Mass confusion resulted when we tried to transfer our CIBC GICs into our new Investor’s Edge self-directed RRSP account recently. So we were a bit nervous trying to transfer our mutual funds from CIBC in kind (without cashing them out) into our new account.
Fortunately, these transfers went smoothly. We were able to transfer a variety of CIBC mutual funds, including some bond funds, some bond index funds, some mortgage and short term income funds, some money market funds, and some equity funds successfully.
Can We Borrow Your Time Machine?
Why on earth did we have so many funds? Excellent question. When you get your time machine built, we’d like to borrow it and travel back to the 1990s to ask our then financial advisor: “What were you thinking?!”
Apparently this mixture of obscure low-return, high-MER funds was supposed to best match our low risk tolerance.
To make matters even more bizarre, most of these funds were part of a group investment that automatically re-balanced periodically to keep some type of ratio intact.
Whatever it was, over the years it returned somewhere around 5-7% on average. So it wasn’t a total loss by any means. We probably could have done much better with a different strategy, but at least we didn’t end up owing the bank money.
Climbing Our Financial Mountains One Hesitant Step at a Time
Moving the funds to our self-directed account with Investor’s Edge is one of our steps towards bringing order to our investments. We’re following the old adage about taking that single step that leads up and over the mountain. For sure there are a few thousand more steps to take, but you can’t take the 1000th one before the first.
Yes, You Can Transfer Many CIBC Mutual Funds In Kind to a Self Directed Investor’s Edge Account
So if you are planning to move your RRSP or TFSA mutual fund investments from CIBC to Investor’s Edge, it should progress smoothly. When in doubt, talk to the advisor at your branch with the most experience with Investor’s Edge. And if you have time, share a comment with us about how it goes.
Did you ever try to transfer mutual funds in kind from a major bank or financial institution directly into a self-directed investing account? Was it possible? Please share your experiences with a comment.