Q: Dear 5i
I'm currently lacking in international stocks and ETF's and am overweight on Canadian investments .
Does the Canadian market look better right now or is now a good time to take the plunge and buy an international ETF such as VIU as a means to better balance the portfolio ?
Thanks
Bill C
I'm currently lacking in international stocks and ETF's and am overweight on Canadian investments .
Does the Canadian market look better right now or is now a good time to take the plunge and buy an international ETF such as VIU as a means to better balance the portfolio ?
Thanks
Bill C
5i Research Answer:
With such a diversification enquiry, we think portfolio set up is more important that 'timing' a purchase. International markets have been somewhat weak, but they are priced well. But Canada hasn't exactly been a stellar performer, either. The key word in the question is 'overweight'. We think international diversification is important and would see the long-term outlook for non-North American markets as pretty good. Note the long term caveat there, however. We would be quite comfortable buying VIU.