Investment Q&A

Q: Helio 5i
My wife and i are setting up our RRSP`s largely in fixed income , ETF`s and large dividend paying stocks in preparation for retirement so as to have steady income when the time comes .Assume that all RRSP accts are balanced appropriately.
We also have a fairly large sum of money in both of our TFSA accts (maxed out) and in a margin acct.
The question is , if we are set up appropriately in our RRSP`s in terms of balanced portfolios , how should we approach the monies in the TFSA`s and the margin acct ? Should be mainly go with higher quality equity stocks or should we balance those two accts similar the the RRSP accts ie stocks, fixed income etc ? ( note the margin acct is not borrowed money). Are ETF`s appropriate for TFSA accts ?
Thanks
Bill C

Q: Good day,

I currently have 2600$ in cash in my TFSA investment portfolio. I was looking to add from the your Income portfolio. What would would recommend from this portfolio?

Q: Why the CRA is targeting some TFSA accounts in court; Should an average investor be worried? by Jonathan Chevreau Aug 27, 2018 https://www.moneysense.ca/save/investing/cra-tfsa-accounts-court/

I don't think this is something I need to worry about just yet as I only have $81k in my account and my wife has $106k in her KTFSA (I call it the Kinda Tax Free Saving Account because it's kinda ok to make some money just not too much). We both still have $7k TFSA room for this yr. but we also have plenty of RRSP contribution room. In light of this article, I'm wondering if we should hold off adding to our TFSA until more clarity is provided by the either the courts or CRA.

Like many, I'm sure we aren't using our accounts like a business but at the same time I don't know what triggers an audit. Nor do I wish to find out since I don’t have the time/resources to prove our innocents. I'm starting to think this may be concerning to more than just a handful of 'savvy' investors as the article would imply.

We appreciate your insight on this topic.
Thanks

Q: Hi Peter and Team,

I can never stop saying thanks for your great stock recommendations and giving me confidence to drop mutual funds from my portfolios.

A question about my TFSA. I hold PBH, PHO, SIS, KXS and WPK. The performance has been quite good as I am using the TFSA for long term growth. Any suggestions on the need to change any of the stocks in this mix?

Thanks.

Marvin

Q: Greetings! I am looking to add to my TFSA (long term), holdings that have good yield and strong dividend growth. I was considering either AQN or EMA, or should I divert from utilities and go with something with more potential for capital appreciation, TCL?
thank you!

Q: Good afternoon,
With the spin out of Equinox's copper assets "Solaris Copper Inc. I received a letter from my brokerage firm informing me the shares of Solaris have been deemed to be a non-qualified investment for registered plans under the income tax act. Without getting into the penalties that may be incurred, can I forget the letter since my shares are in my TFSA.
Thanks,
Charlie

Q: Hi Peter/Ryan,
I recently sold MG from my daughters TFSA and would like to either add to 1 or 2 of her portfolio underweight holdings (DOL, SIS, TCL.A, PKI) (all held in her TFSA) and/or buy PBH in her TFSA which is also in her investment acct at a portfolio weight of 3%.
My inclination is to add to DOL and buy PBH. Plan is long term hold. Any thoughts? Disregard sector percentages.
Many thanks.

Q: I would like to add two growth stocks to my TFSA. I would appreciate 3 suggestions to choose from. Thanks for a great service. Dan

Q: What is the most tax effective way to hold US stocks? I’m 32 with a good income, and have a full balanced tfsa holding Canadian stocks and etfs. I’m interested in building an account to hold US dividend aristocrats/Kings set up on auto deposit/drips as a set it and forget it style account. From everything I’ve read the dividend aristocrats generally have returned better than market average with good security and fairly stable growth, would you agree? I own my own companies so my income is structured to be very low tax, so I don’t need the break offered by the rrsps but I do have quite a bit of contribution room there. Would you recommend rrsp for US holdings for tax reduction, or is there a more efficient way?

Thanks

Q: In the near future I will be making some TFSA investments. My understanding, from commentary I have heard, is that it is wise to not invest in US stocks as the US government withholds dividend payments inside such an investment vehicle.
However, my thinking is that this does not necessarily mean that buying US stocks inside a TFSA is an absolute no no as this negative should be balanced against the positives with a given US stock. If the company is a fast growing US tech stock, for example, that doesn't pay a dividend then the withholding of dividend income is a moot point. Please comment. Thanks very much.

Q: Is it necessary to wait 30 days to rebuy same stocks in tfsp.Thanks

Q: Hi. What are your views regarding buying Twitter as part of a well-diversified portfolio? Thx

Q: Since writing covered calls and cash-secured uncovered puts has the same risk/reward profile why is only covered call writing permitted in registered accounts? Is that a government regulation or an individual bank decision?

Thank you.

Milan

Q: I have done well with ADW.A and am considering reducing this stock to a full position and adding BAD. My TFSA holdings are ADW.A, DSG, ECN, ECI, EIF, IPL, GUD, LUN, OTEX, PHO, RRX and TOY. Could I have your thoughts on this move or any other suggestion?
Thanks
Roy

Q: Is there as maximum percentage of US investments allowed in RIF and TFSA?
I am doing my own investments in TD Waterhouse.
Thanks
Margita

Q: In your response to a question regarding dividends in a tax free account you replied that withdrawals must be reported. Who do we report withdrawals to ? I was under the impression there is no reporting of income in aTFSA.

Q: I am looking to add another US growth company in my TFSA, and am thinking about GRUB and SPOT. Which of the 2 would you prefer for growth, or do you have others that you would prefer over these 2 stocks. I am already pretty heavy with tech in my TFSA.
Thanks
Nancy

Q: I hold AQN in a cash and Tfsa account. I would like to have the dividend kept in US $ as we often need US $. I presume the dividend would still qualify for the dividend tax credit? I would just have to convert it to Canadian in the cash account. The other account wouldn’t matter if I convert it too? I would have to know the Canadian $ value if I took it out?
Thanks for you insight into this.
John

Q: What are your BEST 5 ideas for a TSFA account. Thanks Valter.

Q: I am a 67 year old male pensioner with a limited income stream from CPP/Old Age and non-reg. and RSP funds(about 20 equity positions and a 27 % cash position).

At present I am very under invested in my TFSA and am about to transfer available non-reg. cash funds into my TFSA in order to maximize my contribution room. What would be your top ideas be in 'risk' and non-risk/safer equity positions?

Thanks so much,