Cash, savings, and GIC ladders in an RESP

When an RESP should prioritize capital preservation for tuition due within a few years, and what to check with GICs or high-interest savings.

Reviewed 2026-05-01 source Information only, not financial, tax, legal, or investment advice.

Education only: this page compares a common RESP investment approach. It does not recommend products, providers, or portfolio allocations. No public source publishes average RESP returns by strategy. Compare this approach with provider documents and regulator guidance before acting.

Best fit

Withdrawals are likely within 0 to 3 years, or the family wants a dedicated first-year tuition bucket.

Typical holdings

High-interest savings, term deposits, short GICs, or money-market style holdings.

Main strength

Reduces the chance of selling growth assets after a market drop right before school.

Watch for

Lower long-term growth, inflation risk, deposit-insurance limits, and early-cashout rules on some products.

Questions before choosing

Do GIC maturity dates match school terms?
Are deposits insured within applicable limits?
What happens if the student delays school?