Q: I realize the higher the yield the higher the risk but I would like 5i's opinion of a few products. As a result of the American President's threats of tariffs which I feel are coming in thirty days I have been rebalancing . Canadian ETF's to American ETF's as well as the sale of tariff risk Canadian stocks . RRIF cash position currently { 30% } .... I would like to take some small positions in some greater than 10% covered call ETF's ..... These would be short term positions as I believe it will be 1 or 2 quarters before Mr Market realizes tariffs are a really bad idea ......
So which do you like better in a Trump world of tariffs ? A covered call bond ETF, a covered call treasury ETF, a covered call stock ETF ? I've been eyeballing HPYT for the simple reason that it appears to be at a low with a very high yield but I would like 5i's opinion. Could 5i list four or five ETF's which you feel would be good choices to play this theme ? It's okay if some of your choices are sub 10% ......{ I already own HYLD.U 6.9% position } And which sectors { bond, treasury, stock } would be the best choices in a Trump tariff world ? .... Thanks for your terrific service ......
So which do you like better in a Trump world of tariffs ? A covered call bond ETF, a covered call treasury ETF, a covered call stock ETF ? I've been eyeballing HPYT for the simple reason that it appears to be at a low with a very high yield but I would like 5i's opinion. Could 5i list four or five ETF's which you feel would be good choices to play this theme ? It's okay if some of your choices are sub 10% ......{ I already own HYLD.U 6.9% position } And which sectors { bond, treasury, stock } would be the best choices in a Trump tariff world ? .... Thanks for your terrific service ......
5i Research Answer:
We would lean to a covered call bond fund if safety was the main concern. Rates moving lower...