the Big 5 with modest minimums). The optionality is worth the time.
Who should fully consolidate to Wealthsimple
Consolidating to Wealthsimple makes sense if:
- You don't need a mortgage in the foreseeable future (already paid off, or renting long-term).
- You've been a Wealthsimple customer long enough to trust their service quality with your full financial life.
- You're comfortable troubleshooting issues remotely via in-app support.
- Your business needs (if any) are simple — small chequing, basic accounting, no complex payroll/wire/merchant infrastructure.
Who should NOT consolidate yet
- You're actively shopping for a mortgage or major loan.
- Your business has complex banking needs.
- You handle physical-check deposits or notarized documents frequently.
- You're uncomfortable with the layered CDIC structure for large deposits.
The takeaway
Wealthsimple wins on investment fees, interest rates, and UX. Big 5 wins on mortgages, branches, and complex business banking. Most Canadians benefit from using both — Wealthsimple for the parts where it genuinely outperforms, a Big 5 relationship for the parts where you need it.
Don't consolidate on principle. Consolidate where the math works and keep optionality where it doesn't.