Investment Q&A

Q: Historically, how important has investing outside of North America been for portfolio performance? Could one do just as well or better by ignoring international markets?

Thanks.

Q: Hi 5i team.
about 6 weeks ago sold AQN for a tax loss and increased position in FTS and bought some BEPC on top of BEP.UN as I am thinking of switching to BEPC to make life less complicated tax wise.
Problem (and a good one to have) is that I have a large capital gain in BEP.un.

Utilities portions as total of all portfolio.
BEP.UN is about 2%
BEPC about 1%
Fortis about 2%
Polaris about 1%

Question is what to sell or reduce to add in AQN back at about 2%?
Would you suggest a different mix?
I like the dividends and am OK w slow to moderate growth - retiree and looking at conservative ongoing investment. (I like all of these stocks.)

I am willing to pay some taxes as I worry about the capital gains tax rate rising at some point under our current government.
Subtract as many questions as needed.
Thank you.

Q: I have been a multi year holder of CLF and CBO in my Non Reg account and I would like to take the loss, and find two comparable etfs for my fixed income portion of my portfolio. Suggestions please.

Q: I am currently somewhat overweight bank and gold stocks. Would these covered call funds be complimentary or simply increase sector exposure even more?
It's very hard to ignore the 11% yield with GLCC and BANK for an income seeking investor.
Why is ZWB 7% while BANK is 11%

thank you

Q: Hi Group what the heck happened to ECN they announced a bought deal and it has gone down since? I see the CEO is loading up on shares He just bought over 1m this week also can you supply your thoughts on TCN seems to me rentals should go up in this environment so what gives with TCN? lastly is it time to take a small position in US and Cad EFFs

Can you give me an entry price on all 4 stocks and your reasoning or should i just wait for markets to shows signs of recovery Was June the lows or are we going to retest June lows (just you best guess I know you do not have a crystal ball

Appreciate your help with my questions

Q: The Harvest Healthcare ETFs appear to be a good way to diversify into American healthcare and get a "healthy?" income too. The MER is a bit high.
In a small very conservative TFSA would this make sense? Are there concerns, flaws, issues with this particular ETF series to watch out for?

Thanks

Q: Could you suggest a few dividend focused ETFs for a taxable account to 'park' money that will not be needed for a few years ? I purchased UTIL because I liked its holdings but am concerned about its trading volume. I already own XEI and ZDV.

Q: I have run Portfolio Analytics and it shows that I am overweight by region in Canada (5%) and the US (10%) and underweight in International (15%). Can you suggest 3 ETFs that will increase my International exposure in a non-registered account and include some details on these ETFs (projected performance, fees, yields, etc)?

Q: Can I have your opinion on the risk/reward for Small Caps in general right now? Some analysts are suggesting Small Cap valuations are currently low based on their historical position relative to larger cap companies and should “revert to the mean” in the medium term. If you were to invest in this theme what ETF would you use? As always your insights are greatly appreciated.

Q: Dear Peter et cal:

Two part question. You may dedut as many credits as you feel fit.

1. There are a few experts who predict 60/40 portfolio is finished for several years! I was a subscriber to Portfolio Analytics for a while and it repeatedly told me that given my answers to your algorithms , I have to stick to 60/40 split.
What do you think about 60/40 portfolio in general,, especially for the many in the pre/semi fully retirement stages. No need for personal answer. Just a general overview answer would be fine.

2. If you were to construct an ETFs based portfolio TO-DAY from scratch, would it be different from the one that we see in Canadian Money Saver? What would it look like ,if it is different? 80/20? or 70/30?

As you have indicated that you can give personalized answers, please feel free to answer in general/overview/big picture terms.

Thank you in advance
Mano.

Q: I own an Ishares all in one ETF to round things out. I just found out they hedge the currency on the non Canadian holdings. I tried to find out the cost to hedge but was unsuccessful. After doing more research I found the costs to hedge can be 1-2% a year. When doing a back test between IVV and XSP the hedged EFT lagged by 1-3% a year over 20 years. From 2002-2012 the lag averaged 2.1% a year but in the last 10 years the average lag was 1.1% a year. Do you know any all in one Canadian ETF's that don't hedge the currency?

Thank you.

Q: I have sold my European ETF because it has been doing so poorly.
The war has taken a toll.
Do you have a suggestion for ETF with more potential which would invest in companies outside of Canada?

Q: Hi, I appreciate the great work you have been doing to share knowledge.
I am considering the smith manoeuvre and would like to invest about $100K for a start in an etf vs Canadian dividend stocks. I would appreciate if you can share your thoughts on any ETF or ETFs that would be ideal considering the issues with ROC and ACB at tax filing time. I am also considering the importance of geographic diversification, hence the reason that I am not too convinced on going the route of Canadian dividend stocks. I am on the 50% marginal tax bracket and would also like to invest tax efficiently perhaps more towards growth than high dividends.
I look forward to your thoughts.
Thanks

Q: Hi
I am considering the smith manoeuvre and would prefer to invest in an etf rather than individual stocks because of the benefits of diversification. I would appreciate if you can share your thoughts on a few ets that would qualify and would also be less of a hassle in reconciling the ROC and ACB during tax time. I would appreciate your insight in smith manoeuvre using and etf rather that dividend paying stocks. I am in the 50% marginal tax rate. Thanks

Q: Hi.

My portfolio analytics says I'm low on Consumer Defensive. Can you give me 1-2 Canadian stock suggestions and maybe 1-2 ETFs in the US and Canada.

Thanks,
Robert

Q: Peter,

What etfs would you recommend for consideration that would cover equities outside of North America, in Canadian dollars. I am looking more towards the more established economies rather than emerging markets.

Thanks

Paul

Q: Hi , which index fund do you recommend that follows the S&P 500
Thanks

Q: Hi there, what do you think about buying this ETF for broad defensive exposure in a diversified portfolio? Do you think it has room to run up over the next 1-2 year or so? Are there any other cons staple etfs or specific stocks that might offer better growth and dividend?

Thanks very much

Q: is there a low cost ETF money market fund, or short term bond fund that you could recommend, that would be a place to hide out for a few months that is fairly liquid and pay 2-3% if that is possible or maybe im dreaming or something close to that thanks

Q: Hi: I have a small amount of VWO and I just noticed there does not seem to be any dividend associated with it. Has there been a change? Thanks very much
Marilyn