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Hamilton U.S. Bond YIELD MAXIMIZER TM ETF (HBND $12.54)
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Harvest Premium Yield Treasury ETF (HPYT $8.34)
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Hamilton U.S. T-Bill YIELD MAXIMIZER TM ETF (HBIL $14.72)
Q: I asked about these 3 ETF's in May of 2025. As I noted, I purchased these with a view to moving away from equities. I am retired and interested in dividend income. Has much changed since your answer in May 25 ? Would you continue to hold through 2026 and just take the healthy dividends ? Or is more capital depreciation likely in 2026? If you could only keep 2, which would they be?
5i Research Answer:
The only real change is the downtick in interest rates since May. Rate cuts are on pause right now, but with Canada running at negative GDP currently we would expect some pressure lower on rates still this year. The US likely as well, though is a harder call. HPYT is up 4.07% in one year, HNBD 3.86% and HBIL 2.86%. So while there has been capital erosion at least there has been a total real positive return. HPYT is a long maturity fund, and we would keep the other two if only two, with HPYT more sensitive to rates if they were to rise instead of fall (i.e. riskier overall).