Q: I bought TDB2915 a U.S. money market fund some time ago . There is 10.82 % of my portfolio in it . My sole reason for buying it was TD Waterhouse said that was the only way I could get around currency exchange when buying U.S. stocks. I recently bought a U.S. stock and they did not take the money from the account and when questioned on it informed me that they no longer did this practice. So I really have no motivation for keeping the money in this fund. Though the fund has increased in value 10% over the six or seven years I have had it. I'm not sure if this fund is earning me any money or not . Could 5i answer that question ? And more importantly with economic chaos in the U.S. is 5i more optimistic in the short term on the U.S dollar or the loonie ?
I recently read an article that Canada, the EU, and China could do some pretty serious damage to the Trump buck should they unite to sell off their U.S. treasuries ....... Would 5i counsel moving it into Canadian cash to be deployed in the future ? I'm in no mad panic to buy right now til we know what the U.S. is going to do ...... Thanks for your terrific service .....
I recently read an article that Canada, the EU, and China could do some pretty serious damage to the Trump buck should they unite to sell off their U.S. treasuries ....... Would 5i counsel moving it into Canadian cash to be deployed in the future ? I'm in no mad panic to buy right now til we know what the U.S. is going to do ...... Thanks for your terrific service .....
5i Research Answer:
Three months ago we were highly optimistic on the US dollar: it had the strongest GDP in the world and relative high interest rates. Everything has changed now, with the US likely teetering on recession and global investors abandoning the currency. We are not sure how long this lasts but certainly our optimism has waned a lot. The C$ has had an incredible recent run and we are not sure of its sustainability, either. If the US enters recession, we are likely to follow. So today it is a bit of a toss up. TDB2915 does not have that long of a history, but it certainly has made money for buyers. Since-inception return is 4.2%. Two-year performance is 5.18% annualized.