Investment Q&A

Q: Hi Team, is there any drawback in owning US stocks in a TFSA or RSSP account. Thanks

Q: I will be converting my RSP to a RIF next year resulting in my income increasing some 50 % and with money I do not not need for my present lifestyle. The account is full of banks, reits, pipelines, infrastructure , utilities etc., as is my non registered account which is the same size as the RSP. Does it make sense to adjust the non registered account to more growth stocks , and hence less income ? I I have listed some prospective stocks. A crazy idea to reduce income and perhaps this is outside your.venue but any thoughts are appreciated. Derek

Q: The question is what ETF is the best match for me based on

1. my normal stock selection is large blue chip dividend paying companies
2. this ETF is in my RRSP, I am assuming it should be purchased in American funds. (unless you say otherwise.) US or Canadian ?
3. I am thinking a broad based ETF, possibly a "dividend aristocrat" or just whole market but not sure of what the difference would be.

thanks

Ernie

Q: I bought several inter-listed Canadian companies in the USD side of a tax-deferred account (RSP). I am thinking of selling some of these holdings and buy them back in a taxable account in order to have the benefit of the dividend tax credit. Is the dividend tax credit worth doing this? If yes, after selling on the US$ side of the RSP account , would you buy the same securities on the US$ side of the taxable account, or do you prefer to buy them back on the C$ side of the account?

Please excuse my smuggling in a question asking for your opinion on what the two currencies are likely to do in the next year or so.

Q: I was thinking of getting an RRSP Loan to top off my RRSP and then use the refund to pay down a portion of the loan. If I did this and had $50,000 to invest and ~20 years to retirement how would you allocate it and thoughts, if you can comment, on this strategy? Thanks as always.

Q: You answered Nick's question by saying it would be better to wait until the RRSP turned into a RRIF. So what's the tax rate for removing a stock from a RRIF? I am about to take some SHOP from my RRIF for annual withdrawal. The stock is up 394 per cent.

Q: Anyone know if you can buy in a TSFA or
RRSP

Q: What stocks would you recommend for an RESP right now?

Q: About Canadian Cies in my RRSP paying US dividend (converted in CDN),and listed also in US stock exchange: since in principle there is no US withholdings tax for canadian Cies : is it better to hold them in the US RRSP in order to avoid exchange commission on US dividends and to get dividends directly in US $ instead of CDN $,or is there any advantage to maintain these stocks in the canadian account ? Thanks

Q: Setting up an 40K RRSP with a 6 to 10 year time frame. What is your opinion and/or alternatives to ZEB, VXC, ZDV, XBB in equal proportions.

Q: Hello 5i,
I would like to transfer "In-Kind" from my RRSP to my TFSA. I have 4 candidates to consider and wonder which order you would rank them in, Best to Worst. I am down in all but one so have added the percentage loss in case that has any significant weighting in the decision.
AW.UN (-14.95%)
EIF (-4.72%)
SIS (+0.32%)
ZDI (-3.12%)
Since all are monthly dividend payers it is more or less immaterial to me which I move.
Also, in this vein, since I am in no rush to accomplish this, should I wait until any kind of pullback in the equity I choose, or just go ahead at whatever price at any time?
Many thanks for your insight.
Cheers,
Mike

Q: If I am purchasing AEM today, would you purchase a full position or part of. This would be my only gold play.
Would you also give me your clarification as to what type of stock you would purchase in a TFSA and which in an RSP.
Many Thanks,
Regards

Q: I own these stocks in my RRSP and would like to sell two,using the proceeds to buy them back in a US$ TFSA.Which two would you advise to make this switch? I could utilize DLR.U and DLR to do this and pay the required tax using cash in my C$ TFSA .Can this switch be done directly with the tax being paid separately?

Q: Feel free not to publish if I’m mistaken, but I would want to caution Keith (Dec 29) who said he might contribute his Nutrien shares to his registered account and would realize a capital loss in doing so. I do not believe that one can claim any capital loss when the disposition results from a contribution to one’s RRSP or TFSA. He would need to sell the shares in his non-reg’d account (and realize the loss) and then contribute the money if he chose, but should not then repurchase the NTR shares until 30 days has passed.

Q: Hi Peter,
Can we buy options from registered account like TFSA or RRSP? If we buy from these account is there any restrictions or penalties?
Thank you,
KT

Q: Could you please list about five or so of your favorite US growth stocks for an RRSP. Currently have no US exposure and ok with a 3-5 year hold. Thanks for your great work!

Q: After reading a previous question about Bam.a and which account to place it. You suggested TFSA or non-registered where it is a growth name. I’m wondering of the 3 accounts I have regular cash (non-registered), TFSA, RRSP. What types of stocks does your team suggest should go into which account generally?
I was under assumption that a non-registered taxable account would be a good place for High Div stocks, not growth stories. There by eligible dividends be tax free and low capital gains to be actually taxed. Or is growth stocks good for there too because of claiming any possible losses?
Thank you for your clarification

Q: Hello 5i team,
Thank you for your help today- what I’m hoping to get some perspective on is tactics one could do to grow a portfolio- what you’d think wise or stupid, please.
In TFSA, two holdings happen to be up: AQN by 35% and NPI by 21%. Everything else is in the minus by -30 to -35% due to the current situation as generally they’re ok businesses, like two banks, phone co, etc.
Tactically, would it be an idea to sell the two that are up, and buy a few which are quite down now, then in due course replace what was sold?
I was thinking of more banks like BNS or BMO, and PPL, CNQ,SU, and KEY.
The idea being that the gains over time would be more than the growth in price of the two being sold, thus netting an overalL growth in funds.

In RRSP, two are close to break even, just a couple hundred dollars each in the red, namely T and NA.
If sold, I was thinking of BIP, BPY, and maybe SU, CNQ, and BMO- fairly similar to the TFSA idea.

I like dividends, I know SU just reduced; I’ve not heard if these others have/plan to. I think I’m fine with a 3-5yr estimation of recovery period for these ‘down’ stocks, if you think that’s likely.

I’d appreciate your counsel on this, thanks very much!

Q: Hi Peter, Ryan and team,

How would you rank BYD, PBH, QSR and DSG for an add on in a RESP? Time frame is 8 years. Would rankings change within a TFSA?

Is it possible to buy stocks for a child who is under 18? Or would the child have to wait until 19 to own stocks.?

Please charge however among of credit for the questions.

Thanks again for your your great service!

Marvin

Q: Similar to the question that the gentleman Guy asked from April 8th, is it the same for an RRSP to transfer in kind to a TFSA? Is it allowed?