Investment Q&A

Q: Hello, what do you think the unit price of HSAV will do when the BoC starts cutting rates, maybe in June? Will the unit price drop AND climb more slowly from then on, or not really drop but grow a little slower to reflect the new rates? Thanks

Q: Can you please suggest other ETFs in USD that have similar or better performance to HSAV.
Thanks again

Q: I really appreciated your explanation made today on this ETF.
Do gains/losses made holding this ETF comprise capital gains and losses only or do they include interest? You peaked my interest with this as I currently have a lot invested in GICs / money market and am not relishing the tax hit.
Thanks a lot

Q: Regarding HSAV I would appreciate an explanation on what impact "premium to NAV or discount to NAV" should have on my decision on when to buy this ETF. It is currently showing "Premium/Discount to NAV" of 0.68. I would like to buy now but I am not sure if this is an ideal time.
Thank you.

Q: Hi

Looking at my 96 year mother's Investment accounts, when she passes away, the estate is going to get nailed with this new capital gains tax. My mother is a buy hold type of investor having some stocks for 30 plus years.

Then you add cottages into the mix look out scout the estate is going to get nailed. Am I correct?

If the so called generation that was to receive a vast fortune with this new rule will be getting a lot less is this correct?.

In my case I am 68 have 1.5 million in a RRSP's and 2 million in cash. I receive 4 indexed pensions and have zero debt

Would it be wise in my situation (and others in this situation) to start withdrawing form my RRSP and setting up accounts for my children. Also start selling my mother's stocks that are up 300%, before this new budget become law.

Your comments and possible suggestions would be greatly appreciate.

Thanking you

Mike

Q: I have cash available to invest which I am not ready to deploy into the market. However I want to avoid interest income from HISA and bonds. I believe you have mentioned some funds/accounts where the money is reinvested in a way to produce a capital gain rather than interest income. I’m not thinking of stock etfs like HXT which do not create distributions.
Thanks for your help.

Q: Good morning, I’m looking to park some cash, both CAD and USD in a savings account ETF. What are your favorite, high yielding, ETF options? Thanks

Q: HSAV returned around 5% in the last year, if interest rates going forward do the inverse of last year, is it safe to assume the return of HSAV will also?

Q: Some time back, you mentioned a cash ETF that does not ay a distribution until the position is sold. Do you have the ticker for this one? Would they payments eventually be taxed as capital gains or interest income

Q: Hello 5i,
I would like to buy HSAV.ca for a 1 year hold but I’m concerned about the erosion of the .62% premium and
price in a declining rate environment. I appreciate your thoughts. Would you still consider it a buy. It seems to be the only tax efficient HSIA available in Canada so perhaps it will always maintain its demand. Thank you.
Brad

Q: HI,

What is a good time to sell these units/ETFs? To lock in the distribution of that month's interest? I am looking at taking some cash off these and be ready to deploy the capital. Not in a rush. But want to be prepared.

Q: This ETF has been trading sideways for the last 3 months. With a 5.5% yield, isn’t this stock supposed to gradually increase? I understand there’s a slight premium associated with this ETF, but it’s not really moving much at all

Q: How to explain the (unusual) stock 1.86 % decline from 107$ (fév.,. 2023) to 103$ (march 2023) ? since the only factor that I was considering when investing into this ETF was the premium, are there other factors to take into account in order to avoid a similar situation ?

Q: Could you please suggest a mirror ETFs from the listing below in Canadian dollar?

VOO
VGT
QQQ
PSA

thanks,

Q: Hi,
I see HSAV managers have suspended it's subscriptions and recommends not buying shares. Here's a quote from their website.
"... investors should note that during a period of suspended subscriptions, the Manager expects shares of HSAV to trade at a premium to its NAV per share.
Due to this expected premium, Horizons ETFs is strongly discouraging purchases of shares of HSAV during this suspension of subscriptions."
Can you explain why they're making this recommendation, the risks in buying shares now and do you still recommend buying HSAV shares to park cash in a non-registered account?
Thanks.

Q: Can you please help me understand HISA ETFs - for instance, I see HSAV dipped down to $108.75 on Oct 30, then bounced back up. In an ETF where there are no distributions, what would explain the dips? In theory, shouldn’t it continuously increase in price?

Q: In a non registered account,there is no tax on hsav monthly interest neither on hewb monthly dividend.When those ETF are sold though,do one has to pay tax on the total of interest accumulated in the ETF or on total dividends accumulated (+capital gains)since the acquisition,or tax shall be only due on capital gains ?

Q: What is the present yield and MER of the above funds?

Q: I need to sell 1/3 of my portfolio and park the cash for 3-6 months. TD will not allow me to buy PSA, CASH, HISA, or HSAV. Can you recommend a few other good options.
Thank you,
Derek

Q: Dear 5i
Do most or all high interest savings accounts pay distributions monthly or quarterly ? How would you rate the above ones that i've listed ? Do you have to be a little cognizant of when you buy them as i see the price can fluctuate slightly throughout the day ? Are you best to buy the one with the highest % distribution or a combination of % distribution and the smallest 52 week high /low spread ?
Take as many points as necessary as i have multiple questions and lots of points .
Thanks
Bill C