Investment Q&A

Q: Considering the fact that developped markets other than Europe are rare and that there is obviously overlap in the two. What is the advantage if one on using XEF over XEH for diversification purpose. What other countries are included in XEF? Which would you choose?

Q: With Tapering now on the doorstep, where do you see short term bond prices going? Is there any scenario where ZCS and/or XSB might actually rise? Thanks.

Q: I recently asked a question about recommended ETF holdings in my RRSP for coverage of the US market. You had suggested converting my holdings to USD and purchase VOO direct on the US market rather than the CAD ETFs I currently hold. This would eliminate withholding taxes.
How much of a drag on performance would these withholding taxes represent?

Q: Is there a good website to check MER's?

Q: Hi! I have an ETF portfolio and a portfolio of Canadian and U.S. stocks. I have 10% of my ETF portfolio in Fixed Income given the historically low interest rates. This accounts for about 5% of my overall portfolio which is pretty low. Difficult to add here. I have some XHY and CBO which offset the risks of rising rates somewhat. Should I add to my fixed income portfolio or wait for rates to rise a bit. If I do add, rate reset preferred might be another option or continue adding to CBO and XHY?

Thank you,
Jason

Q: HI,
can you recommend an ETF with exposure to Australia and can you tell me your thoughts on Australia's potential for improvement?
thanks

Q: Hi 5i,
What is your opinion of perpetual preferred shares at this time (some utilities and financial companies)? I invested in them last year and have made a modest profit. The profit is nice but the dividend based on my cost base is nice also. I know the growth is limited but do they remain good investments for the next few years considering the economic climate?
Thank you.

Q: is there a ETF that focuses on companies / industries that well benefit from the movement towards solar power and electric powered vehicles.

Q: After selling a rental property I now have cash that equals approx 25% of my investment portfolio. My goal with this cash would be to create a mini portfolio within 2 TFSA's to produce dividend income to help with everyday expenses for the next 5 years or so. After this time the investments would be sold and incorporated into my balanced portfolio as the income should no longer be needed. I am looking to keep the portfolio to a max of 6 positions that are diversified from a geographical and sector standpoint. I do not have an exact income requirement, but 4% was my initial target. What investments would you suggest to meet my goals? Feel free to deduct as many credits as required.

Q: I hold the US portion of my portfolio in my RRSP. It represents roughly 20% of my total investment. I do not need to convert to RRIF for another 5 years and at that time will be taking the minimum required.
I currently hold ZQQ; ZPAY; ZDY; ZWH; ZSP.
I am thinking of switching my holdings to the following in roughly equal amounts: ZPAY; VUN; ZSP; ZNQ; XSU.
The objective is to get better coverage of the total US market through XSU and VUN. Maintain coverage of S&P 500 through ZSP. For Tech switching to non hedged via ZNQ. ZPAY will still provide good income with perhaps some downside protection through its options strategy.
Your thoughts and recommendations of alternatives.
The rest of my portfolio in my Non-Registered account and TFSA follow a mixture of your 3 portfolios which by the way have provide me with a return of 12 - 15% in the past 6 plus years.

Q: Hi 5i,
I believe in diversification with a dividend bent. That said, I have Canada covered and thank you! The USA is mostly covered as I have bought large cap. div. companies and about to buy DES to cover the smaller cap. companies, does that make sense or is there a better way? Also the rest of the world is currently covered with VXUS, what else can be bought to cover equities in the rest of the world, if needed.
Many Thanks!

Q: I am interested in investing in China. I recently read that the Bill Gates fund recently opened a position in CAF, Morgan Stanley China fund. I was wondering why his fund managers would do this rather than simply buy an index fund, such as MSCI. I was wondering whether you might be able to cast some light on this question
thanks as always for the great service

Q: I have 25K that was in a GIC, making basically nothing (or losing money when considering inflation). Can you recommend something that is likely to retain the principal and earn more in 2 years than the 1.5% 2-year GIC? Thank you.

Q: Hello 5i,
Thank you for your great service! The new HDIV ETF mentioned in the ETF &MUTUAL FUND UPDATE seems to fit in to my value oriented portfolio (albeit with some growth stocks LSPD and LEON'S). Is it a good idea to get in on the ground floor or wait a year to see how it does. Mouth is drooling at 8.5% not seen for many years on a quality position.
Stanley

Q: Hi Team,
Could you recommend some ETF/s for
1/ Electric Vehicle and battery manufacturers in North America.
2/ Electric Vehicle and battery manufacturers in China.
Which I am thinking for long term hold.
Thank you as always,
Tak

Q: Is there a Canadian small-cap ETF that you would recommend? Thanks Jim

Q: I am looking for low to medium risk USD investments like RBC's US monthly Income Fund other than straight bonds and GICs. Any suggestions?

Q: What is your view of the opportunity created by the resignation of the Japanese PM on Japanese equities and if positive what Canadian dollar ETF plays would you suggest for that market. Some commentators believe this creates the need for fiscal stimulus there which should increase their equities generally and substantially. Secondly it was suggested that as a result Japan's status as a large buyer of US treasuries will diminish. Do you agree and how might that affect US equities. Appreciate receiving your take as always - Ken

Q: From a Canadian account, could you provide some suggestions on how to best play the current semi conductor shortage ?

Q: I own both the above ETF’s, down approximately 33% on both. I am ready to be patient with them. Do you see any compelling reason in the cannabis market to keep holding them, or would you take your losses?
Thanks