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  • Dec 14th, 2013 2:04 am
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[OP]
Sr. Member
Sep 7, 2010
596 posts
20 upvotes
Scarborough

RRSP with TD - fees

What I want to do is have e-series mutual funds with the option of buying stocks/ETFs at some point in the future (not right away; I don't know enough to risk my money in the stock market!)

I'm wondering about fees.. Particularly for RRSP accounts. The ones I know of:
- Management fee for mutual fund
- Commission fee for buying/selling stock/ETF
- Transfer fee if I want to move to another bank

Are there any others?
I don't like bank fees, and want to minimize them to the lowest extent possible!
Goodlife Fitness SUCKS
6 replies
[OP]
Sr. Member
Sep 7, 2010
596 posts
20 upvotes
Scarborough
cjottawa wrote:
Dec 12th, 2013 12:27 pm
No commissions for buying e-series mutual funds.
No annual fee on the TD Canada Trust mutual fund RSP account. (convert it to e-series to access e-series funds)

Under about $100,000, you shouldn't be looking at ETFs because the trading fees and bid/ask spread make them inefficient compared to the e-series (index) mutual funds.
I think that depends on how often you buy/sell. If you buy and hold, the lower management fee with ETF is much more significant than the extra commission you paid to buy it vs. mutual fund.
Look at a TFSA and non-registered account with TD Waterhouse as they have no annual fees and can house the e-series funds by default.
Only interested in RRSP right now (transferring $$ from another plan, big tax hit to take it out of RRSP!).

The way you say this.. am I correct in assuming there *are* extra fees if I have a Waterhouse RRSP account, and I'd need one of these if I want to trade stocks through TD?
Goodlife Fitness SUCKS
Member
Oct 20, 2010
416 posts
75 upvotes
Jack Bauer wrote:
Dec 12th, 2013 12:42 pm

The way you say this.. am I correct in assuming there *are* extra fees if I have a Waterhouse RRSP account, and I'd need one of these if I want to trade stocks through TD?
There is an annual fee of $25 for the basic RRSP and $100 for the full self directed RRSP at TDWaterhouse. Both fees are waived if you have more than $25,000 in the account. The basic RRSP doesn't let you trade stocks/ETFs though. You need the full self directed RRSP for that.
[OP]
Sr. Member
Sep 7, 2010
596 posts
20 upvotes
Scarborough
notbill wrote:
Dec 12th, 2013 12:55 pm
There is an annual fee of $25 for the basic RRSP and $100 for the full self directed RRSP at TDWaterhouse. Both fees are waived if you have more than $25,000 in the account. The basic RRSP doesn't let you trade stocks/ETFs though. You need the full self directed RRSP for that.
What is the difference between the "basic" Waterhouse RRSP and the mutual fund one that has no fees (according to earlier post)?
Can you transfer to the "full" Waterhouse account in the future? Is there any cost to do that?
Goodlife Fitness SUCKS
Member
Oct 20, 2010
416 posts
75 upvotes
Jack Bauer wrote:
Dec 12th, 2013 8:47 pm
What is the difference between the "basic" Waterhouse RRSP and the mutual fund one that has no fees (according to earlier post)?
Can you transfer to the "full" Waterhouse account in the future? Is there any cost to do that?
The basic RSP account at TDW would let you hold a few additional investments such as GICs I believe. But you can't hold any equities (which includes ETFs). Not a big deal or necessary if you only want to hold mutual funds.

I would assume you can transfer or convert the account to the full account in the future and doubt they would charge a fee for that. I guess you could phone if you want to be sure.
Deal Fanatic
Jul 1, 2007
8068 posts
903 upvotes
I can confirm that there's no fee to switch accounts internally (I used to work for TDCT and TDW).

Just start with the e-series RRSP for now, once your balance is higher open a regular SDRSP with TDW and transfer your e-series funds over to it "in kind". Once it's all at TDW you can stay with the e-series or sell bits and pieces or all of it and go with ETFs, stocks, other fund companies.
Money Smarts Blog wrote:
Nov 29th, 2010 11:18 am
I agree with the previous posters, especially Thalo. {And} Thalo's advice is spot on.
Newbie
Dec 13, 2013
31 posts
2 upvotes
Port Coquitlam
TD blows if you have any income in US dollars or invest in US stocks that pay a dividend. RRSP contributions have to be converted to $CND and the converted back to $US to buy US Stock.

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