Q: With the huge surge in the popularity of covered call etfs, the amount of calls written is also surging. Who is buying this huge increase in call options? Will this increased volume result in lower premiums and thus make the covered calls such as hhl, Zwu and others with a long history under perform their own history?
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: In a recent fixed income question, the option of a bar bell approach was suggested using XSB/XLB for short/long bond exposure. Is there an ETF option for this?
I see few questions recently on the covered call version for long bonds (HBND) is there a short bond version of this available as well?
Your comments on up to date pros/cons of this strategy also appreciated.
I see few questions recently on the covered call version for long bonds (HBND) is there a short bond version of this available as well?
Your comments on up to date pros/cons of this strategy also appreciated.
Q: Is HXS cap-weighted or equal weighted?
thanks jerry
thanks jerry
Q: If TD or BSN or any of the Canadian banks cut the dividend, how would that effect HMAX dividend?
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Purpose High Interest Savings Fund (PSA $50.08)
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Global X High Interest Savings ETF (CASH $50.05)
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High Interest Savings Account ETF (HISA)
Q: Dear 5i
Could you please confirm the MER's for the above stated high interest funds and that the stated 12 month yield is net of the MER . Also is it more important to go with the fund with the higher yield or the fund with the tighter bid/ask spread or the fund with the tighter 52 week differential or try to determine the best when considering all three factors knowing there is some compromises ?
Thanks
Bill C
Could you please confirm the MER's for the above stated high interest funds and that the stated 12 month yield is net of the MER . Also is it more important to go with the fund with the higher yield or the fund with the tighter bid/ask spread or the fund with the tighter 52 week differential or try to determine the best when considering all three factors knowing there is some compromises ?
Thanks
Bill C
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iShares S&P/TSX Canadian Dividend Aristocrats Index ETF (CDZ $37.90)
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ProShares S&P 500 Dividend Aristocrats ETF (NOBL $101.99)
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iShares International Select Dividend ETF (IDV $34.99)
Q: I'm interested in investing in a basket of companies that you think have the ability to increase their dividends even in a recessionary environment. Could you please send me some of your favourite ETF's that would give me exposure to these kinds of companies. If possible could you suggest ones that give me the necessary exposure to:
Canadian companies
American companies
International companies.
Thanks for your appreciated support.
Canadian companies
American companies
International companies.
Thanks for your appreciated support.
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iShares MSCI Japan ETF (EWJ $72.02)
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Vanguard FTSE Developed Markets ETF (VEA $56.64)
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iShares Core MSCI EAFE ETF (IEFA $82.60)
Q: Hi
What would be your picks for International stocks or ETF's, for both a cash account and RRSP accounts.
Thank you
Mike
What would be your picks for International stocks or ETF's, for both a cash account and RRSP accounts.
Thank you
Mike
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BMO Mid Federal Bond Index ETF (ZFM $14.54)
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iShares Core Canadian Long Term Bond Index ETF (XLB $18.25)
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Vanguard Canadian Short-Term Bond Index ETF (VSB $23.30)
Q: Hi 5i,
In today's environment; October 17, 2023.
If one wanted to purchase a Canadian Passive Fixed Income ETF to hold in a TFSA for 1 to 3 years and then potentially sell. Can you suggest some ETF's that might give out sized Total Return. My goal is Total Return and not necessarily High Yield.
In today's environment; October 17, 2023.
If one wanted to purchase a Canadian Passive Fixed Income ETF to hold in a TFSA for 1 to 3 years and then potentially sell. Can you suggest some ETF's that might give out sized Total Return. My goal is Total Return and not necessarily High Yield.
Q: Hi 5i,
Are ETF and Fund companies required to detail "Performance Fees" in the "Fund Facts" document? If not, where must it be disclosed?
Are ETF and Fund companies required to detail "Performance Fees" in the "Fund Facts" document? If not, where must it be disclosed?
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BMO Covered Call Utilities ETF (ZWU $11.12)
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Hamilton Enhanced Canadian Bank ETF (HCAL $27.74)
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Hamilton Canadian Financials YIELD MAXIMIZER TM ETF (HMAX $14.71)
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Hamilton Utilities YIELD MAXIMIZER TM ETF (UMAX $13.64)
Q: From what I understand from 5i - HCAL should move up much faster than HMAX and ZWU should move up faster than UMAX when the market begins its recovery. Is this a correct analogy? Thx James
Q: What is the potential regulatory risk related to HISAs? Is it restricted to HISA ETFs?
I have funds parked in a BMO investorline HISA for immediate deployment when needed:
https://www.bmoinvestorline.com/selfDirected/pdfs/BMT_HISA_Terms_CAD_EN.pdf
Can you explain what the regulatory risk and if it is applicable to my current holding?
Is there a better place to park funds?
I have funds parked in a BMO investorline HISA for immediate deployment when needed:
https://www.bmoinvestorline.com/selfDirected/pdfs/BMT_HISA_Terms_CAD_EN.pdf
Can you explain what the regulatory risk and if it is applicable to my current holding?
Is there a better place to park funds?
Q: I'm looking to diversify from my US and CA markets to buy some international markets. I noticed that VE, European developed etf, didn't appear in the companies addressed above. Would you prefer a developed Europe etf or a Japanese etf at this time? Do you think Japan has a higher growth rate vs potential loss rate than VE? If so which Japanese etf would you recommended? Would you consider hedged back to CAD to be preferable at this time?
Q: Hi - I resend the question about this product, a “smart” GIC:
RBC® Canadian Banking MarketSmart GIC.
What do you think, for a RRIF, could be an alternative to VRIF?
Thanks
RBC® Canadian Banking MarketSmart GIC.
What do you think, for a RRIF, could be an alternative to VRIF?
Thanks
Q: hello 5i:
We've held a small position in PFFD for quite some time, with a significant loss (glad its small position).
But: the Fed narrative has changed from raising to pausing and the next step is inevitably lowering. Yes, there may be another small raise and yes, I know the higher for longer argument.
PFFD pays out over 7% in our RRIF, in an investment that appears to have very little risk of more downside and even a large amount of upside if things were to return to pre-covid levels.
Summing up and being a bit of a contrarian (skate to where the pucks going?), would you agree with my assessment? Can you see any reason for anything but limited downside with new money in the preferred space? What am I missing here?
thanks
Paul L
We've held a small position in PFFD for quite some time, with a significant loss (glad its small position).
But: the Fed narrative has changed from raising to pausing and the next step is inevitably lowering. Yes, there may be another small raise and yes, I know the higher for longer argument.
PFFD pays out over 7% in our RRIF, in an investment that appears to have very little risk of more downside and even a large amount of upside if things were to return to pre-covid levels.
Summing up and being a bit of a contrarian (skate to where the pucks going?), would you agree with my assessment? Can you see any reason for anything but limited downside with new money in the preferred space? What am I missing here?
thanks
Paul L
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BMO S&P 500 Index ETF (ZSP $93.79)
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Global X S&P 500 Index Corporate Class ETF (HXS $88.16)
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Global X Nasdaq-100 Index Corporate Class ETF (HXQ $89.91)
Q: Regarding your very quick response to my question yesterday where you stated "Capital gains are treated the same as Canadian gains, but must be converted to C$ for tax purposes." ZSP is a Canadian listed equity in Canadian dollars so I assume that I will not need to make any conversion when taking a capital gain? If I alternatively buy HXS (or HXQ) will capital gains be treated as Canadian only?
Thank you.
Thank you.
Q: Pls provide your thoughts on this etf. Thanks
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Purpose High Interest Savings Fund (PSA $50.08)
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CI High Interest Savings ETF (CSAV $50.09)
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Global X Cash Maximizer Corporate Class ETF (HSAV $115.65)
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Global X High Interest Savings ETF (CASH $50.05)
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High Interest Savings Account ETF (HISA)
Q: Dear 5i
Do most or all high interest savings accounts pay distributions monthly or quarterly ? How would you rate the above ones that i've listed ? Do you have to be a little cognizant of when you buy them as i see the price can fluctuate slightly throughout the day ? Are you best to buy the one with the highest % distribution or a combination of % distribution and the smallest 52 week high /low spread ?
Take as many points as necessary as i have multiple questions and lots of points .
Thanks
Bill C
Do most or all high interest savings accounts pay distributions monthly or quarterly ? How would you rate the above ones that i've listed ? Do you have to be a little cognizant of when you buy them as i see the price can fluctuate slightly throughout the day ? Are you best to buy the one with the highest % distribution or a combination of % distribution and the smallest 52 week high /low spread ?
Take as many points as necessary as i have multiple questions and lots of points .
Thanks
Bill C
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Horizons Active High Yield Bond ETF (HYI $7.52)
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iShares U.S. High Yield Bond Index ETF (CAD-Hedged) (XHY $16.70)
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iShares iBoxx USD High Yield Corporate Bond ETF (HYG $80.06)
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SPDR Bloomberg High Yield Bond ETF (JNK $96.44)
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SPDR Blackstone Senior Loan ETF (SRLN $41.52)
Q: Hi 5i,
if one was interested in getting exposure to the US or Canadian High Yield Bond market would you lean toward active management or a passive index ETF? I would appreciate some suggestions to further research for both US and Canada markets.
if one was interested in getting exposure to the US or Canadian High Yield Bond market would you lean toward active management or a passive index ETF? I would appreciate some suggestions to further research for both US and Canada markets.
Q: I'm thinking it might be a good idea to buy some inflation linked government bonds especially long dated either US or Canadian via an ETF Would appreciate your suggestions on specific ETFs and thoughts re short term vs long. My thinking is if inflation is here for longer than we expect and I have inflation linked bonds it's probably the best way to protect myself.
Q: Good day,
What are your thoughts on HBNK right now?? Thinking TFSA? Fee rebate until July 2024, then 0.09% thereafter? Thanks for the great service.
What are your thoughts on HBNK right now?? Thinking TFSA? Fee rebate until July 2024, then 0.09% thereafter? Thanks for the great service.