Based on the redemption criteria for redeeming your shares, you may need to meet a certain deadline before you can buy new shares with the Fonds. See Schedule 2 of the Prospectus for more information on this subject.
Note that if after making a redemption you decide to contribute to your RRSP+ with the Fonds again, you will still be eligible for the usual RRSP deductions, but you may no longer be entitled to the tax credits of 30% for labour-sponsored funds*, especially if you withdrew your savings from the Fonds for retirement or disability purposes.
Putting off redeeming your shares with the Fonds for retirement purposes means enjoying an additional 30% in tax savings for labour-sponsored funds over a longer period of time – a significant tax benefit for planning your retirement over the years.
Reminder: You are eligible for tax credits of 30%* until the end of the tax year in which you turn 64 years of age, if you meet the conditions set out in the prospectus.