Best CFD brokers in Canada

• 5 CFD brokers with a verified licence serve residents of Canada: 5 hold a local licence (CIRO).
• Top pick by Coinish Score: OANDA (71/100, Editor Rating 3.5/5).
• Lowest advertised EUR/USD all-in cost: 0.5 pips (CMC Markets), across 4 brokers that publish one.
• No minimum deposit: Questrade.

Ranked by Coinish Score: half the Editor Rating for the entity that serves residents of Canada, half Market Signal. Brokers without enough verified data for a rating are placed by Market Signal and labelled; brokers with neither are listed last. How we rate

All 5 CFD brokers on this list hold a licence from the Canadian Investment Regulatory Organization (CIRO) (OANDA, FOREX.com, CMC Markets, AvaTrade and Questrade).

Advertised all-in EUR/USD costs on this list run from 0.5 pips (CMC Markets) to 1.9 pips (Questrade) across the 4 that publish one.

• Search the company name on the CIRO register (ciro.ca).
• Check which company your contract is with. OANDA, for example, onboards residents of Canada through OANDA (Canada) Corporation ULC (CIRO), and the name on the account-opening documents should match the list.

Yes, with a licensed provider. Firms trading with Canadians must be registered with the securities regulator of each province or territory where they do business. CIRO oversees the investment dealers.

Sources: securities-administrators.ca, ciro.ca

By Coinish Score, OANDA (71/100, Editor Rating 3.5/5), through OANDA (Canada) Corporation ULC (CIRO). FOREX.com (71) and CMC Markets (70) follow. The score rates the company that would serve you in Canada, so the same brand can rank differently in another country.

It varies by province. In Quebec, CFDs come under the Derivatives Act, and firms offering them register there as derivatives dealers. In Ontario, CFDs are sold under OSC relief from the prospectus requirement. That relief comes with conditions and a four-year sunset, so each dealer has to have it renewed.

CIRO adds conditions of its own. Before opening your account, the dealer has to check that CFDs are appropriate for you and set a cumulative loss limit on the account. Before your first trade, it has to give you a separate risk disclosure document in plain language. It also can't offer CFDs on bitcoin or other crypto-assets without CIRO's written consent.

These conditions apply to all 5 CFD brokers here, since every one is a CIRO dealer. The loss limit works alongside margin close-outs to stop you losing more than the risk capital you named when you opened the account.

Sources: osc.ca (1), osc.ca (2)

The CRA treats a gain as business income, taxed in full, when you bought with the intention of reselling at a profit, rather than as a capital gain. Only part of a capital gain is taxed. The CRA's capital gains guide gives a general inclusion rate of 1/2, so half your net gain is added to your income.

Coinish isn't a tax adviser: check your own situation with the tax authority or an accountant.

Sources: canada.ca (1), canada.ca (2)