# TD e series TFSR



## Fraser19 (Aug 23, 2013)

Ignore the error in the title its a TFSA

Hello,

As some people have mentioned it is a pain to set up a E-series account. I am in the process of doing that right now. I have a question for those of you who have one. I tires asked them if I can hold stocks and the e-series account and they did not answer.

So hopefully you guys can tell me.
I want to set up a portfolio with TD with the E-series funds, some stocks and just some cash in it so that I can buy when a deal comes up. I do not have any standard accounts with them just the aero credit card.

So Ideally I want to transfer in 180 a month, use 100 of that to buy the indes funds have have the 80 sitting in the account as cash so that I can buy stocks or more index as I like.

Is this something that can be done, the people at TD did not have an answer for me.

Thanks,
Fraser


----------



## flayto (Apr 4, 2009)

I don't have a TFSA with TD, but I do have a self-directed RSP as well as an RDSP. I have both e-Series funds as well as individual stocks in the RSP. In the RDSP I only have the e-Series funds, but when I set it up initially (in 2010) I remember asking whether I could hold stocks as well as e-Series funds and they indicated that yes, I could.

Not sure if the same applies for the TFSA, but in my experience the RDSP is more restrictive than either RRSP or TFSA (TD was the only institution at the time that allowed holding individual stocks in an RDSP). 

It was a pain to set up initially and I do recall having a hard time getting answers about the e-Series funds especially. But in the end I did finally manage to speak to someone there who knew what they were talking about and it is definitely possible to do what you are asking.


----------



## Eclectic12 (Oct 20, 2010)

Fraser19 said:


> ... I asked them if I can hold stocks and the e-series account and they did not answer.


The threads I've read say the only way to hold both TD eSeries and stocks is to setup a TDDI brokerage account.

Most of the threads I recall were from people wanting to deal with small amounts or who didn't have enough to qualify for the lower brokerage commissions. The result was that most threads recommending going 100% TD bank, eSeries only until the total was enough to qualify for the cheaper commissions. At that point, a brokerage account would be opened, the eSeries transferred and the brokerage used going forward.

It sounds like nothing has changed as the TD Canada Trust web site says:



> TD e-Series Funds are available through a TD e-Series Funds account, which can be accessed online through TD Canada Trust EasyWeb, or through TD Waterhouse Discount Brokerage.


http://www.tdcanadatrust.com/products-services/investing/mutual-funds/td-eseries-funds.jsp


If you are talking to a bank or MF rep to setup the eSeries account ... my bet is that it's eSeries only.


Cheers


----------



## MrMatt (Dec 21, 2011)

A mutual fund account (e-series or not) can only hold mutual funds, to hold stocks you need a brokerage account.
You can hold TD E-Series funds in a TDDI brokerage account.


----------



## Spudd (Oct 11, 2011)

Eclectic is right, you can't buy stocks in a normal e-series mutual fund account - it is for funds only. If you want to buy stocks you need a TD Direct Investing account. It looks like those don't have any fees associated for TFSA accounts (aside from the commission to buy/sell stocks, which is $10 per transaction).

However I am not sure if you can set up ONLY a TFSA. Make sure to check this if you choose to go this way because TDDI does charge fees for low balance non-registered and RRSP accounts. You will need to have only a TFSA and nothing else if you want to have no fees.


----------



## Fraser19 (Aug 23, 2013)

Ok so,

At this point what makes most sense to you guys. Open a TFSA mutual fund only account for E-series funds. Or a TDDI account that is a TFSA and hold the E-series funds and so some trading?

I do not at this point have a lot to invest in this account. I am not wanting to buy and sell stock, just buy good long term stocks that I intend to hold for several decades.


----------



## Spudd (Oct 11, 2011)

If you already have the mutual fund account open, you might as well stick with that for now. Buying stock costs $9.99 per transaction, so you need to buy quite a bit to make it worth while as a percentage. Once you have a larger amount built up you can graduate to TDDI. 

If you don't have anything open yet, then you might as well start with TDDI, as long as they can open you an account that ONLY has a TFSA so you won't get hit with any fees.


----------



## MrMatt (Dec 21, 2011)

Fraser19 said:


> Ok so,
> 
> At this point what makes most sense to you guys. Open a TFSA mutual fund only account for E-series funds. Or a TDDI account that is a TFSA and hold the E-series funds and so some trading?
> 
> I do not at this point have a lot to invest in this account. I am not wanting to buy and sell stock, just buy good long term stocks that I intend to hold for several decades.


Look at the admin fees on the type of TDDI account you want, then consider the trade commissions.
Until you have several thousand, the costs of a brokerage account don't make much sense.


----------



## Ag Driver (Dec 13, 2012)

Just open up the TDDI account and put the eseries inside the TFSA at no annual fee. I have this, with no issues. 

The process is painless vs. the other method suggested. Down the road you may want stock anyways.


----------



## SkyFall (Jun 19, 2012)

Open a TDDI TFSA and buy stocks or mutual funds from there

edited: sorry didnt see what Ag wrote, but its exactly that you open an TDDI TFSA, because with TD you can open different type of TDDI such as TDDI RESP, TDDI RRSP (self-directed), TDDI non-registered, etc...


----------



## Fraser19 (Aug 23, 2013)

Ok so I have a question.

If I open a TFSA with TDDI and pick some the index funds and some stocks, do the dividends get deposited into my TDDI account as liquid cash that can be used to make additional purchases.


----------



## MrMatt (Dec 21, 2011)

Fraser19 said:


> Ok so I have a question.
> 
> If I open a TFSA with TDDI and pick some the index funds and some stocks, do the dividends get deposited into my TDDI account as liquid cash that can be used to make additional purchases.


Yes.


----------



## Eclectic12 (Oct 20, 2010)

It depends on what you select .... if you do nothing, the cash distributions (I prefer this term as it covers all types including RoC, eligible dividends etc.) will be credited to your account as cash.

For some investments, you can signup for a DRIP with will use the cash received to buy more units/stock, without charging a commission. The main difference is that only whole units/shares will be bought (ex. cost is $7, cash is $10 - the result is one share from the DRIP and the remainder of $3 is cash in the account).


Cheers


----------



## mrPPincer (Nov 21, 2011)

Eclectic12 said:


> It depends on what you select .... if you do nothing, the cash distributions (I prefer this term as it covers all types including RoC, eligible dividends etc.) will be credited to your account as cash.
> 
> For some investments, you can signup for a DRIP with will use the cash received to buy more units/stock, without charging a commission. The main difference is that only whole units/shares will be bought (ex. cost is $7, cash is $10 - the result is one share from the DRIP and the remainder of $3 is cash in the account).
> 
> ...


You surprise me Eclectic, usually your attention to detail is quite meticulous, admirably so I would say.

Remember, we were talking about dripping the e-series here.

When dripping mutual funds, e-series included, TDDI drips the full amount, & 99% of the time it's for partial shares.

/pincer pats himself on the back :biggrin:


----------



## Fraser19 (Aug 23, 2013)

Well I got this set up yesterday. It was very easy I went in and told him what I want, they set it up and faxed the info off to get it converted into the index account. The guy I was dealing with told me her personally used these index funds and had lots of good things to say about them.


----------



## mrPPincer (Nov 21, 2011)

So you went with a TD mutual fund only account for the e-series for now?


----------



## Eclectic12 (Oct 20, 2010)

mrPPincer said:


> You surprise me Eclectic, usually your attention to detail is quite meticulous, admirably so I would say.
> 
> Remember, we were talking about dripping the e-series here.
> 
> When dripping mutual funds, e-series included, TDDI drips the full amount, & 99% of the time it's for partial shares...



The post was:


> ... pick some the index funds and some stocks ...


I focused on the stocks part (well stocks & REITs) with the comment.
In hind sight, I should have indicated this.


Good to be reminded that eSeries funds (I'd guess MFs and ETFs would operate similarly but haven't checked) as using the full cash amount in the DRIP.


Cheers


----------



## mrPPincer (Nov 21, 2011)

ETFs only DRIP full shares when in a synthetic DRIP, just like stocks, at least in my experience (just double-checked).


----------



## diharv (Apr 19, 2011)

For my wife and I I set up TFSA discount brokerage accts with TD Waterhouse . It was easy and painless, just go to a TD branch and make an appt with the appropriate person. We can buy and sell anything , e series.stocks ,bonds etfs,mutuals etc and we can buy and sell online though their webbroker .This seemed to make the most sense for us and gave us the most options and possibilities.


----------



## Cal (Jun 17, 2009)

As a generalization, doesn't it suck getting a bank rep that doesn't fully know the in's and out's of the products their institution has. A good rep should have been able to thoroughly answer all of fraser's Q's.


----------



## Fraser19 (Aug 23, 2013)

Cal said:


> As a generalization, doesn't it suck getting a bank rep that doesn't fully know the in's and out's of the products their institution has. A good rep should have been able to thoroughly answer all of fraser's Q's.



I am generally disappointed with all banks. I though I left my wallet at TD luckily I did find it at home. But I called four times only to get the voicemail for the bank. This was two hours before closing. I dislike dealing with banks in general, but unfortunately I do need them in my life.


----------

