A roundup of investment ideas for active investors
A misreading of the rules for deposit insurance may be denying some online investors full protection for the money they’re putting into guaranteed investment certificates.
Quiz question: If the five different GIC issuers are members of Canada Deposit Insurance Corp., what’s the maximum amount of coverage you’d have?Some recent reader queries about deposit insurance suggest there’s a bit of confusion about how the $100,000 limit applies if you’re dealing with multiple GIC issuers within the same investment account, be it a non-registered account, a tax-free savings account or a registered retirement account.
If you’ve used an online broker to buy GICs, you’ll know that one particular bank sometimes shows up with the top rates for several different terms. In this case, you may need to accept a lesser rate and go with a competitor for some terms to ensure each GIC in your account has full coverage.