Overview
Depending on the security offering, it is possible to invest in certain FrontFundr opportunities through a Registered Account, such as an RRSP or TFSA. Investing through these accounts offers you the same benefits as holding cash or public equity in these accounts for exempt securities.
Limitation
Most large banks and institutions (e.g. TD, CIBC, BMO) will NOT hold exempt securities/shares of private companies in their plans. As a result, if you have an existing RRSP, TFSA or LIRA at these institutions you cannot use that account for your investment.
Availability
Subject to a company’s eligibility, FrontFundr works with the following trust companies that specialize in the private markets; Western Pacific Trust Company (WPTC), Olympia Trust and Odyssey Trust Company.
If the investment opportunity has been approved to accept investments through registered accounts, the trust companies that have approved the offering will be indicated under ‘Terms’ on the company’s campaign page, as well as the minimum required to be invested to use a registered account. If available, when you are making your investment,
you will be asked if you want to invest through a registered plan provided by one of the approved trust companies. If the company has decided to work with WPTC, you will be able to open an account directly through FrontFundr.
Once the trust company has opened your account, which can take a few business days, we will send you your investment documents and specific instructions to fund your new registered account. If the company has elected to work with Olympia Trust or another Trust Company, you will need to visit their website and open an account directly with them.
Once they have opened your account, please return to the investment and enter your plan details in the payment screen of your investment.
If you already have a TFSA, LIRA or RRSP at a Trust Company that has approved the investment opportunity – please select ‘Use existing trust account’ and input your plan number.
We cannot facilitate investments through your registered account held at another financial institution. However these accounts can be used to fund your new account at any of the trust companies we work with, if needed.