For other retirees,
where taxable assets are a meaningful portion of their portfolio, working with an adviser to develop a unique goals - based strategy can add significant value.
Not exact matches
Professional financial advisors focus on low - cost investments, locate
assets properly in
taxable and tax - advantaged accounts, rebalance
assets and help clients decide
where to draw
assets to meet spending needs.
These portfolios primarily invest in U.S. high - income debt securities
where at least 65 % or more of bond
assets are not rated or are rated by a major agency such as Standard & Poor's or Moody's at the level of BB (considered speculative for
taxable bonds) and below.
Heck if you would have invested your money into a
taxable account, and taken out a 30 year fixed mortgage when rates
where at all time lows, I'd be willing to bet you could pay off your mortgage with the
assets you accumulated rather than paying down your mortgage.
As Preet Banerjee explained in this column in Globe & Mail, a RRSP swap transaction is one
where an
asset inside a RRSP (say a Canadian stock) is exchanged for an
asset that is of more or less equal value held in another account (say a GIC held in a
taxable account).
«If
assets are transferred to a spouse — for example, RRSPs — they can transfer without being
taxable,
where if you have RRSPs and they are transferred either to a child or to a sibling, that becomes
taxable income.»
As Steven Chung points out, there is an insolvency exception
where if the taxpayer can show that his liabilities exceeded the value of his
assets immediately prior to the forgiveness, then the cancellation of debt income as a result of loan forgiveness will not be
taxable.