Where do you park your cash in your brokerage account?

[tasamy]

I have some cash in my TD Waterhouse account. I think Manulife Trust Investment Savings Account (MIP701) @ 1.25% is the best choice until I decide what to buy. FYI, There is a 18-month TD GIC for 1.9%.

Update:

CAD Accounts

Fund Name/ Rate/ Fund Code/
Current Best Choice in TDW! TD Investment Savings Account – 1.25% - TDB8150
Manulife Trust Investment Savings Account 1.25 MIP710
Manulife Bank Investment Savings Account 1.20 MIP510
RBC Investment Savings Account 1.20 RBF2001
Renaissance High Interest Savings Account 1.20 ATL5000
Dundee Investment Savings Account 1.20 DYN500
Altamira High Interest Cash Performer 1.20 NBC100

TD Investment Savings Account 1.25 TDB8150, TDB8155, TDB8159

US Accounts*
Fund Name/ Rate/ Fund Code/
Current Best Choice in TDW! TD Investment Savings Account (USD) - 0.2% – TDB8152
Manulife Bank US$ Investment Savings Account 0.2 MIP511
ICICI Bank US$ HIISA 0.25 IBN200
Dundee US$ Investment Savings Account 0.20 DYN500

*Not CDIC insured

[hsedin]

I have used MIP510 and ATL5000 in my TDW account but did not realize there is a MIP710 that pays higher, thanks for the info! I think at 1.25% it is likely the highest rate you can get now w/o tying down your funds to a specific period with GIC so I would say go for the MIP510 for now.

I would make sure that the MIP710 has the same criteria in terms of no minimum holding periods, loads etc. I know MIP510 can be redeemed anytime w/o penalty but you might want to make sure with TDW that MIP710 is the same.

[taal]

I have used MIP510 and ATL5000 in my TDW account but did not realize there is a MIP710 that pays higher, thanks for the info! I think at 1.25% it is likely the highest rate you can get now w/o tying down your funds to a specific period with GIC so I would say go for the MIP510 for now.

I would make sure that the MIP710 has the same criteria in terms of no minimum holding periods, loads etc. I know MIP510 can be redeemed anytime w/o penalty but you might want to make sure with TDW that MIP710 is the same.

I'm quite curious if any commission is taken, particularly if you're buying another bank's saving account - for RBC it seems to imply up to .25% can be taken - it seems as if that's the case if you buy it at another broker.

Another thing to watch out for are early redemption fees (or hopefully the lack there of).

[xlfe]

who needs one.

[hsedin]

I'm quite curious if any commission is taken, particularly if you're buying another bank's saving account - for RBC it seems to imply up to .25% can be taken - it seems as if that's the case if you buy it at another broker.

Another thing to watch out for are early redemption fees (or hopefully the lack there of).

I think there is no "outright" commission or loads on most of these, however, whether there is a built-in fee with a higher MER, that I haven't done my research on to compare. As for early redemption, I have asked TDW on several occasions to confirm that there is no early redemption fee (at least for MIP510 and ATL5000)

[gringotts]

sorry to hijack your thread. but i need to ask a newbie question.
why is it better to use your money to buy a fund compared to just depositing it right into the account? i can get 1.5% at ing just by depositing it.

there's no MER, no fees to transfer, and the interest is higher then what you can get it seems.
why not park it at ing until you figure out what to do with it?

please be gentle

[kg_canadaka]

sorry to hijack your thread. but i need to ask a newbie question.
why is it better to use your money to buy a fund compared to just depositing it right into the account? i can get 1.5% at ing just by depositing it.

there's no MER, no fees to transfer, and the interest is higher then what you can get it seems.
why not park it at ing until you figure out what to do with it?

please be gentle

If you need to use that cash to cover/buy into a position then it takes several business days to have the funds clear ING to go to your bank's chequing/savings and then maybe another business day to transfer to the bank's brokerage arm. Using the mutual fund method takes away the risk that you don't have your money when you need it (by the time your trade settles) since you can just phone your bank and have them redeem an equivalent amount of units of any fund and the money will be deposited straight into your brokerage typically (?) within two days. (i think)

[bonzo]

Does anyone know the list for US money market funds? I believe I use RBC or CIBC which pays about .20% with $100 min to buy.

[tasamy]

sorry to hijack your thread. but i need to ask a newbie question.
why is it better to use your money to buy a fund compared to just depositing it right into the account? i can get 1.5% at ing just by depositing it.

there's no MER, no fees to transfer, and the interest is higher then what you can get it seems.
why not park it at ing until you figure out what to do with it?

please be gentle

Yes as kg_canadaka wrote, sometimes you need to park your cash when you sell a stock and then will try to buy another stock, you need your money in hand, going back and forth from ING will take forever for just 0.25% more!

My situation is different but another good reason, I am getting $6.99/flat rate trade, I need to keep my 100k RRSP in TD, if I use 50k for stocks and the other 50k inside a savings account in TD, I lose only $125/year in interests but I have saved hundreds in commission especially I am a frequent trader. Note that is also valid for TD new promo of $9.99/trade with 50k, so you lose only $60/year (less than one buy/sell) in case (25k/25k) but you save hundreds in commission. Hopefully a good reason! Tasamy

[Timo]

BTB100 is 1.30

[Jabb]

Can we buy TD e-Series through Questrade?

[shapeshifter]

newbie question

I see that some of them have a series F and pays a higher interester amount

For example
High Interest Investment Account (HIIA) 1.30% for A series BTB 100 and 1.55% for F series BTB 101

And for the Manulife
same thing..the F series pays a higher amount

WHAT IS THE F SERIES And How come i can't see the quote on my td brokerage account......Sorry for the newbie question...if anyone can answer it,...will really appreciate it!

As for the fees associated with the MIP710, i just called TD and they said no fees

[dealzuser]

I'm thinking of parking in stocks have move very little, like TRP or a telco such as BCE/T. On the US side, I'm thinking INTC/CSCO, or another telco, or a big pharma. <2% is not going to cut it...

[GemInite]

I used to park in ATL5000 then I switched to MIP710

As people have noted above it's a pain in the ***** to move between ING especially when you need to make a purchase right away.

[ccyk]

I usually just leave it as cash. i rarely hold excess cash over 1 month when I readjust.
is it worth it to buy into one of these funds?
I am talking about maybe 1k-30k cash.
do they have redemption fees?
I am new into these money market funds.

and sometimes I just park my money in company with takeover offer. they sometimes can give up to 15% annualized return, almost risk free.

the most recent one I parked @ 2.52 in november, takeover offer 2.60 plus estimate final distribution .10 announce in september.
share was trading 2.50-2.55 since then till special meeting voted to accepted in mid Dec. deal will close in feb with 2.60 + 0.07 final distribution.
right now trading in 2.60. so if you buy now and hold for two months you get extra 0.07. thats 2.7% or annualized @17.28%.