What is ACB (adjusted cost base) on my investment statement?

ACB (adjusted cost base) is your cost basis — the total amount you paid for a security including commissions, plus reinvested distributions. The CRA uses your ACB to calculate capital gains when you sell. For example, if you bought 100 shares at $20 ($2,000 ACB) and sold them for $3,000, your capital gain is $1,000. In a non-registered (taxable) account, half of that gain ($500) is included in your income. Your broker may track ACB for you, but it is your legal responsibility to report the correct amount to the CRA.

What is the difference between realized and unrealized gains on my statement?

An unrealized gain (or loss) is the difference between the current value of a holding you still own and what you paid for it. It exists only on paper and is not taxable until you sell. A realized gain occurs when you actually sell a security for more than your ACB — that is the taxable event. Your statement tracks both separately: unrealized gains show your current profit potential, while realized gains are what you report to the CRA as capital gains income.

Do I need to report investment income from a non-registered account on my taxes?

Yes. A non-registered (taxable) investment account generates three types of taxable income: interest income (fully taxable as ordinary income), Canadian dividends (grossed up and eligible for the dividend tax credit), and capital gains (50% inclusion rate). Your broker issues a T5 slip for interest and dividends and a T5008 slip for proceeds of disposition. You must report all of these on your T1 return. In a TFSA or RRSP, investment income is sheltered from tax.

Why does my investment statement show a different return than I expected?

Investment statements typically show two types of return: money-weighted return (takes into account the timing and size of your deposits and withdrawals — the return you personally experienced) and time-weighted return (the fund or portfolio performance independent of your cash flows — used to compare against benchmarks). A large contribution just before a market drop will make your money-weighted return look worse than the fund's actual performance. Both figures are legitimate and useful for different purposes.

What fees should I look for on my investment account statement?

Common fees on Canadian investment statements include: trading commissions (per-trade fees, typically $4.95–$9.99 at full-service discount brokers, or $0 at Wealthsimple Trade); account administration fees ($50–$100/year at some institutions, waived above asset thresholds); currency conversion fees (1.5–2.5% on USD transactions); and ECN/exchange fees (small per-share fees for some order types). MER on mutual funds and ETFs is already deducted from fund prices and will not appear as a separate line, but it is your largest ongoing cost.

How to Read Your Investment Account Statement in Canada (2026)

Sections of an Investment Account Statement

Section	What It Shows	What to Check
Account summary	Account number, type (TFSA, RRSP, non-reg, RESP), total market value	Confirm correct account type for tax purposes
Total market value	All holdings at current prices + cash	Your account’s total worth today
Total book value (ACB)	What you paid for all current holdings	Needed to calculate capital gains when you sell
Total unrealized gain/loss	Market value minus book value	Not taxable until you sell (irrelevant inside TFSA/RRSP)
Total realized gain/loss (YTD)	Profit/loss from sales made this year	Taxable in non-registered accounts; reported via T5008
Cash balance	Uninvested cash in the account	Earns interest (shown separately); available to invest
Holdings detail	Each position with units, price, market value, book value	Verify each holding is intended
Transactions	All buys, sells, dividends, fees, transfers	Verify everything; catch errors early
Income summary	Dividends, interest, distributions received	Used for T5 and T3 slips at year-end
Performance	Return % for the period, often money-weighted and time-weighted	Compare against benchmark and prior periods
Account fees	Trading commissions, admin fees, FX conversion fees	Minimizing fees directly improves net return

Understanding Your Holdings Detail

Column	What It Means	Non-Registered Note
Symbol / Name	ETF ticker or fund name	—
Quantity (shares/units)	Number of units held	—
Average cost per unit	Book value divided by units = your ACB per unit	Critical for capital gain calculation
Total book value	Your total cost of this position	CRA uses this to calculate gains when you sell
Current price	Market price per unit today	—
Total market value	Quantity × current price	—
Unrealized gain/loss $	Market value minus book value	Taxable only when you sell (in non-reg accounts)
Unrealized gain/loss %	Gain as a percentage of book value	Performance indicator

Realized vs Unrealized Gains Explained

Concept	Definition	Tax Impact (Non-Registered)
Unrealized gain	Holding is worth more than you paid; you still own it	None — not taxable until sold
Unrealized loss	Holding is worth less than you paid; you still own it	None — can’t claim the loss until sold
Realized gain	Sold for more than ACB	50% of gain included in income; reported on T1
Realized loss	Sold for less than ACB	Offsets capital gains; carried back 3 years or forward indefinitely
Capital gains inside TFSA	Any gain	Tax-free — never reported
Capital gains inside RRSP/RRIF	Any gain	Tax-deferred — taxed only on withdrawal as income

Types of Investment Income and Their Tax Treatment

Income Type	Account	Tax Treatment	Slip Issued
Interest (GIC, bond, HISA)	Non-registered	100% taxable as income	T5 (Box 13)
Canadian eligible dividends	Non-registered	Grossed up 138%; dividend tax credit applies	T5 (Box 24, 25)
Canadian ineligible dividends	Non-registered	Grossed up 115%; lower dividend tax credit	T5 (Box 10, 11)
Foreign dividends (e.g., US stocks)	Non-registered	100% taxable as foreign income; foreign tax credit for withholding paid	T5 (Box 15)
Capital gains	Non-registered	50% inclusion rate	T5008 (proceeds)
Any of the above	TFSA	Tax-free; never reported	None required
Any of the above	RRSP/RRIF	Tax-deferred; reported when withdrawn	T4RSP / T4RIF

Common Investment Account Fees

Fee Type	Typical Cost	How to Reduce It
Trading commission	$4.95–$9.99/trade (Questrade, Qtrade, iTrade)	Use Wealthsimple Trade ($0), or buy ETFs only (free to buy at Questrade)
Account administration fee	$50–$100/year	Waived if account balance exceeds threshold (often $15,000–$25,000)
USD handling / ECN fee	$0.0035/share ECN fee approx.	Batch orders; use limit orders
Currency conversion (FX)	1.5–2.5% on USD transactions	Use Norbert’s Gambit to convert at interbank rates
Management fee (robo-advisor)	0.20%–0.65% of assets/year	Appears as a direct debit from your account quarterly
MER (fund/ETF)	0.06%–2.50%+ annually	Already reflected in unit price; compare before buying

Reading the Transactions Section

Transaction Code	What It Means	Tax Note
BUY	Purchase of a security	Increases book value (ACB)
SELL	Sale of a security	Triggers capital gain/loss in non-registered accounts
DIV	Dividend paid	Taxable in non-reg; T5 issued at year-end
DIST	Fund distribution (may include return of capital)	Return of capital reduces your ACB
INT	Interest earned on cash balance	100% taxable in non-reg; T5 issued
FEE	Commission or admin fee	Not deductible for investors (deductible for some businesses)
TFR IN / TFR OUT	Transfer between your own accounts	Not a taxable event if same account type
JNLC	Journal entry for currency exchange	Note the exchange rate for any USD dispositions

Performance Metrics on Your Statement

Metric	What It Measures	When to Use It
Money-weighted return (MWR)	Your personal return accounting for the timing of deposits/withdrawals	How YOU did given your actual behaviour
Time-weighted return (TWR)	The portfolio’s performance independent of cash flows	Comparing your portfolio against a benchmark (e.g., S&P 500 or XEQT)
Annualized return	Compound annual growth rate over the period	Comparing across different time periods
Benchmark comparison	Your return vs an index	If your actively managed fund trails the index by more than its MER, consider switching

Year-End Checklist for Non-Registered Accounts

Action	Why
Collect T5 slips (issued February)	Report dividend and interest income on your T1
Collect T5008 slips (issued February)	Calculate capital gains/losses from dispositions
Collect T3 slips for ETFs/funds (often late March)	ETF distributions; late T3s delay many returns
Verify ACB for each position you sold	Cross-reference with your statement’s book value — discrepancies cost you
Check for superficial losses	If you sold at a loss and rebought within 30 days, the loss is denied
Confirm foreign income and withholding tax	Required for Form T2209 (foreign tax credit)