BMO releases Annual Report on TFSAs
Posted Nov 8, 2011 8:10 pm.
This article is more than 5 years old.
As the Third Anniversary of the Tax-Free Savings Account approaches, BMO has released its Annual Report, which reveals that despite healthy contribution levels, Canadians are still unclear on the fundamentals of TFSAs.
The survey shows that 44 percent of Canadians currently have a TFSA but few know what investments can be held with one.
BMO’s Dave Drock tells 660News there area a number of misconceptions about TFSAs.
“One of the things that people don’t realize is that within a TFSA you can buy stocks, you can buy bonds, you can buy GICs or you can have a simple savings account.”
The lack of regulation awareness has been a concern since TFSAs were introduced three years ago.
However, BMO says the level of regulation awareness is increasing.
87 percent of TFSA investors indicated they know the regulations – a good sign as “Financial Literacy Month” gets underway in Canada.
