RRSPs: Investment Eligibility

What Investments Are Allowed?
For the average person, most investments can be held in an RRSP. However, the government doesn't let every investment sit under the tax-sheltered, tax-deferred umbrella of an RRSP.

The following are eligible for your RRSP account:

Shares	Debt	Trusts	Contracts	Precious Metals
Stocks	Debt Obligations (Bonds)	Unit Trusts (Income Trusts)	Rights, Warrants, Options	Investment Grade Gold & Silver Bullion
Funds of Stocks (i.e. mutual funds)	Mortgages	Royalty Units	Depository Receipts	Investment Grade Gold & Silver Coins
Shares of Small Business Corporations	Installment Receipts	Partnership Units	Annuity Contracts

What Investments Are Not Allowed?
Although RRSPs allow Canadians to hold a wide variety of investments, you can't hold everything under the sun in your RRSP. Here are items that are not eligible as investments for your RRSP account:

Ineligible RRSP Investments

Employee options to purchase stock

Gold, silver and other precious metals

Commodity futures or contracts

Listed personal property such as works of art & antiques

Gems and other precious stones

Land

Bonds where the issuer is a wholly-owned subsidiary and the shares of its parent are not listed on a Canadian stock exchange

Mortgages on commercial properties owned by you or a family member

Small business investments

Puts and uncovered call options

Bonds or debentures of a company whose shares are listed only on a prescribed foreign stock exchange, even though the company\'s shares may be qualified

Source: Canada Revenue Agency

Foreign Content Rule
In addition to the above, RRSP holders were previously not able to hold more than 30% foreign property in their RRSP account. However, this restrictions was eliminated for the 2006 tax year.