How to Buy Canadian Bank Stock (3 Steps)

Do your research. While most large Canadian banks are strong, many have different strengths in different markets and in different parts of the country. Consider whether the bank is focused entirely on Canada or has an international reach. Determine if the stock is traded on the American Market, either as common shares or as an American Depository Receipt,(ADR). Only you and your broker can determine which bank's stock meets your investment objectives.
Buy the bank's stock on an American Market. Buying a Canadian Bank's stock using its American listing ensures that the American dollar is being used and prevents financial complications arising from foreign ownership. Determine if the stock is common stock or an ADR. While ADRs trade like regular stock, they may have different rights and responsibilities than common stock. To buy the stock, call your broker or use your brokerage's online stock trading website. Relay to your brokerage the stock's ticker, the amount of shares you wish to purchase, and any additional market instructions, such as a specific share price or the time of day to purchase the equity. Await your broker's confirmation to ensure the trade is complete.
Buy the stock on a Canadian Market. Buying a Canadian Bank's stock on the Canadian Market may allow you to take advantage of currency fluctuations. If your brokerage allows for trading on Canadian markets, provide the ticker symbol, as it is listed on the foreign exchange, the amount of shares you wish to purchase, and any trading instructions. Await confirmation from your broker to ensure the trade succeeded.