Investing

Couch potato investing for the last 12 years - tracking my progress

  • Last Updated:
  • Oct 22nd, 2018 12:49 pm
Tags:
None
Member
Feb 28, 2015
336 posts
33 upvotes
Montreal, QC
Germack wrote:
Nov 11th, 2017 9:18 pm
MER Savings ETF.png



By switching to ETFs you would save around $265 per year minus purchase fees for the ETFs.
Thanks for the info, that sounds good!

Question:

1) Can I buy all 3 (ZAG, VCN and XAW) using td waterhouse? (I'll probably have a break down of 25%, 25% and 50%)
2) Can I buy them as is, or are some of these trade in USD, so I would need to do Norbert’s Gambit, or not necessary?

Appreciated again!
Deal Addict
Mar 1, 2016
1080 posts
381 upvotes
toronto
Germack wrote:
Nov 10th, 2017 3:19 pm
Wow, the thread has almost 100 up votes. Thanks guys. This makes me very happy :)
here you go... always a good sane read, so deserved
Deal Addict
User avatar
Oct 14, 2001
1521 posts
326 upvotes
GMA
nahsha wrote:
Nov 12th, 2017 1:08 am
Thanks for the info, that sounds good!

Question:

1) Can I buy all 3 (ZAG, VCN and XAW) using td waterhouse? (I'll probably have a break down of 25%, 25% and 50%)
2) Can I buy them as is, or are some of these trade in USD, so I would need to do Norbert’s Gambit, or not necessary?

Appreciated again!
All 3 can be purchased at any canadian broker, including TD Direct Investing. All 3 are trading in CAD so there's no currency conversion required.
Member
User avatar
Oct 21, 2009
258 posts
61 upvotes
nahsha wrote:
Nov 12th, 2017 1:08 am
Thanks for the info, that sounds good!

Question:

1) Can I buy all 3 (ZAG, VCN and XAW) using td waterhouse? (I'll probably have a break down of 25%, 25% and 50%)
2) Can I buy them as is, or are some of these trade in USD, so I would need to do Norbert’s Gambit, or not necessary?

Appreciated again!
I'm with TD as well and have these ETF's. No issues. Easy to do.
Newbie
Jan 23, 2017
80 posts
81 upvotes
nahsha wrote:
Nov 10th, 2017 7:20 pm
Have over 100k in e-series with waterhouse, and I am guessing at this point I should sell my e-series and start getting ETFs..?
Are your investments in registered or a non-reg account? Although I'm a relative n00b to the CCP strategy, one thing piece of advice that I've been following with respect to non-reg accounts is to make purchases in TD e-Series funds to ease the tax reporting aspect, as it's technically a mutual fund. Please correct me if I'm wrong.
Member
Feb 28, 2015
336 posts
33 upvotes
Montreal, QC
My investments are in RRSP. I will be selling the e-series shortly and buying ETFs instead.
Member
Nov 25, 2007
240 posts
63 upvotes
Toronto
Germack wrote:
Nov 11th, 2017 9:18 pm
MER Savings ETF.png

By switching to ETFs you would save around $265 per year minus purchase fees for the ETFs.
nahsha wrote:
Nov 16th, 2017 3:49 pm
My investments are in RRSP. I will be selling the e-series shortly and buying ETFs instead.
Hi nahsha, just out of curiosity, the reason you're selling your TD E-Series funds and buying ETFs is to save the $265/year (approx) management fee, correct? Is there any other reasons for doing the switch? (ie, better return rate on ETFs than E-Series etc.)

I'm sorry for the newbie questions. The reason I'm asking is that I'm going to start my CCP portfolio, and I'm leaning towards the E-Series (because I have minimal investment knowledge, so I thought E-Series would be easier for me). As a RFDer, I surely don't want to pay too much on the commision/management fee. But if all it costs is less than $300/year on a $100K portfolio, then as a investment newbie, I think I'll take the E-Series for its convenience.

Am I missing anything?
[OP]
Deal Addict
Oct 1, 2006
1809 posts
839 upvotes
Montreal
imclumzy wrote:
Nov 16th, 2017 10:29 am
Are your investments in registered or a non-reg account? Although I'm a relative n00b to the CCP strategy, one thing piece of advice that I've been following with respect to non-reg accounts is to make purchases in TD e-Series funds to ease the tax reporting aspect, as it's technically a mutual fund. Please correct me if I'm wrong.
Index funds and ETFs are relatively easy to report on your tax returns. Just enter the numbers on your T3 / T5 into your tax software.
Deal Addict
Mar 10, 2010
1047 posts
160 upvotes
Nope, you pretty much got it. nahsha's example was going to keep the same basic asset allocation, so the only difference between the e-series and the ETF's would have been the MER, hence the ~$300 a year on $100 000. Get comfortable with the e-series method (it also allows you to make regular monthly contributions which you can't do cheaply with ETF's if at a big bank) and then switch to the ETF's in the future if you want to get the added cost savings.
raptorsfans wrote:
Nov 16th, 2017 4:24 pm
Hi nahsha, just out of curiosity, the reason you're selling your TD E-Series funds and buying ETFs is to save the $265/year (approx) management fee, correct? Is there any other reasons for doing the switch? (ie, better return rate on ETFs than E-Series etc.)

I'm sorry for the newbie questions. The reason I'm asking is that I'm going to start my CCP portfolio, and I'm leaning towards the E-Series (because I have minimal investment knowledge, so I thought E-Series would be easier for me). As a RFDer, I surely don't want to pay too much on the commision/management fee. But if all it costs is less than $300/year on a $100K portfolio, then as a investment newbie, I think I'll take the E-Series for its convenience.

Am I missing anything?
Newbie
Jan 23, 2017
80 posts
81 upvotes
Germack wrote:
Nov 16th, 2017 7:15 pm
Index funds and ETFs are relatively easy to report on your tax returns. Just enter the numbers on your T3 / T5 into your tax software.
This is what I was referring to http://canadiancouchpotato.com/2017/01/ ... ng-easier/

“ In most cases, you won’t have to make any manual adjustments for return of capital or reinvested capital gains. So if you use the TD e-Series index funds in your taxable portfolio, you will find them easier than ETFs.”
Member
Nov 25, 2007
240 posts
63 upvotes
Toronto
Clacker wrote:
Nov 16th, 2017 7:22 pm
Nope, you pretty much got it. nahsha's example was going to keep the same basic asset allocation, so the only difference between the e-series and the ETF's would have been the MER, hence the ~$300 a year on $100 000. Get comfortable with the e-series method (it also allows you to make regular monthly contributions which you can't do cheaply with ETF's if at a big bank) and then switch to the ETF's in the future if you want to get the added cost savings.
Thanks Clacker for confirming my thinking! I appreciate it.
Member
User avatar
Oct 6, 2005
202 posts
81 upvotes
Montreal
Tried to find the information but the thread is getting so massive, I will have to ask the question.

I have money(low six figures) in a LIRA, TFSA, RESP, RRSP. Most of my money is in my LIRA(55%).

Im using XAW, VCN and ZAG. My question is, where should I invest each ETF within my accounts. I understand they are all registered accounts but wanted some insights on what’s I should do.
As I type, right now I have all 3 ETFs in my LIRA and getting ready to shuffle thing around if needed and use to other accounts for the same ETFs.
I want to be optimized, tax wise and keep things as simple as possible, as I need to focus on my margin account with options trading.

Thank you
Jr. Member
Mar 30, 2006
150 posts
138 upvotes
Edmonton
Adjusted Cost Base for tax purposes.

Is the only time the ACB matters when you sell your ETF?

I mean, you need to keep track of it with each purchase of the same equity, along with any non cash dividends, but does the ACB matter during your regular yearly tax filing or only when you sell the equity?
[OP]
Deal Addict
Oct 1, 2006
1809 posts
839 upvotes
Montreal
neodenjin wrote:
Nov 20th, 2017 1:30 pm
Adjusted Cost Base for tax purposes.

Is the only time the ACB matters when you sell your ETF?

I mean, you need to keep track of it with each purchase of the same equity, along with any non cash dividends, but does the ACB matter during your regular yearly tax filing or only when you sell the equity?
It matters only when you sell the equity.

Top

Thread Information

There are currently 3 users viewing this thread. (2 members and 1 guest)

elnino, Siralex