TD Now Allows Mutual Funds for US RRSP Holders

This is our main tax information forum which deals with topics concerning Canadians living and working in the U.S., U.S. citizens contemplating working in Canada, and all aspects of Canadian and U.S. income tax and related adminstrative issues.

Moderator: Mark T Serbinski CA CPA

Post Reply
Jojo
Posts: 12
Joined: Wed May 29, 2019 11:20 am

TD Now Allows Mutual Funds for US RRSP Holders

Post by Jojo »

FYI, TD now allows US residents to trade Canadian mutual funds in their RRSP's. Back in the day they did not.
nelsona
Posts: 18311
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: TD Now Allows Mutual Funds for US RRSP Holders

Post by nelsona »

TD Direct Investing has always allowed this. Are you talking TD Canada Trust?
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
Jojo
Posts: 12
Joined: Wed May 29, 2019 11:20 am

Re: TD Now Allows Mutual Funds for US RRSP Holders

Post by Jojo »

This is TD Direct Investor Services. What you say surprises me. Back in the day, say 2005-ish, when I first started to trade in the RRSP as a US resident, TD told me that only US-listed securities could be traded eg stocks and individual bonds. I wasn't thrilled with the commissions they charged so I bought Canadian GIC's and left it at that. While inquiring about a GIC that had matured recently, they told me I couldn't buy GIC's any more. I asked what could I buy, and they suggested Canadian mutual funds. So I bought a TD mutual fund which carries no commission. Fine with me, less work re-investing every few years. How long have they allowed Canadian mutual funds, to your knowledge?

Side note: I use the RRSP as the foreign bond section of my overall portfolio.
nelsona
Posts: 18311
Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Re: TD Now Allows Mutual Funds for US RRSP Holders

Post by nelsona »

Been a TD direct RRSP holder for 15 years (after Altamira was bought out) and only invested in TD mutuals the whole time.
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing :D
Jojo
Posts: 12
Joined: Wed May 29, 2019 11:20 am

Re: TD Now Allows Mutual Funds for US RRSP Holders

Post by Jojo »

FYI - I ended up buying a Vanguard Canadian Bond ETF (VAB) instead, due to lower expense ratios. Commission was $9.99. I like this because it is difficult to get Canadian market/dollar exposure in the U.S.

Vanguard's been in Canada a few years now and offers primarily ETF's. You can buy them like any other stock through a Canadian discount broker like TD Direct Investor Services. Vanguard Canada doesn't service retail clients like in the U.S.

The Canadian mutual fund industry is infamous for high expense ratios so Vanguard ETF's are an attractive alternative.
Post Reply