Investment Q&A

Q: My RRSP portfolio is comprised mostly of individual stocks and I am considering moving to an ETF portfolio. I would like some US exposure and I am looking at the BMO suite of ETF options for this. Are there selections that should be avoided for withholding tax reasons? I understand that a withholding tax may apply even inside an RRSP for US holdings that pay dividends.

Q: What are your thoughts on this ETF? Is there another one that you prefer over ZEA? I currently have no ETF for outside exposure beyond Canada.

Thanks

Q: Hallo 5I, Can you suggest similar ETFs in place of the above mutual funds. Also, the actual cost of a Mut.Fnd in view of the MER and Magt. Exp.Do
Many thanks, J.A.P. Burlington

Q: Is this a good time to invest in ZUH?

Q: I currently hold ZBK-BMO Equal Wt US Banks Unhedged and I am considering with the strength in CDN$ adding ZUB-BMO Equal Wt US Banks Hedged to my portfolio. I prefer to hold Cdn$ ETFs that invest in US companies rather than buying those companies directly in US$. Would appreciate your comments on holding both these ETFs as a method of having more US Bank exposure and balancing the currency movements?

Q: Do you expect ZWU to fall substantially with a Cdn rate hike? Would you move out of utilities into something else that would perform better with rising rates?

Q: Can you please comment about the U.S government announcing that 32 banks are now allowed to raise dividends and buy back shares? Is this big or did the market expect it?

Q: First of all,many thanks for your valued services.My granddaughter is starting her first investing at 23 years old and possessing $6000.We assume she should open a TFSA and would like your advice as to what to put into it. Thank you, Anne.

Q: Hi

I have about $300k new money I want to add to my modest stock/etf portfolio (Total will be $500k)- I am a bit fearful of the bubble (stocks and bonds) - Any suggestions for a reasonable safe yield for 6-12 months ?

Q: As part of the US component of my equity portfolio, I own the above three funds/ETFs. I would like to reduce the count by one. Which two holdings should I keep and which one should I sell?

Q: I know these iShares ETFs were just released, but wondering if you were able to form an opinion on these based on its current holdings. The MER seems quite reasonable and am wondering you feel these would be suitable to gain diversification outside of Canada.

Thank you!

Q: What do you think of SOCL US ETF ? Would you buy it at this price or you think the Canadian Dollar might rise in next few months. Thx

Q: Is there any advantage to use a fixed income ETF instead of using an account at Tangerine that pays 2%?
If there is, what would you suggest to use in the fixed income part (which is close to nil) of my unregistered portfolio?

Q: Dear 5i,

I am aiming to configure a fixed-income allocation that is an equal compromise between safety/security and long-term total return potential. I would like to choose ETFs that are versatile enough that they may continue to be reasonably held irrespective of changes in market, interest rate, inflation, and economic conditions. Which configuration do you think would be most appropriate for fulfilling this mandate:

1. 100% VAB
2. 50% VAB, 50% VCB or ZCM
3. 25% VAB, 25% VSB, 50% VCB or ZCM
4. 50% VCB or ZCM, 50% intermediate-duration (~5 years) Canadian government bond ETF (does one exist?)
5. another configuration (please suggest)?

I would prefer to avoid the higher risk XHY and CPD. Why does 5i prefer CLF (VSG is cheaper and similar) and CBO (VSC is cheaper and similar)? VCB is relatively new and has only $12.7M in net assets at this time, is this a problem? Or should I opt for the costlier but similar ZCM?

I realize there are actually many embedded questions in this 'question', so please deduct as many credits as appropriate. I am sure your answer will be well worth it.

Thank you.

Q: What is your opinion of buying any or all of the above at this time for some US exposure generally and for these sectors specifically.Please rank them in the order you'd recommend them and I understand the limitation of your opinion regarding US equities. Thanks - Ken

Q: I'm retired and am interested in building an income portfolio. A recent contributor provided a list of 6 utilities Aqn, Bep.un, Bip.un, KWH.un, FTS and VNR for a total of 15%. 5I was OK with the choices. I've been considering ZWU @ 15% for the utility sector. Comments, ideas please.

Q: What is your opinion of ZWU as a long term hold? Do you see any reason to hold this instead of a basket of utilities on their own?

Thank You

Paul

Q: Hi Great Service With ETF's gaining popularity and taking over from mutual fund investments ,how will they react with a 30 to 35% correction to the market? These investments have not been tested in a mass sell off. Question is about ETF's on the US and Canadian Markets

Q: What do you think of SDIV as an income and diversity vehicle?
Thanks
Don

Q: Can you give me your thoughts on CIBR. Thankyou.