Search found 3388 matches

by deaddog
26 Jan 2021 21:47
Forum: Retirement, Pensions and Peace of Mind
Topic: Where do you want to retire?
Replies: 262
Views: 21251

Re: Where do you want to retire?

kcowan wrote: 26 Jan 2021 20:51 They need to impose some kind of lifesaving restrictions.
Who are "They" and what do you propose they do?
by deaddog
24 Jan 2021 11:49
Forum: Financial Planning and Building Portfolios
Topic: Which to do first? TFSA or Margin account
Replies: 5
Views: 1792

Re: Which to do first? TFSA or Margin account

A couple thing to consider with margin accounts;

I assume you are with Questrade because of the 30% margin.
If you don’t take action to satisfy the debit balance by the due date or if market conditions require it, we may close positions in your account. If we close positions for you, we will charge a $45 fee for each trade we make.
"If market conditions require it is pretty vague" and means that if price fall quickly. Especially with a small account. You don't get a choice which securities get liquidated. The additional fee wipes out any commission savings you may have had on the buy side.
by deaddog
23 Jan 2021 13:00
Forum: Financial Planning and Building Portfolios
Topic: Borrowing to invest - technicals and mechanicals
Replies: 155
Views: 88068

Re: Borrowing to invest - technicals and mechanicals

...As for claiming capital losses, you claim the capital loss against capital gains to reduce taxes. There are no taxes, what are you reducing? :? The point is that it's not one's own money. Selling for a loss in a TFSA destroys contribution room, does not have a tax benefit and one will still owe what one has borrowed. IMO, one is giving up too many of the tax benefits that help mitigate the risks of leverage by using the TFSA. Using one's own money OTOH is a different situation ... but that's not the topic of this thread. Cheers Not sure I follow you on how selling in a TFSA destroys contribution room. I agree that leverage is a two edged sword. It's a risk reward thing. Those that are successful rave about using OPM and the losers look ...
by deaddog
23 Jan 2021 11:29
Forum: Financial Planning and Building Portfolios
Topic: Borrowing to invest - technicals and mechanicals
Replies: 155
Views: 88068

Re: Borrowing to invest - technicals and mechanicals

Eclectic12 wrote: 23 Jan 2021 09:57
Others would say that putting the investments into the TFSA is a bad thing.

In addition to losing the ability to claim capital losses - you also lose the ability to deduct the interest costs on your tax return.


Cheers
An excellent place for investments. You can compound capital gains tax free. Look at the number of FWF posters who don't sell some of their holdings because of the capital gains they might incur. In a TFSA that doesn't present a problem.

You don't have to worry about the superficial loss rule. If you sell an investment and want to buy it back you can do it anytime.

As for claiming capital losses, you claim the capital loss against capital gains to reduce taxes. There are no taxes, what are you reducing? :?
by deaddog
21 Jan 2021 23:43
Forum: Taxing Situations
Topic: CRA vs TFSA Court rulings
Replies: 41
Views: 3028

Re: CRA vs TFSA Court rulings

ockham wrote: 21 Jan 2021 23:10 DD, how does your trading behaviour in your TFSA differ, if at all, from your trading behaviour in your taxable account(s)?? I'm guessing CRA has had ample opportunity to scrutinize your taxable account transactions, and accepts your characterization of them, i.e., as investing, not as in the business.

I think you're worrying unnecessarily.
Not much different; I use my taxable accounts to fund my lifestyle at the present moment so my registered accounts a slightly larger. My RRSP is the smallest account as I didn't take advantage of it. I mistakenly thought I'd rather pay capital gains tax rather than income tax on my gains when I was accumulating. Not sure that was the right decision but it's too late to change things now.
by deaddog
21 Jan 2021 22:10
Forum: Taxing Situations
Topic: CRA vs TFSA Court rulings
Replies: 41
Views: 3028

Re: CRA vs TFSA Court rulings

Court decisions on taxes should show up on canlii.org under the Federal courts. You would need a pretty big profit for it to be worth going all the way to trial, maybe there aren't many cases? That's what I'm thinking. As I review all the articles there isn't any specific cases noted. It's more a this might happen if you make too much. Phrases such as the "CRA may do this" and "trading in your TFSA could be construed as" aren't much different from the prognostications FWFers make about how the Gov't will pay for all the free money they're handing out. Journalist looking for something to draw eyeballs. The few specific cases that are mentioned have to do with over contribution, swaps and what would be classed as financia...
by deaddog
21 Jan 2021 18:11
Forum: Taxing Situations
Topic: CRA vs TFSA Court rulings
Replies: 41
Views: 3028

Re: CRA vs TFSA Court rulings

https://www.tcc-cci.gc.ca/en/home Edit: Plus there's figuring how which ones aren't relevant (ex. Dad deposited my company cheque to my TFSA instead of my chequing account) to the ones you are looking for. Cheers Thanks; A quick scan turned up 8 cases of which none applied to excessive trading. Most of what I'm finding is articles of what might happen. Make you wonder. :roll: Of the 8 points that would make me a business I qualify for 2 of them. you conduct frequent securities transactions within your TFSA you quickly relinquish ownership of the securities in your TFSA you have knowledge of or experience in securities markets securities transactions form a part of your ordinary business or employment you spend ample time studying securitie...
by deaddog
21 Jan 2021 17:17
Forum: Taxing Situations
Topic: CRA vs TFSA Court rulings
Replies: 41
Views: 3028

Re: CRA vs TFSA Court rulings

Try googling within Financial Post or G&M, or the websites of tax lawyers for a few actual cases. Some of these go back to 2015 or earlier. I did a quick Google and came up with the following. It looks like CRA's pursuit may not be in their favour (they did win on a swap case). https://taxpage.com/articles-and-tips/tsfa-income/ https://www.ctf.ca/ctfweb/en/newsletters/canadian_tax_focus/2015/1/150101.aspx https://www.gettaxnetpro.com/blog/Tax%20Foresight/when-is-a-tfsa-not-tax-free-1200/ FWIW, I would never want to attract CRA's attention with a bulls eye on my back. The waste in time and legal help could be significant fighting it. Thanks Red Yes that is what I'm finding. In Prochuck vs the Queen (2014) The CRA and the Crown took the ...
by deaddog
21 Jan 2021 14:35
Forum: Retirement, Pensions and Peace of Mind
Topic: RRIF Withdrawal Notice From TDDI
Replies: 47
Views: 4737

Re: RRIF Withdrawal Notice From TDDI

Bylo Selhi wrote: 21 Jan 2021 14:23
Why would you want to specify a larger withholding amount than the CRA required percentage? Wouldn't doing that effectively give CRA an interest-free loan of the excess?
Might prevent you from having to make quarterly payments.
by deaddog
21 Jan 2021 14:00
Forum: Taxing Situations
Topic: CRA vs TFSA Court rulings
Replies: 41
Views: 3028

CRA vs TFSA Court rulings

I don't seem to be able to find any actual court rulings where CRA or investors have had a ruling on trading (other than day trading).

The cases I can find are against Financial professionals, swaps, and overcontributions.

Is anyone aware of a retail trader that has been taken to court for being too successful?

I have tried Google but I must be asking the wrong questions.
by deaddog
18 Jan 2021 21:07
Forum: Financial News, Policy and Economics
Topic: Stages of personal finance and investing
Replies: 29
Views: 68043

Re: Stages of personal finance and investing

During my investment career I went through 4 different phases: 1) Darkness - Took advice from everyone and tried to pick individual stocks 2) Enlightenment - Realized that a market return is superior to the return I was able to achieve by picking stocks 3) Complexity - Overdoing everything to find optimal 4) Simplicity - Investing in a few/1 total market funds My four stages New Investor . (Nube) Knew nothing about financial markets; Sold mutual funds by smooth talking salesman. Left my financial future to a trained salesman; He earned a trailer fee even if I lost money Get Rich Quick. (Gambler) Learned about common stocks. Pump& dump; Penny stocks and hot tips. Left my financial future to a trained broker; He earned a commission even ...
by deaddog
18 Jan 2021 14:59
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Alimentation Couche-Tard (Symbol ATD, was ATD.B)
Replies: 156
Views: 36387

Re: Alimentation Couche-Tard (Symbol-ATD.B)

westcoastfella wrote: 18 Jan 2021 14:32
Given that the stock dropped about 10% on the news of the acquisition attempt, I was expecting the stock to bounce back to previous levels after the acquisition attempt was cancelled... but it has not done so. I was kicking myself for not getting in at the 36-ish level it was at, but it seems that its still lingering in the ballpark. Any thoughts on why it didn't simply bounce back?
No buyers; Everyone that thought it was a good bargain under 38 has already filled their order on the way down.
Those that got in at 36ish and wanted a quick flip are having trouble finding buyers so they are lowering the price.
by deaddog
17 Jan 2021 22:21
Forum: Financial Planning and Building Portfolios
Topic: TFSA statistics from CRA
Replies: 130
Views: 48023

Re: TFSA statistics from CRA

2 yen wrote: 17 Jan 2021 21:24
"Okay Boomer" is a highly derogatory term and I would encourage you not to use it in the future. If you wonder about this, flip it around for some insult about any other generation and ask yourself if it would be appreciated from those members of this forum.

2 yen
I flipped it around and came up with Remoob. I don't find that derogatory at all.:)
by deaddog
15 Jan 2021 16:03
Forum: Property: Owning, Renting, Managing, Investing and Mortgaging
Topic: Down Payment ready! Continue to rent as primary residence or buy home with rental space
Replies: 8
Views: 3351

Re: Down Payment ready! Continue to rent as primary residence or buy home with rental space

If you buy will your payments be less than your rent?

The one advantage to owning is that you eventually own the home.

In another thread we were discussing expense in retirement. Owning your home mortgage free saves quite a bit.
by deaddog
15 Jan 2021 15:56
Forum: Under the Mattress: Protecting Your Money
Topic: Cash is Dead
Replies: 142
Views: 9142

Re: Cash is Dead

I've not been able to write a cheque for the last 2 vehicles we bought. They insisted on bank drafts though I suppose as long as they don't hand out the keys until the cheque actually clears, that is just as good as a bank draft with issuer's name and phone number stamped on it. Personally, I wouldn't accept a cheque from anyone other than a close family member and many? most? won't take certified cheques either. The last pick-up I bought they insisted on a bank draft but they let me take the pick-up home over the weekend as the banks were closed. 5K on a credit card, my trade-in and a promise to courier the bank draft Monday morning. I think they were worried about losing the sale if I went home and thought about it. It was an impulse pur...
by deaddog
15 Jan 2021 15:46
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Are bonds becoming more risky than some stocks?
Replies: 169
Views: 15768

Re: Are bonds becoming more risky than some stocks?

dlink wrote: 15 Jan 2021 13:31 If I may ask:
--what made you take CPP at 60? why you didn't postpone?
--and did you have any bond allocation?

Thanks
I had retired at 55. Took a pension buy out. The early CPP was a bird in the hand thing. Didn't really expect to live this long :)

I have never had any bonds. Equities always seemed to outperform so I stayed with them.
by deaddog
15 Jan 2021 12:50
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Are bonds becoming more risky than some stocks?
Replies: 169
Views: 15768

Re: Are bonds becoming more risky than some stocks?

AltaRed wrote: 14 Jan 2021 22:13
Spidey wrote: 14 Jan 2021 17:27 Anyone doing an all equity portfolio?
To put this into the appropriate context, I'd suggest those responding also indicate whether they have DB pensions to provide some, or all of, their basic cash flow needs. The way to truly factor annuity income into one's fixed income is to present value future payments to their actuarial age of death.

As an example, I have a DB pension to provide most of my bare basics so that automatically means I can afford a higher equity allocation. We've had this discussion multiple times before.
Both myself and spouse took CPP at 60; combined with OAS; Works out to about 30K per year; This would cover basic expenses.

Investment income and capital gains fund our lifestyle.
by deaddog
15 Jan 2021 00:04
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Are bonds becoming more risky than some stocks?
Replies: 169
Views: 15768

Re: Are bonds becoming more risky than some stocks?

Spidey wrote: 14 Jan 2021 17:27
Anyone doing an all equity portfolio?
It's an actively managed portfolio and may be in cash at times when the market is trending down.
by deaddog
13 Jan 2021 15:05
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: BMO Covered Call ETFs when yield from fixed income or dividends aren’t enough
Replies: 36
Views: 7699

Re: BMO Covered Call ETFs when yield from fixed income or dividends aren’t enough

The biggest drawback of a covered call writing strategy is that you cap your profit potential.

Another downside is that it doesn't protect you from losses. If the stock drops and you want to get out you have to buy back you option adding to your loss.

So you limit your upside and don't really mitigate downside risk.

Before you invest in a covered call ETF take a look at how it has performed compared to the overall market and compared to the issuer.
by deaddog
13 Jan 2021 01:00
Forum: Now Hear This!
Topic: Minor tweaks and improvements
Replies: 17
Views: 3466

Re: Minor tweaks and improvements

Bylo Selhi wrote: 12 Jan 2021 14:29
Quote only the snippet that they're replying to.
Yeah!!! :thumbsup:
by deaddog
12 Jan 2021 18:01
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: BMO Covered Call ETFs when yield from fixed income or dividends aren’t enough
Replies: 36
Views: 7699

Re: BMO Covered Call ETFs when yield from fixed income or dividends aren’t enough

Money101 wrote: 12 Jan 2021 17:19
On second view...

That 7.5% return is a 4-year period return and not an annualized return, right?
If so, that's barely ahead of some long term GIC's.
Yes; the return is from when the ETF was launched.

Both returns are sub par as far as I'm concerned just wanted to point out that you'd be money ahead investing in the issuer rather than the issue.
by deaddog
12 Jan 2021 13:52
Forum: Under the Mattress: Protecting Your Money
Topic: Best Bank Account for Seniors
Replies: 95
Views: 9377

Re: Best Bank Account for Seniors

AltaRed wrote: 12 Jan 2021 13:25 FWIW Koogie, I am over 70 but I also don't understand why anyone needs all those services either.
I have a Safety Deposit Box; For documents I want secure. Will, executor stuff etc along with some keepsakes I would hate to lose to theft or fire.
by deaddog
11 Jan 2021 12:35
Forum: Under the Mattress: Protecting Your Money
Topic: Best Bank Account for Seniors
Replies: 95
Views: 9377

Re: Best Bank Account for Seniors

RBC has a rebate of account fees for seniors. I believe the fee is 4 bucks and the rebate is 4 bucks.
by deaddog
11 Jan 2021 12:30
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: BMO Covered Call ETFs when yield from fixed income or dividends aren’t enough
Replies: 36
Views: 7699

Re: BMO Covered Call ETFs when yield from fixed income or dividends aren’t enough

ZWC went public in 2017 @ 20.20
It has paid $4.98 in dividends
It closed Friday @ 16.73 You are ahead $1.51.
Return of 7.5%

The price of BMO when ZWC went public was 100
Closed Friday at 99.86
It paid dividends of at least $13.64 so you are ahead 13.50
Return of 13.5 %