Investment Q&A

Q: TFSA: I treat this account as my bank account because I earn no interest in my checking account which typically has fairly high cash balances and I have other investment accounts accounts that generate a ton of dividends as I am basically a "dividend grower" investor. I am retired and earn more than enough to live on. I own these tech. stocks: ETF IGM, ETF ARKK, and NIO ( I guess not a tech stock). I have approx. $35K in my TFSA to invest. I know you like KXS, SHOP & LSPD - I do not see the same returns as has happened this year and they are not value at this point IMHO. ERGO, three or four of your best suggestions going forward - equal weighting please.

Q: Hello 5i,
I would like to transfer "In-Kind" from my RRSP to my TFSA. I have 4 candidates to consider and wonder which order you would rank them in, Best to Worst. I am down in all but one so have added the percentage loss in case that has any significant weighting in the decision.
AW.UN (-14.95%)
EIF (-4.72%)
SIS (+0.32%)
ZDI (-3.12%)
Since all are monthly dividend payers it is more or less immaterial to me which I move.
Also, in this vein, since I am in no rush to accomplish this, should I wait until any kind of pullback in the equity I choose, or just go ahead at whatever price at any time?
Many thanks for your insight.
Cheers,
Mike

Q: Happy New Year 5i!
I recently joined and have been reading as many of these questions as I can get my hands on and appreciate your insight.
I've recently started a TFSA portfolio with a breakdown as follows:
- REI.UN (14%)
- TD (33%)
- FTS (29%)
- HR.UN (3%)
- T (12%)
- SIS (5%)
- ATZ (5%)

I have been attempting to buy into companies and reinvest via DRIP and thus my preliminary focus on dividend companies (with diversity taking a backseat). What are your thoughts on REITs for growth going forward over the next couple years? Are they worthwhile keeping or do you foresee more upside with investment into growth stocks? If so, do you have a top 2 growth stocks that could compliment the rest of the portfolio in lieu of REITs?

Thanks so much!
Kyle

Q: If I am purchasing AEM today, would you purchase a full position or part of. This would be my only gold play.
Would you also give me your clarification as to what type of stock you would purchase in a TFSA and which in an RSP.
Many Thanks,
Regards

Q: Recommendation sought for investing new TFSA contributions. Expected drawdown on TFSA to start in 4 - 6 years.
My wife and my combined TFSA holdings are about 18% of our total portfolio, and the combined TFSA holdings are made up of:
PRMW & KEL <1%
PXT 3%
BCI 4%
BAM 7%
SIS 8% (20% loss)
XAW 8%
KXS 11%
VGRO 55% (the only investment also held in other accounts)
Cash 3% plus new contribution
I'm considering WELL (for growth) and FTS (for dividend & stability), possibly TFII?, or add a bit to PRMW (none of these are held in other accounts), for the new money.
Reasonable? Appropriate? Other recommendations?
Thanks for all you do, and I wish all of you a healthy & happy year.

Q: Hi Peter
Am looking for candidates for my tfsa
Could you please rank these based on potential upside, debt and balance sheet.
Also, am trying to transfer USD from my TD Bank account or my TD non-reg USD account to my tfsa USD acct. It is not working -- am I not able to transfer my own USD into the tfsa USD account? ie. must I convert from the tfsa CAD acct? It is bizzare.
Thank you for your great support, very unique indeed.

Q: Happy New Year. Your opinion on a $50K RRSP account for a 10yr+ window with the above mentioned equal weighted shares (with this time frame, I suppose emphasis on capital appreciation would be preferable):. If you prefer others, which ones and why. Thanks. Jacques

Q: Of the above stocks which would you feel is the best to add to our TFSA and why? Could you also rank them in order best first, in case I decide to add 2.

Second related question: LSPD, CTS, and DCBO are in a non registered account They could be moved over to the TFSA but am reluctant to do so because l have a capital gain on them, 200%, 60%, and 60%. LSPD would be a partial move due to its greater value.
Thanks for all your guidance and suggestions in the Q and A. The 3 above profits are a result of 5i.

Happy New Year to all.
John

Q: Thinking of doing something new - Add US stocks to TFSA.
As of now, this account has a balance/growth Cdn stock tilt, like the ones in the 5iR portfolios. Read on 5iR, best to include no dividend or low dividend US stocks. Question - is there a rule of thumb or range for holding US stocks in TFSA or is it all just personal? 
Another question - for longer term holds in TFSA, what US stocks would you consider?
High 5 for the guidance!!!....Tom

Q: Hi, I am looking at topping up my TFSA with a transfer in kind from a cash account. I realize that doing so with a profitable holding will trigger a capital gain, so am wondering about transferring stock that I currently show a loss on. Granted it is a paper loss and I do not wish to sell the stock outright as it is NVDA. Would the same be true here in that I will trigger a capital loss, because technically the holdings are sold in the cash account and bought again in the TFSA? If so, then it seems like an interesting option - would you agree? Or is there an alternative you would suggest that is better? As always, your thoughts and input are greatly appreciated.
Happy New Year!
Dawn

Q: If I open an TFSA in my Wife's name and borrow from bank $75,000.00 (LOC)n my name to buy stocks ,, can the banks interest be deducted from my Annual salary or Cash account dividends as an expense.? I have my own TFSA. Is their such a thing as a "spousal" TFSA.
HNY...CEC

Q: Hello all - Happy New Year to everyone in the 5i universe!

This is not a question per se, more just a follow up comment to Adam's question of Dec. 29/20 asking about withdrawing $C from TFSA and then immediately replacing with $USD. Adam implied some "technical" or broker issues impeding his plan - perhaps just the length of time the bank/brokerage requires for settlement.
I do not see any reason he might not consider using Norbert's Gambit within the TFSA (if the TFSA is any different than an RRSP for performing this transaction, please let me know). The exercise can be completed for the most part within one day other than the actual settlement date of T+2. As long as one knows that and acts accordingly, one should be able to achieve the desired result.
I use N.G. when required within our RRSP's (RBC Direct Investing) and have found it to be fast, convenient and cost-effective as long as I perform it properly, paying attention to some of the little details that they warn you about.
If any of the foregoing is in error or if I have misconstrued his question/goal, please feel free to correct me as required and I apologise in advance.
Best to all in 2021!! Stay safe and well!!
Cheers,
Mike

Q: Feel free not to publish if I’m mistaken, but I would want to caution Keith (Dec 29) who said he might contribute his Nutrien shares to his registered account and would realize a capital loss in doing so. I do not believe that one can claim any capital loss when the disposition results from a contribution to one’s RRSP or TFSA. He would need to sell the shares in his non-reg’d account (and realize the loss) and then contribute the money if he chose, but should not then repurchase the NTR shares until 30 days has passed.

Q: Hi All: I will be Transferring 'in kind' from my open account into TFSA. In your opinions which of this list might have the better growth potential, therefore capital gain protected within the TFSA? Too Bad for the $6K limit. Would you assist me in prioritizing my list?
Thank you for the great reading (Questions and Answers) and wonderful Web site. Happy New Year to all your great staff and all the happy 5iResearch Clients!.

Q: In a TFSA is one allowed to withdraw C$ from the account and instantly replace the amount in US$ equivalent? (For various “technical” reasons – excuses—given by broker I am unable simply to redeem C$ and replace with US$ at beginning of year in just a couple of days!)

Q: Can gbtc be held in a tfsa or rrsp ?

Q: If I withdrew $6000 from my iTrade TFSA before Dec 31 could I deposit $12000 into my Wealthsimple TFSA in January 2021 thank you and Happy New Year!!

Q: In my TFSA I currently hold XBC, SIS, KEY and PKI. My philosophy has been, after an initial investment in XBC, to use the dividends from SIS, KEY and PKI to purchase more XBC. I realize that KEY has the much higher dividend but taking into account safety and capital appreciation would you add to KEY with my 2021 TFSA contribution or SIS or PKI?

Thanks Ken

Q: Hi again, thanks for your reply to my last question, which you can make public. I wanted to know: if I sell a stock or transfer out a stock from my TFSA, do I have to wait until the following year before I can bring the TFSA back up to the same level? Thanks

Q: Hello Team 5i,
I own the companies listed above within a TFSA
REAL is smallest holding at 11% of this account = approx 12k
I will add 6k to TFSA in Jan 21

I am considering four options
Keep REAL and BUY more REAL with 6k
Keep REAL and BUY more XBC, STC, ATA and/or WELL with 6k
SELL REAL and BUY NVEI with 18k
SELL REAL and BUY more XBC, STC, ATA and/or WELL with 18k

-sector allocation not a consideration
-transaction costs not a concern
-concentration (# of securities) within TFSA not a consideration

Your thoughts please?

All the best to all the people at 5i who provide such a wonderful service.
Steve P