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Adieu TD Mutual Fund Account

in Index Fund, Investments, Mutual Funds, Registered Education Savings Plan, RRSP

Thanks to TD’s new stance on using TD E-series Index Funds in TD Mutual Funds account, it is goodbye. I still have two accounts open, and they are both going to move somewhere else.

Estimated reading time: 2 minutes

A while ago, I received a cryptic letter about “changes to my TD Mutual Fund Account.” I could only find out by going into the bank and talking to a TD investing person. Through some “internet research,” I suspected it had to do with TD E-series Index funds. This research included:

My suspicions were confirmed. I spoke to a rep with whom I had to reschedule my appointment. She confirmed with me the E-series Index Funds would no longer be “tradeable” in these accounts. This means:

  1. I could not buy any more of the TD E-series Index Funds in those accounts
  2. I cannot re-balance those accounts, by moving between these funds
  3. It would not be possible to do this at the Bank or Online either. Why online it is removed is bewildering.

So now I am moving my two accounts to TD Directline. I have had TD Mutual Fund accounts (and CT Mutual Fund accounts) for more than 27 years. Maybe I should have done this sooner.

TD E-series Done?

No, I can continue to buy them in my TD Directline accounts. There have always been issues dealing with E-series funds in my TD Mutual Fund Accounts. The Bank investment advisors make little or nothing from them, so there was little motivation to help.

I have also read about other, even lower MER ETFs (e.g. HXT, VCN, ZCN, XIC). I can also use them in a TD Directline account.

Other TD E-series Funds Stories

Questrade

{ 2 comments }

  • yilmaz October 9, 2021, 11:20 AM

    I buy e-series funds through my CIBC Investor’s Edge account. The MERs are like what you had. Normally, etfs have lower expense ratios but i did not want to pay any commission to CIBC as I have already pay thousands. You should be able to buy the e-series mutual funds at your brokerage. I normally hate TD, and ended all my financial relationship but their funds had the lowest MERs and track record is good.

    Reply
  • RICARDO September 30, 2021, 10:55 AM

    Isn’t it nice to know that TD has their employees at heart and not just their customers (who happen to pay their wages). I would think that you have a nice warm glow about you now. LOL

    “The Bank investment advisors make little or nothing from them, so there was little motivation to help.”

    RICARDO

    Reply

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