Index Funds Explained: What to Put Inside Your TFSA & RRSP (Canada)

In a few months, your investment statement will show a number you've never seen: the real dollar cost of your fund fees, in dollars AND percentages. Canada's total cost reporting (CRM3) starts showing on statements in early 2027 — here's how to read it before it arrives. We break down how index funds actually work with real 2026 numbers: why index ETFs charging 0.06–0.25% beat active funds charging 2.0–2.5%, the $2,200 vs $200 yearly fee gap on a $100,000 portfolio, and the 30-year math — $10,000 at 7% becomes $71,968 at a 0.2% fee vs $40,817 at 2.2%. That's $31,151 eaten by fees alone. Plus: why 98.82% of Canadian equity funds trailed the index over 10 years, where index funds fit inside your TFSA ($7,000/yr) and RRSP (18% to $33,810), and a 3-step move to make before your 2027 statement lands. CHAPTERS: 00:00 — Hook: the number on your next statement 00:47 — What an index fund actually is 01:44 — The fee gap in dollars ($2,200 vs $200) 02:38 — The thirty-year cost ($71,968 vs $40,817) 03:38 — Why 98.82% of active funds trail the index 04:35 — The buckets: TFSA & RRSP (where the index fund lives) 05:25 — Your 3-step move before the 2027 statement 06:27 — Outro Educational only — not financial advice. Everyone's situation is different; talk to a qualified professional. 🎬 Watch our 60-second Short on how compound interest works: https://youtube.com/shorts/_4O5C0KrnmA #IndexFunds #PersonalFinanceCanada #TFSA #InvestingCanada #FinancialLiteracy