Not sure if I should continue using Questrade or transfer to e-series
Currently, I have about 3800cad invested into Questrade etf using MoneyGeek portfolio.. The membership for MoneyGeek is about 78$ which comes down to about 2% of the 3800.. With that in mind I'm thinking if I should cancel the membership and switch over td e series instead so I wouldn't need to pay the membership fee of 2% of my overall investment. (compete oversight on my part) I also plan on putting in additional funds into my investment on a monthly basis. With these in mind, should I move from questrade to e series? Or should I just keep adding funds into Questrade to try to get more out of it.
Posted Apr 2, 2015, 10:42 PM UTC · edited
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Maybe I'm missing something here... isn't MoneyGeek just giving you a recommendation for a asset allocation to follow, and you just go and implement that recommendation with Questrade? If so, why would you need to keep paying them if you don't want the membership? Just cancel the membership and continue investing in Questrade. The MERs are a lot cheaper on ETFs than with eSeries, and besides, selling all the ETFs would incur brokerage fees and possibly capital gain taxes if they're in a taxable account.
MoneyGeek has a per annum membership of 75$. In order for me to rebalanced these assets the way MoneyGeek had set up, I'd have to use their tool which means I'd have to continue paying the 75 on an annual basis.. Unless of course I could learn it myself.. Thank you for the response though
Since it's not a significant investment, why not just start your own portfolio with any new money you add to the account. You can keep the MoneyGeek portfolio, cancel your MoneyGeek subscription, and just grow your new portfolio at will.
Also, you already have a Questrade account open, and you're obviously familiar with its platform. It'd be easier to stick with it rather than converting to another platform.
Uh yeah... it's not really that hard. If you want a free tool, give this one from FinancialFox a try - but note that when it shows you negative numbers, it's intending for you to sell some of that ETF which you probably don't want to do very often. And of course if you don't sell, then you'll be short on the amounts to distribute to the other ETFs. So it's not ideal, but still gives you a rough idea. I've been thinking of throwing together a spreadsheet to help people rebalance properly, maybe I'll do that now.
Also, if you switch to e-Series, you still have to manually rebalance!
Yeah, I'm well aware of that. Although I just figured that e-series would be easier to rebalance than questrade since they have much fewer option to choose from than say Questrade where you have to research each index. + they don't charge ECN fees as far as I know? (I am really new to ETF and the market in general so excuse my noobiness )
Yes there are many more ETFs to choose from, but you already have the choices made, so you don't need to research anything further, unless you want to find better ones than what they recommended. The ecn fees are tiny... just fractions of pennies, and makes no difference (if you really care, you could avoid them by learning how to place a marketable limit order). Paying roughly 30 basis points more in MER fees for e-series will definitely add up over the years, usually amounting to thousands of dollars saved.