# Early 2016 TFSA Contribution



## Belguy (May 24, 2010)

Well, the voters, in their infinite wisdom, elected a Liberal government and, true to their word, the Liberals have reduced the maximum annual TFSA contribution back down to $5500 to be indexed to inflation going forward.

For those of you who have already decided to invest in your TFSA in the new year, I would be interested in knowing what equity and fixed income investments you plan to purchase.

Thank you for your input.


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## GoldStone (Mar 6, 2011)

I plan to purchase equity and fixed income investments that fit my long-term investment plan.


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## My Own Advisor (Sep 24, 2012)

100% equities. Just not sure what equities yet. My wife wants me to index invest more so potentially XIU or VCN for hers. For me, thinking REITs or maybe a bank stock like LB or NA that has been beaten up of late.


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## wendi1 (Oct 2, 2013)

I, too, use my master plan to decide what to put into the TFSA. No US stocks, of course.

It's a pretty complicated decision, I find - and I have been putting it off. This week, for sure.


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## Moneytoo (Mar 26, 2014)

More XAW for sure - and maybe will play a bit with volatility ETFs (HVI/HVU), to recoup some of those 1,7K losses thanks to Canadian stocks (or incur the new ones lol)


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## mf4361 (Apr 11, 2015)

Sticking with my plan: VXC & VSB & some cash


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## Belguy (May 24, 2010)

Is there any problem with holding the Vanguard U.S. Total Market Index ETF (VUN:TSX) inside of a TFSA?


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## Spudd (Oct 11, 2011)

No problem except that the withholding tax on dividends is unrecoverable in the TFSA. That's a small issue though, I wouldn't let it stop me. 

Personally, I plan to move some cash into the TFSA and hold it as cash for a while until my rebalancing triggers are hit.


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## Belguy (May 24, 2010)

VUN ytd return as of Nov. 30: 17.46%

One year return as of Nov 30: 19.19%


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## ashin1 (Mar 22, 2014)

BIP.UN for me
5500 is just enough to drip this bad boy


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## kcowan (Jul 1, 2010)

I will add to my Canadian banking stocks. Even though I sacrifice the DTC, it has does not aggravate my OAS Clawback. For DW, I will put in cash and wait to see whether an investment in Canadian OIL is a good idea.


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## My Own Advisor (Sep 24, 2012)

I feel the same kcowan. Tempted by oil. It has to come back, eventually....!


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## GreatLaker (Mar 23, 2014)

Dedicated couch potato investor here. My IPS specifies asset allocation and with this year's drop in the TSX, 100% of my TFSA contribution will go to Canadian equities, specifically VCN. Money will be transferred into the TFSA on Jan 1, and buy order placed on Jan 4.

Nothing to see here. Move along to some more exciting investors.


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## Taraz (Nov 24, 2013)

My Own Advisor said:


> I feel the same kcowan. Tempted by oil. It has to come back, eventually....!


Agreed. The question is how much further it goes down before the recovery.


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## My Own Advisor (Sep 24, 2012)

GreatLaker said:


> Dedicated couch potato investor here. My IPS specifies asset allocation and with this year's drop in the TSX, 100% of my TFSA contribution will go to Canadian equities, specifically VCN. Money will be transferred into the TFSA on Jan 1, and buy order placed on Jan 4.
> 
> Nothing to see here. Move along to some more exciting investors.


Good one  There is certainly beauty in simplicity.


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## Belguy (May 24, 2010)

Here's to 2016 and to still another exciting investment year! What are we going to do with all of the money that we are making!


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## Ben1491 (Jan 13, 2012)

*Happy New Year !*
TD as usual (since 2009) add to my 100% TD drip account. Just contributed and too bad the fund would not be available for trading before the div-Ex day. Will sit back and not do anything to this account until next January after trading.


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## Killer Z (Oct 25, 2013)

Belguy said:


> VUN ytd return as of Nov. 30: 17.46%
> 
> One year return as of Nov 30: 19.19%


VUN is my largest holding. I own it in both my TFSA and RRSP.

My $5500 will be split evenly between TD and CPG. Long on both.


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## Rysto (Nov 22, 2010)

My Own Advisor said:


> I feel the same kcowan. Tempted by oil. It has to come back, eventually....!


It really doesn't. With fracking producing so much oil now, there's no guarantee that the oil sands will be financially viable for the medium term. When (if?) it does become viable, the existing oil sands producers could have easily gone bankrupt, been bought out at a very low price or diluted their existing shareholders down to nothing.

I'm not predicting that will definitely happen, but I think that it's foolish to invest on the principle that it's impossible.


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## marina628 (Dec 14, 2010)

I usually stick to 70% Canadian dividend stocks that I consider safe and the other 30% I usually take a few more risks IN MY TFSA.


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## none (Jan 15, 2013)

I have some canadian e-series (big loss this year) in a non registered account that I plan to move toy TFSA.

Is the best method to sell $5500 worth , move cash over and buy VCN to avoid the superficial loss rule and bank some capital losses?


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## Doryman (Jul 31, 2013)

Got my contribution in early, thinking about splitting it between TD and CN. 

Feeling burned from my oil losses, so I can't muster the gumption to risk any more there. Feelings over reason, maybe, but I'm buying any more oil for without seeing a sustained recovery.


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## 1980z28 (Mar 4, 2010)

All 5500.00 into mining


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## Ben1491 (Jan 13, 2012)

Ben1491 said:


> *Happy New Year !*
> TD as usual (since 2009) add to my 100% TD drip account. Just contributed and too bad the fund would not be available for trading before the div-Ex day. Will sit back and not do anything to this account until next January after trading.


Mission accomplished !


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## Eclectic12 (Oct 20, 2010)

none said:


> I have some canadian e-series (big loss this year) in a non registered account that I plan to move toy TFSA.
> Is the best method to sell $5500 worth , move cash over and buy VCN to avoid the superficial loss rule and bank some capital losses?


Yes ... (assuming you like VCN as an equivalent).


Cheers


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## none (Jan 15, 2013)

Thanks,

I've just decided to avoid hyper optimization and paper work and just get the $5500 in when I have the money (latest is tax time). For me, the biggest advantage of the TFSA is being able to avoid the tracking and paperwork of gains / losses. That stuff is a bit annoying.

Peace.


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## mars (Mar 11, 2014)

Haven't made a contribution yet this year. Just sold 100 shares of CXR this morning for $56.50 (had originally bought at $42.50 in December) to get the cash to transfer so have to wait until the end of the week for the transaction to close.


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## Tawcan (Aug 3, 2012)

Trying to decide whether to dip my toes into oil & gas or just buy REIT and banks. Banks like BNS and NA are looking quite good.


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## Flash (Nov 25, 2014)

Had the full TFSA filled in 2015 in a HISA that paid about 2%. I decided to withdraw just before end of year and opened a brokerage TFSA.

ATM I have the following plan:
51% in MAW120 Global MF
16.3% in MAW150 Global small cap
22.5% in XAW ETF
10% in XIC ETF

Looking at the TSX history I don't feel very confident. Someone who had bought everything in Jun 2008 is still down -10% to this date.

Therefore thinking of not buying any XIC and either get the 10% in MAW106 - Canadian (their performance since 2011 is consistently beating the index) or just load up on Telus as I really like the company.

According to Mawer website, all the performances are after MER. Even with their higher +1% MER (vs XIC's/XAW's 0.05%-0.2%) their MF's (MAW106/MAW120) outperformed quite substantially.

Suggestions please on my selection?


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## humble_pie (Jun 7, 2009)

Belguy said:


> What are we going to do with all of the money that we are making!



belguy i am so sorry that you posted the above at 4:22 pm on new year's eve. Only 8 hours later & it would have been the most memorable line of 2016, one that we could have continuously referenced all year long.

but, posted early on new year's eve, it had to be the _ne plus ultra_ of 2015, good for you.


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## londoncalling (Sep 17, 2011)

mars said:


> Haven't made a contribution yet this year. Just sold 100 shares of CXR this morning for $56.50 (had originally bought at $42.50 in December) to get the cash to transfer so have to wait until the end of the week for the transaction to close.


Closed today @ 52.26. hit the top of the range. Nice trade!


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## avrex (Nov 14, 2010)

The markets have been wild these first few days of the new year.

My wife and I contributed 5.5k into our TFSA accounts......


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## none (Jan 15, 2013)

LOL! Rigth - I did the RESP rebalance on Tuesday.

TO make matters worse after sitting out of the Canadian market for personal reasons I jumped into the TSX when it was at 15400. OUCH. If I hadn't exchanged 50% of my portfolio into USD at par I'd be actually in the negative after the last 3 years I think. (maybe not but not up very much!)


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## mars (Mar 11, 2014)

londoncalling said:


> Closed today @ 52.26. hit the top of the range. Nice trade!


Thanks, got lucky on the timing. It did go up to 57 + the other day but I'm not that greedy. I still own a few shares as I think it is a good long term hold but it was also a good time to take some profits and reallocate, especially since I could transfer the money to fill up my TFSA.

Now I'm trying to decide what to buy with the cash. I tried to pick up some shares of AD today but when I put in my purchase the share price started climbing and I wouldn't chase so I'm sitting on the cash at the moment. I don't think there is any hurry, the markets look like they are going to be choppy so I can still pick up something cheap later on.


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