# RRSP account upon retirement for withdrawls



## runner39 (Mar 11, 2010)

I currently have ETFs in my RRSP account, my question is when I retire(planning at 55) and start withdrawling should I be moving ETFs to something else to reduce brokerage fees from monthly withdrawls


----------



## andrewf (Mar 1, 2010)

If you move chunks of your ETF portfolio into a Claymore bond fund ETF (I like CBO), you can utilize the SWP (systematic withdrawal program) to withdraw funds periodically without paying a commission. Your broker may charge a commission to withdraw the funds from your account. If they do, I recommend switching brokers.

Otherwise, you can just make trades every quarter (as part of rebalancing, etc.), withdraw your allowance for the quarter and put it into a high interest savings account. I wouldn't sweat the commissions, unless you're with an expensive brokerage, in which case the problem is the brokerage, not the ETFs.


----------



## runner39 (Mar 11, 2010)

andrewf said:


> If you move chunks of your ETF portfolio into a Claymore bond fund ETF (I like CBO), you can utilize the SWP (systematic withdrawal program) to withdraw funds periodically without paying a commission. Your broker may charge a commission to withdraw the funds from your account. If they do, I recommend switching brokers.
> 
> Otherwise, you can just make trades every quarter (as part of rebalancing, etc.), withdraw your allowance for the quarter and put it into a high interest savings account. I wouldn't sweat the commissions, unless you're with an expensive brokerage, in which case the problem is the brokerage, not the ETFs.



what about getting income from dividends and not withdrawaling, I guess the question is would I make sure I have a good portion of dividend income investments prior to retirement


----------



## FrugalTrader (Oct 13, 2008)

There are lots of ways around this. As you mentioned, you could simply withdraw the cash distributions. Or, you could setup a portion of your portfolio as a GIC/bond ladder and use the matured cash every year.


----------

