Quote:
Originally Posted by Sylvanfan
A TFSA allows you 5 grand a year. So you can make like 750 tax free getting a 15% return on your money? To buy stock, pay the buying and selling fee...than get your return you'd need to be buying smaller cap stocks to pull it off. Essentially you save the tax on $375. Not really significant.
Still with your second point, it still requires timing and above average investing skill in my opinion to use options. If making 15% every single year in the stock market was easy everyone would do it.
If you know what you're doing you can make money playing poker or betting on sports too. There are people who make a great living doing that. But it's very risky.
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Actually your basing that off a minimum contribution scenario. TFSA's could be as high as $20,000 this year - that is if someone maximized their contributions. And transaction fees at 50%??? I'm not sure how you get those numbers but that's not my experience.
Anyways the point is there are better options then socking all your money into one illiquid asset. If one can rent and be smart with their money - I think its a better option right now. Too many are not diversifying enough and expecting their home to be their only retirement plan which is also very risky.