TSX:BPO.PR.A - Post by User
Comment by
pierrelebelon Apr 29, 2024 6:49pm
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Post# 36013650
RE:RE:Canadian Taxation
RE:RE:Canadian Taxation
Good evening SONOFFERGUS.
"BPO prefs belong in the trading account to take advantage of the DTC."
Yes, BPO preferred shares are best held in an investment account, not a trust account.
As we get older, we need to have a larger portion of our portfolio in fixed income (most experts suggest 30% to 50%). This is where TFSA are useful.
Someone suggested "margin account" and I would certainly NOT suggest such. "Margin accounts" are for traders, speculators, gamblers, not investors.
In my book a serious investor building a portfolio for the future should buy shares and pay for them at that time. The concept of borrowing on margin to increase leverage never made sense to me.