Q: Have a family member that needs to supplement her monthly income. She received $60,000 recently.Should she use a investment brokerage account buy dividend payers, collect monthly income she derives from that and pay the occurred taxes, or since she does not have a TSFA open one and then (can she) withdraw the monthly dividend from the tsfa tax free on an on going basis. There is investment knowledge in the family to assist her. Thanks you for all your help
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: Being 73, I saved most of my life to an RRSP which flipped to a RRIF @71, with mandatory withdrawals. In the process of doing estate planning, and with the RIFF, being taxed @50% of withdrawals which is a difficult pill to follow. Initially I was withdrawing cash, however after further consideration, this year I transferred loss position "Crescent Point".
1. Would it be best to try and tsf everything before you expire and pay the tax.
2. When you tsf, is it best to tsf your losers initially, and then the winners.
3. I assume there is no other means of elevating the tax on RIFF.
For sure, RRSP are great during your working years, but never considered the tax burden after retirement. As an example if you have a 1 million RRSP after taxes $500,000.00 Does not seem fair
Look forward to your rely and thanks for your service
Rick
1. Would it be best to try and tsf everything before you expire and pay the tax.
2. When you tsf, is it best to tsf your losers initially, and then the winners.
3. I assume there is no other means of elevating the tax on RIFF.
For sure, RRSP are great during your working years, but never considered the tax burden after retirement. As an example if you have a 1 million RRSP after taxes $500,000.00 Does not seem fair
Look forward to your rely and thanks for your service
Rick
Q: If Trump's shenanigans hit the fan , and he is impeached ... which sectors will get murdered , or does everything fall , including the USD ? thanks
Q: My overall portfolio is down 3% the last 6-8 weeks which I justify as the downside of having equities in the portfolio. I am 40% in cash so the drawdown could have been worse. My concern is that the 3% drawdown is just over $20000 and that is a lot of money. We are 70 with defined benefit pensions and really don't need any more capital; just want to preserve what we have. You preach the downside of market timing, but I see $ 20000 worth of paper gains slipping through our fingers. Short of investing 100% in gic's should someone with my profile be more of a trader ie use tight downside tolerances and sell when a predetermined gain or loss is met rather than buy and hold. Please comment as I very much value your opinion. Thank you.
Q: Which category of stocks are these (financial, energy and etc )?
BRK.B(Berkshire )
CDZ
BAM.B(Brookfield )
Thank you
BRK.B(Berkshire )
CDZ
BAM.B(Brookfield )
Thank you
Q: I just read this from a respected member of an American investment service and would like to know your thoughts. Do you agree with his reason that the fund industry does their tax loss selling in September? If so, is this the case in Canada also?
"If anyone out there expects to do tax loss selling this year, I have a few words of wisdom for you.
September is the worst month of the year for the market historically. Look it up, you'll see. The reason September is such a poor performing month is that the fund industry does their tax loss selling in September because that's the end of their fiscal year. They don't operate on calendar year.
The reason we usually get a Santa Claus rally is because wash rules have been exhausted, cash has been raised, and cash goes back to work because fund charters stipulate they can't hold over a certain percentage of cash.
So, if you are going to sell something for tax losses, and want to buy the company back a little later and establish a lower cost basis, the time to do your selling is in August, prior to the funds doing their selling. You'll have time for the wash rules to play out so that you can reinvest in time for the Santa Claus rally."
"If anyone out there expects to do tax loss selling this year, I have a few words of wisdom for you.
September is the worst month of the year for the market historically. Look it up, you'll see. The reason September is such a poor performing month is that the fund industry does their tax loss selling in September because that's the end of their fiscal year. They don't operate on calendar year.
The reason we usually get a Santa Claus rally is because wash rules have been exhausted, cash has been raised, and cash goes back to work because fund charters stipulate they can't hold over a certain percentage of cash.
So, if you are going to sell something for tax losses, and want to buy the company back a little later and establish a lower cost basis, the time to do your selling is in August, prior to the funds doing their selling. You'll have time for the wash rules to play out so that you can reinvest in time for the Santa Claus rally."
Q: I am a new member and just came into an inheritance. I want to preserve the capital and am wary of a big market correction looming on the horizon - soonish. So, where can I park my money to preserve its value while waiting for the financial Armageddon?
Q: Which is the best way to calculate the annual EPS Growth Rate for a stock that has had a miss(s) over 5 years? I want to compare all stocks as per their annual EPS growth rates (actual and estimates) to find the great companies to invest in.
Here is an example of TCN's annual growth rate (no misses) over 5yrs from TD:
2013 2014 2015 2016 2017 2018 GR (%)
0.23 0.55 0.56 0.56 0.63 0.81 28.63
Here is an example of PKI's annual growth rate (with misses) over 5yrs from TD:
2013 2014 2015 2016 2017 2018 GR (%)
1.32 0.66 0.46 0.49 0.72 1.17 -2.38
Here again is PKI's annual growth rate over 3 yrs from TD, restarting the rising growth rate trend at 2015?
2015 2016 2017 2018 GR (%)
0.46 0.49 0.72 1.17 36.50
Obviously, if I use PKI's 5 yr EPS GR it would rank well down my list. However if I compare all stocks using the 5 yr EPS GR it won't penalize a company that has been intelligently growing earnings consistently? Your thoughts would be much appreciated.
Here is an example of TCN's annual growth rate (no misses) over 5yrs from TD:
2013 2014 2015 2016 2017 2018 GR (%)
0.23 0.55 0.56 0.56 0.63 0.81 28.63
Here is an example of PKI's annual growth rate (with misses) over 5yrs from TD:
2013 2014 2015 2016 2017 2018 GR (%)
1.32 0.66 0.46 0.49 0.72 1.17 -2.38
Here again is PKI's annual growth rate over 3 yrs from TD, restarting the rising growth rate trend at 2015?
2015 2016 2017 2018 GR (%)
0.46 0.49 0.72 1.17 36.50
Obviously, if I use PKI's 5 yr EPS GR it would rank well down my list. However if I compare all stocks using the 5 yr EPS GR it won't penalize a company that has been intelligently growing earnings consistently? Your thoughts would be much appreciated.
Q: At one point you were considering starting one or more ETFs based on your portfolios. Anything happening with that? Thank you.
Q: Hi 5I,
General question on how successful short sellers operate. Do they short the stocks daily, weekly or how do they keep the price down? If they continually short the stock, do they not end up owning a considerable % of the companies stocks in order to keep the price down? Is there a website that gives the % of the stock that is shorted? It appears that you need to be careful in the Canadian market that you are not on the opposite end of the short attacks. Are there any other Canadian stocks that are heavily shorted?
Thanks Keep up the good work.
Bob
General question on how successful short sellers operate. Do they short the stocks daily, weekly or how do they keep the price down? If they continually short the stock, do they not end up owning a considerable % of the companies stocks in order to keep the price down? Is there a website that gives the % of the stock that is shorted? It appears that you need to be careful in the Canadian market that you are not on the opposite end of the short attacks. Are there any other Canadian stocks that are heavily shorted?
Thanks Keep up the good work.
Bob
Q: My current holding in one RRSP consist of the following:ABT
CSW.A
FR
GUD
IPL
ITC
PKI
PLC
RIC
SIS
T
TLT.V
BEP.UN
BPY.UN
CSH.UN
TOY
What do you think of this setup? Is there any additions that you would suggest? My time horizon is 20 to 30 years. Cheers
seamus
CSW.A
FR
GUD
IPL
ITC
PKI
PLC
RIC
SIS
T
TLT.V
BEP.UN
BPY.UN
CSH.UN
TOY
What do you think of this setup? Is there any additions that you would suggest? My time horizon is 20 to 30 years. Cheers
seamus
Q: what would be your suggestion building a balanced portfolio using only us etf's portfolio size about a million, time horizon 10-20 years
Q: Re my previous question of Mawer funds in a TFSA, your answer seems at variance with the advice from Mawer.
Mawer advises that:" Mawer mutual funds are structured as a Canadian Mutual Fund Trust.Foreign holdings inside the fund are not classed as foreign holdings for withholding tax purposes"
Mawer advises that:" Mawer mutual funds are structured as a Canadian Mutual Fund Trust.Foreign holdings inside the fund are not classed as foreign holdings for withholding tax purposes"
Q: I would like to ask for your opinion and comment on my investment approach with reference to hedged to CAD or un-hedged versions of ETF's available from Canadian issuers. My approach has been the following:
- keep US equity ETF un-hedged;
- keep developed and emerging international equity ETF's hedged to CAD;
- keep US bond ETF's hedged to CAD.
I am aware that this approach was not too benefitial during the past month or two, and I am starting to have second thoughts, but I figure I better ask for a second opinion from a pro before I make any changes. This is where you guys step in...
Thank you.
- keep US equity ETF un-hedged;
- keep developed and emerging international equity ETF's hedged to CAD;
- keep US bond ETF's hedged to CAD.
I am aware that this approach was not too benefitial during the past month or two, and I am starting to have second thoughts, but I figure I better ask for a second opinion from a pro before I make any changes. This is where you guys step in...
Thank you.
Q: How much faith should one put into Recognia valuation charting? Is there any evidence that any of their predictions bear out?
Can you explain how they come up with their projections?
Guy R.
Can you explain how they come up with their projections?
Guy R.
Q: Hi Team,
When selling to open a put option position that expires in Jan 2018, is the premium received to be reported in 2018 tax return assuming it expires worthless in 2018?
Thank you.
When selling to open a put option position that expires in Jan 2018, is the premium received to be reported in 2018 tax return assuming it expires worthless in 2018?
Thank you.
Q: If the ex dividend date is the 19th can i put my order to buy and buy that day the 19th or do i buy 3 days before to collect the dividend for that month?
Q: What do you think of the Phillips Hager & North High Yield Bond fund? I understand the lead manager is Hanif Mamdani. The fund seems to have half its assets in Canadian and half in American high-yield bonds. The MER is 0.87% which doesn't seem too bad for this kind of fund. The chart they post on the web looks outstanding (http://funds.rbcgam.com/pdf/fund-pages/monthly/rbf1280_e.pdf). How risky is this fund going forward?
Q: I would like to place some Mawer fund that is mostly in foreign stocks into my TFSA. Are there any withholding tax implications?
Thanks for your answer. HD
Thanks for your answer. HD
Q: I have multiple questions in this post, feel free to take as many credits it requires.
I am right now rethinking my portfolio and your advices-suggestions would be greatly appreciated. I am investing for the long-term 10+ years
In the past 2 years, the size of my portfolio has tripled, mostly due to savings. Both my RRSP and TFSA are full, and I am now putting my new savings in an unregistered account. My full position (5%) size is currently between 8 to 9K$. When I began investing, in my TFSA my positions were more of 2-4K$. Here's a list of what stocks are in which account :
TFSA : ATD.B, GSY, MG, NA, OTEX, PHO, POT, SNC, T, and TD
RRSP : AQN, FTS, GUD, SIS, KXS, SLF
Un-registered : BAM, CCL.B +50K cash
I was thinking of selling SNC to buy back WSP in un-registered, and also moving TD to un-registered. So I could add to PHO, OTEX and GSY (my smallest positions). Is there other stocks in my TFSA that would better fit in another account? Do you have suggestions?
Also, I know I have some more growthy names in my RRSP that would might be better in a TFSA, but that's where I had room at the time of buying. Do you you think it's worth moving stocks from this account or it's OK leaving it as it is? I am at least 30 years away from retirement and don't plan to use money in my RRSP soon.
I would like to add gradually 4-5 positions to my un-registered account with my cash position. Do you have suggestions for quality long-term stocks (as I want to avoid as much as possible to sell in my un-registered) that could improve my portfolio?
Thank you!
I am right now rethinking my portfolio and your advices-suggestions would be greatly appreciated. I am investing for the long-term 10+ years
In the past 2 years, the size of my portfolio has tripled, mostly due to savings. Both my RRSP and TFSA are full, and I am now putting my new savings in an unregistered account. My full position (5%) size is currently between 8 to 9K$. When I began investing, in my TFSA my positions were more of 2-4K$. Here's a list of what stocks are in which account :
TFSA : ATD.B, GSY, MG, NA, OTEX, PHO, POT, SNC, T, and TD
RRSP : AQN, FTS, GUD, SIS, KXS, SLF
Un-registered : BAM, CCL.B +50K cash
I was thinking of selling SNC to buy back WSP in un-registered, and also moving TD to un-registered. So I could add to PHO, OTEX and GSY (my smallest positions). Is there other stocks in my TFSA that would better fit in another account? Do you have suggestions?
Also, I know I have some more growthy names in my RRSP that would might be better in a TFSA, but that's where I had room at the time of buying. Do you you think it's worth moving stocks from this account or it's OK leaving it as it is? I am at least 30 years away from retirement and don't plan to use money in my RRSP soon.
I would like to add gradually 4-5 positions to my un-registered account with my cash position. Do you have suggestions for quality long-term stocks (as I want to avoid as much as possible to sell in my un-registered) that could improve my portfolio?
Thank you!