Money, Modeled
Tool

Norbert's Gambit calculator

Compare converting Canadian dollars to US dollars at a bank's exchange rate with converting through a dual-listed ETF. Enter your own prices and fees. Nothing is stored or sent.

Use today's mid-market rate. The example value is a placeholder.
Check your bank's quoted rate against the mid-market rate.
The ask price of the CAD version (for example DLR).
The bid price of the USD version (for example DLR.U).
Some brokers charge to move shares between listings.
Result
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Bank conversion
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Norbert's Gambit
–
Shares bought (whole units)–
Leftover CAD not converted–
Break-even bank markup–

How it works

  1. Buy the Canadian-dollar listing of a dual-listed ETF (for example DLR on the TSX) with your CAD.
  2. Ask your broker to journal the shares to the US-dollar listing (DLR.U). Some brokers do this online; others need a request.
  3. Once the journal settles, sell the US-dollar listing and receive US dollars.

Risks: the exchange rate can move between your buy and sell, journaling can take a few business days, and selling before the journal completes can create a short position at some brokers. Interlisted stocks can also be used, with more price risk. Check your broker's process before you start.

Education only, not financial or tax advice. Results depend on the prices you enter; real fills, timing and fees will differ.