RBC Mutual Funds - When is Full Balance Available After Sale?
Hi all,
I have automatic monthly RRSP contributions that buy into RBC index funds. Every 6 months or so I sell all my mutual fund holdings and buy up the ETF equivalents. When I go to do this, I have noticed that after I have entered all of the sell orders, I do not have the full balance available that I should have. I worked out the exact numbers on the latest occasion, and it seems like they hold back 10% of the book value of the funds. These funds then appear a few days later, presumably after the settlement date (which I understand to be T+2).
Can anyone confirm that what I am seeing is normal, and that the above description is accurate? I have asked both a RBC DI rep as well as the RBC in-branch rep this question and neither had any clue (they both thought the full balance should be immediately available). I don't even especially care, but I do want to understand the exact sequence so I can go place my final ETF order after the last of the cash appears.
Thanks for your help!
I have automatic monthly RRSP contributions that buy into RBC index funds. Every 6 months or so I sell all my mutual fund holdings and buy up the ETF equivalents. When I go to do this, I have noticed that after I have entered all of the sell orders, I do not have the full balance available that I should have. I worked out the exact numbers on the latest occasion, and it seems like they hold back 10% of the book value of the funds. These funds then appear a few days later, presumably after the settlement date (which I understand to be T+2).
Can anyone confirm that what I am seeing is normal, and that the above description is accurate? I have asked both a RBC DI rep as well as the RBC in-branch rep this question and neither had any clue (they both thought the full balance should be immediately available). I don't even especially care, but I do want to understand the exact sequence so I can go place my final ETF order after the last of the cash appears.
Thanks for your help!