Investment Q&A

Q: Apparently, there are 11 major sectors in the S&P (Global Industry Classification Standard). Could you please list one ETF to best represent EACH major sector of the S&P? For example, would IUIT best represent the entire Info Tech sector of the S&P? It seems the SPDR funds are much more specific than the 11 GICS sectors:
Information Technology
Health Care
Financials
Consumer Discretionary
Communication Services
Industrials
Consumer Staples
Energy
Utilities
Real Estate
Materials

Thank you very much.

Q: Good morning,

I'm considering adding a Financial ETF to my overall portfolio and would appreciate your thoughts and preference between a US ETF and a Canadian ETF along with your best idea/recommendation for each.

Thank you.

Q: Good morning,

My holding of XLF is down quite a bit and although I[m still positive on the US Financial sector in the long term, I'm thinking of selling XLF in my US Non registered account to harvest some capital losses for the 2022 tax year. I would appreciate your thoughts on the following two questions:

Q1. What are your thoughts on the US Financial sector for the next few years;

Q2. Would you kindly recommend a suitable proxy for my XLF holding that I could purchase on the US stock exchange.

Thank you and I'll await your sage advice.

Q: Dear 5i team.
Given the current market backdrop, if one was to take 100K and build an ETF portfolio for min 10 year timeframe, which sectors would you be comfortable buying into before year end and which ETFs would you choose to accomplish this.

Thanks for your help.

Q: Which Canadian and US financial/ bank etfs do you recommend? Thanks

Q: The US financials have come off in recent weeks. Is it a good time to be entering in VFH and or XLF?

Q: Hi,
There were a few questions in January 2022 about both the US/Canadian banks. Your answers seem to be favour holding some banks b/c of rising interest rates and more recent earnings results.

What are your favorite bank ETFs in Canada and in the US? (US ETFs are a lot cheaper to buy and hold). Do you still feel optimistic about this sector?

This is for my RRSPs. So, withholding tax is not a factor.

Thanks in advance.

Q: I have an ETF portfolio and a portfolio of CDN and U.S. stocks.

I am building my ETF portfolio and plan to take my gains from my individual stocks and add to my ETF portfolio during market downturns. I don't plan on making any sales from my ETF portfolio and I expect that portfolio to provide my funds for retirement.

The ETF portfolio is divided globally and I was wondering if which order you would add since I am building my portfolio. The ETFs I have selected on XIC (30%), XEF (15%), XEC (10%), IVV (15%), XJH (5%), XJR (5%), QQQ (5%), XLF (5%) and 10% fixed income. I have already established my 5% positions in XJH, XJR, QQQ and XLF over the summer.

My questions are:

1 - I know weighting is personal, but do you have any glaring concerns with my weightings?

2 - In which order would you add to XIC, XEF, XEC and IVV?

Thanks for your help,
Jason

Q: Hello 5i team,
I am interested in acquiring a US financial ETF with a decent payout. Do you have a top 5 list on the US side.
Thank You,
Andrew

Q: Your thoughts on selling XLF to buy JPM & BAC and selling PFE & GILD to buy ARKG.

Thank you!

Q: For financial exposure which ETF would you choose for growth and reasonable risk? Could you please explain these two ETFs.
Thank you

Q: Tony Dwyer from Cannacord likes to refer to "banks and tanks" as good areas to be in when the economy eventually turns positive. I believe he's referring to the more cyclicals. Can you suggest both Cdn and US ETF's that would fit the bill. Thanks.

Q: In your portfolio analytics, you used to have A list of suggested etfs for each sector. I cannot find this list anymore. Has it been removed? Could you please provide a list of recommended etfs for each sector. Thank you

Q: Doing some house cleaning of the portfolio. I hold 1% each of XLF and XLP. Sitting on the fence as to add or sell. Looking for your prospective and if add what would be a recommended %.
Regards

Q: Can you give me the name of a good US financial ETF?

Q: Hello,could you recommend some ETFs that hold US financials(banks) ?
Thanks

Q: My target allocation to Financials is 15%. Within that group, I would like your advice on the following selection and allocation: TD-25%; CME - 8%; SIVB - 8%; MFC - 8%; BAM - 16%; BX - 16%; FSZ - 12%; XLF - 6% [or another bank].
This grouping is intended to provide both overall yield and growth; accepting some volatility. What would, in your view, be a reasonable target return for such a grouping? Please advise on target percent allocation to the sector. Which ones would you recommend and what alternatives would you prefer?.

Q: There was a discussion on a financial network with a portfolio manager regarding future rate increases. The expectation is that rates will likely be increased 3 to 4 times over the next 15 months or so. This in turn would likely result in an inverted yield curve. In such an environment, financial stocks, especially insurance companies, have historically done very poorly. So not hold them.!
My questions are
What is your expectation for future interest rate increases this year and next?
Do you agree with how 3-4 rate increases would likely affect the yield curve?
From you experience, historically, has this type of scenario been quite negative for financial stocks; that is banks and insurance companies?
And if this is very negative for financial stocks, should one continue to hold such shares beyond the end of this year?
Your analysis please. Thanks.

Q: Hello Peter, do you think the bond yield curve could invert within next 6 to 12 months? Which I believe partially explained why the U.S. financial sector has been underperforming recently, due to the worry of flatten yield curve? Thanks.

Q: In what order would you rate the following U.S. equities
I am considering adding to a well-diversified portfolio?
IHI IWO XLK XLF KRE VISA
Thank you.