Q&A: TFSA confusion

Question: Please advise if you can you hold (buy or sell) non-Canadian products in a TFSA, specifically U.S. equities. According to a Scotiabank representative, you can hold Canadian products only within a TFSA. – Camile H.

Gordon Pape answers: Yes, you can buy U.S. stocks for a TFSA. In fact, any security that is eligible for an RRSP also qualifies for TFSAs. However, your specific account may not have this flexibility which is why you were told U.S. stocks were off-limits. You would need a self-directed plan to buy them, set up through a brokerage firm. Ask your BNS advisor exactly what type of TFSA you have — you may want to switch.

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