Investment Q&A

Q: I am heavy canada and have decided to diversify globally with ETFs on my own.
Bought some VE and VIG today off the CMS model portfolio list to start on the market dip today. I dont need ANY Canadian exposure so looking at adding positions in VEE, SPY, IWO. Not really interested in ZWU at 0.71 MER. Any preference on which you would add this week? Other options not on CMS portfolio. Balanced growth equity follower. 5+year time frame.

Q: Which ETF best mirrors the Tangerine Equity Growth Portfolio, Fund Code: INI240? I'm happy with the performance but thought I may be able to reduce the MER with the same product in an ETF.
Thanks

Q: Hi 5i,

I have 10k in my TFSA that I'd like to allocate to ETF's. I'm still in school so I won't have as much money coming in to diversify through stocks.

I was wondering what would be the best way to allocate (how many, what percentage)? I was thinking along the lines of XIC, SPY, and VIG.

Also, what do you think about investing purely in ETF's?

Thanks in advance,

Jon

Q: I have approximately 2% of my portfolio invested in MMM in a RSP and with decreased share price and current outlook of industrials would it be a better choice to sell and add to either SPY or VIG for the long term ? I would appreciate your opinion.Elizabeth

Q: Hello,
I would like to buy S&P 500 index through ETF. Could you explain the differences among VFV/T, XUS/T and ZSP/T. Which one of them you recommend? Should I convert Canadian dollars to US dollars to buy SPY? Should I buy hedged ETF(S&P 500 index)?
Thanks
Victor

Q: Peter, Can I have your non-bias opinion on" FUND" for LT hold in RRSP Understand Insiders own 30%
Thanks
Cec

Q: A guest on BNN said he hedged his equity positions by index hedges.What are they and could you give me an example. thanks James

Q: Monthly, my husband and i contribute $200 to a mutual fund(ci select 40i60e, fund code= cig 2245) for my 33 and 31 yr old son/daughterinlaw. contributions 2014 $1800, 2015 $2400, 2016 $2400, 2017 $2400 = $9000 total. value of account December 31,2017 is $9732.00. January 2017 our advisor switched out of ci global asset alloc, ci cambridge global equity, ci signature high income, ci harbour corp class, ci harbour global equity and said having one fund (40i60e) would be best. Their current debt (in total) is a $240,000 mortgage. They want to pay this off before investing in the markets. Should we continue/cease the $200 monthly contributions to the 40i60e fund and buy them something else? To publish or not to publish the ? is up to you. thank you for your time. jane

Q: Good morning.... we are 15 years away before we may need to access our RRSP..
We sold all enegy (although would be okay with one "best of class" or ETF)..
I have a solid mix of similar weightings (BCE,BEP.UN,BNS,PBH,ATD.B,FSZ,SJ,GUD SIS). I would like fixed income/US/International exposure...I will be adding XHY..
I am looking for suggestions for either a few ETF you recommend for US/International exposure...keeping in mind we would not need to withdraw for at least 15 years..and if you think should have a minimum of 5% in energy or alternate AI ETF...

Thanks
Matt

Q: Dear 5i,
During the past week I had been deploying extra cash to rebalance my lower weighted holdings. I hold most of your BE Porfolio, some growth and a handful of US stocks. I have limited dry powder left to deploy and have significant losses in RRX and AEM (only energy / gold holdings except for ENB). I know you don't recommend buying the tsx index b/c it is weighted in resources and financials. I also have a little USD $ left. I am thinking of selling the loosers above for the capital loss and just buy the TSX index and the S&P 500 index with my remaining USD$. What do you think of this plan? Which index funds do you recommend?
Thanks,
Kerri

Q: Hi 5i
I like CMS ETF portfolio choices.
One of your ETFs is SPY.
My question: Does it have to be SPY?
Or can I replace it with ZSP or XSP?
If not, can you let me know your reasons?
shanthi

Q: I would like to get your thoughts on an equal weight approach vs a market weight approach with the S&P 500. This would be for long term performance holds of 10, 20 years.

Q: Currency question:
I want to buy an emerging market ETF and a US market ETF. If we assume that the American dollar continues to drop, are we better to have a Canadian dollar hedged fund or to purchase in US dollars? Thanks in advance.

Q: Would SPY be comparable to ISUG ? Or would ISUG have a higher concentration of tech stocks?

Q: I am setting up an all ETF portfolio for a 20 yr plus holding period and I have a two-part question. The first part concerns the makeup of the Canadian/US component. Is it better to go with a combination of SPY and XIC or would including CDZ and VIG provide stability and perhaps a bit more growth to the mix (keeping in mind that I intend to hold at least 5% of each but don't need income yet)?

Secondly, I am looking for higher risk assets for my TFSA. I was thinking of IWO. I know that there are specialized sectors I could include but I looking for a fairly hands-off approach. Do you think this approach would serve me well - I know that it is only one asset type - or is there a better mix out there that would still be quite manageable?

Appreciate your insight.

Paul F.

Q: Hi All at 5i! Could you tell me what the difference in holdings are in these broad ETF S ..which would be the better to hold for the best broad exposure ? And a second question ..could you suggest a Us Money Market ETF. Thanks, Tamara

Q: I am very heavy on Canadian equities within my corporate investment account. My personal accounts are all a bit heavy on Canadian equities as well. Plan to purchase ETFs to balance. Which of your current ETF portfolio names would you add right now and is there any advantage to doing so within my INC., TFSA, RSP or personal unregistered account. Would invest a 5% positon in the next few weeks. Balanced equity portfolio is the target, 10 year horizon.

Q: I've been a member of 5i for about two years and your help has been substantial. Thank-you. I currently own a portfolio that closely mirrors your balanced portfolio.

My question today relates to one asked recently about Warren Buffet's wishes regarding his investments should he die. I believe it was somethink like 10% to short term bonds and 90% to the S&P 500. I'm seeking advice regarding what a kind of portfolio a Canadian should develop in a similar situation. My wife has no interest in day to day stock analysis. Should she inherit our portfolio, I'd like to construct a 'buy and hold' ETF portfolio, in addition to our current portfolio, with exposure to Canada, the United States and the rest of the world. This would comprise the equity part of a more complete portfolio. Hopefully, it would have the potential to show resonable gains with little attention by the owner. My question is: which 3 ETF's would you choose to gain exposure to the 3 markets for a Canadian who simply wants to buy and hold? What % would you put into each ETF?
All the best to you and your families for the holiday season.

Q: May I please have your opinion on taking a new position in gold? I am an ultra conservative investor, retired for 14 years, who covers all my daily living expenses through company and government pensions, and use investment income primarily for holidays and extra pursuits. Most of my investments are in fixed income such as GIC's, preferred ETF's, and bond ETF's. Would you recommend a gold ETF or a specific equity? Thanks!

Q: Good morning,
It 'appears' GE's downward trend will continue. That would soon take our current US$23k investment below our book value. I prefer holding, but don't like the notion of underwater for years waiting for this ship to turn around. So I'm 'inclined' to move on, in which case probably by adding that to SPY which most of our US$ are in. Your thoughts will be appreciated.