To execute Norbert’s Gambit at Qtrade, you’ll need a CAD and USD account (regardless of account type).
We can use DLR (CAD) and DLR.U (USD) as an example. You would purchase DLR in your CAD account, and once settled (Trade Date + 1 business day), you can move it to your USD account on the website (not the mobile app), by going to Accounts > Transfer Funds > Move Securities, and sell DLR.U in USD.
Please note, when you move DLR into your USD account, the position will still shows as DLR in CAD as Toronto is the primary market and CAD is the primary currency of DLR. However, when you sell the stock from your US account, you’ll need to input DLR.U as the symbol with Canada selected as the market so that the trade settles in USD.
Important things to know about performing this action:
- Any dual currency listed security can be used to perform Norbert’s Gambit
- You should consider risk of market price changes and liquidity of picking different securities to convert currencies using this method
- It is important to know the symbols for the US and Canadian version of the listing, and if they are interchangeable
- A Norbert’s Gambit can only be done on the same day in a non-registered long margin and short account