You hold Canadian stocks. You think in Canadian dollars. So why, until now, did trading options mean converting to USD first — paying an FX cost on the way in and the way out — just to run a strategy on names you already follow? That’s all changed.
You can now trade on a selected list of Canadian options listed on the Montréal Exchange, entirely in CAD. No currency conversion. No commissions, just a $0.04 regulatory fee per contract. It starts with single-leg strategies up to Level 2 — long calls, long puts, covered calls, and cash-secured puts — in the same accounts that already support US options.
What you can trade
CAD options launch with the four building-block strategies most options traders reach for first:
Long calls — a bet that a stock rises, with your risk capped at the premium you pay.
Long puts — a bet that a stock falls, or protection on shares you own.
Covered calls — selling a call against stock you already hold to generate income.
Cash-secured puts — setting aside the cash to buy a stock at a price you'd be happy to pay, and getting paid a premium while you wait.
No currency conversion is involved, because the whole thing happens in CAD — the stock, the contract, the premium, the settlement.
What this means for you
No FX drag on Canadian trades. Trading US-listed options from a Canadian account usually means converting CAD to USD first, which carries a cost every time money moves across the currency line. Trading in CAD skips that entirely. What you see is what you trade.
Income on stocks you already hold. Say you own 100 shares of a Canadian stock trading at $30. You can sell a covered call against them and collect a premium in CAD — turning a position you're holding anyway into something that generates a little cash. (If the stock gets called away above your strike, you've sold at a price you chose.)
A disciplined way to buy. Want that same $30 stock, but only at $28? Sell a cash-secured put with a $28 strike: you set aside $2,800 and collect a premium up front, which you keep either way. If the stock stays above $28, the put expires and you're done. If it drops below, you buy 100 shares at $28, a price you chose, and the premium lowers your real cost even further.
One place, one currency. Your Canadian stocks and your Canadian options now live together, priced the way you think about them.
Fees, explained. While Wealthsimple is not charging commissions for CAD option trades, you will incur a regulatory fee of $0.04 per contract.
The risks, plainly
Commission-free trading keeps your costs down, but it does nothing to lower the risk of the trades themselves — and options can carry risk.
A long option can expire worthless. Buy a call or a put that finishes out of the money and it's worth nothing. Your premium is the full amount at risk.
Covered calls cap your upside. If the stock runs well past your strike, you've agreed to sell at the strike and you miss the rest of the move.
Cash-secured puts can leave you buying a falling stock. If the price drops below your strike, you're obligated to buy at the strike — above the current market price.
Timing and assignment matter. Options expire, so a call that's right eventually can still run out of time before it pays off. And if you've sold an option, you can be assigned at any time before expiry, not just at the end. That often happens right before a dividend, which means a covered call can cost you the payout.
Lower liquidity and wider spreads. Compared to US options markets, trading volumes in Canada can be concentrated in a select group of large-cap stocks and ETFs. For less liquid names, bid-ask spreads can be wide, and open interest low. This means entering or exiting a position can carry more risk, and orders may take longer to execute at your desired price.
Options aren't right for everyone. They suit traders who understand the mechanics and can afford the risk. Any examples above are illustrative, not predictions — real outcomes depend on the stock, the strike, and the timing.
Start trading in CAD
Canadian traders have been asking for this for a long time, and now they're here. Update to the latest app version, open a supported account, and place your first CAD options trade — commission-free.
