Investment Q&A

Q: Peter,

Is it safe to assume CSU.DB will not be called this year? What is the final date they can make that announcement?

Thank you

Paul

Q: What is your current opinion of high yield US corporate bond ETFs, such as XHY and ZHY. Specifically, do you recommend them in the current economic environment for a relatively conservative income portfolio?
Many Thanks.

Q: Hi Peter,
My question is about Target Maturity Corporate Bond ETFs. Please comments on the advantage and disadvantage of using a ladder of these target maturity bond etfs as a base for the fixed income portion of one’s portfolio. Seems to me instead of buying individual bonds at a discount to take advantage of capital gain upon maturity, the investor can purchase these target maturity bond ETFs to achieve the same goal with more diversification. Is this correct? For investor, is the tax treatment between individual bond and target maturity bond etf the same on an annual basis on the interest income received and on the maturity year when the principal at par is paid out? What should we watch out for when considering this kind of ETFs? What will be your pick for the best target maturity corporate bond ETFs offered in Canada and in the US? Thanks.

Q: Good day,

I was considering parking US$ funds from my brokerage account in SPRXX (Fidelity® Money Market Fund) or VMFXX (Vanguard Federal Money Market Fund). However, I am given to understand that Canadian citizens cannot own US mutual funds. (Thank you for the guidance!)

Is there something else that you can suggest for US$ in lieu of these? How do they compare to Canadian ETFs CASH.TO or PSA.TO in terms of safety etc?

Thank you

Q: Rick Rieder from Blackrock posted that fixed income is setting up for generational returns. Also "on a relative valuation basis, stocks cannot be considered the cheaper asset". Would you agree that its shaping up to be a big opportunity to buy fixed assets, and if so what tops your list? Thx

Q: Can you name a few securities that you would recommend in an effort to capitalize on the potential bond market opportunity as outlined in your March 16th market report?

Please rank and provide a brief explanation for the ranking.

Q: Is this ETF still worth holding or could my money be better invested?

Q: Hello everyone,

I have U.S. cash on the sideline and would like to "park" it short term (3/6 mths), can you suggest where to place 20th$ ?
I need to keep funds in U.S. dollars.
Thanks and all the best !

Q: are you a believer in structured bonds. dave

Q: Hi

BMOInvestorline offers a HISA currently paying 4.35% interest accrued daily and paid monthly. It is not locked in and I can withdraw at anytime without penalty. I haven't found a better rate anywhere. Even EQ Bank only pays 2.5% in its savings account.

I haven't been able to find a "catch" but this seems too good to be true. Am I missing something? Or is this a really prudent way to keep the cash component of my portfolio, assuming I'm going to keep some cash.

Thanks
Robert

Q: If interest rates and inflation are going to peak, do you think these ETFs (XLF, IAK TLT) have opportunity now? If so which one has most potential right now? Thank you.

Q: I am confused what hedged means with regards to this fund. What makes it different then Jnk

Q: Hello, still seeing these bond etfs drifting downwards, these 4 are the fixed income portion of a well balanced portfolio, with investment savings offering just over 4% is it worth considering a move, these are in sheltered accounts. Thanks.

Q: I am 74, retired with a good pension. 20% of my investment holdings are in laddered GICs, 6% in HFR. Remaining portfolio is in equities. If interest rates are expected to level out over the next year or 2, would you consider moving some fixed income funds into longer term fixed income? Keeping the same ration of fixed to equities.

Thanks very much,

Mike

Q: Would XBB be suitable for a 2-year holding period at this point?

Q: i was looking for a better return than what the banks were offering on there money market td was paying me 4.05% on there tdb8152 money market account. i noticed today that cibc was offering 4.94 % for a monthly rate with a minanium $100.000 investment. on there cib238 money market rate. my question is why would a person invest in a return of 4.05% vrs 4.94 % other than the $100 requirement. how much more risk would be involved if i went this route. thanks

Q: Good morning
I have registered accounts but also 2 non registered cash accounts with 2 different banks..BMO AND TD. MY TD account is well over 100 thousand dollars. Is it protected or should I divide it.? Should part of it go into a third bank? Sorry for the confusion. Thankyou as always

Q: I currently hold ZAG in a RRSP account and wonder if you feel ok with averaging down on this ETF. It is a 4% holding at the moment.

Thanks

Q: What would be your top 3 bond ETF picks for both Canadian and US bonds? Is now a good time to put money into these?

Q: My broker recommends that I put a rather large amount on that note:

BNS Canadian Banks (AR) Index Callable Contingent $9.60 Coupon Notes Series 393F (CAD)
or
https://www.gbm.scotiabank.com/en/services/investor-solutions/current-issues/detail.en.54849.PAR.html

I read the prospectus but I am not sure of the level of risk.
I am retired and turning on 70.
I would like your opinion.
Regards.