Canadian Money Forum - Investing

Foreign Dividend Withholding Tax with TD E-Series US Index Currency Neutral

andre83 — Fri, 17 May 2013 20:52:08 GMT

I tried to find information on this, but I haven't found it discussed anywhere yet.

My question is whether the foreign dividend withholding tax applies to the TD E-Series US Index Currency Neutral fund.

The fund does not pay out distributions and it's objective is to track the S&P 500 Total Return Index. I assume that the dividends earned from the underlying investments get rolled into increasing in the unit value (capital gain). Does TD pay the 15% withholding tax internally or does this fund avoid the withholding tax somehow?

I read about HXS on Canadian Capitalist recently where there is a swap scheme that turns the whole amount of dividends that would be earned into capital increases instead, avoiding withholding tax and turning foreign dividends into capital gains.

http://www.canadiancapitalist.com/ho...edged-etf-hxs/

Is TD doing something similar to HXS with the E-Series US Index Currency Neutral fund? Or are the E-Series fund unit value increases lower than they would be because the fund is really still paying the 15% withholding tax? (I understand that HXS recently switched away from being currency hedged.)

Thanks!

ACD.T Accord Financial

Hawkdog — Fri, 17 May 2013 20:35:56 GMT

Anyone care to comment on this one?
Divi yield is approx 3.8%

Accord Financial earns $1.24-million in Q1

2013-05-01 14:22 ET - News Release

Mr. Stuart Adair reports

ACCORD ANNOUNCES 41% INCREASE IN FIRST QUARTER 2013 NET EARNINGS

Accord Financial Corp. has released its financial results for the quarter ended March 31, 2013. The financial figures presented in this release are reported in Canadian dollars and have been prepared in accordance with international financial reporting standards.

SUMMARY OF FINANCIAL RESULTS

Three months ended March 31,
2013 2012

Factoring volume (millions) $ 448 $ 437
Revenue $ 5,947,217 $ 5,679,624
Net earnings $ 1,246,028 $ 883,216
Basic and diluted earnings
per common share $ 0.15 $ 0.10

BMO Equal Weight US Banks Hedged CAD ETF (ZUB.TO)

underemployedactor — Fri, 17 May 2013 13:37:52 GMT

Apologies if there is already a thread on this, but couldn't find one. A little late to the party I know, but what do people think of this one? Is there a better or cheaper way of equal weight exposure to US banks? Is there a non CAD hedged version?
thanks in advance

broad based vs dividend ETF

joncnca — Fri, 17 May 2013 05:18:55 GMT

someone asked this question on another thread, which was similar to one i had in mind, but no one continued with the discussion as it wasn't completely related to the original thread topic.

where can i get more info regarding the decision to maintain a couch potato-like portfolio using a broad based etf like ZCN or XIU or a dividend ETF like XDV or CDZ. the gap between dividend yield is narrowing. and someone might suggest having both types of ETFs, but that takes away from the simplicity of couch potato-ing.

any thoughts?

thanks.

Counting on correction

RParks — Thu, 16 May 2013 20:40:44 GMT

With what is supposed to be an inescapable correction coming, any thoughts out there on generating more cash so as to buy back stock cheaper? I took profits off the table a few weeks ago and with the market continuing to go up, I am wondering how long this could possibly last and that perhaps I should trim my positions even further... or sell some stocks outright with the goal of buying them back at a 10% discount.

I'm heavily into rails which have all done well and my other holdings such as SBUX, AXP, and DIS have also done very well.

ETF to replace CIBC Canadian Real Estate MF

cainvest — Thu, 16 May 2013 17:32:15 GMT

XRE looks somewhat close but heavily weighted on the top two holdings.
ZRE has a more equal distribution.

Any others I should be looking at?

TDWH, Why can't you do as I ask?

Xoron — Wed, 15 May 2013 14:48:47 GMT

Ok, so I setup a sell trade way out of the money with a Good Til date of a month out. And I get this:

Error: Your order request cannot be processed.
Your limit price may be too far off the current market price. Please re-enter or contact your local TD Waterhouse office for assistance.[60101]

Why? Why wouldn't TDWH just place the order as I entered it? Geeze, I realize it's a long shot that it'll get executed, but come on. :rolleyes2:

Guess it's time to call up TDWH

Average Annual Returns - Do you know yours?

thompsg4416 — Tue, 14 May 2013 06:38:50 GMT

Just curious what people are getting on their weighted annualized returns. I was reading an article in the G&M this week and they were saying how most people don't know their annual returns. I had to admit I had an idea but not really that percisely. They offered this website so I tried it out..

http://www.weighhouse.com/resources/...io_return.aspx

I only started investing in early 2011 with a few thousand. Now I got my TFSA maxed.

For 2011 and 2012 I have an avg annual return of 53% - I attribute alot of this to pure luck and timing. I invested alot of money in European banks just before they went on a big run and made out ok. If you include my contributions this year and the fact I've made very little money so far the avg annual return goes down to 32%. I'm pretty heavy in resources now.. hopefully I'll enjoy a run on these too. Obviously I have a pretty high risk tolerance too:)

Thoughts?

Are Canadian bonds a scam?

juniperpansy — Sun, 12 May 2013 17:57:18 GMT

I've been wondering about this for a while. The Bank of Canada controls inflation. If they want inflation to go up, they print more money. If they want it to go down they print less money. Bottom line is the Bank of Canada ultimately controls inflation by regulating the amount of money printed.

For the past while Canadian Bonds yield less than inflation. That means for people who purchase CB the government is taking their money, purposely devaluing it, and then returning. So currently if you buy CBs you are lending the government money (inflation - interest rate) and paying them for that 'privilege.'

Also there was the move to make CBs only purchasable by regular consumers through payroll deductions. This appears to be a way to make CBs less competitive (same thing magazines did with their automatic monthly renewals).

Are they different views on this?

NYSE margin debt levels near 07 top elliott count

lonewolf — Sat, 11 May 2013 22:35:54 GMT

Read the following on safe haven website regarding margin debt
In March the NYSE margin debt levels were @ 380 billion. 381 billion was the high before the top in 07 which occured a few months before the stock market topped out. Numbers for April have not yet been released.

My thougfhts on prefured count in the dow

The crash in 87 was a wave 2 that traced out a simple zigzag.

Wave 3 topped in 2000

From 2000 high till 2009 low is part of wave 4 which has so far traced out an expanded flat The rally from 09 is a corrective intervening 3 which is getting close to being complete. Wave 4 which started in 2000 should unfold as complex with the highest propability of a triangle forming once the 3 from 09 is complete.

Once wave 4 is complete a channel can be drawn connecting the wave 2 & 4 lows for the bottom channel line. The upper line will be the 2000 high. The upper channel lne will be a possible target for wave 5

Long Call Options Question

kenw232 — Sat, 11 May 2013 11:26:07 GMT

Hello, I'm new to options trading and thought someone could clear this up for me. Am I allowed to "sell to close" a Long Call before the strike price is reached?

For example AAPL is at about 402 a share now in middle of May. I come in and buy 1 contract of "Jul 20th - $600.00 Strike" for .35 cents for a total cost of $35.

Say in June AAPL moves up to about 520 a share. Can I lock that profit in by selling to close the call now? Or do I have to wait until it hits the 600 strike price or until the expiry date on July 20 to find out what happens?

Thanks.

TD Waterhouse Cash Balance Question

eulogy — Fri, 10 May 2013 12:10:59 GMT

Maybe someone can answer this for me. So essentially I sold TD Canadian Equity-e mutual fund in my Waterhouse account. At the end of the day, it's sold at the final price. Next day, I know it has been sold, but it hasn't been reflected in my account (meaning not added to my cash balance). Is it fine for me to execute a trade now or do I have to wait until the money is reflected in my cash balance?

The reason I ask is that I prefer not to be out of the market for an extra day or two, if I don't have to be.

What about lending club?

willow1044 — Fri, 10 May 2013 04:28:22 GMT

Lending Club is an American Peer-to-Peer or community based lending website. They arrange loans between lenders and borrowers and cutout the banks and CC companies.

Being American based means that Canadians have to clear a higher hurdle to participate; specifically I'd have to have at least $100K in my account.

Needless to say, I'm anxious about giving anyone that isn't a registered bank that much money.

Can anyone suggest anything I should be aware of before making the plunge?

Thanks,

Options commission

mikescool — Fri, 10 May 2013 00:04:39 GMT

Hi guys,

Just wondering if any other canadian broker besides questrade offers holding USD in registered accounts?

Also, have you guys tried negotiating on the options commission fee? Some of my buddies in the US was able to get ToS to match IB's 70c/contract (no ticket fee) commission structure, any of you guys negotiated with QT before about this?

How will a 90 cent Cdn dollar affect my portfolio?

dubmac — Thu, 09 May 2013 18:46:55 GMT

http://www.ctvnews.ca/business/td-ba...2014-1.1274297

Assuming that the above prediction, that the Cdn $ will drop to 0.90 USD, what can one predict will follow?

For example,

1. !s it prudent to buy any US stocks, or ETF's now (while the dollar is closer to parity) and avoid a 10% or more increase when (if?) the dollar does indeed drop in value to the USD?

2. Would Resource stocks and Cdn manufacturers stocks increase (due to currency, not internal management) based on this devaluation of the Cdn dollar - that is - would foreign investors take advantage of a lower dollar?

Just wondering....

I'd like to buy a US-based ETF, and I am wondering whether sooner is better than later based on the news in the article. - and I know that it is only a predictiom , not a fact!