Trade with CAD account is the most common way to buy US stocks. Broker charge on conversion is included in real-time exchange rate.( x; c/ i% u6 l( o
Your second way is weird. Especially the charge $5/day, never heard of it. % S6 A7 b4 d# U9 n3 M6 c
Unless u already have USD, either way has little difference (u need to exchange CAD to USD in either way)- b, b6 w9 ~. J" A }
Which broker are u using?
i'm using questrade too. 6 k- j8 z. D" M' BI am sure there is no such $5 per transaction or per day fee, u may wanna check it again.# ~, I& F6 O2 h0 u* v% u
8 t$ N; v+ W/ u; M- RI have both CAD and USD account when I open the questrade. ' c# ~2 Z+ Z2 C& U, G- Q4 c0 {. ~I trade US stocks a lot. What I do is to exchange enough USD at the first place, and trade directly in that US account. I don't think Questrade can do the 1st way u described, but i maybe wrong. + U+ w' e6 b4 ?$ c+ [+ ^) p4 R% E% M- {1 U: v
Keep in mind that transaction cost is in the same currency of stock u buy/sell.