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Hi

I am new to investing I was wondering which place I can find low cost mutual funds for RRSP & RESP accounts.

Also of there is one stop shop which offers flexibility to buy MF as well as other options (Bonds,GCI etc) it will be nice.

I am with TD bank/ING & on the whole really like their customer service.

Any response will be appreciated.

Thanks
AK
 

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There are 2 "cost" issues with mutual funds. The first is whether there is a fee to purchase the funds (No-Load = no fee; Front-Load = fixed fee paid up front; Back-load = DSC (Deferred Sales Charge) = fee paid when you sell, a variable fee, declining the longer you keep the fund.)

Pretty well all the bank mutual funds are No-Load, except some to the portfolio products that hold third-party funds.

The other cost issue with mutual funds is the annual management costs, called MER (Management Expense Ratio.) These are highly variable between insitutions. Teh activley-managed bank funds are kind of middlle-of the-road, but you will find lots of advice on this site for DIY investors to try to keep MERs down, because that MER is coming out of what would otherwise be your earnings in the fund. A lot of investors are turning to index funds because of their low fees. (Read up on "Couch Potato Portfolio)

TD has e-series Index funds with very low MERs. ING has Streetwise funds that are balanced portfolios that use index investing to keep MERs low.

Banks of course sell GICs. You can buy bonds from them only in the form of bond mutual funds. To buy individual corporate bonds you need a trading account. But you need a good bit of investing knowledge to be choosing your own bonds successfully.
 

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If you're investing a substantial amount in GICs, shop around for rates and/or use a broker. The rates are negotiable!
 

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I wonder if anyone can recommend low cost (1% or below) mutual funds, preferrably with value-oriented managers? Thanks!
 

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I don't know if you will find MERs below 1% for actively managed funds. (unless you are in a wealthy bracket where you qualify for special classes of funds.) You can search on globefund for MERs below 1%, but I think you will only find various index funds.
 

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Caution

Just a word of caution.. if you prioritze convenience over return, you're bound to lose or gain less. I don't like to stick to any particular institution for my investments. At the end of the day, it's about performance.
 
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