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How to Buy a US IPO From Canada (Like Anthropic): Brokers, Currency Costs and TFSA vs RRSP
Most Canadian brokers don't offer allocations in US IPOs at the offer price, so for Canadians the realistic route is to buy on the first trading day (or later) on the US exchange. 1. Use a broker with US market access: Questrade, Wealthsimple, Interactive Brokers or a bank brokerage (RBC, TD, BMO, CIBC, Scotia, National Bank). 2. Hold US dollars in a USD account so you aren't hit with a 1.5%–2% conversion fee on each trade; convert cheaply with Norbert's gambit or a low-cost FX broker. 3. Place a limit order once the stock opens. 4. For a growth stock with no dividend, a TFSA shelters gains from Canadian tax; an RRSP is better for US dividend payers. Keep any single IPO to a small slice of your portfolio.
The reality for Canadians
When a big US company like Anthropic goes public (our report on its filing), most of the shares at the offer price go to large institutions. Some US brokers offer small allocations to their own customers, but Canadian brokers generally aren't part of US IPO selling groups.
So for most Canadians, the realistic options are:
- Buy on the first trading day, on the US exchange.
- Buy later, once the price settles or after the lockup ends.
- Get indirect exposure through funds that already hold the company or its investors.
Step 1: Pick a broker with US market access
| Broker | US stocks | USD accounts | Notes |
|---|---|---|---|
| Questrade | Yes | Yes (TFSA, RRSP, margin) | $0 commissions on stocks and ETFs |
| Wealthsimple | Yes | Yes on some plans | Simple app; FX fee on CAD-funded US trades for basic plans |
| Interactive Brokers | Yes | Yes | Very low FX conversion costs |
| Bank brokerages (RBC, TD, BMO, CIBC, Scotia, National Bank) | Yes | Yes | Convenient if you already bank there |
Compare the brokers in our best online brokers in Canada guide. Account opening can take a few days, so set it up before the IPO date.
Step 2: Get US dollars cheaply
This is where Canadians quietly lose money. Buying a US stock with Canadian dollars at many brokers triggers a currency conversion fee, often 1.5% to 2% each way. On a $5,000 purchase, that's $75–$100 going in and again coming out.
Better options:
- Hold a USD account. Most brokers let you hold US dollars inside a TFSA, RRSP or taxable account.
- Norbert's gambit. Buy a dual-listed security in CAD, journal it to the USD side, and sell it in USD. It costs a few dollars and a day or two. Our step-by-step Norbert's gambit guide shows how.
- Low-cost FX broker. Interactive Brokers converts at near-market rates.
Step 3: Choose the right account
| Account | Capital gains | US dividends | Best for an IPO stock? |
|---|---|---|---|
| TFSA | Tax-free | 15% US withholding (not recoverable) | Good for a growth stock with no dividend |
| RRSP | Tax-deferred | No US withholding (treaty) | Good if the company pays dividends |
| FHSA | Tax-free if used for a home | 15% withholding | Only if your home purchase is years away |
| Non-registered | 50% of gain taxable | 15% withholding, usually creditable | Allows you to claim losses |
Most newly public tech companies don't pay dividends, so the withholding tax rarely matters at first. Our explainer on US withholding tax by account covers the details.
One caution on the TFSA: a loss inside a TFSA can't be claimed, and the contribution room used is gone. A volatile IPO is a risky use of limited TFSA room.
Step 4: Place the order on IPO day
- Know the ticker (ANT on Nasdaq for Anthropic) and confirm it's searchable in your broker on listing day.
- Wait for the open. IPOs often start trading late morning or midday Eastern time, after the regular market open.
- Use a limit order. Set the highest price you'll pay. A market order on a hot IPO can fill far above the price you saw. See market vs limit orders.
- Choose the right currency side (USD) so you don't trigger an automatic conversion.
- Keep it small. A position you could see fall 30%–50% without panicking.
Step 5: Have a plan after you buy
- Write down why you bought it and what would make you sell.
- Mark the lockup date, usually about six months later, when insiders can start selling.
- Track your adjusted cost base in Canadian dollars if it's in a taxable account. The CRA requires gains to be calculated in CAD using exchange rates on the purchase and sale dates.
Indirect ways to get exposure
- Big-tech investors: Amazon and Alphabet have disclosed stakes in Anthropic, and both are large holdings in S&P 500 and Nasdaq-100 ETFs.
- Index inclusion: very large IPOs can be added to major indexes, at which point your US index ETF buys it automatically.
- CDRs: Canadian Depositary Receipts offer CAD-hedged exposure to some big US names. New IPOs usually don't have one right away.
Mistakes Canadians make with US IPOs
- Paying 2% FX twice without realizing it.
- Using a market order on day one.
- Burning TFSA room on a speculative position that collapses.
- Forgetting the W-8BEN, which can mean 30% withholding on any dividends.
- Falling for "pre-IPO" share offers on social media. Regulators warn these are frequently scams.
- Overweighting one stock. An IPO, however famous, should be a small slice of a diversified portfolio.
The bottom line
Canadians can buy US IPOs like Anthropic from the first trading day. Open a US-capable account ahead of time, fund it in US dollars cheaply, use a limit order, and pick the account that fits: TFSA for a non-dividend growth stock you're confident holding, RRSP for dividend payers. Above all, keep the position small. For the US-side mechanics of IPO access, see how to buy IPO stock.
This article is educational and not a recommendation to buy any IPO. Broker features and fees change; confirm with your broker.
Frequently asked questions
Can Canadians buy US IPO stocks?
Yes, once they start trading. Most Canadian brokers don't participate in US IPO allocations, so you usually can't buy at the offer price, but you can buy shares on the US exchange from the first trading day through any Canadian broker that offers US stocks.
How can I buy Anthropic stock in Canada?
Anthropic plans to list on the Nasdaq under the ticker ANT, but hasn't set a date or price. Once it trades, Canadians can buy it through Questrade, Wealthsimple, Interactive Brokers or a bank-owned discount brokerage, ideally using US dollars and a limit order.
Should I buy US IPO stock in my TFSA or RRSP?
For a growth stock that pays no dividend, a TFSA works well because any capital gain is tax-free in Canada. If the stock later pays dividends, the 15% US withholding tax applies in a TFSA but not in an RRSP, so the RRSP is usually better for US dividend payers.
How do I avoid currency conversion fees when buying US stocks?
Open a US-dollar account (or USD side of your TFSA or RRSP) and convert in bulk using Norbert's gambit or a broker with low FX spreads like Interactive Brokers. Many brokers charge 1.5% to 2% each way if you buy a US stock directly with Canadian dollars.
Do I need a W-8BEN form to buy US stocks?
Yes. Canadian brokers ask you to sign a W-8BEN to certify you're not a US person. It lets you claim the reduced treaty withholding rate on US dividends. Most brokers handle it during account opening.
Can I buy Canadian Depositary Receipts (CDRs) instead?
CDRs let you buy fractional, currency-hedged exposure to some large US companies in Canadian dollars on the Cboe Canada exchange. A newly listed company usually won't have a CDR at first; one may be added later if there's demand.
Primary sources
Data & disclaimer: This article is for educational purposes only and is not financial or investment advice. Figures reflect data available as of Oct 28, 2026, and conditions change — always confirm current pricing, rates and rules with the provider before you act. Written by Elizabeta Dimoska. See our editorial standards and disclosure.
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