I moved to Canada a yr back and wanted to invest in RRSP and TFSA. I have gone through all the earlier posts which were very informative. As a newcomer I was wondering if anyone has suggestions - (pros and cons) of investing RRSP AND TFSA's with banks vs IG Group. The only bank which I could find giving more interest was Ally bank GIC for 5 yrs - 3%.

Has anyone banked with ally and any reviews would be helpful.

What about TD bank?

Also with interest rates being low - can anyone give suggestions as to which banks or private insitutions to invest RRSP and TFSA.

Are there any questions I should ask the banks or institutions before handing them over my hard earned money.

Thanks and look forward to any or all possible suggestions.

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Mehra

What sort of investment you are looking for in TFSA and RRSP? If you are planning to leave it as cash, then you may need to look for the bank which has best int rates. You can also include equities, Bonds, Mutual funds, ETFs and Gold in your TFSA and RRSP accounts. Finding a bank with best int rates is simple. Google can help you. But if your plan is equities or funds, Better seek advise from financial gurus (here in CD or outside) to assess your risk and other priorities.

I have a TFSA with TD. I use it to invest in TD mutual funds. Recently converted that to e-series for low MER. I have another TFSA with questrade. I use it for gambling (trading US equities). Thanks to all bad news for US economy. eating losses now a days

Thanks Pokiri, I just know that one has to create savings thru RRSP and TFSA, which could be banks and financial institutions. I know one can invest in mutual funds, shares etc. I had met someone thru IG groups, upon research found many dissatisfied customers.

And besides butting money into TFSA and RRSP with banks are there any other options?

You had mentioned that you recently converted to e-series for low MER. what is e-series and low MER and what is questrade?

Are there any charges levied by the banks for handling your mutual funds, stocks etc and do they charge you if you transfer from one fund to another?

Thanks for your suggestions. Really appreciate it.

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Mehra

Hi Dotty,

RRSP is not really meant for bank deposits. Neither is TFSA, unless you anticipate withdrawing the money after a short period (< 3 years).

To start with, I suggest you read up a little bit on index funds. In my opinion, TD e-series funds are the best investment vehicle in Canada for someone investing small amounts (a few hundred dollars) every month with a long term horizon - that is, suitable for RRSP and RESP. You'll at some point, need a brokerage account to get exposure to REITs and gold/silver (a must these days!). REITs best go into a TFSA account.

Thanks Pokiri, for the information, I think I will check up with TD, I have heard many positive reviews who have dealt with them.

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Mehra

You may also contact ashedfc on this site . He is professional , quite knowledgeable and helpful when it comes to investments.

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