Q: Followup to earlier question on ZDY.U. I respectfully disagree with the answer. Since ZDY.U is a Canadian ETF, the ETF automatically withholds foreign taxes, so it doesn't matter where an individual investor happens to hold this. In order to take advantage of the RRSP in this manner, one has to use a US-based ETF, like VIG, that does not automatically withhold foreign taxes. This sort of question gets asked a lot in your Q/A, so I think it's very important that this is clarified. Thank you.
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: Are the distributions, if held in a register account (either a TFSA, RRSP or RRIF) subject to the withholding tax?
Q: ZDY.U is thinly traded, so shares must be bought/sold carefully. Looking at this security under your 'Companies' tab, I see that at the time of this writing, there is a bid of 23.25 x 22000 while the current market price is 23.27. If I put in a sell order at 23.25 at that very instant for less than 22000 shares, is it likely that the order would get filled and my shares would sell at 23.25? Thank you.
Q: Hi, I've had some good experience experimenting with $US stocks in that I've experienced gains, but have also noticed the withholding tax on dividends in my cash account. I'm now restructuring a bit by selling off AT&T which has gained and has as well a 5%+ dividend (I'll repurchase in RRSP) and am looking at various ETFs tracking the S&P or specific sectors like banks. My question is whether any of them distribute $US cash dividends which I seek to use for travel in the US. I'm looking at ETFs like ZDY.U, HUBL.U or any others that may have come across your radar. Thank you for your excellent services, they have helped me enormously. Cheers.