Investment Q&A

Q: Hi

What would be your picks for International stocks or ETF's, for both a cash account and RRSP accounts.

Thank you

Mike

Q: Hi 5i,
In today's environment; October 17, 2023.
If one wanted to purchase a Canadian Passive Fixed Income ETF to hold in a TFSA for 1 to 3 years and then potentially sell. Can you suggest some ETF's that might give out sized Total Return. My goal is Total Return and not necessarily High Yield.

Q: Hi 5i,
Are ETF and Fund companies required to detail "Performance Fees" in the "Fund Facts" document? If not, where must it be disclosed?

Q: From what I understand from 5i - HCAL should move up much faster than HMAX and ZWU should move up faster than UMAX when the market begins its recovery. Is this a correct analogy? Thx James

Q: What is the potential regulatory risk related to HISAs? Is it restricted to HISA ETFs?

I have funds parked in a BMO investorline HISA for immediate deployment when needed:

https://www.bmoinvestorline.com/selfDirected/pdfs/BMT_HISA_Terms_CAD_EN.pdf

Can you explain what the regulatory risk and if it is applicable to my current holding?

Is there a better place to park funds?

Q: I'm looking to diversify from my US and CA markets to buy some international markets. I noticed that VE, European developed etf, didn't appear in the companies addressed above. Would you prefer a developed Europe etf or a Japanese etf at this time? Do you think Japan has a higher growth rate vs potential loss rate than VE? If so which Japanese etf would you recommended? Would you consider hedged back to CAD to be preferable at this time?

Q: Hi - I resend the question about this product, a “smart” GIC:

RBC® Canadian Banking MarketSmart GIC.

What do you think, for a RRIF, could be an alternative to VRIF?

Thanks

Q: hello 5i:
We've held a small position in PFFD for quite some time, with a significant loss (glad its small position).
But: the Fed narrative has changed from raising to pausing and the next step is inevitably lowering. Yes, there may be another small raise and yes, I know the higher for longer argument.
PFFD pays out over 7% in our RRIF, in an investment that appears to have very little risk of more downside and even a large amount of upside if things were to return to pre-covid levels.
Summing up and being a bit of a contrarian (skate to where the pucks going?), would you agree with my assessment? Can you see any reason for anything but limited downside with new money in the preferred space? What am I missing here?
thanks
Paul L

Q: Regarding your very quick response to my question yesterday where you stated "Capital gains are treated the same as Canadian gains, but must be converted to C$ for tax purposes." ZSP is a Canadian listed equity in Canadian dollars so I assume that I will not need to make any conversion when taking a capital gain? If I alternatively buy HXS (or HXQ) will capital gains be treated as Canadian only?
Thank you.

Q: Pls provide your thoughts on this etf. Thanks

Q: Dear 5i
Do most or all high interest savings accounts pay distributions monthly or quarterly ? How would you rate the above ones that i've listed ? Do you have to be a little cognizant of when you buy them as i see the price can fluctuate slightly throughout the day ? Are you best to buy the one with the highest % distribution or a combination of % distribution and the smallest 52 week high /low spread ?
Take as many points as necessary as i have multiple questions and lots of points .
Thanks
Bill C

Q: Hi 5i,
if one was interested in getting exposure to the US or Canadian High Yield Bond market would you lean toward active management or a passive index ETF? I would appreciate some suggestions to further research for both US and Canada markets.

Q: I'm thinking it might be a good idea to buy some inflation linked government bonds especially long dated either US or Canadian via an ETF Would appreciate your suggestions on specific ETFs and thoughts re short term vs long. My thinking is if inflation is here for longer than we expect and I have inflation linked bonds it's probably the best way to protect myself.

Q: Good day,

What are your thoughts on HBNK right now?? Thinking TFSA? Fee rebate until July 2024, then 0.09% thereafter? Thanks for the great service.

Q: Good morning!
I'm a retired investor and I am looking to lock in some fixed income! I have had very little exposure to bond trading but can use my TD Trader account I believe! What could go wrong, Lol!
I'm leaning toward corporate bonds...many friends have gone with GIC's but I like the appreciation of the bonds value should we see rates come down...is this a good idea or ?
Are bond ETF's as sure to see appreciation in value as individual bond holdings?
Thanks
Peter

Q: If so


What do you think about it/them and would you buy them?

Thank you

Mike

Q: What would be the closestCanadian ETF that has characteristics similar to US SCHD?

Q: Hi Peter,
Regarding bond and US treasuries ETFs, if the ETF yield on my purchase date is 5%, would my annual interest income remain to be 5% as long as I hold the ETF, similar to my buying a bond with a yield to maturity of 5% and hold it to maturity? What are your top choices for 10 year US treasuries ETFs US listed, and Canadian listed and what’s their current yields? Thanks.

Q: Recently I asked a question on HBND. Could 5i give me a similar analysis on HPYT ? As well as comparison of the different structures between the two . The only one I am aware of is the 50% position of HBND that is not covered calls . Not sure what the situation is with HYPT ..... The yield on the two is considerably different with the former yielding 10% and the latter 15% ...... Please compare what you would suspect would happen differently with each under rising/stagnant/falling interest rates ?..... Thanks Garth

Q: Dear 5i team.

Can you list US and Canadian small cap ETFs that are options currently, and which you prefer given the outlook over the next few mths?

Many thanks for your help.