-
BMO Equal Weight REITs Index ETF (ZRE $22.39)
-
BMO Low Volatility Canadian Equity ETF (ZLB $53.66)
-
iShares S&P/TSX Capped Information Technology Index ETF (XIT $73.74)
-
iShares S&P/TSX Canadian Dividend Aristocrats Index ETF (CDZ $38.06)
-
BMO Canadian High Dividend Covered Call ETF (ZWC $18.72)
Q: Retired, dividend-income investor. I currently own ZLB (RRSP, max'd out), XIT (RRSP-TFSA, max'd out), ZRE (Cash, 3/4 position, will add to over time), ZWC (Cash, close to max'd out). I also have some legacy positions in RBF1018 (RBC Cdn Equity Income-D...MER of 1.0) and CIG50217 (Sentry Cdn Income...high MER), both of which I have averaged roughly 7-8% return over the last many years, prior to this crisis. On top of the above I own AD, AQN, AW, BCE, CSH, CM, FTS, NTR, NWC, RY, TRP, WSP in various amounts to achieve my overall asset allocation targets (not to mention my fixed income portion of my portfolio.
I normally like to run a concentrated portfolio of around 20 positions, composed of +/- 6 ETF-MF and +/- 14 stocks. I have mapped out the use of my current cash (15%) into monthly repurchases over the next 6 months. My question relates to the combination of ETFs, but focusing on ZWC. I own ZWC for its high CC dividend, but recognize that the upside is potentially limited in a recovery. Also, when mapping out spending my cash, I reach an uncomfortable level of too high an allocation per individual stock. That led me to consider adding another ETF. I looked at several, and filtered them down to CDZ, XEI and XDV. I have chosen CDZ as my candidate to add. Looking under the hood at the ETF holdings, they appear to not overlap too much with my own individual stocks.
Do you like this strategy? Does it result in a significant overlap in stocks, held either individually or within the existing ETFs?
Thanks for your help...Steve
I normally like to run a concentrated portfolio of around 20 positions, composed of +/- 6 ETF-MF and +/- 14 stocks. I have mapped out the use of my current cash (15%) into monthly repurchases over the next 6 months. My question relates to the combination of ETFs, but focusing on ZWC. I own ZWC for its high CC dividend, but recognize that the upside is potentially limited in a recovery. Also, when mapping out spending my cash, I reach an uncomfortable level of too high an allocation per individual stock. That led me to consider adding another ETF. I looked at several, and filtered them down to CDZ, XEI and XDV. I have chosen CDZ as my candidate to add. Looking under the hood at the ETF holdings, they appear to not overlap too much with my own individual stocks.
Do you like this strategy? Does it result in a significant overlap in stocks, held either individually or within the existing ETFs?
Thanks for your help...Steve