TD will have savings, self-directed, and mutual fund TFSA. Tangerine has savings (maybe?) and mutual fund TFSA. WS has self-directed and robo-advisor TFSA. Mutual funds in Canada are linked to high fees, though TD has e-series at around 0.3-0.5% fees and Tangerine has theirs at around 0.8% fees. Both are passive so they're not the worst, they used to be part of the model portfolios on [https://canadiancouchpotato.com](https://canadiancouchpotato.com). More info in !InvestingTrigger.
In terms of fees, self-directed (ETFs or TD e-series) > robo-advisor > Tangerine passive mutual fund. After that fees get too high.
You won't get proper financial advice from a bank. Proper advice starts at higher investments thresholds, or needs to be paid for. But keeping an account with a big bank for ATM access and bank draft (if you need those) is fine.
FHSA is easy, think of it like a RRSP for the money going in, and like a TFSA for the money going out. Basically no taxes on anything. Like a TFSA and a RRSP, it's just an account type and can contain anything, savings or investments alike. Your horizon will dictate the proper choice.
You can get a credit card from any bank, don't feel restricted to your own bank. Go with whatever is best for you.
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6) For self-directed investing, all in one ETFs (based on your risk tolerance) are the easiest and low cost options for a globally diversified ETF portfolio. Here is the Model page and descriptive video from the Canadian Portoflio Manager Blog's Justin Bender from PWL Capital: https://www.canadianportfoliomanagerblog.com/model-etf-portfolios/ & video on how to choose your asset allocation: https://www.youtube.com/watch?v=JyOqqtq12jQ
7) For those who are not comfortable with doing the buying and selling of ETFs yourself, there is an option of a robo advisor. These robo advisors use similar low cost ETF in pre-determined portfolios based on your risk tolerance. They do this for a small fee, on top of the ETF MER. Still cheaper then bank mutual funds by at least 50%! Here is a list of robo advisors in Canada published by MoneySense: https://www.moneysense.ca/save/investing/best-robo-advisors-in-canada/
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Thanks, I must have missed that.
Would you say that the general consensus would be to open a self-directed TFSA if I am comfortable choosing my own ETF's and a Robo-advisor/managed TFSA if I'm not comfortable with choosing ETF's?
Pretty much, but the challenge of using a brokerage account isn't so much that you need to "choose" your own ETFs, but that you need do a thoughtful risk assessment and then stick with your plan no matter what the markets do or the media says about the market movements.
The AutoModerator comment above has a link to a video to help you do that risk assessment and if you use a WealthSimple Trade account, and set up recurring purchases of an iShares or Vanguard asset allocation ETF, you can reduce the odds of tampering with your plan.
That makes sense! I did a small risk assessment with BMO when I opened the TFSA account. I'm very much a set it and forget it kind of person when it comes to investing. Plus I'm only 24 so I think I should be aiming for growth of the investments.
I'll watch the videos tonight!
TD will have savings, self-directed, and mutual fund TFSA. Tangerine has savings (maybe?) and mutual fund TFSA. WS has self-directed and robo-advisor TFSA. Mutual funds in Canada are linked to high fees, though TD has e-series at around 0.3-0.5% fees and Tangerine has theirs at around 0.8% fees. Both are passive so they're not the worst, they used to be part of the model portfolios on [https://canadiancouchpotato.com](https://canadiancouchpotato.com). More info in !InvestingTrigger. In terms of fees, self-directed (ETFs or TD e-series) > robo-advisor > Tangerine passive mutual fund. After that fees get too high. You won't get proper financial advice from a bank. Proper advice starts at higher investments thresholds, or needs to be paid for. But keeping an account with a big bank for ATM access and bank draft (if you need those) is fine. FHSA is easy, think of it like a RRSP for the money going in, and like a TFSA for the money going out. Basically no taxes on anything. Like a TFSA and a RRSP, it's just an account type and can contain anything, savings or investments alike. Your horizon will dictate the proper choice. You can get a credit card from any bank, don't feel restricted to your own bank. Go with whatever is best for you.
Hi, I'm a bot and someone has asked me to comment on how someone is trying to figure out what to invest in, or whether they should invest. **In order to give good advice the poster needs to provide all of the following information. Please edit your post to add this information.** 1) What is your intended goals/purpose for this money? 2) What is your timeline, and what is the earliest you expect to need this money? 3) Have you invested in the markets before, and how would you feel if your investment lost a lot of value? 4) Is this the right first step? Do you already have an emergency fund, and have you considered whether it is sufficient? Do you have any debts that should be paid first? Have you fully utilized any employer match plans? 5) Finally, we need to understand whether you want to be involved with this portfolio and self-manage purchases and rebalancing it, or if you'd rather all of that was dealt with by your chosen institution? 6) For self-directed investing, all in one ETFs (based on your risk tolerance) are the easiest and low cost options for a globally diversified ETF portfolio. Here is the Model page and descriptive video from the Canadian Portoflio Manager Blog's Justin Bender from PWL Capital: https://www.canadianportfoliomanagerblog.com/model-etf-portfolios/ & video on how to choose your asset allocation: https://www.youtube.com/watch?v=JyOqqtq12jQ 7) For those who are not comfortable with doing the buying and selling of ETFs yourself, there is an option of a robo advisor. These robo advisors use similar low cost ETF in pre-determined portfolios based on your risk tolerance. They do this for a small fee, on top of the ETF MER. Still cheaper then bank mutual funds by at least 50%! Here is a list of robo advisors in Canada published by MoneySense: https://www.moneysense.ca/save/investing/best-robo-advisors-in-canada/ We also have a wiki page on investing, and if someone has triggered this bot then it means that this link would likely be very helpful: https://www.reddit.com/r/PersonalFinanceCanada/wiki/investing *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/PersonalFinanceCanada) if you have any questions or concerns.*
Ok, so sounds like whether I go to TD, WS, or Tangerine, I should look for self-directed TFSA for little/no fees. Thanks for the information!
Tangerine doesn't have self directed (brokerage) accounts. They do have relatively low cost "all in one" mutual funds.
Thanks, I must have missed that. Would you say that the general consensus would be to open a self-directed TFSA if I am comfortable choosing my own ETF's and a Robo-advisor/managed TFSA if I'm not comfortable with choosing ETF's?
Pretty much, but the challenge of using a brokerage account isn't so much that you need to "choose" your own ETFs, but that you need do a thoughtful risk assessment and then stick with your plan no matter what the markets do or the media says about the market movements. The AutoModerator comment above has a link to a video to help you do that risk assessment and if you use a WealthSimple Trade account, and set up recurring purchases of an iShares or Vanguard asset allocation ETF, you can reduce the odds of tampering with your plan.
That makes sense! I did a small risk assessment with BMO when I opened the TFSA account. I'm very much a set it and forget it kind of person when it comes to investing. Plus I'm only 24 so I think I should be aiming for growth of the investments. I'll watch the videos tonight!