Investment Q&A

Q: Hello 5I team,
I hear unless you investments in your TSFA are all Canadian, you would be subject to CRA tax.
Is this true?
What about ENB, a Canadian Co but with lots of USA income?
....Thanks ....JC

Q: I have a 100 post split in my TFSA and Dividend stocks are not recommended for TFSA. But the AAPL dividend is so very small so does it matter?
Thanks.

Q: Hi Peter/Ryan, In my TFSA I hold the following; ATD.B , BCE, CM, CSU, ENB, GSY, LGO, PHO, RY, SHOP, TRP and T. I have a bit of cash to allocate can you suggest 3 or 4 favorite holdings that might be a good addition to this group. Thanks for being there for us DIY investors you're a great help. Nick

Q: Hi Peter,
I am down a little over 50% on Western Forest. It is in my TFSA account, so I will not get any benefit as a tax loss. I am willing to hold on to it if there's a reasonable chance that in a year or two the stock will start growing and a dividend will be re-instated. Would it be more prudent to sell the stock and take the loss and buy something else? And, do you have any suggestions for a replacement?
Jane

Q: Hi, I have these 3 companies in my new TFSA acct. at about 1.5-2% each. ( I have quite a bit of room to add ).
I like each one and will be adding to each, but would also like to add two or three more for better sector diversity, any suggestions? I do like dividends but not necessary.
Thanks for your input.

Q: Hello 5i, my 23 year old son has a small position in LSPS and Otex. And he has about $5k in the TFSA to invest in a high growth stock(s).
Any suggestions?
Thanks
Carlo

Q: My son is 20 years old. Which ETF or stock would you recommend for his TFSA?

Q: Could you provide 5 names to consider for a TFSA account for a 'retired' 60+ with no company pension?

Thanks,

Q: I would appreciate an update on your views about VMO. In the past, you have indicated support for the momentum factor strategy, but recommended that investors avoid ETFs with less than $100M in AUM. Given that VMO has an inception date of June 2016 and only $29M in AUM to date, do you still see this ETF as a good investment or is there another international momentum ETF which you prefer? Also, would this ETF be appropriate for a TFSA account?

Thank you for your insightful advice.

Q: Are you familiar with a spousal TFSA account??
If so, how to set-up? Thanks Jerry

Q: Is withdrawal from a tfsa limited in amount? Thanks ruth

Q: After reading a previous question about Bam.a and which account to place it. You suggested TFSA or non-registered where it is a growth name. I’m wondering of the 3 accounts I have regular cash (non-registered), TFSA, RRSP. What types of stocks does your team suggest should go into which account generally?
I was under assumption that a non-registered taxable account would be a good place for High Div stocks, not growth stories. There by eligible dividends be tax free and low capital gains to be actually taxed. Or is growth stocks good for there too because of claiming any possible losses?
Thank you for your clarification

Q: Looking to add BAM.A and SHOP to the porffolio, which would you add first for a youngish investor in a TFSA? Is BAM.A going to be in the dog house for years to come? Does SHOP still have a long runway or have new investors largely missed the boat? Should one wait for a pull back on SHOP before stepping in? Also, considering the added cost of currency conversion, is there any reason to choose QQQ over HXS for in a TFSA? HXS is smaller, but is that much of an issue for retail investors? Please deduct credits as you see fit.
Thanks

Q: I am helping a 19 year old relative set up a brand new TFSA. With $12,000 to invest, I would like your thoughts on the following possible approaches:

1) The market rally seems overdone to me in the short term, although maybe there are not many great alternatives, so investors are buying stocks anyway. But Sep/Oct are often volatile, so perhaps we should hold cash and invest on the pullback?
2) Since the time frame is decades, we could disregard the current market conditions and invest now.
3) Hedge our bets - invest half now, and keep half to take advantage of pullbacks.

When we do invest, we will likely invest half ($6K) in an ETF, and the other $6K in 3-4 stocks. What specific ETFs / stocks would you suggest?

Thanks for your sage advice!

Q: You commented recently that "U.S. dividends held in a TFSA are subject to a 15% withholding tax". I was wondering if you could describe how this unfolds. This was in a U.S. TFSA.
I am thinking of setting up a U.S. TFSA and would like to know how it works prior.
I realize that a person could ask their accountant but anyone who has this type of account could also tell how it works.
Thank you
Margaret

Q: Hello 5i members,
In one of the recent questions i noticed that you had quite a positive view on Microsoft for growing , in the future. I hold some Microsoft in my TFSA and although I don't like the idea of having to pay US tax on the dividends, I have felt that because I am positive about the growth of mfst and because the dividend yield is only .95 per cent, I am better to keep it in my TFSA despite the dividend tax. I was wondering how you would see a situation like this
thanks

Q: Hi Peter, Ryan, and team,

My wife's TFSA consists of the above holdings. NFI is down 73.4%, and XMA is a tiny holding where we park cash (no commission with iTrade). The others are doing well, but perhaps they're not the best when held in a TFSA. Are there any outright sells, and what suggestions do you have to employ the possible cash? We'd like a bit more oomph from this account. Your advice is very valuable.

Q: Hi Peter/Ryan, I would like to buy AAPL for my TFSA, first of all can an American company be put into a TFSA and would the same rules apply to capital gains or losses, or what is different about an American company in a TFSA. Secondly, they are about to split is it better to buy before or after a split. Thanks

Q: In response to the question about the risks of owning QTRH in your TFSA on the US side trading on the OTC, my understanding was that Securities that trade on OTC markets are not allowed within a TFSA and that you could have to pay penalties and be subject to additional tax reporting requirements if you hold these securities in a TFSA. They may want to double check to make sure that this applies to a stocks that ONLY trade on the OTC as QTRH trades on the OTC as well as on a major exchange so it may be ok to hold in a TFSA?.

Publish if you think this is relevant.
Thanks
Scott

Q: Hold all three of the above in my TFSA. Two years to retirement. Will need good income at that point. Your thoughts please - buy, sell, hold?