Tax Efficient Solutions
TD Direct Investing has tax-efficient mutual fund solutions that can help you defer and pay less tax on your non-registered investments, including TD Mutual Funds Corporate Class.
What is a Corporate Class fund?
Corporate Class is a mutual fund family set up within a corporate structure. Each fund is offered as a different class of shares in the corporation. The benefit to you is that you can switch between class (funds) in the corporation without triggering capital gains or losses. That means you don't pay taxes on any capital gains until you take your money out of the corporation.
Defer taxes, grow your investments
The ability to defer taxes when you sell a fund and move into another means that you can have more money available to benefit from compound growth. This can lead to faster investment growth.
Strength of TD Mutual Funds
When you invest in the TD Mutual Funds Corporate Class, you also gain access to the strength and diversity of TD Mutual Funds. So you can grow your investments on your terms, confident that you have access to one of Canada's leading fund families.
Pay less tax
Another benefit of the TD Mutual Funds Corporate Class is that any fund distributions you receive are in the form of Canadian dividends or capital gains, which are taxed at a lower rate than interest income.
Is Corporate Class right for you?
Do you recognize yourself in any of the following scenarios? If so, you may benefit from TD Mutual Funds Corporate Class:
- I have maximized my RSP and TFSA and am looking for tax-effective investment opportunities
- My company pension plan limits my RSP contributions
- I want more control over the timing for realizing my capital gains