Investment Q&A

Q: Can you comment on the relative returns of CASH versus CIB238 CIBC MON MKT FP /NL'FRAC. Today's rate for CIB238 shows 3.97% but this has been slowly going down as rates drop. For parking money for a few months up to a 6 months, which offers the best return?

Q: Hi

In your answer to Jeff, you stated "CASH pays a 4.51% yield while MNY pays a 4.83% yield."

I couldn't find those yields anywhere. I see gross yields of 3.72% and 4.38% on their websites, respectively.

Where is your source?

Thanks,
Robert

Q: Hello
My GIC has just matured in my RRSP. The rates are low now and was thinking of putting the money in either of the above two ETFs which have a higher yield.
MNY has a higher interest but higher MER but better return overall however seems riskier then CASH. What would your suggestion be, would you have another favorite or would you invest in some other "safe" income instrument in the RRSP, ie ENB?

Thanks
Jeff

Q: Hi,

If I invest in a high interest savings ETF like CASH, am I taking risk on my principal? Or am I just taking risk on what interest rate I'm earning?

It seems like there is a bit of a principal risk. Would the price go down if the rates go down?

Thanks,

Q: I am 83 years old and thinking of reducing my portfolio of stocks and putting the monies in Dimensional Funds in my RRIF. Returns seem to be excellent and I would like to get your opinion on these funds. I have no pension so I rely solely on the income generated by these Funds
Second question: The other option is trading my stocks for ETF's therefore what 5/6 ETF's would you recommend that would make a nice balanced income producing portfolio

Wayne

Q: I hold positions in these two funds as part of the fixed income portion of my portfolio. Looking at their current yields (3.1% & 2.27%) I'm starting to wonder why I don't just put that money into CASH.TO, which is currently at 4.52%.

Am I missing something? Are there other, better funds I should be moving them to?

Q: Hello, I have $500,000 GIC coming due next month and another $500,000 in March. They both are earning a little over 5%. What safe investment would you recommend, bearing in mind that I need the income it would generate to cover some of my living expenses, as I am retired. Thank you

Q: I am concerned about the possibility of a bear market and would like to reduce my equity risk. I am looking for a safe investment which is highly liquid. I am in the process of considering cashable GICs. Are there any ETFs which you would recommend for money market funds? Can you please recommend an ETF for the Canadian market and one ETF for the US market.

Also, for a 1-2 year hold, what type of bond ETF would you recommend (long bond, mid-term, etc) for a fairly safe investment? Again, can you please recommend one Canadian and one US ETF.

Thank you again for this excellent service.

Q: I am concerned about the height of the stock markets and am in the process of reducing my equity holdings. If there is a correction or bear market next year, then I would want to be able to invest again at some point.

With the cash that becomes available from the sale of equities, what would you recommend as an investment? I am looking for something that is extremely safe, can be sold at any time (which eliminates a GIC for consideration) and gives me a bit of yield/gain. Are there any ETFs which fit this bill?

Thank you for this wonderful service.

Q: Looking to park cash for 2 to 3 years in a low volatility etf with a decent distribution. I am looking at above mentioned etf and would appreciate your analysis or do you have other recommendations? Thanx.

Q: Hi Team,
If I want to do the responsible thing and trim my overweight NVDA holdings; what names would you recommend me going into with the funds? Preferable a name with decent valuation with a higher prospect of considerable gains over the next few years, not something that is fully valued. Or is it a time to invest in something like CASH and wait for a pullback in markets? I was thinking either ISRG, CLBT, or BKNG. However, your response regarding ISRG to Garth today caught me a bit by surprise. You seemed to have turned from buying ISRG to hold off for now on valuation. I suspect the same could be said for many names that have ran up recently.

If CLBT is an option can you also give a brief lowdown of the company. Is there any concern it being based in Israel? Is the opportunity for high growth probable with this company? I am not real familiar with the name other than knowing you have lately been recommending it. Also is it a huge overhang that the CEO is leaving at year end?

Thanks,
shane.

Q: I have sold the above two companies, half of BYD and all of ATS. The purpse was to raise cash and put it into a high interest Canadian dollar savings ETF to wait out the first part of the Trump presidential version Nu. two.

Do you have an ETF that you recommend or maybe another suggestion?

Q: I’m trying to understand the risk I’m up against with investments in CASH and UCSH.U. Both have significant holdings in Scotiabank and National Bank investments. My portfolio percentage positions in these two is quite significant.

- Do you have options for better diversification of my cash holdings?

- In the event of “something going off the rails”, what impact does this have on an investor of these two investments like me in the event of a bail-in of either Scotiabank or National Bank because of these holdings within the two ETF's?

Q: Can you suggest CDN and US dollar etfs to own for interest instead of just holding cash in non-registered and registered (TFSA, RSP) accounts? Thank you

Q: Hello,
I'm looking for a way to park some money for one-year to pay down part of my mortgage after that. What are some low risk options to maintain liquidity if I need to use the funds for some emergency?
Thanks for your help!

Q: Lots of good Q&A lately on parking short term cash.

I have $100K to invest. Are one of these more suitable than the others for quickly withdrawing an amount as required when I want to purchase stocks or equity ETF's?

Would you feel comfortable putting the whole amount in any one of these, or is it best to diversify a bit?

Do you have a recommended USD version(s) for my USD account ?

Q: Good morning, I have $200,000.00 in a taxable account and am looking for a temporary safe place to invest it in for a period of 6 to 8 months, hoping to generate some yield.
Do you have any suggestions?
Kindly advise & Thank you
Sergio

Q: Hi,
I'm looking to park some Cdn funds in a high interest savings ETF, and use TD as my bank. I found HISA, but don't know anything about the .NE exchange - if you could enlighten me on that - and let me know if there are better products that this, I would appreciate it!
Thanks for all your consistently great advice!
Dawn

Q: I have a good mix of stocks and ETFs and cash and I want to keep a good portion of my portfolio low maintenance. What do you suggest as a good ETF to set and forget in which I can put some funds into when I'm trimming my winners.

Q: Hi, Can you let me know what High interest ETF (highest yield?) you recommend - in US and CDN $.
I also believe there is one High interest ETF, that does not pay interest, but accumulates capital gains, what is it's name and what do you think of it.
Thanks.