I started investing in Vanguard with very little. (Exactly, $4000 coincidentally).
It sounds like this is what you are interested in so read up a bit more on Couch Potato as suggested. You are probably already familiar with VAB, VXC and VCN.
http://canadiancouchpotato.com/wp-content/uploads/2015/01/CCP-Model-Portfolios-Vanguard.pdfYou will need some kind of Direct investing account. I am with RBC but they do not DRIP (Dividend Reinvestment Plan) the Vanguard dividends from VAB, VXC or VCN. I don't know why not, they DRIP other things, so this is very annoying. (My conspiracy theory is that it is so you will purchase their RBC mutual funds and custom bundles.)
Quest Trade may be better for this but I am not sure. Can anyone confirm the DRIP and fees with QuestTrade?
Also the fee is quite high per trade at RBC. $10. Check for an annual fee too. If you are just investing $220 per month this will cut into your profit ~5% off the top so not worth it. That is proably why some say Vanguard is not right for you right now.
So either: find a direct investing broker with better fees, save more per month, or stock pile in a savings account and invest every 4 months. Then the "fee" is only about 1% per trade. Remember this is just a one time fee. Most mutual funds and “investors” will charge you 1-2%
per year to “manage” your funds. No thanks.
Since my dividends do not DRIP they sit in a savings account (within my direct investing) for a few days until I add them to my next month’s investment contribution. Not a big deal, and I can effectively redirect them into the one VAB or VXC or VCN that needs rebalancing.
Oh, yeah. To keep fees lower. I only ever purchase one thing each month. This slightly unbalances my portfolio, but then the next month the next lowest thing gets the addition. This may be a bit harder for you if you invest only 3-4 times per year.
Let’s say you want the couch potato “balanced portfolio” 40VAB:20VCN:40VXC. (Deciding what couch potato you want may be your toughest choice. )
I would start
$4000 VAB (month 0)
$1000 VXC (month 4)
$1000 VCN (month 8)
$1000 VXC (month 12)
$1000 VXC (month 16)
$1000 VCN (month 20)
$1000 VXC (month 24)
Two years from now your portfolio is balanced and you have 10K invested. My method may drive a rebalancing freak crazy but it works for me.
Sorry, even with a DRIP, I don't think you can just go to sleep for a whole year. Every month you stash some savings in the highest interest savings account you can find. Every 4 months (or $1000) you make a Vangaurd purchase. Every year you double check your rebalance, and then direct the next investment or two to keep the balance.
Whoever you open your direct investing with should be happy to help you move that $4000 over from your bank. But again, check for fees, probably on your banks end, as punishment for leaving them. You may even be able to do the direct investing at your bank. CIBC has something as does TD. However, I agree, the bank or their "investment advisors" are usually not that happy to help you set up something so you can direct invest (no commission for them).
I hope that helps give you some advice on how to start investing with Vanguard in Canada.