Results 1 to 2 of 2

Thread: TD Direct Investing closing Canadian non-resident investment accounts

  1. #1
    Join Date
    Jun 2015
    Location
    UK->CA->NZ
    Posts
    90

    Default TD Direct Investing closing Canadian non-resident investment accounts

    I just got a letter from TD Direct Investing telling me that they no longer provide financial services to Canadian non-resident living in NZ. Very annoyed by this because the letter dated on Aug 25 and I just got the letter yesterday and TD wanted me to close the account by Oct 24! Not much of a notice for a client who has invested RRSP, TFSA and other investments for over a decade. Since it is difficult to open new account in Canada once becoming a non-resident, just wonder where can I transfer my RRSP to. Any advice will be greatly appreciated.
    Thanks for your help.

  2. #2
    Join Date
    Jan 2007
    Location
    Chch, NZ
    Posts
    2,226

    Default

    A little late in the reply. I can share some valuable information but you may of already made some changes. Have a read in my post here:

    https://www.enz.org/forum/showthread...891#post583891

    The reason for TD closing up NZ resident clients is due to NZ's FMA imposing regulation to overseas brokers. The VAST majority of them are complying, but fortunately not all. I myself have opened up a Interactive Broker account and made the transfer months ago. However your case having RRSP, TFSA, etc it would be more complicated. You may have to look at 'traditional banks' to handle your RRSP and TFSA as the FMA is specifically targeting foreign brokerage firms that deal in derivatives (options & futures and foreign exchange rate trades). A bank say RBC, or CIBC does not fall in that category and you would treat the account as a non-resident.

    There is no issues opening an IBKR account. Msg me for an IB credit referral account. Everything is done online which is the easiest thing and there was no nasty lawyers or tax accountants required. It's clear IB is not going to abide to NZ's FMA (meaning their lawyer team won't be bullied by foreign regulations that have no bearing on sovereignty to the country where IBKR operates in).

    Just too bad I did not find this post earlier because Nov 1st is the cut off date when TD restricts accounts. NZ is not the only country affected, pretty much most of all foreign countries are affected as the Schwab take over of TDAmeritrade meant they have their own policies.

    There's another broker called Firstrade that accepts foreign account holders however they do not do joint accounts or JWROS accounts. Also keep in mind, your RRSPs, TFSA, etc. do not apply for to foreign brokers so you need to have them moved over to traditional Cdn banks. Good luck!

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •