-
iShares Russell 2000 Growth ETF (IWO)
-
Vanguard FTSE Developed All Cap ex North America Index ETF (VIU)
-
Vanguard U.S. Dividend Appreciation Index ETF (VGG)
-
Hamilton Enhanced Multi-Sector Covered Call ETF (HDIV)
Q: Could you suggest for a RSP portfolio, starting from a cash balance of 150K, an array of 5 ETFs, covering Canadian and US/International sectors.
Would VGG selling in CAD qualify for the exemption of US taxes, or does it need to be a US traded ETF to qualify.
Take as many questions credit as needed.
Thank you.
Would VGG selling in CAD qualify for the exemption of US taxes, or does it need to be a US traded ETF to qualify.
Take as many questions credit as needed.
Thank you.
5i Research Answer:
Some withholding taxes apply on VGG, as it does not own stocks directly but rather via a US-listed fund. However, the impact is tiny as yield is only 1.44%. But VIG would be more tax efficient.
We would suggest XIC for Canadian exposure, ZSP for US, VIU international, XBB bonds and VBAL for a balanced ETF.
Depending on goals and risk tolerance, a small cap growth fund such as IWO can be suggested, or a higher-income fund such as HDIV,.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in VGG.