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>>Hello I'm Greg Bonnell and welcome to MoneyTalk Live, brought to you by TD Direct Investing.
Every day I'll be doing from guess from across TD, many of whom you'll only see here.
We we'll take you through it's moving the markets and answer your questions about investing.
Coming up on today's show Megan Henricks from TD Direct Investing will answer your questions on how to get more on the WebBroker platform.
Last will bigger preview on what to expect from tomorrow's Bank of Canada rate decision. You can email us anytime at moneytalklive@td.com or fill out that viewer response box under the video player in WebBroker.
Let's get you an update of the markets before we get to our guest of the day.
Welcome to the month of September! Getting serious now aren't we.
September doesn't have a great track record for stocks. Let's see what's happening here on Bay Street, the TSX Composite Index right now are seeing some downside pressure at 23,053.
Not actually correlating with what I'm seeing on my WebBroker screen.
My WebBroker screen is the one that is wrong. This one is the one that is correct.
Down one of the quarter percent, seeing weakness in oil and gas, seeing weakness in some of the metals so it is dragging down those two big areas of the market.
OPEC expected to hike production next month.
We have China's economic growth and demand. Let's start with Suncor.
All the major oil and gas companies under pressure.
Kinross Gold want to check on that space as well were seeing some pull back on some of the gold miners 11 bucks and 66 shares September seems to be living up to its reputation at least on the first trading day of the month.
Historically not a great month for stocks.
The S&P 500 down 80 points almost 1/2%.
The tech heavy NASDAQ down a little more than that.
Down more than a full 2%, indeed 2.
3%. Nvidia, big part of the story here today. I want to run up the stock is had over the last year or two.
But since reporting its earnings, they were good but not spectacular. It's been a bit of a different story today. Nvidia down more than 7%. Hundred and 10 bucks and $0.55 a share. And that's your market update.
We are joined now by Megan Henricks, Senior Client Education Instructor with TD Direct Investing taking your questions with the WebBroker platform. Not Meg and this is the first full show, looking forward to it.
>> Grade Greg I'm looking forward to and excited to be here.
>> First question here (Greg it reads the question) >> So before I go into the answer for this, let's just break down some of the elements of this question. So as you know, this is pretty new for direct investing where you can invest in fractional shares or partial shares. Where you are not limited to having to buy a full share. So if I wanted to get .2 up a share, I could.
Then there is drips which are dividend reinvestment programs where it's a really great way that, when you receive the dividend, you can reinvest it to buy more of that company.
So putting the two together, currently eight, the drip program of the dividend reinvestment program would not allow us to buy a partial shares but you still would be able to count that when you're receiving the dividend.
>> Interesting I was thinking about that myself this morning.
I was looking through my WebBroker portfolio and wondered how that would work. Glad we got that cleared up. Another question here about fractional shares being new to the platform. Someone wants you to explain how dividends with fractional shares work.
>> Okay so this is a really cool concept with fractional shares, partial shares because, if I have, for instance, 100.52 shares of the Company, it's going to be on that full total that dividend gets calculated on.
So, just a reminder to the audience, dividends are going to be for companies that decide to give a portion of their profits. They can choose "do I want to reinvested back into the company or do I want to give a portion back shareholders?".
If they decide to give that portion back to shareholders that could mean in the form of a dividend. So again, with these fractional shares, you can be receiving more of a dividend because all of your money can be invested in that. Like stocks or ETF's. So that can help accumulate your funds.
>> Of course over the Summer Meigan, we did launch fractional shares on the platform.
Sometimes during the Summer people go on vacation and don't pay attention us carefully. Maybe if we pull back a little just remind us a little about what we've done here and how it works on WebBroker.
> Yeah.
So how it would work on WebBroker is based on again the quantity that you have, if that company does pay a dividend, on record date you have a certain amount of shares, then that calculation gets, for instance, you get $0.10 per share, so based on the number shares that you have, times, that quantity times the number of shares, that can be receiving your account.
So this kind of works with the previous question where you can have that dividend paid out of cash.
Then you will see in your account cash as dividends.
In the account that you have.
It could be a tax-free savings account, an RRSP or if you are part of that dividend reinvestment plan, then, if it's an amount that can buy a full share, then that would go through. So you would get, let's say, to full shares and the residual would be paid out of cash.
>> While you're talking about that I just opened up a buy ticket on my WebBroker and for someone who is not been there for a while, you might notice, you want your symbol name, your by action price type, and that little thing that says fractional. Maybe walk us through this page in case someone who is interested in fractional shares, what that icon means and what it can do for them.
>> Let's get into it. In WebBroker if I were to, like you, start in order ticket, I will click on the "buy and sell" icon on the top.
Here I just got kicked out, it will be long.
>> Nothing like getting kicked out on live TV.
>> There is nothing like it!
>> We are back in.
> Don't forget to read your priority message because we do have a little celebrating the 40th birthday of TD Direct Investing.
So you can be entitled to some free trades if you do partial shares.
Okay so let's get into it. Back on WebBroker, let's go back to "buy and sell". Like you mentioned, here, there is this new icon. This looks a little different than before we launch the partial shares, fractional shares.
Let's say I were to put McDonald's in.
We have our quote on the right and then if I place this as a market order, I can see here that it is eligible for that fractional shares. So if I had, for instance, $2000 that I wanted to invest, this system will do that calculation for me. So it will tell me okay, for the $2000 without Commission, I can buy 6.98641 shares of McDonald's.
But keep in mind, this would be a market order.
Meaning that you're buying it at the current best price.
But you don't really have control over what that price would be.
Where is if you change this from market to limit, then you see the fractional got stricken out and now, we are simply limited to putting that price that we are comfortable with. So let's say 285.
Then it's telling us again full shares, how many we can do.
Hopefully that makes sense now!
>> Perfectly makes sense. Nice way to walk through a new feature. Fairly new.
Several weeks under our belt here.
But people are still discovering for the first time so a nice walk through there.
Another question for you know from the audience.
(Greg reads out the question) >> Okay so this brings up that when we are dealing with mutual funds, there are different fees that can occur.
Some of them, we're gonna start off with sales charges where there could be front and or backend.
Front end, I like to think about it as, if you're going to a concert, you need to pay your ticket in order to have entry into that concert.
So this same with some of the mutual funds that have that front-end fee where you have to pay to get into that fund. Whereas back and, this is where if you hold it for a certain amount of time, the longer you hold it, the less that fee would be if you were to withdraw soon. So for instance, if you try to withdraw the first year, then they charge you. If you go the second year, they will charge you a little less until holding it for a long time, that fee would eventually drop to zero.
Now, that is less popular nowadays then, in fact, 2022. Deferred sales charges were banned.
So no more of that moving forward but if you did have a fund with that deferred sales charge, you might still have a fee associated to that.
So, that would be a holding charge that could be charged if you did have a front or backend load.
Another thing that, from this question they're talking about, is if I were to transfer from another institution to TD, for instance, if there would be any type of fee. So that would be a short-term trading fee.
So this is to kind of reduce investors from getting in and out of the fund which has an impact on profits and now they are placing a lot of effort into redeeming units, creating units and what not so to avoid that, there usually can be a short-term trading fee which for instance, could be up to 2% of the purchase of the cost of the purchase that you did and it will be set for a certain amount of time.
So, for instance, some index funds will have about 30 days where, after the 30 days, then you would not be charge that short-term trading but under that 30 days, you could be charged. So those are some things to avoid.
Now, when it comes to that question that the client was asking, here, what is separate is that you were holding that you mutual fund with the holding company. So that means you, you don't have to worry about that short-term trading because you still have that fund and have been investing in that fund. It is just now the shield of where it is instead of that basket be without other financial institution, but now that mutual fund is with us and you would not have to worry.
But of course if you are concerned, you can always call and speak with investment representatives for them to verify how long you build it for.
>> Interesting stuff on that and we will get back to your questions on WebBroker with Megan Henricks in just a moment's time.
A reminder of course that you can get in touch with us any time by emailing moneytalklive@td.com or fillet of your response box under the video player and WebBroker.
Now let's get you updated on some of the top stories in the world of business and take a look at how the markets are trading.
Shares of United States Steel are in the spotlight today as you can see right now down to the tune of almost 5%. That after democratic residential candidate Kamala Harris said she opposes the sale of U.S.
Steel to Japan's Nippon Steel.
Harris told a rally in Pittsburgh Pennsylvania on Monday the company should remain US owned and operated.
The Japanese company is offering $15 billion to acquire U.S. Steel.
Tesla is reporting a sales rebound in China for last month, selling more than 63000 Cars in August. While that represents a 37% jump in sales volumes month over month, Tesla is still lagging Chinese automakers including beat YD which reporting more than 370,000 car sales for the month.
Parkland Corps is putting Florida assets on the cellblock. In the Calgary-based firm has some 100 retail locations and for bulk storage plants and warehouses in this state, among other assets, Mark-says it believes there is substantial interest in a sale, and expect to deal with in the next year to 18 months.
Let's check on the markets first trading day in September, you probably know for your own experience, September does not have a great reputation when it comes to equity returns. It can be known as a bit of a down month.
Today starting on a down note. 293 points of the whole, they TSX Composite Index down more about one of the quarter percent S&P 500 (…) That broader REIT of the American market down 1%.
Back there with Megan Henricks taking your questions about WebBroker.
Excellent for you here Meigan.
Someone wants to know can I view or transfer the WebBroker Securities between TD and easy trade accounts?
>> They are different even though they are both technically TD Direct Investing with WebBroker which is the plot from that we utilize, you have access to different products. Your stocks, ETF's, mutual funds, fixed income, GICs. A lot of choices and it's really meant for investors who want to invest themselves, want to do the research themselves as well so they want to put in that time.
Where is for easy trade, it's for those who really just want to start investing.
They don't want like, to do too much analysis or what not. Just the basics to get going.
In another main difference between them is going to be that on the easy trade, it is going to be mobile only. It's actually for each calendar year that it resets so that's a big part for that. But again it is mobile only and their only certain accounts that you can open with easy trade.
So now that we know the difference between them, if you did want to go and transfer between one to the other, if it were to be Securities, then, for that you would have to call, speak to an investment representative and they will be able to do that for you.
If you said we just wanted to transfer cash to start investing, that you would be able to do online whether it be through WebBroker or on easy trade itself. They are going to be linked online so you will be able to do it.
>> Interesting stuff there.
Another question for you here, someone wants to know "how do I learn options trading?".
For the people not familiar with options, what are you exactly doing when you're trading options?
>> Yeah, so options are a derivative of… Products so in terms of risk/reward, it is riskier but with that there is the potential to have a higher reward.
So it is going to be kind of like related if you want to think about it that way that, let's say as an example, we had company A/B/C/D. Your option was for this company to go up because options are in contracts for each contract represents 100 shares, if that option were to go up a dollar, you are up $100. But to the same token, if you're down a dollar, you are down hundred dollars. So again, you can see here the impact of risk. Let's actually show you in WebBroker where you can go to learn more about options.
When we are on the platform, we can use our main menu and go under "learn".
This will bring you to our Learning Center.
We have so much information over here and since we understand that people learn in different ways, we do our different vehicles that you can learn about options.
I'm going to take you through some of them. In our video lesson, think of these like a YouTube playlist.
What you could do here is go under the individual lessons or, I personally like the chorus.
On the right if I were to use the filters, I'm going to use the filters here… And I'm going to find under "investments", I'm going to enable "options". I could put in more if I wanted to but for right now, this is the one that I care about.
So when that's done, I am simply going to click on "apply filters".
And then here, you can see that we have seven related to options. Based on the title you can see which one you might be interested in.
So let's say an introduction to options, this one has 11 lessons for a total of 46 minutes.
So you can pause and go back and see what fits there.
If you were to go to "lessons", it actually combines in some of the webinars we've done.
So webinars are when we interview industry professionals and if you attend a live session, you will be able to ask that guest your questions and, you know, they take as many questions as possible so it's possible that they choose yours. This is where, again, if you wanted to and you didn't filter that out, you would also be able to see webinars.
Lastly, in terms of education, if we go back to that "learn" which will bring you back to our Learning Center, we do have master classes.
So here, these are live sessions where, throughout the hour, you can ask the instructor your questions. So here, you can go through the list of live classes we have.
We do have a lot of option ones.
You can skim through the list. Register for a session and then attend that way as well.
>> You also have all those nice tabs and one that says "options" and that brings the options chain. If you don't know what you're looking at you might need to get into one of those lessons first if you feel you are looking at the options chains wondering what it's trying to tell me.
>> To point that out if you were just to trade in that and if you did not know that each contract represents 100 shares, it will be a big surprise if ever your option gets exercised and now you have to buy 100 shares of the company. So yeah. It is very important to get educated before investing in options.
>> Education first. A great run down there is Meigan was saying. There is inherent risk in options trading. You want to do your own research before making investment decisions.
(Greg reads the next question) What if I want that option reality? How do they go about that?
>> Here will depend on the type of account that they have.
So for instance, there are different accounts that you can have with TD Direct Investing, if you're WebBroker, so you can have nonregistered accounts or registered accounts. And in those nonregistered accounts, there is a cash account where you're investing with the money that you have, so for instance, a $5000, I'm only investing with that $1000.
Or, I can have a margin account where here, I can borrow.
So even though I may only have $1000, I can invest in something with, let's say, 1500 and I'm borrowing the 500th.
Of course I will have to pay interest on the value that I borrow.
But just to know the big difference between cash and margin. So, if you did have a cash account, then you would need to create a brand-new account on WebBroker and make sure you open it as margin at this time were as if you have a margin account or any other registered account, like tax-free saving account, registered retired savings account or RRSP, and so on, then what you can do is you can actually call and ask to add option privileges to your account. Now, there are certain preliminaries that you half to have in order to get options approval such as at least one year of stock trading experience. With a minimum of 25,000 in annual income or net worth.
The majority being physically present in Canada and then comes the different levels of options approval you can have so as we talk a little bit about options, there is a lot of we can there can be risk involves other it is important understand it.
There are two groups of options where there's calls and there's (…) You can either buy the option or sell the option.
Not because some option strategies are very risky and, you know, the effects of it can have you being in a margin call potentially, certain options are going to require more in account equities and experience with stocks and options.
So be mindful of that.
But with registered accounts, the maximum you can get in terms of strategies would be buying long calls and is selling covered calls.
Anything more than that is going to be only in the margin account if you get approval.
>>'s a nice clear breakdown on that.
Thanks Meigan – as always make sure to do your own research before making investment decisions.
We will get back to your questions with Meigan in just a moment's time.
A reminder of course you can get in touch with us at any time.
Do you have a question about investing, or what is driving the markets? Our guests are eager to answer your questions so send them to us here at MoneyTalk Live. You can send your questions two ways: you can send us an email any time at moneytalklive@td.com or you can use the question box at the bottom screen right here on WebBroker just type your question and hit "send". We will see if one of our guests can get you the answer right here at MoneyTalk Live!
>> September is going to be a busy month.
We have lots on the calendar including tomorrow morning, a Bank of Canada rate decision. Now, as widely expected on the street, we may get another cut from the Bank of Canada.
TD Securities for its part expects a 25 basis got tomorrow.
That brings the key rate down if it happens to 4.25% and that will be the third consecutive meeting with a cut from the Bank of Canada so if that does transpire tomorrow, the street is fully pricing that in, TD Securities believes he will get 1/4 of a point of a cut what happens after that?
3 cups in a row as we move deeper into the future, you can see, from this chart, this is the implied overnight rate by meeting.
This means the market pricing and what the market is expecting rates to end up. You can see by the time we get to next June, we are just a little shy there about 3 1/4% on that key rate from the Bank of Canada. So, clearly the market pricing in several more cuts before we get to the eve of next Summer.
So that is the path forward.
What is the rationale of the market believes we are going to get successive cuts into next year? First of course is the labour market.
The let's take a look at this.
In terms of where we are right now, we do have the employment rate moving lower.
The employment rate of course the unemployment rate conversely has been moving higher lately.
Giving the banks and rationale to say we are seeing a cooldown of the labour market, job growth over a six month average that we are seeing on the screen as well.
As been slowing. Now secondly, why did they raise rates so aggressively the first place? Not only the Bank of Canada but the US Federal Reserve, other central banks, it was trying to tamp down inflation. Go back to May 2022, looking at the inflation numbers there on that big spike where we saw, this is the challenge for the central banks. Obviously we've seen inflation moving back to where the 2% target again, giving our central-bank a little more license now.
Saying borrowing costs don't need to be so restrictive. Starting to get back to where we need to be and continue to bring them down. Of course it will be a big day, money talk as you covered, instant reaction to the decision for the Bank of Canada tomorrow morning.
Our Anthony Okolie will break down a decision right after it comes out from TD Asset Management. Then on this program, MoneyTalk Live, Andrew Kelvin, head of Canadian global rate strategy with TD Securities will be our guest and give us his reaction of what we heard from the Bank of Canada where they see the path forward being and then after you get back, he will take your questions about rates, the economy, about all kinds of stuff.
Andrew Kelvin.
You don't want to miss that one.
Back now with Meagan Henriques >> This is good for investors interested in fixed income products because they want some stability in their portfolios.
Different inequities that can be more volatile, typically in fixed income products like bonds, they will have less volatility than equities and they do give that pretty stable, you know exactly how much are going to receive in terms of your interest payments.
So, let's get into WebBroker so I can show you where you can see this tool of ours.
So once we are back in the platform, let's go under "research " and then under investments were going to go to "fixed income".
We are currently looking at the home page which has it broken down by the type of bond we are looking at.
So we have agency, corporate, Canadian bonds and so on. As well as broken down by different terms. So 0 to 5 years, 5 to 10 years, 10+.
A little note I wanted to add is these are going to be different then GICs, guaranteed investment certificates, which typically, if you want a higher rate, you have to be in and keep it for the length of time until that MGIC matures.
Aligned with bonds, since they do trade on the secondary market, you could sell, if ever you don't want to hold until the end.
So don't be scared if you see 10 years, that you are locked in for 10 years. You can always sell it on the market.
Now, because our question was to see the different currency, Canadian US, I'm going to show you my, maybe a little bit of a lazier way to do it but there is, also the fixed income search which I will get to after. But one way that I find a little easier is that if you already know what type of bonds you're interested in, let's say it was corporate bonds, and you know you are fine with 5 to 10 years, you can click from the home screen first.
Under corporate bonds, 5 to 10 years. And here is giving us all of our inventory that is available.
But, we can see here that it is mixed with Canadian currency as well as US currency.
So now, I kind of want to narrow in the elements that are important to me.
So under the same criteria of the search criteria, I'm going to click on "modify".
From here, it already has again, some elements, in Artie has enabled corporate bonds, my maturity, 5 to 10 years.
This time, under "currency" I'm going to change this to US dollars. And then from here I'm going to click "submit " and here we go.
It's filtered out to only see the US ones.
So that's one way to do it based on clicking from the home screen.
Otherwise, you can go directly from the fixed income search and here, you're putting every thing that you want.
So let's say you wanted any type of bonds.
And currency US.
You put in the elements you want.
Submit and then the system will try to find as many that match your criteria.
>> Great stuff.
Nice breakdown on that. Another question for you here Meagan.
(Greg reads out the question) erratic stuff in there and want to see the fruits of your labour. Where are they?
>> Probably what's happening as were looking at an individual company.
Let's get back into WebBroker.
I can show from that view how we can get to the watchlist.
Let's say under research, we were searching Microsoft because it popped up.
They are clicking from this little overview question "add to watchlist". In my case, sincerity have a few watchlist, it's asking me where I want to add it.
So, if you had nothing, it's just going to say "list one, list two, list three" and you simply select the one you want.
Or here let's say I pick "test list" and that's where I wanted to be added.
Like our client, you say how do I see my list? From this, what we can do is we can use on the top right where we have those quick links. The last one is "watchlist".
Now, it is possible sometimes if your screen is to Zoom didn't, you might not be able to see it so just be careful of that.
But in my case it's the last one. So were going to click on "watchlist".
Now we are seeing one list of the time.
For a single view of each list.
We had added it to "test list" let's click there. We can see here the Microsoft that I just added. Now, what's really nice about our watchlist is that you can see that we have information that might be relevant to you to look at the quote so you can see these four companies at once.
You can see the last price, the change, the bid and ask.
But if I were interested in the fundamentals for my watchlist I simply need to change tabs from quotes to fundamentals and then I'm going to get that information such as dividends, which we talked about previously, and, another thing that I feel not every investor knows about is our tracker. So, here is where you would be able to put in "okay, I want to see what if I were to buy Microsoft and I were to buy 20 shares at 410.
What this would look like if I were to hold it. So with time you will see that is value changes.
I cheated a bit and put a price that is lower than the markets. So I'm seeing that I would've made a profit of 31 bucks.
But this is a really good way to keep track and lastly, from this watchlist, there is a multi-list view.
So if, what was important to me was to see many listed once, I can do this because maybe what's important is just to see the price.
So just don't forget about that. We have single list view and multi-list view.
>> I like that tracker function. I would like to see oh smart I am of the make-believe world.
>> Exactly.
>> I have to figure out how to be smarter in the real world to and I will have the whole package! Another question here.
Someone wants to know where I can find insider activity information.
I can imagine making purchases within their company and a bit of insight in that company.
At least for some investors.
>> Exactly. So this is different than the illegal weather not supposed to be placing any trades.
Here this is everything that is tracked.
So when you are an insider, every buy/sell that they place gets tracked and that's what guessing the client wants to look at.
So let's go to WebBroker where I can show you where this information is.
So from our main menu, we are going to click on "research".
And from here were going to go under "markets".
And then "reports".
From here we need to scroll a little bit.
Until we get to this section.
So where it says "insider insights, here is where you will see daily insider pics, market insiders, there's even more names.
So there is quite a lot here. If you wanted to dive a little deeper, there is even one based on sectors. So here there is a lot of reports that you can look into.
And then there is even the US side, so that's where you would go. So again, to summarize, it's going to be an WebBroker under research and then reports and then scroll, scroll, scroll to the right side.
Everything it says Inc.
is going to be that insider reports.
>> Great stuff.
We'll be back with your questions with Meagan Henriques and as always make sure to do your own research before making any investment decisions and a reminder that you can get in touch with us at any time.
Do you have a question about investing, or what is driving the markets? Our guests are eager to answer your questions so send them to us here at MoneyTalk Live. You can send your questions two ways: you can send us an email any time at moneytalklive@td.com or you can use the question box at the bottom screen right here on WebBroker just type your question and hit "send". We will see if one of our guests can get you the answer right here at MoneyTalk Live!
>> (Music) >> We are having a look at td's advanced dashboard. Apply them designed for active traders available through TD Direct Investing. Here's the heat function.
A nice marker of the market moving. First trading day of the month. We are seeing some pressure to the downside with Bay Street and Wall Street. Let's hone in by price and volume. We can see clear weakness in some of the big energy oil and gas names. Although the Uranian plays like Cameco are also under pressure.
You can see a lot of the mining companies under pressure. We do of the price of oil down today. Fairly significantly. Some concerns about the Chinese economy and hence the demand that they will have for crude oil and also this idea that OPEC as soon as next month, will hike production.
So some concerns and that energy space.
If the price of crude oil, American benchmark down about 4% rather 70 bucks a barrel up. Some of the big oil and gas names Munich over the oil and mining space. Not only is gold to the downside but I'm also looking at silver on my screen, Hopper down about 3%. In a few other of the metals also down to around that same area.
So it's deftly having an effect on the minors.
But maybe some more sensitivity looking utility plays like FTS or America showing some modest upside plus with Telus pretty yield sensitive.
South of the border some weak factory data out of the states. Concerns get over the strength of the economy. We had a nice run with some of these tech stocks giving back today. Nvidia down… Not a lot agreed on that screen although some of the yield sensitive telecoms are showing some strength.
>> We are back now with Meagan Henriques from TD Direct Investing with more questions. (Greg reads out the question¸) >> Okay. This is a really good question.
And for this, I am going to show it through WebBroker.
Even though I don't want to be judged because we are using a demo account so it's a lot of red. But it will still be the same principle.
>> That's not your real life right?
>> Yeah this isn't my real tree. Once in WebBroker, if you have a margin account, let's first check how much margin I have or don't have.
Based on my margin account.
This demo account, I'm going to click on "accounts".
And I'm going to go under "holdings".
And if I did have any holdings that are here, and I have not yet used any margin, that are margin eligible, then that would have my margin value here at a certain value.
Hopefully not negative like this demo account.
But as long as it's positive, you would be able to use that money to buy more shares or even to withdraw to your Bank account.
Another place that you'd be able to see exactly how much margin you have when placing your trades to make sure you don't go over would be money would be on the top right when you click on that "buy and sell". Here on the right it's going to say "cash" so let's say your margin account you didn't have any cash because every things been invested but your buying power actually takes into account for that account, in this case, the Canadian margin, how much margin do you have available to you to use? So if this value is positive, it would allow you to place the trade. Just don't forget that any amount that you borrow, you will be having to pay interest on that value and if ever you're in a margin call, meeting you've borrowed more than you're entitled to, because it is based on the value of the stock so if you drop significantly, that we are not really allowing you more than that. So then you might have to sell or transfer money into your margin account to cover that margin call.
So I would probably suggest keeping a decent buffer but otherwise that's how you can verify how much margin you have and you can use it for, again, transferring into your Bank account or placing more trades within it.
>> Another question from the audience. Can I convert TD Direct Investing RRSP plan to eight are RIF plan?
>> This a really good question.
A lot of times people when they decide to go to meeting funds for their RRSP, there will be a fee to withdraw from your RRSP because that's meant for your retirement.
It's not meant for a source of income.
So you can convert your RRSP into a RRIF or "registered retirement income fund" at any point.
The only problem is that now, that value that you withdraw is going to incur a tax document saying this is your income, this is how much you withdrawn… So you do need to be Strategic with it if it makes sense.
But you would be able to converted by opening our RIF account and transferring from your RRSP or into your RIF and you can transfer as is another thing I want to note is before you are 71, you can choose how much you want to transfer from your RRSP into your RIF. Once you are 71, than everything, you can have anything left in your RRSP. It has to be converted into your riff account.
>> Great things to know there.
We are going to prove a very popular guess and you may get a lot of questions coming in. A loyal viewer Jeff wants to know when you will see the total analyst ranking from top to bottom?
>> This is something that we can-ish but not exactly the way you want. I'm hoping from viewer feedback this will be implanted in the future.
Let me show you what they are referring about.
So back in WebBroker, if we were to go under "accounts" and then we go to, sorry not accounts, we go under "research" and we go to "analyst Centre".
And then from here, what you could do, one way to start off is to filter by analyst ranking and then now we are only seeing analysts that have more than four stars.
So let's say I were to pick this one, the first one that came up on the list, so fresh pet and then on to go back to analyst.
And when we scroll lower, we are going to be seeing the different analysts that I sent for this company whether they deem it a buy, hold or sell.
There 12 month projection of where the stock will go in a year. The question is can we see there ranking.
It's going to be individual.
So when I click on this, Peter Benedict, we see his win/loss rates, we see how many times he's been successful and if we click on the profile… Then, we will be able to see that he is ranked 46th out of the 9000.
So at the moment, it's really individual based on the different analysts but if ever you did want to, kind of give your feedback, eventually you just click on the top analyst, what you can do is on the top, with the contact us, you can have your say by letting us know what you want to see in the future.
So new features, services that you would like us to eventually implement.
>> Some clever reverse engineering there from you Meagan to get to the heart of it as you said. Hope it's a great answer for you Jeff and you can >> What a great debut show you had.
>> Thanks for having me.
>> Meagan Henriques Senior Client Education Instructor TD Direct Investing.
Stay tuned for tomorrow's show, action analysis.
Of course the Bank of Canada has a rate decision in the morning.
Andrew Kelvin will be here to break it down for us, head of Canadian global rates strategy taking your questions with the Bank of Canada, interest rates in the economy, all the good stuff and a reminder that you can email us anytime at moneytalklive@td.com with your questions.
That's all the time we have for the show today. Thanks for watching and we will see you tomorrow.
[music]
>>Hello I'm Greg Bonnell and welcome to MoneyTalk Live, brought to you by TD Direct Investing.
Every day I'll be doing from guess from across TD, many of whom you'll only see here.
We we'll take you through it's moving the markets and answer your questions about investing.
Coming up on today's show Megan Henricks from TD Direct Investing will answer your questions on how to get more on the WebBroker platform.
Last will bigger preview on what to expect from tomorrow's Bank of Canada rate decision. You can email us anytime at moneytalklive@td.com or fill out that viewer response box under the video player in WebBroker.
Let's get you an update of the markets before we get to our guest of the day.
Welcome to the month of September! Getting serious now aren't we.
September doesn't have a great track record for stocks. Let's see what's happening here on Bay Street, the TSX Composite Index right now are seeing some downside pressure at 23,053.
Not actually correlating with what I'm seeing on my WebBroker screen.
My WebBroker screen is the one that is wrong. This one is the one that is correct.
Down one of the quarter percent, seeing weakness in oil and gas, seeing weakness in some of the metals so it is dragging down those two big areas of the market.
OPEC expected to hike production next month.
We have China's economic growth and demand. Let's start with Suncor.
All the major oil and gas companies under pressure.
Kinross Gold want to check on that space as well were seeing some pull back on some of the gold miners 11 bucks and 66 shares September seems to be living up to its reputation at least on the first trading day of the month.
Historically not a great month for stocks.
The S&P 500 down 80 points almost 1/2%.
The tech heavy NASDAQ down a little more than that.
Down more than a full 2%, indeed 2.
3%. Nvidia, big part of the story here today. I want to run up the stock is had over the last year or two.
But since reporting its earnings, they were good but not spectacular. It's been a bit of a different story today. Nvidia down more than 7%. Hundred and 10 bucks and $0.55 a share. And that's your market update.
We are joined now by Megan Henricks, Senior Client Education Instructor with TD Direct Investing taking your questions with the WebBroker platform. Not Meg and this is the first full show, looking forward to it.
>> Grade Greg I'm looking forward to and excited to be here.
>> First question here (Greg it reads the question) >> So before I go into the answer for this, let's just break down some of the elements of this question. So as you know, this is pretty new for direct investing where you can invest in fractional shares or partial shares. Where you are not limited to having to buy a full share. So if I wanted to get .2 up a share, I could.
Then there is drips which are dividend reinvestment programs where it's a really great way that, when you receive the dividend, you can reinvest it to buy more of that company.
So putting the two together, currently eight, the drip program of the dividend reinvestment program would not allow us to buy a partial shares but you still would be able to count that when you're receiving the dividend.
>> Interesting I was thinking about that myself this morning.
I was looking through my WebBroker portfolio and wondered how that would work. Glad we got that cleared up. Another question here about fractional shares being new to the platform. Someone wants you to explain how dividends with fractional shares work.
>> Okay so this is a really cool concept with fractional shares, partial shares because, if I have, for instance, 100.52 shares of the Company, it's going to be on that full total that dividend gets calculated on.
So, just a reminder to the audience, dividends are going to be for companies that decide to give a portion of their profits. They can choose "do I want to reinvested back into the company or do I want to give a portion back shareholders?".
If they decide to give that portion back to shareholders that could mean in the form of a dividend. So again, with these fractional shares, you can be receiving more of a dividend because all of your money can be invested in that. Like stocks or ETF's. So that can help accumulate your funds.
>> Of course over the Summer Meigan, we did launch fractional shares on the platform.
Sometimes during the Summer people go on vacation and don't pay attention us carefully. Maybe if we pull back a little just remind us a little about what we've done here and how it works on WebBroker.
> Yeah.
So how it would work on WebBroker is based on again the quantity that you have, if that company does pay a dividend, on record date you have a certain amount of shares, then that calculation gets, for instance, you get $0.10 per share, so based on the number shares that you have, times, that quantity times the number of shares, that can be receiving your account.
So this kind of works with the previous question where you can have that dividend paid out of cash.
Then you will see in your account cash as dividends.
In the account that you have.
It could be a tax-free savings account, an RRSP or if you are part of that dividend reinvestment plan, then, if it's an amount that can buy a full share, then that would go through. So you would get, let's say, to full shares and the residual would be paid out of cash.
>> While you're talking about that I just opened up a buy ticket on my WebBroker and for someone who is not been there for a while, you might notice, you want your symbol name, your by action price type, and that little thing that says fractional. Maybe walk us through this page in case someone who is interested in fractional shares, what that icon means and what it can do for them.
>> Let's get into it. In WebBroker if I were to, like you, start in order ticket, I will click on the "buy and sell" icon on the top.
Here I just got kicked out, it will be long.
>> Nothing like getting kicked out on live TV.
>> There is nothing like it!
>> We are back in.
> Don't forget to read your priority message because we do have a little celebrating the 40th birthday of TD Direct Investing.
So you can be entitled to some free trades if you do partial shares.
Okay so let's get into it. Back on WebBroker, let's go back to "buy and sell". Like you mentioned, here, there is this new icon. This looks a little different than before we launch the partial shares, fractional shares.
Let's say I were to put McDonald's in.
We have our quote on the right and then if I place this as a market order, I can see here that it is eligible for that fractional shares. So if I had, for instance, $2000 that I wanted to invest, this system will do that calculation for me. So it will tell me okay, for the $2000 without Commission, I can buy 6.98641 shares of McDonald's.
But keep in mind, this would be a market order.
Meaning that you're buying it at the current best price.
But you don't really have control over what that price would be.
Where is if you change this from market to limit, then you see the fractional got stricken out and now, we are simply limited to putting that price that we are comfortable with. So let's say 285.
Then it's telling us again full shares, how many we can do.
Hopefully that makes sense now!
>> Perfectly makes sense. Nice way to walk through a new feature. Fairly new.
Several weeks under our belt here.
But people are still discovering for the first time so a nice walk through there.
Another question for you know from the audience.
(Greg reads out the question) >> Okay so this brings up that when we are dealing with mutual funds, there are different fees that can occur.
Some of them, we're gonna start off with sales charges where there could be front and or backend.
Front end, I like to think about it as, if you're going to a concert, you need to pay your ticket in order to have entry into that concert.
So this same with some of the mutual funds that have that front-end fee where you have to pay to get into that fund. Whereas back and, this is where if you hold it for a certain amount of time, the longer you hold it, the less that fee would be if you were to withdraw soon. So for instance, if you try to withdraw the first year, then they charge you. If you go the second year, they will charge you a little less until holding it for a long time, that fee would eventually drop to zero.
Now, that is less popular nowadays then, in fact, 2022. Deferred sales charges were banned.
So no more of that moving forward but if you did have a fund with that deferred sales charge, you might still have a fee associated to that.
So, that would be a holding charge that could be charged if you did have a front or backend load.
Another thing that, from this question they're talking about, is if I were to transfer from another institution to TD, for instance, if there would be any type of fee. So that would be a short-term trading fee.
So this is to kind of reduce investors from getting in and out of the fund which has an impact on profits and now they are placing a lot of effort into redeeming units, creating units and what not so to avoid that, there usually can be a short-term trading fee which for instance, could be up to 2% of the purchase of the cost of the purchase that you did and it will be set for a certain amount of time.
So, for instance, some index funds will have about 30 days where, after the 30 days, then you would not be charge that short-term trading but under that 30 days, you could be charged. So those are some things to avoid.
Now, when it comes to that question that the client was asking, here, what is separate is that you were holding that you mutual fund with the holding company. So that means you, you don't have to worry about that short-term trading because you still have that fund and have been investing in that fund. It is just now the shield of where it is instead of that basket be without other financial institution, but now that mutual fund is with us and you would not have to worry.
But of course if you are concerned, you can always call and speak with investment representatives for them to verify how long you build it for.
>> Interesting stuff on that and we will get back to your questions on WebBroker with Megan Henricks in just a moment's time.
A reminder of course that you can get in touch with us any time by emailing moneytalklive@td.com or fillet of your response box under the video player and WebBroker.
Now let's get you updated on some of the top stories in the world of business and take a look at how the markets are trading.
Shares of United States Steel are in the spotlight today as you can see right now down to the tune of almost 5%. That after democratic residential candidate Kamala Harris said she opposes the sale of U.S.
Steel to Japan's Nippon Steel.
Harris told a rally in Pittsburgh Pennsylvania on Monday the company should remain US owned and operated.
The Japanese company is offering $15 billion to acquire U.S. Steel.
Tesla is reporting a sales rebound in China for last month, selling more than 63000 Cars in August. While that represents a 37% jump in sales volumes month over month, Tesla is still lagging Chinese automakers including beat YD which reporting more than 370,000 car sales for the month.
Parkland Corps is putting Florida assets on the cellblock. In the Calgary-based firm has some 100 retail locations and for bulk storage plants and warehouses in this state, among other assets, Mark-says it believes there is substantial interest in a sale, and expect to deal with in the next year to 18 months.
Let's check on the markets first trading day in September, you probably know for your own experience, September does not have a great reputation when it comes to equity returns. It can be known as a bit of a down month.
Today starting on a down note. 293 points of the whole, they TSX Composite Index down more about one of the quarter percent S&P 500 (…) That broader REIT of the American market down 1%.
Back there with Megan Henricks taking your questions about WebBroker.
Excellent for you here Meigan.
Someone wants to know can I view or transfer the WebBroker Securities between TD and easy trade accounts?
>> They are different even though they are both technically TD Direct Investing with WebBroker which is the plot from that we utilize, you have access to different products. Your stocks, ETF's, mutual funds, fixed income, GICs. A lot of choices and it's really meant for investors who want to invest themselves, want to do the research themselves as well so they want to put in that time.
Where is for easy trade, it's for those who really just want to start investing.
They don't want like, to do too much analysis or what not. Just the basics to get going.
In another main difference between them is going to be that on the easy trade, it is going to be mobile only. It's actually for each calendar year that it resets so that's a big part for that. But again it is mobile only and their only certain accounts that you can open with easy trade.
So now that we know the difference between them, if you did want to go and transfer between one to the other, if it were to be Securities, then, for that you would have to call, speak to an investment representative and they will be able to do that for you.
If you said we just wanted to transfer cash to start investing, that you would be able to do online whether it be through WebBroker or on easy trade itself. They are going to be linked online so you will be able to do it.
>> Interesting stuff there.
Another question for you here, someone wants to know "how do I learn options trading?".
For the people not familiar with options, what are you exactly doing when you're trading options?
>> Yeah, so options are a derivative of… Products so in terms of risk/reward, it is riskier but with that there is the potential to have a higher reward.
So it is going to be kind of like related if you want to think about it that way that, let's say as an example, we had company A/B/C/D. Your option was for this company to go up because options are in contracts for each contract represents 100 shares, if that option were to go up a dollar, you are up $100. But to the same token, if you're down a dollar, you are down hundred dollars. So again, you can see here the impact of risk. Let's actually show you in WebBroker where you can go to learn more about options.
When we are on the platform, we can use our main menu and go under "learn".
This will bring you to our Learning Center.
We have so much information over here and since we understand that people learn in different ways, we do our different vehicles that you can learn about options.
I'm going to take you through some of them. In our video lesson, think of these like a YouTube playlist.
What you could do here is go under the individual lessons or, I personally like the chorus.
On the right if I were to use the filters, I'm going to use the filters here… And I'm going to find under "investments", I'm going to enable "options". I could put in more if I wanted to but for right now, this is the one that I care about.
So when that's done, I am simply going to click on "apply filters".
And then here, you can see that we have seven related to options. Based on the title you can see which one you might be interested in.
So let's say an introduction to options, this one has 11 lessons for a total of 46 minutes.
So you can pause and go back and see what fits there.
If you were to go to "lessons", it actually combines in some of the webinars we've done.
So webinars are when we interview industry professionals and if you attend a live session, you will be able to ask that guest your questions and, you know, they take as many questions as possible so it's possible that they choose yours. This is where, again, if you wanted to and you didn't filter that out, you would also be able to see webinars.
Lastly, in terms of education, if we go back to that "learn" which will bring you back to our Learning Center, we do have master classes.
So here, these are live sessions where, throughout the hour, you can ask the instructor your questions. So here, you can go through the list of live classes we have.
We do have a lot of option ones.
You can skim through the list. Register for a session and then attend that way as well.
>> You also have all those nice tabs and one that says "options" and that brings the options chain. If you don't know what you're looking at you might need to get into one of those lessons first if you feel you are looking at the options chains wondering what it's trying to tell me.
>> To point that out if you were just to trade in that and if you did not know that each contract represents 100 shares, it will be a big surprise if ever your option gets exercised and now you have to buy 100 shares of the company. So yeah. It is very important to get educated before investing in options.
>> Education first. A great run down there is Meigan was saying. There is inherent risk in options trading. You want to do your own research before making investment decisions.
(Greg reads the next question) What if I want that option reality? How do they go about that?
>> Here will depend on the type of account that they have.
So for instance, there are different accounts that you can have with TD Direct Investing, if you're WebBroker, so you can have nonregistered accounts or registered accounts. And in those nonregistered accounts, there is a cash account where you're investing with the money that you have, so for instance, a $5000, I'm only investing with that $1000.
Or, I can have a margin account where here, I can borrow.
So even though I may only have $1000, I can invest in something with, let's say, 1500 and I'm borrowing the 500th.
Of course I will have to pay interest on the value that I borrow.
But just to know the big difference between cash and margin. So, if you did have a cash account, then you would need to create a brand-new account on WebBroker and make sure you open it as margin at this time were as if you have a margin account or any other registered account, like tax-free saving account, registered retired savings account or RRSP, and so on, then what you can do is you can actually call and ask to add option privileges to your account. Now, there are certain preliminaries that you half to have in order to get options approval such as at least one year of stock trading experience. With a minimum of 25,000 in annual income or net worth.
The majority being physically present in Canada and then comes the different levels of options approval you can have so as we talk a little bit about options, there is a lot of we can there can be risk involves other it is important understand it.
There are two groups of options where there's calls and there's (…) You can either buy the option or sell the option.
Not because some option strategies are very risky and, you know, the effects of it can have you being in a margin call potentially, certain options are going to require more in account equities and experience with stocks and options.
So be mindful of that.
But with registered accounts, the maximum you can get in terms of strategies would be buying long calls and is selling covered calls.
Anything more than that is going to be only in the margin account if you get approval.
>>'s a nice clear breakdown on that.
Thanks Meigan – as always make sure to do your own research before making investment decisions.
We will get back to your questions with Meigan in just a moment's time.
A reminder of course you can get in touch with us at any time.
Do you have a question about investing, or what is driving the markets? Our guests are eager to answer your questions so send them to us here at MoneyTalk Live. You can send your questions two ways: you can send us an email any time at moneytalklive@td.com or you can use the question box at the bottom screen right here on WebBroker just type your question and hit "send". We will see if one of our guests can get you the answer right here at MoneyTalk Live!
>> September is going to be a busy month.
We have lots on the calendar including tomorrow morning, a Bank of Canada rate decision. Now, as widely expected on the street, we may get another cut from the Bank of Canada.
TD Securities for its part expects a 25 basis got tomorrow.
That brings the key rate down if it happens to 4.25% and that will be the third consecutive meeting with a cut from the Bank of Canada so if that does transpire tomorrow, the street is fully pricing that in, TD Securities believes he will get 1/4 of a point of a cut what happens after that?
3 cups in a row as we move deeper into the future, you can see, from this chart, this is the implied overnight rate by meeting.
This means the market pricing and what the market is expecting rates to end up. You can see by the time we get to next June, we are just a little shy there about 3 1/4% on that key rate from the Bank of Canada. So, clearly the market pricing in several more cuts before we get to the eve of next Summer.
So that is the path forward.
What is the rationale of the market believes we are going to get successive cuts into next year? First of course is the labour market.
The let's take a look at this.
In terms of where we are right now, we do have the employment rate moving lower.
The employment rate of course the unemployment rate conversely has been moving higher lately.
Giving the banks and rationale to say we are seeing a cooldown of the labour market, job growth over a six month average that we are seeing on the screen as well.
As been slowing. Now secondly, why did they raise rates so aggressively the first place? Not only the Bank of Canada but the US Federal Reserve, other central banks, it was trying to tamp down inflation. Go back to May 2022, looking at the inflation numbers there on that big spike where we saw, this is the challenge for the central banks. Obviously we've seen inflation moving back to where the 2% target again, giving our central-bank a little more license now.
Saying borrowing costs don't need to be so restrictive. Starting to get back to where we need to be and continue to bring them down. Of course it will be a big day, money talk as you covered, instant reaction to the decision for the Bank of Canada tomorrow morning.
Our Anthony Okolie will break down a decision right after it comes out from TD Asset Management. Then on this program, MoneyTalk Live, Andrew Kelvin, head of Canadian global rate strategy with TD Securities will be our guest and give us his reaction of what we heard from the Bank of Canada where they see the path forward being and then after you get back, he will take your questions about rates, the economy, about all kinds of stuff.
Andrew Kelvin.
You don't want to miss that one.
Back now with Meagan Henriques >> This is good for investors interested in fixed income products because they want some stability in their portfolios.
Different inequities that can be more volatile, typically in fixed income products like bonds, they will have less volatility than equities and they do give that pretty stable, you know exactly how much are going to receive in terms of your interest payments.
So, let's get into WebBroker so I can show you where you can see this tool of ours.
So once we are back in the platform, let's go under "research " and then under investments were going to go to "fixed income".
We are currently looking at the home page which has it broken down by the type of bond we are looking at.
So we have agency, corporate, Canadian bonds and so on. As well as broken down by different terms. So 0 to 5 years, 5 to 10 years, 10+.
A little note I wanted to add is these are going to be different then GICs, guaranteed investment certificates, which typically, if you want a higher rate, you have to be in and keep it for the length of time until that MGIC matures.
Aligned with bonds, since they do trade on the secondary market, you could sell, if ever you don't want to hold until the end.
So don't be scared if you see 10 years, that you are locked in for 10 years. You can always sell it on the market.
Now, because our question was to see the different currency, Canadian US, I'm going to show you my, maybe a little bit of a lazier way to do it but there is, also the fixed income search which I will get to after. But one way that I find a little easier is that if you already know what type of bonds you're interested in, let's say it was corporate bonds, and you know you are fine with 5 to 10 years, you can click from the home screen first.
Under corporate bonds, 5 to 10 years. And here is giving us all of our inventory that is available.
But, we can see here that it is mixed with Canadian currency as well as US currency.
So now, I kind of want to narrow in the elements that are important to me.
So under the same criteria of the search criteria, I'm going to click on "modify".
From here, it already has again, some elements, in Artie has enabled corporate bonds, my maturity, 5 to 10 years.
This time, under "currency" I'm going to change this to US dollars. And then from here I'm going to click "submit " and here we go.
It's filtered out to only see the US ones.
So that's one way to do it based on clicking from the home screen.
Otherwise, you can go directly from the fixed income search and here, you're putting every thing that you want.
So let's say you wanted any type of bonds.
And currency US.
You put in the elements you want.
Submit and then the system will try to find as many that match your criteria.
>> Great stuff.
Nice breakdown on that. Another question for you here Meagan.
(Greg reads out the question) erratic stuff in there and want to see the fruits of your labour. Where are they?
>> Probably what's happening as were looking at an individual company.
Let's get back into WebBroker.
I can show from that view how we can get to the watchlist.
Let's say under research, we were searching Microsoft because it popped up.
They are clicking from this little overview question "add to watchlist". In my case, sincerity have a few watchlist, it's asking me where I want to add it.
So, if you had nothing, it's just going to say "list one, list two, list three" and you simply select the one you want.
Or here let's say I pick "test list" and that's where I wanted to be added.
Like our client, you say how do I see my list? From this, what we can do is we can use on the top right where we have those quick links. The last one is "watchlist".
Now, it is possible sometimes if your screen is to Zoom didn't, you might not be able to see it so just be careful of that.
But in my case it's the last one. So were going to click on "watchlist".
Now we are seeing one list of the time.
For a single view of each list.
We had added it to "test list" let's click there. We can see here the Microsoft that I just added. Now, what's really nice about our watchlist is that you can see that we have information that might be relevant to you to look at the quote so you can see these four companies at once.
You can see the last price, the change, the bid and ask.
But if I were interested in the fundamentals for my watchlist I simply need to change tabs from quotes to fundamentals and then I'm going to get that information such as dividends, which we talked about previously, and, another thing that I feel not every investor knows about is our tracker. So, here is where you would be able to put in "okay, I want to see what if I were to buy Microsoft and I were to buy 20 shares at 410.
What this would look like if I were to hold it. So with time you will see that is value changes.
I cheated a bit and put a price that is lower than the markets. So I'm seeing that I would've made a profit of 31 bucks.
But this is a really good way to keep track and lastly, from this watchlist, there is a multi-list view.
So if, what was important to me was to see many listed once, I can do this because maybe what's important is just to see the price.
So just don't forget about that. We have single list view and multi-list view.
>> I like that tracker function. I would like to see oh smart I am of the make-believe world.
>> Exactly.
>> I have to figure out how to be smarter in the real world to and I will have the whole package! Another question here.
Someone wants to know where I can find insider activity information.
I can imagine making purchases within their company and a bit of insight in that company.
At least for some investors.
>> Exactly. So this is different than the illegal weather not supposed to be placing any trades.
Here this is everything that is tracked.
So when you are an insider, every buy/sell that they place gets tracked and that's what guessing the client wants to look at.
So let's go to WebBroker where I can show you where this information is.
So from our main menu, we are going to click on "research".
And from here were going to go under "markets".
And then "reports".
From here we need to scroll a little bit.
Until we get to this section.
So where it says "insider insights, here is where you will see daily insider pics, market insiders, there's even more names.
So there is quite a lot here. If you wanted to dive a little deeper, there is even one based on sectors. So here there is a lot of reports that you can look into.
And then there is even the US side, so that's where you would go. So again, to summarize, it's going to be an WebBroker under research and then reports and then scroll, scroll, scroll to the right side.
Everything it says Inc.
is going to be that insider reports.
>> Great stuff.
We'll be back with your questions with Meagan Henriques and as always make sure to do your own research before making any investment decisions and a reminder that you can get in touch with us at any time.
Do you have a question about investing, or what is driving the markets? Our guests are eager to answer your questions so send them to us here at MoneyTalk Live. You can send your questions two ways: you can send us an email any time at moneytalklive@td.com or you can use the question box at the bottom screen right here on WebBroker just type your question and hit "send". We will see if one of our guests can get you the answer right here at MoneyTalk Live!
>> (Music) >> We are having a look at td's advanced dashboard. Apply them designed for active traders available through TD Direct Investing. Here's the heat function.
A nice marker of the market moving. First trading day of the month. We are seeing some pressure to the downside with Bay Street and Wall Street. Let's hone in by price and volume. We can see clear weakness in some of the big energy oil and gas names. Although the Uranian plays like Cameco are also under pressure.
You can see a lot of the mining companies under pressure. We do of the price of oil down today. Fairly significantly. Some concerns about the Chinese economy and hence the demand that they will have for crude oil and also this idea that OPEC as soon as next month, will hike production.
So some concerns and that energy space.
If the price of crude oil, American benchmark down about 4% rather 70 bucks a barrel up. Some of the big oil and gas names Munich over the oil and mining space. Not only is gold to the downside but I'm also looking at silver on my screen, Hopper down about 3%. In a few other of the metals also down to around that same area.
So it's deftly having an effect on the minors.
But maybe some more sensitivity looking utility plays like FTS or America showing some modest upside plus with Telus pretty yield sensitive.
South of the border some weak factory data out of the states. Concerns get over the strength of the economy. We had a nice run with some of these tech stocks giving back today. Nvidia down… Not a lot agreed on that screen although some of the yield sensitive telecoms are showing some strength.
>> We are back now with Meagan Henriques from TD Direct Investing with more questions. (Greg reads out the question¸) >> Okay. This is a really good question.
And for this, I am going to show it through WebBroker.
Even though I don't want to be judged because we are using a demo account so it's a lot of red. But it will still be the same principle.
>> That's not your real life right?
>> Yeah this isn't my real tree. Once in WebBroker, if you have a margin account, let's first check how much margin I have or don't have.
Based on my margin account.
This demo account, I'm going to click on "accounts".
And I'm going to go under "holdings".
And if I did have any holdings that are here, and I have not yet used any margin, that are margin eligible, then that would have my margin value here at a certain value.
Hopefully not negative like this demo account.
But as long as it's positive, you would be able to use that money to buy more shares or even to withdraw to your Bank account.
Another place that you'd be able to see exactly how much margin you have when placing your trades to make sure you don't go over would be money would be on the top right when you click on that "buy and sell". Here on the right it's going to say "cash" so let's say your margin account you didn't have any cash because every things been invested but your buying power actually takes into account for that account, in this case, the Canadian margin, how much margin do you have available to you to use? So if this value is positive, it would allow you to place the trade. Just don't forget that any amount that you borrow, you will be having to pay interest on that value and if ever you're in a margin call, meeting you've borrowed more than you're entitled to, because it is based on the value of the stock so if you drop significantly, that we are not really allowing you more than that. So then you might have to sell or transfer money into your margin account to cover that margin call.
So I would probably suggest keeping a decent buffer but otherwise that's how you can verify how much margin you have and you can use it for, again, transferring into your Bank account or placing more trades within it.
>> Another question from the audience. Can I convert TD Direct Investing RRSP plan to eight are RIF plan?
>> This a really good question.
A lot of times people when they decide to go to meeting funds for their RRSP, there will be a fee to withdraw from your RRSP because that's meant for your retirement.
It's not meant for a source of income.
So you can convert your RRSP into a RRIF or "registered retirement income fund" at any point.
The only problem is that now, that value that you withdraw is going to incur a tax document saying this is your income, this is how much you withdrawn… So you do need to be Strategic with it if it makes sense.
But you would be able to converted by opening our RIF account and transferring from your RRSP or into your RIF and you can transfer as is another thing I want to note is before you are 71, you can choose how much you want to transfer from your RRSP into your RIF. Once you are 71, than everything, you can have anything left in your RRSP. It has to be converted into your riff account.
>> Great things to know there.
We are going to prove a very popular guess and you may get a lot of questions coming in. A loyal viewer Jeff wants to know when you will see the total analyst ranking from top to bottom?
>> This is something that we can-ish but not exactly the way you want. I'm hoping from viewer feedback this will be implanted in the future.
Let me show you what they are referring about.
So back in WebBroker, if we were to go under "accounts" and then we go to, sorry not accounts, we go under "research" and we go to "analyst Centre".
And then from here, what you could do, one way to start off is to filter by analyst ranking and then now we are only seeing analysts that have more than four stars.
So let's say I were to pick this one, the first one that came up on the list, so fresh pet and then on to go back to analyst.
And when we scroll lower, we are going to be seeing the different analysts that I sent for this company whether they deem it a buy, hold or sell.
There 12 month projection of where the stock will go in a year. The question is can we see there ranking.
It's going to be individual.
So when I click on this, Peter Benedict, we see his win/loss rates, we see how many times he's been successful and if we click on the profile… Then, we will be able to see that he is ranked 46th out of the 9000.
So at the moment, it's really individual based on the different analysts but if ever you did want to, kind of give your feedback, eventually you just click on the top analyst, what you can do is on the top, with the contact us, you can have your say by letting us know what you want to see in the future.
So new features, services that you would like us to eventually implement.
>> Some clever reverse engineering there from you Meagan to get to the heart of it as you said. Hope it's a great answer for you Jeff and you can >> What a great debut show you had.
>> Thanks for having me.
>> Meagan Henriques Senior Client Education Instructor TD Direct Investing.
Stay tuned for tomorrow's show, action analysis.
Of course the Bank of Canada has a rate decision in the morning.
Andrew Kelvin will be here to break it down for us, head of Canadian global rates strategy taking your questions with the Bank of Canada, interest rates in the economy, all the good stuff and a reminder that you can email us anytime at moneytalklive@td.com with your questions.
That's all the time we have for the show today. Thanks for watching and we will see you tomorrow.
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