💼 Earn a Higher Return with GIC Laddering
Take the guesswork out of timing interest rates.
With the GIC Laddering Strategy, you stay continuously invested while
maximizing returns by reinvesting at the highest interest rate available
— typically the 5-year GIC.
🪜 How GIC Laddering Works
Step 1: Divide Your Investment
Split your total investment into 5 equal parts and invest them across GIC terms:
|
Term |
Interest Rate |
Allocation |
|
1 Year |
3.50% |
20% |
|
2 Year |
3.50% |
20% |
|
3 Year |
3.35% |
20% |
|
4 Year |
3.35% |
20% |
|
5 Year |
3.50% |
20% |
🔽 Year 1 Portfolio
Breakdown
🔁 Step 2: Reinvest
Annually
Each year, the GIC that matures is reinvested in a new
5-year GIC. This means:
- You
consistently invest at the highest available GIC rate.
- You
maintain liquidity, with 20% of your portfolio maturing each year.
📈 Why GIC Laddering Makes
Sense
✅ 1. Higher Long-Term Returns
You gradually shift your portfolio into higher-yielding
5-year GICs, increasing your average rate of return.
✅ 2. Guaranteed & Predictable
Your investment is:
- Guaranteed
(up to limits by Deposit Guarantee)
- Fixed
rate — you know exactly how much you’ll earn.
✅ 3. Liquidity
A portion of your investment matures every year,
providing access to cash if needed.
📊 Portfolio Evolution
Over 5 Years
If we simulate portfolio reinvestment over time, it will
gradually become fully invested in 5-year GICs.
Get 4% interest for your USD Savings Account + 1.75% for your CAD Cash Account and $25 Welcome Bonus when you sign up for a new account with Wealthsimple Canada: https://www.wealthsimple.com/invite
+ You get some of the best investments options: commission-free Stocks and ETFs, managed portfolios, crypto investments.
Here are the steps to get the 4% interest and $25 Welcome Bonus:
1. Enroll online following the link: https://my.wealthsimple.com
2. Make a deposit of minimum $1 in 30 days after opening the account.
3. The bonus will be deposited into your account!
- Welcome bonus of $25
-
High-interest USD Savings and CAD Cash Account with all the facilities
of a chequing account - one of the best on the market (no fees, no
foreign exchange fee)
- All types of accounts: TFSA, RRSP, FHSA, RESP, non-registered
- Managed Portfolios investments
- Stocks and ETFs self managed investments commission-free
- Crypto investments and transactions
- Easy manage your transactions using Wealthsimple App
______________________________________
1 Year GIC Rates and Promotions
| Bank | 1 Year GIC Interest % | Promotions |
|---|---|---|
| EQ Bank | 3.55% | $20 Bonus - Apply here! |
| Achieva Financial | 3.50% | $25 Bonus if you use Achieva Petal V879070291 and make a deposit of $250 or more - Apply here! |
| Tangerine | 3.20% | $25 Bonus when you use the Orange Key 34602475S1 - Apply here! |
| Alterna Bank | 2.90% | |
| Oaken Financial | 3.50% |
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