New-born Baby's Cans: Making Money in a Down Market

[jiesen]

I had a canroy in a Roth IRA once (should have kept it, as it's outperformed all of the stocks I did keep), and the dividend went into the account just like any other dividend. I won't ever have to pay tax on that, since it's a Roth (sort of defeats the purpose of the return of capital portion of the dividend, I guess). I don't know why you'd get an actual check, but I suppose you could then just deposit the check back into the account.

[New-born baby]

YY taxes

New-Born,

This might be a silly question. Could I trade a Canroy in my IRA account? If so, the divident will not return to my account, but to me via a check? Then I will have to pay taxes on the dividents, right?

Thanks.

YY,

If you hold a Can in an IRA of any type, the entire dividend is 100% tax free. No taxes are withheld at all. The Canadian govt respects US law in this regard. The money goes directly to your IRA. It would not and cannot legally go to you in the form of a check. Again, Scottrade sets up IRA accts. as separate entities. You'd have a trading account and a separate IRA acct.

And like Jiesen says, Cans make wonderful long term investments. They have averaged about 27-29% per year for the last five years running. When you get enough money, reinvest those divys into a Can and multiply your money faster.

Best to you!

[yaoyao]

Thanks, NB and jiesen. For some reason, I thought that dividents for Canroys are paid by checks not towards account.

I picked up some more FRO at $45. Hope it will go up from here. I have enough patience, especially with FRO and AY.UN.

[MickyMouse]

new-born

Got div from AY today. Ameritrade withheld foreign tax, even though I have it in an Roth IRA. How can I get rid the withholding and get my money back?

Thanks

Micky

[New-born baby]

Call the man

Got div from AY today. Ameritrade withheld foreign tax, even though I have it in an Roth IRA. How can I get rid the withholding and get my money back?

Thanks

Micky

Micky,

I'd call my broker and see what he says. It is possible that the Canadian legislature has voted to ignore USA's IRA law. (I don't know that; I am guessing). If it did, I didn't know it happened. If there was a mistake, it was your broker's mistake. He's the one who collects the taxes. Call them and see if you can get it straightened out. Then let us know what you find out.

[MickyMouse]

Ok, will do just that.

Micky

[MickyMouse]

I spoke with Ameritade. They admitted there ought to be no tax withholding. But they will fix it only when my wife calls. Why.....................?

Micky




It is my wife's account.

[New-born baby]

I spoke with Ameritade. They admitted there ought to be no tax withholding. But they will fix it only when my wife calls. Why.....................?

Micky




It is my wife's account.

Just another reason I don't like Ameritrade . . . .

[MickyMouse]

Which one you use? I know IB is pretty good, don't know if we can open IRA there. I may just switch to another broker. I was forced to use Ameritrade, since it took over Datek.

Micky

[df21084]

I spoke with Ameritade. They admitted there ought to be no tax withholding. But they will fix it only when my wife calls. Why.....................?

Micky




It is my wife's account.

Good thing they're not running the fire department!

"I'm sorry that your house is on fire sir, but we'll only respond if your wife calls, as the house is titled to her."

[MickyMouse]

Good thing they're not running the fire department!

"I'm sorry that your house is on fire sir, but we'll only respond if your wife calls, as the house is titled to her."

Hohoooo. Nice one. Now I am happier. Thank you, Dave.

Micky

[New-born baby]

Scottrade for IRA

Which one you use? I know IB is pretty good, don't know if we can open IRA there. I may just switch to another broker. I was forced to use Ameritrade, since it took over Datek.

Micky

Scottrade for IRA. $7 fee for any order. No inactivity fees.

[Thomrich]

Greetings,
Sorry for the late post,
Concerning my trades to beat the distribution,here they go...

2-3 EENC in at 18.18 out at 18.41
2-9 EENC in at18.22 out at18.55
2-16 PGH in at 21.50 out at 22.20

Approx 5mos worth of dist in 2 weeks,so far so good.

Ill keep you posted on future dips,todays on PGH was quick and unexpected,missed it at 21.

cordially Tom

[New-born baby]

You're the best.

Tom,

You are simply the best scalper around. NICE WORK, and CONGRATULATIONS!

[Thomrich]

Tom,

You are simply the best scalper around. NICE WORK, and CONGRATULATIONS!

Greetings,
Well since the market is so choppy,I figure If I can at least double the distributions each month,were talking 25% return.Thats what Warren Buffett's done for the last 30years,so only 29 more to go.

Watch for PGH to possibly do it again tomorrow.

cordially Tom