Passive income portfolio contribution/trade intervals

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Jul 30th, 2021 3:32 pm

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Jul 30th, 2021 10:17 am

steph3n [OP]: Member; Feb 11, 2009; 396 posts; 136 upvotes

Jul 30th, 2021 10:17 am

Passive income portfolio contribution/trade intervals

I would like to start a passive income portfolio and contribute on a monthly/paycheck basis to my account and invest in dividend paying ETF/funds.

Now since I'm with TD, there's a trading fee of 9.99$ per trade. I'm just wondering how do people generally proceed if they contribute say 250-500$ per paycheck? I can't imagine taking the 10$ hit to invest 250$ per paycheck? Do they wait until there is a bigger lump of cash in the account and make a trade?

Thanks,

4 replies

Jul 30th, 2021 12:21 pm

S5: Deal Addict; Oct 4, 2009; 3351 posts; 2570 upvotes; Montreal

Jul 30th, 2021 12:21 pm

E-series. Setup a PAD for automatic contributions at your chosen interval and a SIP(systematic investment plan) to invest in your chosen funds a few days later. When accumulated amounts make it viable you can sell the e-series MFs and buy ETFs.

td-e-series-funds-megathread-post-all-y ... e-1341457/

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Jul 30th, 2021 1:48 pm

lpin14: Deal Addict; Nov 24, 2013; 2344 posts; 1714 upvotes; GTA

Jul 30th, 2021 1:48 pm

S5 wrote: ↑ E-series. Setup a PAD for automatic contributions at your chosen interval and a SIP(systematic investment plan) to invest in your chosen funds a few days later. When accumulated amounts make it viable you can sell the e-series MFs and buy ETFs.

td-e-series-funds-megathread-post-all-y ... e-1341457/

Hard to fault to advice given above.

Jul 30th, 2021 3:02 pm

MrMikeDD: Sr. Member; Oct 29, 2020; 616 posts; 959 upvotes

Jul 30th, 2021 3:02 pm

Or use Questrade - buying ETFs are free, buying individual stocks are $5. Selling anything is $5.

Or my kids use WealthSimple - buying and selling are free but they are more new and have missing features (accounts like RESP, RDSP or even some US stocks aren't listed).

Search YouTube: How's it going with High Interest Rates? - Episode #11 of Investing with Leverage
I borrowed over $250K to invest and wanted to document the steps and process. I hope others can learn from my experience.
or in this RedFlagDeals thread

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Jul 30th, 2021 3:32 pm

treva84: Deal Fanatic; Nov 9, 2013; 5255 posts; 6269 upvotes; Edmonton, AB

Jul 30th, 2021 3:32 pm

steph3n wrote: ↑ I would like to start a passive income portfolio and contribute on a monthly/paycheck basis to my account and invest in dividend paying ETF/funds.

Now since I'm with TD, there's a trading fee of 9.99$ per trade. I'm just wondering how do people generally proceed if they contribute say 250-500$ per paycheck? I can't imagine taking the 10$ hit to invest 250$ per paycheck? Do they wait until there is a bigger lump of cash in the account and make a trade?

Thanks,

Other than pursuing the no fee options above, the other option is to pool your contributions and invest them every 3 months or 6 months. Ideally I think you should aim for trading fees of 0.5% or less (so, 2k minimum if your comm is 9.99).

Buy quality. Keep calm and go long

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