Episode Details

Wealth Simple is expanding fast and Vincent Gregoire, Canada Research Chair in Finance and Technology at HEC Montreal, is paying close attention. Lower fees and less friction are good for investors. The new ability to borrow against your portfolio, including potentially your registered retirement savings, is where the conversation gets harder.

The mechanics are straightforward: hold a thousand dollars in stocks, access a thirty percent line of credit against them without selling and without triggering a tax bill. Use that money to reinvest, cover expenses, or do what you want. It levels the playing field for people who don't own property and have never had access to that kind of leverage. It also amplifies losses when markets drop, and if the loan gets called on a registered account, the withdrawal penalties stack on top of the portfolio hit.

Gregoire's concern isn't the tool. It's whether the people using it understand what they're holding. Gamification nudges frequent trading. Frequent trading, the research consistently shows, is bad for smaller investors.

Topics: Wealth Simple investing, margin loans Canada, RRSP collateral risk, gamification investing, fintech Canada

GUEST: Vincent Gregoire | @vincentgregoire

Originally aired on 2026-07-02