On August 25, 2020, from R. B. …..Newfoundland
Question:
Hello Monday Morning!
How do you suggest you deal with cash on hand? It takes a day or so to cash out of most things and you may need the cash in a rush when the price drops on say XSP. It may only fall for a day and you need the cash then.
I have a small bit of cash (about 60K) that I was holding to use to buy some XSP. That is when the price drops. Looking at CIB480 , CIBC money market class A. I don’t know much about it. Just looking to get a bit of interest and protect the money I deposit. What do you think ? Not getting anything just sitting in cash in the RRSP and TFSA.
Monday Morning Millionaire Program Answer:
Your question shows that you were doing a lot of things correctly. Please review asset allocation.
Protecting money on deposit in a Canadian bank should not concern anyone.
We wrote about parking money in some detail, previously. Since most of our members’ asset allocation has a large percentage in money or near-money, this is an important subject.
The primary objective of holding money or near-money is to have it available to buy bargains when the market drops. Nevertheless, it does pay to shop around for best returns. Our American members can do so by visiting:
YOU NEED TO LOGIN TO VIEW THE REST OF THE CONTENT OR LEAVE A COMMENT. Please Login. Not a Member? You can now sign up for $12 for a one-year membership. Join Us