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TD U.S. Equity Index ETF (TPU $54.90)
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Vanguard FTSE Developed All Cap ex North America Index ETF (VIU $42.71)
Q: Hi There,
If I'm looking long term, and want to keep things really simple, what would you suggest as the best international ETF(s) to pair with an S&P 500 ETF such as TPU.TO? And do you see a drawback to leaning into the S&P 500 as it reaches new highs?
Thank you
If I'm looking long term, and want to keep things really simple, what would you suggest as the best international ETF(s) to pair with an S&P 500 ETF such as TPU.TO? And do you see a drawback to leaning into the S&P 500 as it reaches new highs?
Thank you
5i Research Answer:
We wouldn't bet against the S&P 500, certainly. While the performance of the index has been concentrated in a handful of companies, these do have advantages (size) and moats. One could always switch to an equal-weight S&P ETF, but we would not have huge concerns right now, considering relatively good earnings from the group even while spending surges. When this capex spending stops, the mega cap companies could do very well indeed still. Our choice for a simply international fund would be VIU.