# RRSP Couch Potato



## JayRoc (Apr 4, 2009)

I am dumping my RRSP's with my current provider (MD Management) and transferring to my bank for a self-directed ETF account. Overall the portfolio is still down around 14% from the crash, with an average MER of 1.6% (but take out the bond funds and it's closer to 2%).
I am going to do the low MER Couch Potato thing. My question is what to do with the losers in the RRSP currently. Some are down 25% still, with high MER's. I am cashing out the funds that are at par or ahead; but what to do with the losers? _*Wait until they catch up or just ditch them?*_ 
There are no fees associated with selling these funds btw.

Thanks for your input!


----------



## OptsyEagle (Nov 29, 2009)

It doesn't really matter because the couch potatoe will be down about the same amount over the same time frames. If you wait until your funds go up you will be buying the CP at higher prices.

Now with that said, I hope you are not going to the CP in hopes of outperformance. It may happen, it may not. Do you feel lucky (sorry for that last sentence. At least I didn't call you "punk").


----------



## andrewf (Mar 1, 2010)

I would expect it to outperform MD, since MD probably isn't beating the index, and charges ridiculous fees.

That said, agreed with above. No point in waiting for the price of the funds to recover.


----------



## JayRoc (Apr 4, 2009)

I buy the index expecting to match the index, minus a small percentage for the fees involved. It just seems hard to sell the funds at a loss, but I can see the point that I would be buying the index at a higher cost if I wait.


----------

