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244 Posts
Hi,
It's about time to buy something to uphold a GIC ladder, and using the BMO Investorline platform, there's almost no difference in yield from 1-5 years. It's 2.13% for 1 year from BMO, and up to 2.28% for EQ Bank.
I have an account at Meridian, which has a 2.5% 1 year cashable, but it still requires moving the money. Other banks, I'd have to open accounts and figure out if they're legit and such, so the easiest way is to stick with the BMO IL platform.
I know the traditional wisdom is you just buy 5 year GICs to keep the ladder up, but is this not a time to consider just going with a 1 year? That extra 15BP from the 5 year GIC translates to $15 on every 10k....seems like a pretty bad deal to lock up the money for an extra 4 years....
Does anyone agree? Thanks.
It's about time to buy something to uphold a GIC ladder, and using the BMO Investorline platform, there's almost no difference in yield from 1-5 years. It's 2.13% for 1 year from BMO, and up to 2.28% for EQ Bank.
I have an account at Meridian, which has a 2.5% 1 year cashable, but it still requires moving the money. Other banks, I'd have to open accounts and figure out if they're legit and such, so the easiest way is to stick with the BMO IL platform.
I know the traditional wisdom is you just buy 5 year GICs to keep the ladder up, but is this not a time to consider just going with a 1 year? That extra 15BP from the 5 year GIC translates to $15 on every 10k....seems like a pretty bad deal to lock up the money for an extra 4 years....
Does anyone agree? Thanks.