Investment Q&A

Q: I'm intrigued by these new slightly leveraged ETF's HCAL and HDIV . HDIV has only been around for a few months but HCAL has a year under it's belt going from $15 to $23 . Could 5I give me the percentage of return for each in that time period of HCAL, ZWB, and ZEB { dividend plus capital gain } ? So I can do a little comparing ....And would it be safe to assume any deviation would indicate the effect of the leverage used ? And can I assume that the construction of HDIV { I'm a sucker for high yield } will react similarly ? I am considering what for me would be large positions { 5%-7% } as part of the relatively safe equity income part of my portfolio ? Would you endorse my thesis that they are relatively safe among their unleveraged peers ?

Q: If bank stocks generally rise in a rising interest rate environment, would this ETF perform more positively or negatively given that it is also leveraged as the ETF's cost of borrowing would also increase at the same time?

Q: HI!
I thinking of investing in HCAL but wonder how much growth the Canadian banks have for the next year as they have recovered so well. What are your thoughts?

Q: I like the concept of HCAL; investing in Canadian banks with a little extra torque and a higher dividend yield than any of the banks. Is it fine as a long-term hold? I know many of the leveraged ETF's are not suitable for long-term but understand the structure of this one is different. Can you please explain the difference between this and the double and triple levered ETF's.
Do you recommend HCAL for long-term bank exposure.

Q: I have been looking at this for some time and it (appears to me anyway) a great way to get broad exposure to the banks with some limited leverage. What is your take on this ETF??

Q: For a total investment return over a long time frame, which ETF do you think will perform better?

HCAL - Leveraged, No DRIP, 0.65 MER
RBNK - DRIP availablity, 0.33 MER

Thanks,

Q: Could you give me your take on this ETF compared to investing in the banks directly. Risk level?