tag:blogger.com,1999:blog-5465015914589377788.post1381575757228927031..comments2024-02-17T11:07:06.232-05:00Comments on Michael James on Money: Washing TradesMichael Jameshttp://www.blogger.com/profile/10362529610470788243noreply@blogger.comBlogger9125tag:blogger.com,1999:blog-5465015914589377788.post-67369094841335396462011-01-25T10:58:37.259-05:002011-01-25T10:58:37.259-05:00@Anonymous: Thanks for the information. It seems...@Anonymous: Thanks for the information. It seems that TD is superior to Investorline in this important respect.Michael Jameshttps://www.blogger.com/profile/10362529610470788243noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-89096658067617473472011-01-25T10:47:00.391-05:002011-01-25T10:47:00.391-05:00BMO Investorline wrote back to me in July last yea...BMO Investorline wrote back to me in July last year that FX matching is NOT available with mutual funds including money market funds.<br /><br />So, BMO IL "trade washing" is much more limited than the TD Waterhouse because you cannot park money in US$ Money Market fund, you have to buy and sell US stocks on the same day.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-68263169599793230242011-01-25T08:55:30.074-05:002011-01-25T08:55:30.074-05:00RBC Direct Investing is the only brokerage owned b...RBC Direct Investing is the only brokerage owned by a big bank that also offers US$ in ALL registered accounts (exccept RESP).<br /><br />They reimburse transfer fees too.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-51293037317749250022010-03-31T23:48:21.235-04:002010-03-31T23:48:21.235-04:00I just noticed that QTrade has removed the time li...I just noticed that QTrade has removed the time limit on their reimbursement of transfer fees. Now they will reimburse up to $125 fees for transferring $25,000+ to an account. Like I mentioned, this offer seems to have no expiry date.<br /><br />@as Thanks for the response. Glad to hear someone is keeping an eye on those kids @ TD. :-)genehttps://www.blogger.com/profile/05608927986297939720noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-8375363826732223322010-03-31T20:22:06.396-04:002010-03-31T20:22:06.396-04:00gene, regarding "relying on human interventio...gene, regarding "relying on human intervention on a semi-complex arrangement like this makes me nervous":<br /><br />It is indeed a very primitive (to say the least) way of doing things. I can always hear the agent on the phone doing what appears to be <b>calculating</b> (not merely retrieving) the exchange rate employed in the trade, in order to use the same for the Money Market transaction order. Just to be on the safe side, I always verified the jumble myself as it progressed during the course of the few days to settlement. Surprisingly, never an error (so far)...ashttp://financialtactics.blogspot.comnoreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-35970424195676731552010-03-31T14:38:47.094-04:002010-03-31T14:38:47.094-04:00I didn't know that BMO even offered wash trade...I didn't know that BMO even offered wash trades (aka exchange rate matching aka wash rates).<br /><br />I was tempted to switch to QTrade and even talked about it with Canadian Capitalist (http://www.canadiancapitalist.com/your-turn-opening-an-us-dollar-self-directed-rrsp-account-with-qtrade/). Alas, I didn't pull the trigger and QTrade's offer to reimburse transfer fees is expiring today.<br /><br />@as: Just to add to your comments, TD automatically matches the exchange rates of US$ buys and sells that occur on the same day.<br /><br />Like you say, they require a phone call to put any excess amounts of US$ into a US$ money market fund. I simply arrange my trades so the excess of either C$ or US$ is minimal, preferably under $10, so that I don't have to call them to arrange purchase of the US$ money market fund, and exchange costs are minimized.<br /><br />I never could figure out exactly how the money market purchases worked mechanically, and relying on human intervention on a semi-complex arrangement like this makes me nervous. Let the computers sort it out, I figure. I consider QTrade's method ideal, except for their $50US annual fee.genehttps://www.blogger.com/profile/05608927986297939720noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-52724980552811596042010-03-31T09:46:05.520-04:002010-03-31T09:46:05.520-04:00I believe Qtrade also offers USD RRSP accounts. U...I believe Qtrade also offers USD RRSP accounts. Unlike Questrade, they charge $50 per year for the account. But once your account gets big enough, you can justify the fee to avoid forex conversion fees on dividends if most of your holdings are securities denominated in USD.<br /><br />So it looks like this could be a trend that is gaining momentum.Returns Reapernoreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-90902106875588747072010-03-31T08:10:26.451-04:002010-03-31T08:10:26.451-04:00AS: It's interesting that TD offers a complet...AS: It's interesting that TD offers a completely different way to achieve the same goal. I'm looking forward to the day when the brokerages feel enough pressure to allow their customers to hold foreign currencies in their registered accounts.Michael Jameshttps://www.blogger.com/profile/10362529610470788243noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-66408558407219918592010-03-31T07:39:58.372-04:002010-03-31T07:39:58.372-04:00At TD Waterhouse one must call anytime on the same...At TD Waterhouse one must call anytime on the same day that the trade occured. It used to be by the time the trade <b>settles</b> (which is probably still acceptable on an occasional, exception basis).<br /><br />When you sell US stock they effectively put the proceeds into the TD US$ Money Market fund, when you buy US stock they transfer money out of it. So you don't have to trade in both directions on the same day to take advantage of this.ashttp://financialtactics.blogspot.comnoreply@blogger.com