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Microcap & Penny Stocks : Bid.com International (BIDS) -- Ignore unavailable to you. Want to Upgrade?

To: Troy C who wrote (8026)	1/30/1999 12:41:00 PM
From: Sili Investor	Read Replies (1) \| Respond to of 37507

>>>My self directed RSP contains only Bii shares. According to regulations, I'm only allowed to have a foreign content of no more 20%. So far I do not. When Bii goes Nasdaq, and say all shares are trading on Nasdaq, does this mean that my shares of Bii are now foreign? If so, how can I retain my shares of Bii?<<< Troyc, an excellent question. From my knowledge on RRSP rules, stocks you hold in there are considered foreign if they DO NOT trade on a Canadian exchange. Therefore, if they delisted from Toronto, they would be consider foreign if only traded on the NASDAQ. However, the chances of them delisting from Toronto would be slim to none. P.S. Being 33, I know you can afford the risk. But ONLY BII in your RRSP is very risky, no matter what its long term potential. Good luck! P.P.S. The foreign content is defined as the BASE COST of your investment. Meaning, if you bought BII at $2 (great pick!) and then they shot up to say $20, the content would still only be calculated on the $2, not the $20. Therefore, if you sold half your shares @ $20, and invested in GICs, Canadian stocks, etc. you would have satisfied the foreign content rules. Here's the calculation: bought 100 shares @ $2 = $200 now worth 100 shares @ $20 = $2000 If the only investment in your RRSP was BII, if you sold 50 shares of BII @$20, you would have $1000 Canadian content and only $100 foreign content (50 shares remaining multiplied by $2). Confusing, yes, but does it work, yes. Go talk to an advisor if this happens, it'll be worth the money!