06-18-2011 at 02:25 PM
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#1
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Investing.
I've got some money to invest and am not sure which of the following to invest in:
Fixed Deposit/Income (backed up by reserves)
Mutual Fund (riskier)
Tax Free Savings act. (no risk)
And I was hoping i could get your opinions on this matter. This is for TD bank.
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06-18-2011 at 02:50 PM
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#2
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Offical Deal Blogger
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I i really is up to you. Are you willing to take a risk? I wasnt and went with a GIC and my mom uses the tax free savings
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06-18-2011 at 04:58 PM
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#3
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was offline, but
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I invested around 10k into Tax Free Savings Account, its worth it since its pretty high compounded interest. Then you can keep adding in more and when you graduate you can have enough to pay back your osap debt. In in the long run, try saying up and buying a house, that's your best bet to investment.
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06-18-2011 at 06:04 PM
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#4
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So unless the laws have changed recently you might be missing the point of the tax free account. Money in a tax free savings account money can be invested anywhere, for example I have all of mine in mutual funds.
That being said your first order of business will be to put everything into your tax free account and invest it from there. Personally I wouldn't mess around with GIC's, the interest rate associated with them is pathetic right now and your money will be locked in. When you need the money for a vacation/anything else in a few years you'll have to choose between the interest you would have earned or having access to your money. You could go cashable, but the interest rate on those is even worse.
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06-19-2011 at 10:44 AM
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#5
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1. A GIC with a 30 month term with TD will leave you with more money than a TFSA.
2. Mutual funds have essentially no risk.
3. TFSA is the safesty way to go (and has the lowest payoff)
4. Looking into Tax Free Stock Account.
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Kevin Yin
Chemical Biology IV |Economics (minor)
President, McMaster Undergraduate Society for the Chemical Sciences
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06-19-2011 at 10:55 AM
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#6
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Only 1 person in this thread so far actually seems to know what a TFSA is. 
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Gregory Darkeff
Alumni 2011 - Honors Commerce and Economics Minor
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06-19-2011 at 05:44 PM
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#7
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Quote:
Originally Posted by djRAIN
1. A GIC with a 30 month term with TD will leave you with more money than a TFSA.
2. Mutual funds have essentially no risk.
3. TFSA is the safesty way to go (and has the lowest payoff)
4. Looking into Tax Free Stock Account.
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1 Why not hold the GIC inside the TFSA? Best of both worlds.
2 ABSOLUTELY FALSE. Some mutual funds (money market funds) have relatively low risk, whereas some funds (emerging markets, sector specific) can have extremely high risk attached.
3 TFSA is not about safety. It's about sheltering a portion of your portfolio from being taxed.
4 There is no such thing as a Tax Free Stock Account. I believe you are referring to holding stocks inside a Tax Free Savings Account. |
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06-19-2011 at 05:54 PM
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#8
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I am Prince Vegeta.
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AHAHHAHAH..hhahaha... .hah
honestly at this point you'd be better off wiping your ass with that money. you'll probably get a better return with that strategy.
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Mathematically it makes about as much sense as (pineapple)$$*cucumbe r*.
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06-19-2011 at 06:49 PM
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#9
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Quote:
Originally Posted by AKSAKS
1 Why not hold the GIC inside the TFSA? Best of both worlds.
2 ABSOLUTELY FALSE. Some mutual funds (money market funds) have relatively low risk, whereas some funds (emerging markets, sector specific) can have extremely high risk attached.
3 TFSA is not about safety. It's about sheltering a portion of your portfolio from being taxed.
4 There is no such thing as a Tax Free Stock Account. I believe you are referring to holding stocks inside a Tax Free Savings Account.
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Ladies and Gentlemen, we have a winner!
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Gregory Darkeff
Alumni 2011 - Honors Commerce and Economics Minor
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06-20-2011 at 12:58 AM
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#10
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Quote:
Originally Posted by lawleypop
AHAHHAHAH..hhahaha... .hah
honestly at this point you'd be better off wiping your ass with that money. you'll probably get a better return with that strategy.
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Quote:
Originally Posted by PTGregD
Ladies and Gentlemen, we have a winner!
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Please explain why to those who are not in business faculties?  |
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06-20-2011 at 01:17 AM
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#11
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Quote:
Originally Posted by lawleypop
AHAHHAHAH..hhahaha... .hah
honestly at this point you'd be better off wiping your ass with that money. you'll probably get a better return with that strategy.
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How is that a 'better' strategy? |
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06-20-2011 at 09:09 AM
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#12
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Quote:
Originally Posted by AKSAKS
4 There is no such thing as a Tax Free Stock Account. I believe you are referring to holding stocks inside a Tax Free Savings Account.
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That is false. It is possible to have a TFSA that allows you to buy stocks in it. I have a TFSA with RBC Direct Investing in which I hold a few stocks in. I'm pretty sure every bank has a TFSA account that allows you to buy stocks.
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Chemical Engineering and Management II
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06-20-2011 at 09:32 AM
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#13
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I am Prince Vegeta.
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Quote:
Originally Posted by t.oszust
That is false. It is possible to have a TFSA that allows you to buy stocks in it. I have a TFSA with RBC Direct Investing in which I hold a few stocks in. I'm pretty sure every bank has a TFSA account that allows you to buy stocks.
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Congratulations! You just said the exact same thing he said!
...
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Mathematically it makes about as much sense as (pineapple)$$*cucumbe r*.
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06-20-2011 at 11:22 AM
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#14
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Master and Commander
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You know what you need to invest in?
WAFFLES! TASTY WAFFLES WITH LOTS OF SYRUP.
heh.
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Will Mountain
Kinesiology '12 w/ Minor in Origins Research
fordays.ca <--- Go there. It is really really fun.
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