Big 6 third party GICs | GIC discussions | Discussion forum

hotmony said
I noticed BMO Investorline offers a few names RBCDS Direct doesn't: Street capital, Concentra, Shinhan, Sunlife

Anyone know other third party names besides usual being offered by the big 6 brokerages?

What has Street C., Concent., and Sunny been yielding going back to the last rate increase did any get up to 3%?  

Here's TDDI for 1 & 2 year product only -- not much choice

3rd party GIC rate from TDDI brokerage (I liked these two) 2yr 2.05% (Equitabe $1k min), 3yr 2.36% (Duo $3.5k min) ... monthly or semi-annual interest payout available at reduced rate

You will almost always get a better rate dealing directly with the GIC issuer (if you can) because the bank broker gets a commission and that mostly comes from a reduction in the GIC rate you get.

Just checked Scotia iTRADE.

Highest two for two year rates:

2.51% VersaBank ($1,000 minimum)
2.50% B2B Bank ($1,000), General Bank of Canada ($5,000)

Highest two for three year rates:

2.84% B2B Bank ($1,000), Home Equity ($5,000)
2.82% Home Trust ($5,000), Equitable Bank ($1,000), Versa Bank ($1,000)

hwyc said
Today I see five entries on 3-yr for 3%+ on TDDI (vs only two on our GIC chart). I believe they are CDIC insured. What's keeping them from transpiring these rates on their own website rates ? For example, LBC digital is 3% on TDDI but only 2.75% today on LBC digital website  

It is likely that TDDI customers have more money than run-of-the-mill. These FIs can hope to raise more money more quickly from clients who have more money.

The FIs may be assuming that rates are going to continue to rise. if so (and I would agree), it may be worth their while to stockpile funds from GIC investors and loan the out in future months at higher rates.

Loonie said
It is likely that TDDI customers have more money than run-of-the-mill. These FIs can hope to raise more money more quickly from clients who have more money.

The FIs may be assuming that rates are going to continue to rise. if so (and I would agree), it may be worth their while to stockpile funds from GIC investors and loan the out in future months at higher rates.  

Higher rates for GICs on the TDDI site may be necessary to induce TDDI investors to buy GICS. "Run-of-the-mill" people (your expression, not mine) may buy modest amounts of GICs, while more affluent individuals probably do not invest in GICs unless the rates are more attractive/a bit higher and that may be why the rates on TDDI are a bit higher as an incentive. Once GIC rates are 4% on iTrade, I will likely buy.

Checking 1-5 year GIC top five rates on TDDI
1y 2.15% - 2.25%
2y 2.88% - 2.95%
3y 3.35% 5 different bidders at this rate
4y 3.23% - 3.30%
5y 3.30% - 3.35%

Looks like everybody wants commitment for 3 yr (& not just Oaken)

1-5 year GIC top five rates seen on TDDI
1y 2.50% - 2.39%
2y 3.21% - 3.08%
3y 3.60% - 3.44%
4y 3.62% - 3.60%
5y 3.62% - 3.60%