Investment Q&A

Q: If I were to buy this ETF, which account would be best. U.S cash account or a RRSP (CDN) account. Is there a tax advantage.
Thanks

Q: Hello there,
Any thoughts on the Convertible Bond fund ETF ( CXF) offered by First Asset Management ?
Thanks

Q: hi folks

is this a good (given higher risk vs large cap) way to play the eventual recovery in energy?

if not what do you suggest

thanks

Q: Hi there, I asked a question a little while ago about the BE Portfolio and diversity. Another member asked a follow up question where you suggested this breakdown:

"Allocations need to be highly personalized; a suggestion might be: 35% BE, 15% XIC; 40% VFV, 10% VXUS."

Is there a TSX listed ETF that would be similar to VXUS?

Thanks!

Q: I have held MFT for under a year, purchased for fixed income outside of a bond fund. Currently down a bit over 1% not counting distributions, which is obviously pretty good in todays' market, but the drop does have me questioning where it might be going. What would you expect the fund price to do in the each of the following situations:
1) rates continue to go up, even if at a slower rate
2) rates stabilize
3) rates go down
Also, how would the distribution be affected in each scenario above and what is the approximate lag time?
Because of the mix of products in the fund, do you think it will act more as a bond fund or an equity fund to market gyrations?

Thank-you

Q: What to do with cpd and Ecn.pr.a .
I’ve held reset prefs before, saw it through through the downturn in interest rates and the upturn again, did well, because I had a long term objective.
I now no longer have this luxury. However I feel some comfort with the minimum rate reset preferred. Should I. I appreciate your unbiased recommendation on both securities.
Thank you.
P.s. will be asking for a complete portfolio evaluation in the new year. Paid of course.

Q: Could you compare the CIBC Global tech mutual fund to the tech ETF QQQ
It looks like the former is performing better, and perhaps more diversified?
Thanks Peter.

Q: Despite higher fees, RIT.UN seems to have substantially outperformed over the long haul. (I don't mind paying if management brings a demonstrable advantage.) Your thoughts on this being a good diversified choice within the sector? Basically, what is a solid REIT to add in CAD if adding a single ETF (or stocks) to a portfolio to get sector exposure? Thank you!

Q: Hi, why is ZPR down about 14% when interest rates have been going up the last year.
Thanks,
George

Q: I am constructing a new equity portfolio 60% US & 40% CND. On the US equity I am using the following ETF's:
HXS @ 15%
IWO, XMH,XSU @ 10% total
VGG @ 20%
HXQ @ 15%
I also want to limit taxes, dividends and any US reporting on form 1135.
Could you comment on this set up. Thank you for your service

Q: Hi
Please help me understand this. What is the net difference between $1 in dividend from an eligible Cdn. company ( eg. ENB) vs. $1 “ dividend “ ( dividend and ROC) from a pure play Cdn. ETF ( eg. ZWU) ? Assume a non- Registerred Account that pays no tax.

Q: I typically use ETF's rather than trying to pick the right stock. I notice that there are comments about ETF's in the questions section but I have not been able to find ETF Portfolios for various investment strategies, such as Income, conservative, growth, aggressive, Cnanda, USA, World and so on. Have I been missing something?

Q: Hi, I have my portfolio distribution
10% in a short term bond (RRSP)
50% in XUS (Registered)
25% in HXS (TFSA)
15% in my Non Registered Account (HXT).

Is it time to move to a more definsive strategy. I am thinking of shiftin about 30 % in the likes of BCE and another 20% to short term bonds. Would you be ok with this?

Thanks

Q: I hold HPR and the Dynamic preferred yirld fund. In light of the recent correction in preferred share,, do you advise to hold, buy more or is it time to reduce the positions held.

Q: This is for a taxable account. If ZDB has a current yield of 2.1 and a one-year GIC offers 3.1 and no fees, am I better off choosing the GIC route?

Q: Hello 5I,
I will be retiring in 3 to 4 years and I would like to know if the following ETF would provide a suitable diversification while reducing volatility and providing a monthly income to compliment my pension.
50% CND: CDZ/XTR/XEI/PDF/ZRE
30% United States: ZWH/ZDY
20% Intl: ZWE/ZDH
Feel free to add/remove ETFs as required
Finally, would you limit the exposure to each ETF to 15%?
Thanks
Sylvain

Q: I have recently paid off a sizable chunk of consumer debt, and now have a few thousand bucks at my disposal each month. I want to invest most of this in my TFSA so that I can catch up to my lifetime limit, and thereafter invest at a monthly amount equivalent to the annual limit. I've been thinking of investing most of this money in ETFs, but am a bit confused about the advice I see online. In your view, what is my best strategy here? Invest in one or two solid ETFs? If so, which do you recommend? Often, the ETFs I see experts recommending don't seem all that appealing. They hover at the same price for years and years and typically don't have much in the way of other types of yield. Anyway, I'm a bit confused and just wanting to have a basic plan for moving forward over the next year or two in my TFSA.

Q: From your answer on November 23rd:
No, an individual would still need to hold global exposure to the US, europe and emerging markets as well as fixed income. In terms of Canadian exposure, we would be pretty comfortable with the portfolio as a more growth-tilted proxy to Canada but an investor may want to overlay one Canadian broad ETF just to smooth out the volatility a little, depending on portfolio size. This, or adding a selection of larger company stocks, would help overall diversification.

Can you suggest % or guidelines on each type of exposure to have a well-diversified portfolio? (US, Europe, emerging markets, fixed income, Beport, one Canadian broad ETF or larger company stocks).
Thank you

Q: Greetings,

1. In my RRSP account I hold XEC (TSE listed) and VWO (NYSE listed) and I only want to hold one ETF.
2. XEC has only one holding and that is IEMG (NYSE listed)
3. 5i Model ETF holds VEE.

I thought that RRSP, rule of thumb for tax efficiency is to keep all my U.S listed stock here so why does it XEC exist considering it only holds a U.S listed ETF?
Are you able to help me decide which of the three options could choose?
VWO seems to have the lowest MER and best 3 year performance history.

Many thanks!

Q: Hi,

My portfolio is light on fixed income and it's not a sector that gets me excited to educate myself about it...What is the best way to get exposure to fixed income at a decent yield? Any ETFs or mutuals you can recommend? Or should I buck up and educate myself and buy some Bonds?

Cam.