TFSA Treasure Chest
The Tax Free Savings Account or TFSA was a great addition to Canadians retirement savings portfolios for 2009, but many people remain unclear about how they should use the account. There are many different ways to employ your TFSA so that it too works for you; you are trying to reach financial independence aren’t you?
In the account, you are allowed to hold most asset classes including common shares and bonds. Many investment professionals have varying opinions about the types of assets to hold in accounts, but the general consensus from an unbiased investment advisor would place your money in investment vehicles that are very different to what most people have done.
Many were sold by their banks on investing their $5000 annual contribution into high interest savings accounts. This makes sense…if you are a bank. Since the banks love to have cash on their books to lend out–of course they are going to recommend you to one of their many low return options for their own benefit. Do you know anyone that bought term deposits in their TFSA or simply left the funds in a high interest savings account? From my point of view this is not putting your Tax Free Savings Account to work for you.
The reason this page has been created was simply to publicly disclose exactly what my TFSA holdings are. This page will be updated to show my account holdings throughout the year.
2009 TFSA Holdings
- 200 shares x Westshore Terminals Income Fund (TSE:WTE.UN)
- 100 shares x A&W Revenue Royalties Income Fund (TSE:AW.UN)
- 1000 shares x The Brick Group Income Fund (TSE:BRK.UN)
- $515 Cash and counting (Accumulates every month from dividend distributions
- December 07, 2009 – Added 400 shares of BRK.UN at $1.24/share. This takes my holding from 600 shares to 1000.
