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Is Questrade Really That Bad?

Posted By Robert On Friday, April 24th, 2020 With 0 Comments

Questrade has been one of the top names among trading platforms for about two decades now. Of course, it’s only natural that during this time it has experienced both critique and admiration from different parties. At the moment, it’s trendy to hate on Questrade due to a thread started in the infamous wallstreetbets Reddit. However, whether you should take that negativity at face value is up for debate.

It’s true that r/wallstreetbets has proven to be a valuable source of information for investors. However, it can hardly be considered the absolute authority on investment broker evaluation. Moreover, one also should take into account the exact post that seems to have started this recent wave of hate. The issues cited there are important, but also not the deal-breaker for many investors.

Simply put, when evaluating any broker, you need to consider all available information. And then, you need to analyze it based on which facts will affect the broker’s actual performance. It’s not only a matter of Questrade, but any service in this business. An investor’s priority is to make money. Therefore, you need to think about whether the supposed failings of the broker are worth the benefits it can offer you, such as very low fees from Questrade.

Questrade and the Outpouring of Reddit Hate

Some threads on Reddit are now bursting with not critique but outright hate and scorn for Questrade. One of the users posted info that the broker has actually sent the police after them. Allegedly, the cause was the user posting “threats” and defamatory information about the company on social media. There are other people who joined the hate train and some of them have even more outrageous stories to tell.

However, there are also people like this, who seem to be treating the situation with humor and a healthy dose of cynicism.

Of course, you cannot simply dismiss either of these opinions. However, sorting through Reddit does require patience and extensive critical thinking. So, the first thing you should do is to analyze those angry posts. And while you’re at it, remember that every person, and therefore their reactions to any circumstances, is unique.

Let’s consider the complaint about Questrade sending cops after a person who, honestly, did say bad things about them on social media. That’s not a nice move, there’s no arguing that. However, is it legal?

The law says that defamation can be prosecuted by law. Therefore, while getting the police involved seems like an extreme, it’s legally allowed.

Also, the user seems to have started complaining after losing a lot of money on a risky investment. That’s a nightmare of every investor, but it’s always a real possibility. The question here is exactly how much culpability does the broker bear?

Those things should be outlined in detail in the service’s terms and conditions. Therefore, if one does want to get compensation for such losses, they should be taking this up with a lawyer.

However, none of this changes the fact that any person has the right to rant about anything on social media.

What’s Really Going On with Questrade?

So, can Questrade be trusted as an investment broker? The question is complicated, but ultimately, the number of positive opinions about the company heavily outweigh the negative ones. It’s true that Questrade isn’t perfect, but it’s also true that it has had glorious reviews so far. Moreover, it’s recognized as an industry leader by multiple authoritative sources, including The Globe Mail.

Therefore, while it’s possible that some conflicts with customers were not resolved well. It’s still a fact that Questrade offers excellent customer service to thousands of people.

Those things considered, one cannot help but wonder whether there’s more going on. After all, such a seemingly spontaneous hate campaign has to have something behind it. The broker has been around for two decades. Therefore, if it really was that bad, it would have succumbed to competition a long time ago. Such an intense and driven wave of blatant criticism, which is downright insulting at times, does seem artificial.

However, if that is true, the question is who started it and why?

People complain about losing money on trades, which is a good reason to get mad. However, with the stock market crash caused by the COVID-19 pandemic, as well as the oil market crash, it’s impossible not to lose money. That’s a simple fact of life for investors now. The risks are so high and the situation is so bad that it will take a miracle to get through it.

If anything, now is the time to be extra careful. This is exactly the situation during which you can benefit from low costs and zero fees offered by Questrade. What’s more important, now is the best time to build a diverse portfolio of high-paying dividend stocks. And that kind of investing is what this platform does best.

Should You Trust Questrade with Your Investments?

You are the only one who can decide whether to put your trust in Questrade or any other broker. However, twenty years of experience and thousands of satisfied customers definitely make a compelling case for this platform.

During these times where the economy is unstable worldwide, investment has turned into a gamble. Therefore, even the best of the best in this industry will make mistakes. Also, sometimes those aren’t mistakes but just very unlucky circumstances.

The point is that risks are extremely high because of multiple market crashes and overall instability. Times of uncertainty are always hard, so investing in relatively stable dividend stocks seems like the best idea. There is no doubt that Questrade can help you build this kind of portfolio. It will also help you minimize your expenses because the platform is renowned for its low fees.

Overall, despite what some people might be saying on Reddit, Questrade still appears to be a great broker. That’s what you should focus on when thinking about whether you should trust it with your money.

Take into account negative opinions as well. But remember to think about whether those opinions make valid arguments about the broker’s ability or if they are focused on ruining its reputation.

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