Q: Hello, My wife has recently retired. She has opened a LIRA account with her pension proceeds. We are leaning towards these two ETFs for a long term hold 10 + years. Can we get your thoughts and any recommendations.
Thanks
Thanks
5i Research Answer:
VFV is an ETF of the S&P 500, denominated in Canadian dollars. It has a low MER of 0.09%, a solid AUM of $13B, and it has a 1.1% yield. We would be very comfortable holding this name for a long-term holding.
XIU is an ETF of the TSX 60 Index, which tracks the performance of the 60 largest stocks on the TSX. It has a low MER of 0.02%, has a solid AUM of $12.3B, and pays a yield of 3%. We would also be very comfortable holding XIU for a long-term holding.
While we cannot personalize responses, it is important to note these are both 100% equity funds, and will be exposed to market volatility.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in VFV.