Wait. Don't Hurray.

You've decided to place your RRSP money in an equity investment. But you haven't been following the market. Don't panic. Be patient. Wait until you can identify a bargain purchase. During the RRSP season (January and February), many institutions will offer you a bonus, such as 1/2 percent interest on your money, if you deposit it with them. Take the offer. "Park" your money until you can decide what equity purchase is best for you. Do check to determine whether there is any penalty for withdrawing or transferring your money out in a few weeks/months. Often, with money market funds, there is a 90-day waiting period or a penalty may be imposed if withdrawn beforehand. Historically, the stock market is expensive during this period. By monitoring/charting the stocks or equity mutual funds that you may purchase, you'll identify when the cost is low or lower later in the year. Using this strategy, you still receive your RRSP deduction and make your purchase when it is better to do so.