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by boulos 2072 days ago
Interesting! Thanks for clarifying!

Edit: And your brokerage doesn't force the settlement funds into your local currency at an exorbitant rate or anything? (I am deeply amused by your backdoor currency exchange)

1 comments

Not anymore. It’s fairly standard for Canadian brokerage accounts to have a US$ and CAD$ side.

You do have to 'journal' the holdings between them for my broker. This is now possible online, but used to require a phone call.

The big gotcha with this method (depending on your account and broker) is that you might need to wait for your 'buy' to settle (2 biz days I think?) before journalling, so you face some market risk).

The procedure is somewhat formalized: https://www.finiki.org/wiki/Norbert%27s_gambit

Yes, normally takes two days, and can see the reason why they want you to call them beside the client binding :)
Depends on the broker. Some make it instantly possible. Also instant if you already have a cross-listed holding.
Think it also depends on the interbank system