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BMO Equal Weight Utilities Index ETF (ZUT)
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Vanguard S&P 500 Index ETF (VFV)
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SPDR S&P 500 ETF Trust (SPY)
Would like the suggestions to be fairly conservative with possibly 3-4% dividend. ( don稚 really need the money). I知 slightly favouring the etf痴 as I want a buy and hold portfolio with a sleep at night possibility. I do have lots of financial and energy stocks already, ( fyi) I know there is always risk that I知 willing to accept.
Thanks for your suggestion
With Canadian index funds, there will be a high exposure to financials and energy. XIC would be our suggestion, but it is 20% banks and 10% energy. For a general Canadian ETF it is hard to avoid this, due to the make up of our index. Alternatively, one could buy several sector ETFs and avoid more energy/banks altogether. Owning ZUT (utilities), ZIN (industrials), XST (consumer) might be a way to approach this dilemma. SPY would be our suggesting for the US, or VFV if one wanted a Canadian listed ETF with US exposure. The yield hurdle is not met on some of these ETFs, however. SPY indicated yield is only 1.5%, BUT, its five year average return is close to 15%.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in VFV, SPY.