Q: In a recent answer you stated "while we might not be too excited about the outlook for real estate". Could you please expand on your thoughts. In addition to a diversified stock portfolio I hold considerable investments in rental income properties - multi-residential and commercial in the Kitchener/Waterloo area. At 69yo I'm considering going more conservative like increasing my GIC holdings.
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BMO Equal Weight REITs Index ETF (ZRE $22.71)
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BMO Equal Weight Utilities Index ETF (ZUT $29.34)
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BMO Low Volatility Canadian Equity ETF (ZLB $59.10)
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iShares S&P/TSX Capped Consumer Staples Index ETF (XST $65.81)
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iShares S&P/TSX Capped Information Technology Index ETF (XIT $64.25)
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iShares S&P/TSX Canadian Dividend Aristocrats Index ETF (CDZ $43.52)
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Harvest Healthcare Leaders Income ETF (HHL $7.04)
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BMO Canadian High Dividend Covered Call ETF (ZWC $21.69)
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Ninepoint Energy Fund (NNRG)
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Hamilton Canadian Financials YIELD MAXIMIZER TM ETF (HMAX $15.74)
Q: I seem to recall a question quite a while ago (years?) about the maximum % of your portfolio should be by fund company. If I remember correctly, your suggestion was to cap each fund company exposure to 15%. Am I correct and do you still feel the same?
My BMO ETFs are just over 16%.
My iShares ETFs are just over 15%.
I have smaller exposures to the fund companies holding HMAX, HHL, NNRG (around 5% each).
Please remind me again what the dangers are of exceeding your suggested threshold? For the larger fund companies, is the threshold higher?
Thanks for your help....much appreciated....Steve
My BMO ETFs are just over 16%.
My iShares ETFs are just over 15%.
I have smaller exposures to the fund companies holding HMAX, HHL, NNRG (around 5% each).
Please remind me again what the dangers are of exceeding your suggested threshold? For the larger fund companies, is the threshold higher?
Thanks for your help....much appreciated....Steve
Q: Hi...just went through the most recent questions on ZRE.
I have held ZRE for 3 years and am up roughly 10% total return....so a little over 3%/year. It is in my wife's TFSA, as she is more conservative.
I am a huge believer in asset allocation and have a 5% target weighting in REITs, with roughly half of that coming from ZRE. The balance is from CDZ and ZLB. My belief is you can rarely time "what sector is going to perform when", so I set my overall asset allocation and for the most part just leave it....trimming-adding when appropriate.
I also own a home, which I do not include in my investment asset allocation calculations. Technically then, I do not need to own any ZRE.
What is your current view on ZRE as you look forward for the next few years? I am quite content to continue to let it ride, believing it will have it's day.....but maybe I'm just being stubborn. Is your current crystal ball showing conditions that are positive for REITs
Thanks....Steve
I have held ZRE for 3 years and am up roughly 10% total return....so a little over 3%/year. It is in my wife's TFSA, as she is more conservative.
I am a huge believer in asset allocation and have a 5% target weighting in REITs, with roughly half of that coming from ZRE. The balance is from CDZ and ZLB. My belief is you can rarely time "what sector is going to perform when", so I set my overall asset allocation and for the most part just leave it....trimming-adding when appropriate.
I also own a home, which I do not include in my investment asset allocation calculations. Technically then, I do not need to own any ZRE.
What is your current view on ZRE as you look forward for the next few years? I am quite content to continue to let it ride, believing it will have it's day.....but maybe I'm just being stubborn. Is your current crystal ball showing conditions that are positive for REITs
Thanks....Steve