How to Start Investing as a Teen in Canada

If you’re a teenager in Canada, you probably already understand what saving money means — putting cash in a jar or a bank account. But investing is different. It’s how you make your money grow while you sleep. And you can start learning — and even investing — before you turn 18, as long as you do it with a parent or guardian.

1. What Investing Actually Means

When you invest, you use money to buy something that can increase in value — like a company’s stock or a group of companies inside an ETF (Exchange-Traded Fund).

For example:

If you buy one share of Apple (AAPL), you own a tiny piece of that company.
If Apple sells more iPhones and earns more profit, your share becomes more valuable over time.

ETFs make this even easier because they include many companies at once.

VFV tracks the S&P 500 — about 500 of the largest U.S. companies.
VEQT owns stocks from markets all around the world.

Instead of guessing which company will do best, you can own them all — like choosing an entire team instead of just one player.

2. Can Teens Actually Invest?

Yes — but not completely on their own yet.

In Canada, people under 18 (or 19 in some provinces) can’t open brokerage accounts by themselves because they can’t legally sign financial contracts. But parents or guardians can open an account In Trust For (ITF) their child — meaning it’s managed by the parent, but the money legally belongs to the child once they become an adult.

Account Type	Who Owns It	Best For	Notes
In-Trust-For (ITF)	Parent (in trust for child)	Long-term investing	Parent manages; assets belong to the child at age of majority
RESP	Parent (child is beneficiary)	Education savings	Government adds 20% through the CESG grant
Joint Non-Registered	Parent and teen	Learning with real money	Teen must have a SIN; parent is still legally responsible
Practice / Simulation App	Teen (with parental consent)	Learning how markets move	Uses fake or limited money — great for beginners

The specific account type isn’t the most important part — the key is learning by doing.

3. How to Start Small — The Right Way

You don’t need a lot of money to begin. Starting with just $20 or $50 a month is enough. The amount doesn’t matter as much as building the habit.

Here’s a good way to begin:

Pick one simple, diversified ETF (like VEQT or VGRO).
If you want, add one small stock from a company you like to learn how it moves.
Use fractional shares if your brokerage allows — you can invest small amounts even if you can’t afford a full share.

Think of investing like planting a tree — it starts small, but grows faster the longer it’s left alone.

4. Understanding Risk and Time

Investing means prices will go up and down — that’s completely normal. The longer your time horizon, the less those short-term drops matter.

Here’s an example:

If you invest $100 per month for 10 years starting at age 15 (at 6% annual growth), you’d contribute $12,000 but end up with about $16,000 by 25.
If you wait until 25 to start, you’ll have only about $11,000 by age 35 — even though you invested the same total.

That’s the power of time. The earlier you start, the more compounding works for you — even with small amounts.

5. Build a Simple Routine

One-time investing doesn’t change much. But regular investing changes everything.

Try this routine with your parents:

Once a month, check your account together.
See what changed — what went up, what went down.
Write one note: “What did I learn about money this month?”

That simple habit turns you into a real investor — not because of how much you have, but because of how consistently you show up.

Final Thoughts

Learning to invest isn’t about being old enough — it’s about being curious enough. Consistency and time will do most of the work if you let them.

If you start now, by the time you open your first TFSA at 18, you’ll already understand what most adults are still trying to figure out.

Start small. Ask questions. Keep learning. That’s how every great investor begins.

Canadian Investors Blog

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