Q: replace zwu with umax to increase income. does this increase risk? thx james
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Investment Q&A
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Q: I've asked quite a few questions on these new Hamilton ETF's and thank you for the explanations you have given me thus far . They have been very informative ..... I'll likely have a few more before I make my final decision on whether to purchase .... I have noticed that though 5i generally gives them a nod of approval you fail to recommend them in questions as a covered call option. For example in a question this morning from KIM looking to replace his 11% yield from EIT.UN you give ZWU as an option instead of UMAX which yields better than KIim's target yield. First question is why ? The fact that you are giving the nod to the BMO product is making me pause in my purchase of the Hamilton product .....
Second question is though UMAX has only been around since June 23 please give the both the return without dividends and the return including dividends for both UMAX and ZWU during the available time period ? Thanks for your terrific service .....
Second question is though UMAX has only been around since June 23 please give the both the return without dividends and the return including dividends for both UMAX and ZWU during the available time period ? Thanks for your terrific service .....
- BMO Covered Call Canadian Banks ETF (ZWB)
- BMO Covered Call Utilities ETF (ZWU)
- BMO US High Dividend Covered Call ETF (ZWH)
- BMO Covered Call US Banks ETF (ZWK)
- Horizons Gold Producer Equity Covered Call ETF (GLCC)
Q: All different holdings, but what would be your order of preference (based on expected total return) with the next 12 months in mind. Thanks as always, great service.
Q: Can you please recommend a few ETFs like ZLU that are traded in Canadian funds that exclude the magnificent seven. I will appreciate it if you can provide a list for both hedged and unhedged ETSs.
Thank you
Thank you
- BMO Covered Call Utilities ETF (ZWU)
- CI Tech Giants Covered Call ETF (TXF)
- Hamilton Utilities Yield Maximizer ETF (UMAX)
- Hamilton Technology Yield Maximizer ETF (QMAX)
Q: I am an income investor. I believe that umax and zwu are similar.
Would umax (14% yield) not be preferred to zwu at 8.2%
Same for qmax (11.8%) vs. txf at 8.3%
thank you for your comments
Would umax (14% yield) not be preferred to zwu at 8.2%
Same for qmax (11.8%) vs. txf at 8.3%
thank you for your comments
- BMO Covered Call Utilities ETF (ZWU)
- Brompton Enhanced Multi-Asset Income ETF (BMAX)
- Harvest Canadian Equity Enhanced Income Leaders ETF (HLFE)
Q: I hold a significant amount of those 3 ETF in my non registered account + RRSP.Assuming that ROC represents a large part of the dividend ( true?),I suppose that we could tolerate a "reasonable or slight" réduction of the NAV ,compensated by the much lower income tax + partial compensation of capital gain if eventually sold .Those advantages are not present in the RRSP , maybe should I reduce the % of covered call ETFs in the RRSP if the NAV is not stabilized... Please comment ( or criticize ! )my observations since I am far from being an expert, regards J-Y
Q: Your thoughts about purchasing the above in my TFSA and/or RRIF accounts . Do you see any major downsides?
- BMO Covered Call Canadian Banks ETF (ZWB)
- BMO Covered Call Utilities ETF (ZWU)
- Canoe EIT Income Fund (EIT.UN)
- BMO Canadian High Dividend Covered Call ETF (ZWC)
- Evolve S&P/TSX 60 Enhanced Yield Fund (ETSX)
- Hamilton Canadian Financials Yield Maximizer ETF (HMAX)
- Hamilton Utilities Yield Maximizer ETF (UMAX)
Q: I would like to put about 50% of my portfolio into safe, higher yielding (10%+) Canadian focused ETF's or Mutual Funds, and adjust my holdings as needed going forward based on sector performance. I feel that both Banks & Utilities are nearing lows and that a further correction may occur in the general market due to tax loss selling or possibly one more rate hike. Do you feel that the mix of ETF's listed provide a safe way to invest with the goals indicated? What % for each, as part of the 50%, would you recommend as a holding, and how would they be treated for tax purposes? Thanks for the great service and please use as many credits as necessary.
- BMO Covered Call Utilities ETF (ZWU)
- Hamilton Enhanced Canadian Bank ETF (HCAL)
- Hamilton Canadian Financials Yield Maximizer ETF (HMAX)
- Hamilton Utilities Yield Maximizer ETF (UMAX)
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
- Birchcliff Energy Ltd. (BIR)
- BMO Covered Call Utilities ETF (ZWU)
- Dividend 15 Split Corp. Class A Shares (DFN)
Q: Bought zwu at 10.79. Is there a chance of a rebound here or a sell. Have a fairly large position in bir. at average of 8.45. Your thoughts. Have no dfn. your opinion on this stock surviving. thanks
- BMO Covered Call Canadian Banks ETF (ZWB)
- BMO Covered Call Utilities ETF (ZWU)
- BMO Canadian High Dividend Covered Call ETF (ZWC)
- Evolve Global Healthcare Enhanced Yield Fund (LIFE)
Q: Would like to get your view on ETFs that use covered call options to enhance returns. As interest rates plateau and eventually begin to fall is there anything 'in general' that we can expect from these ETFs? Will the share price increase, like bonds, to bring yields more inline with expectations or is the share price more influenced by the underlying share prices of the stocks held in the ETFs?
- Brookfield Renewable Partners L.P. (BEP.UN)
- ATCO Ltd. Class I Non-voting Shares (ACO.X)
- BMO Covered Call Utilities ETF (ZWU)
- Hydro One Limited (H)
Q: Hello i would like to add some Zwu to my TSFA account strictly as income,hovewer i noticed that Zwu isn't part of your income portfolio any reasons? i'm 80.
Thanks.
Dan
Thanks.
Dan
Q: I hold ZWU ( significantly),in my RRSP +my non registered account,since my belief was that 1) utilities offer stable yields+ are quite essential even in a recession 2) call options from BMO are made for 50% max of portfolio, so ZWU could also benefit from some growth( in theory ..).But in fact,ZWU share price is in a constant downtrend since the last 10 yrs (17 $ in 2013,10$ now).The dividend is for more than 50% ROC, the rest being mostly eligible dividend.Do the clear fiscal advantage+ the 8 % yield compensate for the capital reduction over those 10 years ?
Q: In terms of safety and long term income in a fairly well diversified portfolio which of the 2 qualify I am 80.
Thanks
Dan
Thanks
Dan
Q: In an answer to John you stated that you would expect ZWU " would likely retain its' share price better than UMAX " . Though UMAX hasn't been around long enough for a comparison I think one can speculate on what return might be expected as fifty percent of their portfolio are utility stocks with no calls written on them . So I would think the capital gain would be fifty percent of the utilities index. For example if the index returned 8% annually UMAX should return 4% which would reflect the percentage of the portfolio that is stocks { half the portfolio }. I would think that might be a good educated guess ..... ZWU on the other hand has been around for a while. So my question is has ZWU historically beaten fifty percent of the annual return of the utilities index ? And what has their historical annual percentage been compared to the utilities index ? ......
What I am shooting for here is a way to calculate whether the difference between ZWU's return and the utilities index return is enough compensate for a 5.6% lag in yield between it and UMAX ...... Thanks Garth .....
What I am shooting for here is a way to calculate whether the difference between ZWU's return and the utilities index return is enough compensate for a 5.6% lag in yield between it and UMAX ...... Thanks Garth .....
- Amazon.com Inc. (AMZN)
- Alphabet Inc. (GOOG)
- Lowe's Companies Inc. (LOW)
- Canadian National Railway Company (CNR)
- BCE Inc. (BCE)
- Enbridge Inc. (ENB)
- TC Energy Corporation (TRP)
- Sun Life Financial Inc. (SLF)
- TELUS Corporation (T)
- Restaurant Brands International Inc. (QSR)
- Capital Power Corporation (CPX)
- Superior Plus Corp. (SPB)
- Tricon Residential Inc. (TCN)
- Shopify Inc. Class A Subordinate Voting Shares (SHOP)
- A&W Revenue Royalties Income Fund (AW.UN)
- Tamarack Valley Energy Ltd. (TVE)
- BMO Covered Call Canadian Banks ETF (ZWB)
- BMO Covered Call Utilities ETF (ZWU)
- Hydro One Limited (H)
- Perion Network Ltd (PERI)
- Brookfield Infrastructure Corporation Class A Exchangeable Subordinate Voting Shares (BIPC)
- Brookfield Corporation Class A Limited Voting Shares (BN)
- Brookfield Asset Management Ltd. Class A Limited Voting Shares (BAM)
- Lumine Group Inc. (LMN)
Q: If you had $20,000 to invest today for and Income with some growth investor in an otherwise well diversified portfolio, what would you pick or just add to?
Q: Somewhat similar etf's with significantly different yields.
umax at 13.7% and zmu at 8.1%
would umax not be the obvious choice for an income investor?
thankyou
umax at 13.7% and zmu at 8.1%
would umax not be the obvious choice for an income investor?
thankyou
Q: ZWU recently dropped its distribution from $.08 to $.07 per month. What makes an etf like this cut its payout and do you think it's vulnerable to more cuts?
Q: Can you compare these please. umax distribution is much higher and is not leveraged, fewer holdings but includes railroads
Is zwu leveraged, and what does "leaverage" mean
Can't find umax mer
Thank you as always
Is zwu leveraged, and what does "leaverage" mean
Can't find umax mer
Thank you as always
Q: I am looking to park some cash in a cash account for 1 to 2 years. I am looking for income that is relatively safe and not concerned with minimized capital gains from capital gains. Your thoughts please. Thank you. If you have other suggestions for consideration,please advise.