Search found 383 matches

by NorthernRaven
14 Mar 2024 14:39
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Best High Interest Savings ETF
Replies: 54
Views: 6058

Re: Best High Interest Savings ETF

You are going to see variance in ETFs that juice their returns with safe short-term government or commercial paper, versus one that are purely deposits at the banks. With the OFSI changes on the run-off rates, the interest being paid out will be lower and I think PSA or one of them have recently increased their paper holdings to compensate. Even for the pure deposit stuff, you'll probably see them with slight differences as even if they are getting the same rates at the banks, there are probably reset and adjustment dates on the interest that will be a bit different for each ETF.
by NorthernRaven
13 Feb 2024 01:14
Forum: Financial Planning and Building Portfolios
Topic: Convert USD to CAD and buy VGRO or keep USD and buy VT
Replies: 2
Views: 447

Re: Convert USD to CAD and buy VGRO or keep USD and buy VT

VGRO is a Canadian-based ETF, and has roughly 35% in Canadian stocks and bonds. VT is a US all-world stock ETF and has a tiny 3% Canadian allocation, and no bonds, which would be quite a bit different if you were to swap everything from VGRO to VT. Also, the withholding is on the dividend payments, which you can avoid in an RRSP ( only ) via tax treaty, but the non-US dividends add a wrinkle, and comparing that sort of stuff can quickly get in the weeds. And someday down the road you'd have to turn the USD back to CAD again. Probably one of those "not broken, don't fix it" situations... :) For the USD that you have, there probably won't be anything like VGRO in USD with a big Canadian allocation. I haven't had fresh USD for many y...
by NorthernRaven
05 Feb 2024 16:43
Forum: Under the Mattress: Protecting Your Money
Topic: WealthSimple Cash
Replies: 38
Views: 2838

Re: WealthSimple Cash

FWIW, when checking them out I noticed Wealthsimple''s "Managed" (robo) accounts charge a 40bps markup on their "corporate" (something close to spot?) FX rate when doing FX conversions on those accounts (robo-balancing the CAD and USD ETFs in the account), as opposed to the 1.5% they charge customers for other FX transactions. I'm consolidating at Wealthsimple and one of the things I'm doing is wiring some money in from a US account. I was quoted the 40pbs on incoming wires. We shall see if that's what's actually used and if not whether they can be convinced to honor it in this case. I don't know the details of how the Managed accounts work, but they don't have a USD balance capability, I don't think (unlike the matchin...
by NorthernRaven
30 Jan 2024 22:51
Forum: Under the Mattress: Protecting Your Money
Topic: CDIC advertising
Replies: 11
Views: 782

Re: CDIC advertising

I'm with active here, even if it amounts to peanuts. The most recent one I saw was at the halftime of last weekend's NFC championship. Does CDIC truly believe that there's much of a target audience among such viewers? To be fair, I don't often watch sports on TV, so perhaps I should give CDIC credit for identifying a demographic that needs financial help. As best I could tell, half the ads during the average football or hockey game these days are for online gambling. They've been running their ads during NFL football at least since the start of the playoffs. I do tune in to the NFL this time of year, and the relatively small number of companies that saturate with the same ads over and over is horribly annoying - I'm not sure how that compa...
by NorthernRaven
30 Jan 2024 06:40
Forum: Under the Mattress: Protecting Your Money
Topic: CDIC Insurance
Replies: 4
Views: 514

Re: CDIC Insurance

Further still, each brokerage creates a separate trust with the issuer.. Actually not universally true. It would depend if the brokerage was holding the deposit "in-nominee-name" or not; i.e. you would need to check with the brokerage. From CDIC: Brokers typically place deposits for their clients at CDIC member institutions in two ways: directly in the name of their client (i.e. in-client-name) holding it (i.e. in trust) for their clients (i.e. in-nominee-name) This distinction has an important impact on how deposit insurance protection extends to client deposits held at a CDIC Member Institution, with the key difference being the scope of insurance categories that apply to in-client-name brokered deposits and to nominee brokered...
by NorthernRaven
29 Jan 2024 23:50
Forum: Under the Mattress: Protecting Your Money
Topic: CDIC advertising
Replies: 11
Views: 782

Re: CDIC advertising

FWIW, CDIC spends around $7 million on "public awareness" annually, on an operating budget currently around $80 million (plus a few more million in capital expenditure). They are going to have basic established informational efforts and overhead costs for the year, so a big ad campaign isn't going to be more than some fraction of that $7 mil.
by NorthernRaven
29 Jan 2024 22:40
Forum: Under the Mattress: Protecting Your Money
Topic: CDIC advertising
Replies: 11
Views: 782

Re: CDIC advertising

CDIC is funded by member premiums, not taxpayer dollars. There's usually perceived benefits to making people aware of deposit insurance and why it is probably a good idea to check out the details, be comfortable with deposits at CDIC-covered institutions of all sizes, etc. I'm pretty sure every few years you usually see some sort of heightened public information push in one form or another. Whether the choice of ad venues suitably achieves whatever goals are set, and are good value for money, is a question for the advertising experts. But grumbling on what they should do, how, and how much to spend doing it is more for banking executives to the CDIC management - I suspect advertising is a relatively small part of CDIC's operational budget, ...
by NorthernRaven
29 Jan 2024 22:11
Forum: Under the Mattress: Protecting Your Money
Topic: CDIC Insurance
Replies: 4
Views: 514

Re: CDIC Insurance

The overall Scotia empire has multiple CDIC issuers - their CAD "A" series are DYN6000 (the main "Bank of Nova Scotia/Scotiabank"), DYN5000 ("Bank of Nova Scotia Trust Company"), DYN3074 ("Scotia Mortgage Company"), DYN3054 ("National Trust Company") and DYN3064 ("Montreal Trust Company of Canada"). All five are like separate banks for CDIC insurance purposes, and each can provide the $100,000 for all deposit types, even in the same account. Most of the big banks gobbled up one or more trust companies a few decades ago when they became able to and things got consolidated), which act as separate CDIC issuers. Further, if you have these ISAs in a brokerage account, they are almost al...
by NorthernRaven
25 Jan 2024 00:36
Forum: Under the Mattress: Protecting Your Money
Topic: High interest savings, GICs and MMFs (2024)
Replies: 200
Views: 16778

Re: High interest savings, GICs and MMFs (2024)

Anyone aware of what might have happened to ATL5001/ATL5501 CAD and USD Renaissance F Series ISAs? A friend has both of these on her statements but when we go to https://www.renaissanceinvestments.ca/products/hisa they no longer appear. Instead there is reference to ATL5071/ATL5075. Could reach out to them https://www.renaissanceinvestments.ca/about-us/contact-us/ but thought I'd ask here first. Searching the web doesn't provide any obvious insight. Looks like they've switched the CAD and USD A and F series HISAs to those new fund codes from Jan 16-23, 2024. Someone posted a CIBC notice of the switchover at RFD: https://forums.redflagdeals.com/online-brokerage-rankings-globe-mail-2023-22-21-20-2019-2263605/7/#p38611474 If you look at the c...
by NorthernRaven
23 Jan 2024 19:37
Forum: Community Centre
Topic: Mini Computer
Replies: 19
Views: 1467

Re: Mini Computer

The uses and form factors of "mini" computers has changed over time... :)

https://en.wikipedia.org/wiki/Minicomputer
by NorthernRaven
22 Jan 2024 22:06
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: TFSA 2024
Replies: 68
Views: 5327

Re: TFSA 2024

Now that I'm at Wealthsimple, I can just let DRIP amounts fully re-invest with their fractional share system. The main problem is that you can only set DRIP on/off per "account", and they consider the CAD/USD pairs to be a single super-account with a single switch for DRIP purposes. For RRSP and TFSA this is fine, but I prefer not to have the XIU on the CAD side do a DRIP in my non-reg account, to avoid the quarterly ACB hassles. But I'd like the little bit of IEMG on the USD side to DRIP, but can't without DRIPing the CAD side as well. Right now its just the one ETF and only twice a year, but hopefully they'll add some more granularity to the DRIP system eventually. The back end has to be able to handle each position in a portfol...
by NorthernRaven
22 Jan 2024 12:21
Forum: Under the Mattress: Protecting Your Money
Topic: High interest savings, GICs and MMFs (2024)
Replies: 200
Views: 16778

Re: High interest savings, GICs and MMFs (2024)

I notice that there still are things called money market mutual funds available through TD. The first one in the list is CIBC Money Market Fund Class F-Premium CIB238 with a current yield of 5.3% Its holdings are given as 91% cash, 9% fixed income long. How do they provide their 5% payout based on those holdings? do all MMFs look the same? "Class-F" - will TDDI actually sell you (as opposed to display) an F-Class MMF? I suspect not - will CIBC even provide that to its own Investorline customers? The A-class may be 10-15bps lower to cover the commission. "Premium" - Looks like a $100,000 minimum purchase, so you may lose 20-25bps if you can't do that and take the non-Premium version? I remember someplace (BMO?) forced yo...
by NorthernRaven
19 Jan 2024 20:15
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: WealthSimple Trade
Replies: 73
Views: 10312

Re: WealthSimple Trade

They only do the combined purchases to get shares for people's fractional orders a couple of times a day (at whatever price), so you aren't going to be able to specify a limit price for a fractional order - the actual market order doesn't deal in fractions. Those buy-for-the-fractional-people orders can't honor everyone's particular limit desires. You might want to do your limit order first with a whole number of shares at your desired price, and once that fills use a fractional order for whatever little remnant of cash you desire. I'm new at Wealthsimple and have only bought cash ETFs so far. Those don't have the intra-day variations of other equities, so I've usually been lazy and bought my entire lump using the fractional system. But tha...
by NorthernRaven
17 Jan 2024 16:53
Forum: Financial Planning and Building Portfolios
Topic: Is my financial plan reasonable?
Replies: 29
Views: 1740

Re: Is my financial plan reasonable?

Actually, looks like there must be some sort of sunset clause in the US tax code:
"Note: The estate tax exclusion (and unified credit) will return to pre-2018 levels beginning January 1, 2026. The exclusion amount will be reduced to US$5.49 million (from US$12.92 million) (adjusted for inflation)."

Either number is well beyond my modest worth, and I wouldn't be surprised if this is one of those things they keep adjusting so the "temporary" higher number never actually reduces back to the original levels. Estate tax is a touchy thing optically in US politics - even if in the real world the "poor family farm devastate by estate tax" is more of a myth than reality.
by NorthernRaven
17 Jan 2024 16:47
Forum: Financial Planning and Building Portfolios
Topic: Is my financial plan reasonable?
Replies: 29
Views: 1740

Re: Is my financial plan reasonable?

FWIW, if I was to start all over again, I would NOT have any US domiciled securities in my brokerage accounts. The 'leakage' is not worth the cost of the 'headaches'. I have a large holding of VTI (second largest single holding in my portfolio) with almost a 450% unrealized gain. It poses a significant dilemma. I need to tell my POA/Executor to dispose of that sucker before I stop breathing. Same here, the range and MERs of ETFs is so much better than it was 15 years ago that dealing with USD in bulk isn't something I'd do now for the small savings. My current understanding is that unless your total estate is somewhere north of US$12 million, the "unified credit" available through the US/Canada tax treaties means you won't have t...
by NorthernRaven
16 Jan 2024 18:24
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: TD Direct Investing (was Waterhouse) Service
Replies: 3927
Views: 433365

Re: TD Direct Investing (was Waterhouse) Service

It shouldn't have made a difference for mutual funds/ISAs, but the US markets were closed Monday. Maybe some sort of weird side effect that affected some of the other systems either for the actual order fill, or just the posting of the status change to WebBroker.
by NorthernRaven
16 Jan 2024 10:40
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: WealthSimple Trade
Replies: 73
Views: 10312

Re: WealthSimple Trade

I just moved TFSA+RRSP+NonReg (with USD accounts in the latter two) from TDDI to Wealthsimple - they were technically partial transfers to keep the accounts open, but almost everything moved. Wealthsimple now has USD accounts like TDDI does. The main catch is that if you have less than $100K at Wealthsimple, the USD accounts feature costs $10/month. There's no problem transferring USD securities, those can be held in a CAD-only account without problem. But as you say, a USD balance would be converted to CAD at 1.5%, US dividends would convert likewise, and if you want to do new USD purchases, you'd be using the CAD balance with that 1.5% conversion. Tastes may differ, but $10/month for the USD capability seems rather steep, unless you are a...
by NorthernRaven
15 Jan 2024 19:00
Forum: Under the Mattress: Protecting Your Money
Topic: High interest savings, GICs and MMFs (2024)
Replies: 200
Views: 16778

Re: High interest savings, GICs and MMFs (2024)

I don't think any of the brokerage ISA deposit funds have changed in awhile, that should be current. Someone keeps a list over here.
by NorthernRaven
15 Jan 2024 13:14
Forum: Financial Planning and Building Portfolios
Topic: Is my financial plan reasonable?
Replies: 29
Views: 1740

Re: Is my financial plan reasonable?

I'd agree that the mortgage is probably a good target for some of that free cashflow. The "in-kind" contributions of nonreg VTI or not being too worried about exact percentages rather than paying the taxman by selling things with capital gains also makes sense - I did in-kind VTI contribs myself years ago back when there was still some in my non-registered. As a bit of a worry-wart, I tend to have a bit more than that sort of three-month emergency fund in something more liquid than equities. With two incomes and a highly employable field like nursing you are in a better place than many, but you might still want to look into putting a slightly larger chunk into something with decent returns like a cash ETF or Hubert's quarterly cas...
by NorthernRaven
15 Jan 2024 08:51
Forum: Under the Mattress: Protecting Your Money
Topic: WealthSimple Cash
Replies: 38
Views: 2838

Re: WealthSimple Cash

Actually put some of those keywords into Google and found this: https://money.ca/credit-cards/mastercard-or-visa-foreign-purchases-better-canadians If they did their math right, looks like Mastercard is closer to that 50bps difference, while VISA ran close to 1%. Heavens only knows how the two companies are doing whatever hedging and options and spot purchases in their treasury FX operations, and what they are aiming for as an internal margin on that. FWIW, when checking them out I noticed Wealthsimple''s "Managed" (robo) accounts charge a 40bps markup on their "corporate" (something close to spot?) FX rate when doing FX conversions on those accounts (robo-balancing the CAD and USD ETFs in the account), as opposed to the...
by NorthernRaven
15 Jan 2024 08:45
Forum: Under the Mattress: Protecting Your Money
Topic: WealthSimple Cash
Replies: 38
Views: 2838

Re: WealthSimple Cash

You can get the daily exchange rates for Visa and Mastercard (make sure to enter the bank fee as zero). You could chart those against each other and something like the BoC daily rate to see how much slop the CC companies are generally putting in to hedge against intra-day movements
by NorthernRaven
12 Jan 2024 13:10
Forum: Under the Mattress: Protecting Your Money
Topic: WealthSimple Cash
Replies: 38
Views: 2838

Re: WealthSimple Cash

Wealthsimple isn't a bank and can't provide CDIC coverage itself. Your balance is split into deposits at three actual Canadian banks, where you get $100K coverage at each. They don't disclose which ones, but it wouldn't be surprising if it is the same three that are handling the deposits for the cash ETF firms, Scotiabank, CIBC and National Bank. Its a bit complicated because they are running this in conjunction with a third-party prepaid card for transactions, but someone has a plausible explanation here, and Wealthsimple has a writeup of their own.
by NorthernRaven
11 Jan 2024 21:17
Forum: Under the Mattress: Protecting Your Money
Topic: WealthSimple Cash
Replies: 38
Views: 2838

Re: WealthSimple Cash

Wealthsimple is starting to look like Canada’s next big bank ‘You either die a hero or live long enough to see yourself become the villain’ Sorry that I have no trust that WealthSimple will not just turn into RBC/TD/CIBC as soon as they have enough market power. It's not as if most companies are saying "God forbid, we should grow and grow and have high, entrenched market power and profits"... :) It will be a long time before Wealthsimple is sitting at the Big5 table. In the meantime, there's no reason not to enjoy whatever advantages they provide, if one sees any. I remember when there was a scrappy company called.... * ....that promised to change the industry and push the established companies to do better. Substitute * with any...
by NorthernRaven
11 Jan 2024 14:12
Forum: Under the Mattress: Protecting Your Money
Topic: WealthSimple Cash
Replies: 38
Views: 2838

Re: WealthSimple Cash

How do you organize your automatic bill payments? I pay my recurring bills with bmo at the moment. But i get nothing for that. So, i have been thinking about transferring them to cdn tire, as i have the triangle elite card. I suppose with wealtsimple you get straight cash and that might be better than cdn tire money. I didn’t know that you could pay recurring bills with wealthsimple, though. Yup, from the phone app the "Pay a bill" option in the Cash section has a dropdown with options of "One-time/weekly/Bi-weekly/Monthly", and there's a "Scheduled" tab that will show recurring payment setups. I run most of my recurring items through my Visa, and the one that isn't, a rent payment, is still coming out of my E...
by NorthernRaven
10 Jan 2024 17:00
Forum: Taxing Situations
Topic: TSFA contribution in kind?
Replies: 20
Views: 1032

Re: TSFA contribution in kind?

We have a fairly large non-registered USD Cash account that has USD ETFs (VTI and QQQ), I did in-kind transfers to our TFSAs (my wife and I and will do my daughters once I get the paperwork to allow that kind of transfer). I'll probably use this approach for the next number of years as we work to build up our TFSA! Was really easy to do with TD online! We did it last year as well. This was my use-case for in-kind transfer as well - there was a lump of stuff (including some VTI) from my initial ETF purchases ages ago that I occasionally carved a chunk off for an in-kind RRSP contribution, as the RRSP couldn't shelter it all initially. The USD stuff was most efficient in the RRSP once it could fit in htere. For quite a few years now most of ...