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S&P 500 ETF TRUST ETF (SPY)
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Vanguard Balanced ETF Portfolio (VBAL)
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Vanguard Growth ETF Portfolio (VGRO)
But, over the years, since the market has had significantly more positive years than negative years, I feel this is a good argument to just purchase some very low-fee ETFs, once you've determined your asset and currency mix. Less fees, therefore more money invested and therefore little value add from the advisor! Your comments please.
Also, I am a 65 year old retiree with a high 7 figure investment portfolio who will not run out of money. I favor a balanced portfolio of 80% equity (with a slight tilt to growth) and 20% fixed income. I also favor a 50/50 split between US and CAN dollars.
While I realize you cannot provide individual advice, which low cost ETFs should I consider?
There is a lot to be said about reducing downside volatility and protecting capital in market downturns, however, over a long period of time, if the upside potential does not match the markets, there will be an inevitable drag on the portfolio. Given the proliferation of ETFs in the market, competition is driving fees down, and we are seeing ETFs with as little as 0.05% fees or less.
While we cannot personalize responses, the Vanguard Growth ETF (VGRO) is denominated in CAD, has an AUM of $4.2B, an MER of 0.24%, a yield of 2.5%, and an 80/20 equity/bond split. To attain an 80% / 20% split between equities and bonds as well as a 50/50 split between CAD and the USD, an investor can purchase 50% SPY (S&P 500 ETF denominated in USD with a 0.09% MER) and 50% VBAL (60% / 40% equity/bond split denominated in CAD with an MER of 0.24%).
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in SPY.