Cross-Border Services

If you are moving to Canada from the United States or are already a Canada resident, we can help you manage your finances, assets and investments including your 401(k), IRA and other accounts. Our financial advisors are dually licensed to work in both jurisdictions and are experienced in helping clients manage their separate finances in alignment with their goals.

Frequently asked questions

Is there such a thing as a Canadian 401(k)?

No. The equivalent in Canada to a 401(k) plan is a Registered Retirement Savings Plan (RRSP). You cannot “roll over” 401(k) and IRA accounts into RRSPs without first collapsing the account and taking potentially high taxes and penalties.

My financial advisor or investment manager said they can no longer manage my accounts. What do I need to do?

Most U.S. brokerage firms cannot hold 401(k)s or IRAs for people residing in Canada. But Raymond James (USA) Ltd. can. We can help you maintain these accounts, so you won’t have to collapse or liquidate them, actions that risk significant penalties or tax consequences.

What will happen if I don’t transfer my retirement investment account?

Most U.S. brokerages will give 30, 60 or 90 days for clients to move their assets to an eligible firm. But others may sell off invested assets at the current market value and simply send a cheque for the balance, potentially leading to significant penalties or tax consequences.

Can a Raymond James (USA) Ltd. financial advisor manage both my Canadian and U.S. investments?

Yes. Raymond James (USA) Ltd. advisors are dually licensed to work with U.S.- and Canada-based clients and investment assets.

I am a resident of the U.S. or Canada, and I have received an inheritance from a relative across the border. What do I need to know to handle this appropriately?

We can help you open an account appropriate for your loved one’s gift that is consistent with your financial goals and is informed by the tax implications of the benefit.

If you are moving to the United States from Canada or are already a resident of the U.S., we can help you manage your assets and investments on both sides of the border through a single relationship with a dually licensed financial advisor.

Frequently asked questions

Is there such a thing as a U.S. RRSP?

No. In the U.S., a 401(k) plan and individual retirement account (IRA) are similar to an RRSP. However, you cannot “roll over” an RRSP into a 401(k) plan or IRA without first liquidating the RRSP, an action that could trigger significant penalties and taxes.

My financial advisor or investment manager said they can no longer manage my accounts. What do I need to do?

If you are a Canadian who moved to the U.S., you may be able to leave your RRSP in the hands of your Canadian brokerage, though the account may need to be self-directed. This means you would need to make all the investment decisions for your RRSP without the guidance of a financial advisor or investment manager. That’s where we can help. With Raymond James (USA) Ltd., we can hold your account and still provide ongoing investment guidance.

Are there special concerns about my existing retirement savings I need to consider in the U.S.?

RRSPs and TFSAs can create complex situations for taxpaying residents of the U.S. Our financial advisors, licensed in both jurisdictions, can provide guidance on how to manage those issues.

Canadian cash accounts can, in many cases, simply be moved to a U.S.-licensed firm. However, different actions may be required based on the types of assets. We can help you understand your choices and make decisions suitable for your personal situation and financial goals.

Can a Raymond James (USA) Ltd. financial advisor manage both my Canadian and U.S. investments?

Yes. Raymond James (USA) Ltd. advisors are dually licensed to work with Canada- and U.S.-based clients and investment assets.

I am a resident of the U.S. or Canada, and I have received an inheritance from a relative across the border. What do I need to know to handle this appropriately?

We can help you open an account appropriate for your loved one’s gift that is consistent with your financial goals and is informed by the tax implications of the benefit.

Brian, a Canadian executive, smooth sailed to the U.S., but his wealth didn’t.

With Canada and the U.S. sharing a border, a language, and a passion for sports, Brian didn’t think twice about starting a new life south of the border. Soon after he started living in the States, Brian learnt that managing his investment and retirement accounts on both sides of the border is anything but simple.

That’s because unlike cross-border financial advisors, most Canadian investment advisory firms aren’t registered to do business with Canadians who live in the United States.

Here’s a quick look at how Brian’s move to the U.S. complicated his financial situation and how we, as cross-border financial advisors, can help him navigate the investment pitfalls and opportunities such a move can bring.

After building a stellar career in Toronto, Brian landed an exciting new job as senior executive with a big firm in New York. He had it all planned out: spend at least 15 years working in the U.S. then move back to retire in his native Canada.

Before leaving for the U.S., Brian had contributed to his RRSP, and other non-registered investment accounts managed by his financial advisor in Canada. But since he became a U.S. resident, he wasn’t allowed to contribute to his RRSP as he only had U.S.-sourced income. As a result, Brian worked with a U.S.-based advisor who handled his 401(K), Roth IRA and non-registered savings in that country.

Cross-Border Wealth Management Made Simple

Working with two advisors in different countries scattered Brian’s wealth between varying plans and firms. He had to move his non-registered investment accounts from a Canadian to a U.S. brokerage firm, partially cutting ties with his Canadian advisor of many years. Additionally, Brian suffered a financial loss because he had to convert Canadian assets held in Canadian currency to U.S. dollars at a time when the greenback was expensive.

That’s where a cross-border financial advisor comes in.

At Patrimonia, our cross-border financial advisors are licensed in both the U.S. and Canada. We help professionals like Brian smoothly manage their financial assets across the Canada-U.S. border, so they don’t have to work with two advisors. We understand the investment challenges Canadians face when they move to the U.S. for work, and we develop comprehensive financial plans that enable them to meet their goals.

We can work with Brian to create a disciplined investment strategy and solid retirement plan with his North America-wide assets, all aimed at giving him financial peace of mind as he advances his career in the U.S. With our multi-currency platform, Brian can keep his Canadian assets in Canadian currency and wait for a more favorable time to convert them to U.S. dollars.

Considering a move from Canada to the U.S.? Reach out to us, so we can develop an effective financial plan and investment strategy that enables you to meet your lifestyle and retirement goals.