Bank of Montreal becomes first Big Five bank to eliminate most online trading commissions

InvestorLine is launching unlimited commission-free trading on all stocks, ETFs and options. Spencer Colby/The Canadian Press

Bank of Montreal BMO-T is eliminating commission fees on stocks, exchange-traded funds and options on its direct investing platform in a bid to attract younger customers as competition mounts in online trading.

The bank said BMO InvestorLine will be the first direct investing brokerage owned by one of Canada’s five largest lenders to implement zero-commission trading on stock and ETF trades. Digital competitors have been growing alongside interest in no-fee trading products, and BMO is looking to attract younger clients, who are demanding lower costs.

“Someone opening their first account with us as of this month now pays nothing to trade, nothing to hold the account, and nothing to leave if they’re not happy with the service,” BMO InvestorLine chief executive officer Silvio Stroescu said in an interview.