(US) IRA account opened by a Canadian broker ?

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JohnFiscal
Posts: 1113
Joined: Mon Jan 06, 2014 3:28 pm
Location: US citizen now retired in Canada. Subject to income tax in both.

(US) IRA account opened by a Canadian broker ?

Post by JohnFiscal »

Some questions as I prepare for a move from the USA to Canada. Note that I am a US citizen; was recently granted Canadian Permanent Residency. Spouse has both Canadian and USA citizenship.

Yesterday I spoke with a Vanguard Flagship representative about what may occur with my accounts. He said something that doesn't make sense to me. He mentioned Vanguard Canada (not a retail firm, must buy via brokerage) and that my IRAs could be moved to Vanguard Canada, via a brokerage, although the available funds might not be exactly the same.

But will a Canadian brokerage really be able to set up a USA IRA account for me? I am thinking "no, that doesn't sound right".

Thoughts on that question, please?


A corollary to that is I don't want these accounts transmogrified into some other product form, such as Canadian RRSP, etc.

I am continuing to research all of the issues that we are presented with, financial and otherwise. Vanguard (USA) will permit the IRAs to continue to reside here although they will be restricted to withdrawals only. withdrawals are the only form of transaction permitted (not even rebalancing is permitted). I'll be looking into going with a brokerage but even that seems to be fraught as I read through our forum here and others.

I'll add that at 69 I am "retired"; not yet drawing Social Security, planning to wait until 70. So I plan no more contributions to the IRAs. Will be taking withdrawals in the next year or two.
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