Wealthsimple Options Trading
Trade calls and puts with no per-contract commission, right inside the Wealthsimple app, and claim a $25 welcome bonus when you open with code _Y024Q.
Wealthsimple added options trading to its self-directed accounts, and unlike most Canadian brokers, it doesn't charge a per-contract commission. You can trade options on many U.S.-listed stocks and ETFs in the same clean app you use for everything else, but options carry real risk, so they're built for investors who understand them.
What options trading is
An option is a contract that gives you the right, but not the obligation, to buy (a call) or sell (a put) 100 shares of a stock at a set strike price before a set expiry date. You pay a premium for that right. Traders use options to speculate on price moves with limited capital, or to hedge and generate income on shares they already own. On Wealthsimple, options trade inside a self-directed account alongside your stocks and ETFs.
Quick example. You buy one call on a $50 stock with a $55 strike, paying a $2 premium ($200 total, since one contract covers 100 shares). If the stock climbs to $60 before expiry, the contract is worth at least $5 ($500), a gain. If it never clears $55, the option can expire worthless and you lose the $200 premium. That capped-downside, leveraged-upside profile is the whole appeal, and the whole risk.
Commission & costs
This is Wealthsimple's headline advantage: it's the first and only platform in Canada with no commissions and no per-contract fees on options, including on each leg of a multi-leg spread, where other brokers charge per contract every time. The costs that can still apply:
- FX conversion, if you trade U.S.-listed options in a CAD-denominated account (around 1.5% at the Core tier without a USD account).
- Regulatory fees, a small fee can apply on certain trades, passed through from the regulator.
- Exercise/assignment on a short leg, fees for exercising the short leg of a spread are not waived.
Always confirm current pricing in the app before you trade.
Strategies you can trade
Options support has expanded well beyond simple calls and puts. Wealthsimple now supports both income strategies and multi-leg spreads:
- Long calls & long puts, the basic directional bets, with risk limited to the premium paid.
- Covered calls, sell calls against shares you own to generate income.
- Cash-secured puts, sell puts backed by cash to potentially buy a stock lower.
- Vertical & calendar spreads, combine two legs to define your risk and cost.
- Straddles & strangles, multi-leg plays on volatility, plus the ability to roll positions.
For a spread to qualify for reduced margin treatment, the short option must expire on or before the long option, and both legs must be on the same underlying.
Which accounts allow which strategies
Not every strategy can be placed in every account. Registered accounts are limited to defined-risk strategies:
| Strategy | Registered (TFSA/RRSP) | Margin account |
|---|---|---|
| Long calls & puts | Allowed | Allowed |
| Covered calls | Allowed | Allowed |
| Cash-secured puts | Allowed | Allowed |
| Spreads, straddles, strangles | Not allowed | Allowed |
In short: you can run basic and income strategies inside a TFSA or RRSP, but anything more advanced needs a margin account.
Approval & eligibility
Options aren't switched on by default. You need an eligible Wealthsimple self-directed account and must complete an options trading application and be approved. The application helps Wealthsimple understand your investing knowledge, experience and risk tolerance before granting access, a standard safeguard for a higher-risk product.
Key features
- No commission, no per-contract fee, including on every leg of a spread, a major saving versus typical Canadian brokers.
- Multi-leg order tickets, build vertical spreads, calendars, straddles and strangles, and roll positions.
- In-app options chains, browse strikes and expiries on supported securities.
- Same app, manage options next to your stocks and ETFs, crypto and Cash.
Know the risks
Options are higher-risk than buying stocks. A long option can expire worthless, losing the full premium you paid, and selling options or trading spreads can expose you to larger or even open-ended losses. They're best suited to experienced investors who understand how strike prices, expiries, premiums and assignment work. This page is educational, not financial advice, never trade options with money you can't afford to lose.
Who it's for
Options trading on Wealthsimple is aimed at experienced, self-directed investors who want to trade contracts without paying per-contract commissions. If you're newer to investing, a managed portfolio or commission-free stock and ETF trading is a more sensible place to start.
Options & the $25 bonus
Because options trade inside a self-directed account, getting set up also makes you eligible for the welcome bonus. As a new client, sign up with code _Y024Q, deposit at least $100 within 30 days, and $25 is added to your Cash account.
Open a self-directed account and claim your free $25.
Get $25 with code _Y024QHow to enable options
- Sign up for Wealthsimple with code _Y024Q and open a self-directed account.
- Deposit at least $100 within 30 days to lock in the bonus.
- Enable options trading in the app and acknowledge the risk disclosures.
- Open an options chain on a supported stock or ETF and review strikes and expiries.
- Place your trade, and confirm current fees before you confirm the order.
New to the platform? Start with our step-by-step claim guide using code _Y024Q.
Options trading questions
Common questions about options on Wealthsimple and the $25 bonus.
