Investment Q&A

Q: Hi, US Small caps are finally showing some love, with IWM - Russell 2000, up more than 10%, in past 4 days, after trading sideways for over 2 years. Experts seem to be watching this move with great interest, due its significance, pointing to expanding breadth of the market beyond a handful of Technology mega cap stocks.

My question is about the Small cap sector in TSX, which still seems to be lagging its US peers, except some strength in the materials. Is this normal, historically? What could be the reasons for this divergence and do you see this gap narrowing, in the near term ?

Your perspective would be really helpful as many of us follow your advice and Model Portfolios. Small Caps are your expertise, without doubt and you ( Peter, Ryan and Team ) are regarded as one of the Best Portfolio Managers in US and Canadian stocks.

Thank You

Q: Hello Peter & Team,

I know (looking at previous questions) 5i likes XEI as do I with the good dividend I continue to enjoy. But it has languished since Aug 2022 when I took up a position to the tune of (as of today) a tad over -8%. Considering market conditions since that time and the fact the Blackrock index is made up of some 50+ S&P/TSX composite index stock, shouldn't I be enjoying a little bit better performance on the capital gains side of things? My goal with this ETF was to enjoy the dividend and appreciate a 4 or 5% per year return or at least stay close to par. Is there something I'm missing? Are my expectations unreasonable? What is your interpretation of what drives this ETF?

Thanks for all you do

gm

Q: Hi 5i,
I’m looking at ETF options to add trend/futures exposure to my portfolio. TFPN, MFUT and DBMF are three names that are frequently referenced. Can I ask your opinion on these three ETFs, and if there are other names you would short list?

Thank you in advance. Please feel free to deduct credits as needed.

Q: Good morning,

What is your favourite preferred share ETF please?

Thanks as always.

Trevor

Q: Hello 5i,
You recently mentioned HIND-T in a response.
On the surface, this would be ideal for my needs: increase U.S., increase Industrial, and increase dividend yield/income.
Conversely, it is very small (~23 m AUM?), trades very thinly, and is very, very new.
Given the above, how would you rate this equity as an investment for a retiree?
Any other caveats you would care to add?
Any similar, but better, alternatives that you would prefer?
Many thanks for your insights!
Cheers,
Mike

Q: Do some of the Canadian Banks have ETF's similar to the Purpose High Interest Savings Fund (PSA). If so; can you provide me with a few recommendations. Thanks.

Q: hello 5i,

looking for your ideas re : a few ETF recommendations.
1. One would be for US defense holdings.
2. Agricultural, either international or N. American.
if there are individual stocks that would better than an ETF by all means please advise.
thanks so much.
Ralph
Hi 5i,

Second half of question. Could you please recommend one or two ETF's covering the following categories.
1. A pure play natural gas ETF.
2. Any basket ETF covering the Honk Kong exchange?
You guys are the best!
Thanks,
Ralph

Q: Hi 5i,

Are there any value based European ETFs that you could recommend? If none that are value focused, then what would be a good European ETF in general?

TIA!

Q: Just wondering if i am a bit late for the small cap party? If I were to increase my holdings, which of the above do you think is best? Or, is there anoter etf that you would recommend?
With appreciation

Q: I am looking for income and some growth,but income is more important. With that in mind what are favorite ETFs in the following areas ?
International ,excluding North America
US small cap.
India
US large cap.
Thank you,
Philip

Q: I am retired and want to buy a hedged ETF for either Nasdaq or the S&P 500. Which do you recommend and why?

Q: Can you please recommend 3 bond ETFs that will provide in one year 10% yield including both dividends and capital appreciation?

Q: From an income perspective, could you provide your thoughts for a retiree, non-registered and % holding you may or may not be comfortable. I am somewhat hesitant on these high yielding CC ETFs because I can't help but think you are eventually eroding principal at some point because if the options are exercised you will lose the upside. thanks

Q: What would be your top thee picks for US Market ETFs today and why? (10+ year hold)

Q: I am retired and in an income based RRSP your thoughts on switching ARC, SUNCOR and TOPAZ to the higher yielding EMAX and or ENCC

Q: Peter,

Please provide the names of any recommended ETFs in CAD and in USD that specifically track the big 7 of the S & P.

Thanks

Paul

Q: Hello Peter,
There is a possibility of rate cuts in US. Would the small cap space be good place to be? I was thinking of XSU, Russel 2000 index as opposed to XUU , the whole US market. Which one would be best in a lower rate scenario? Much appreciate it

Q: Hi 5i Team,

In a recent question by Kyle (July 15), you recommended ZSP. Any reason for choosing ZSP over the usual VFV? MER a drop higher for ZSP although liquidity looks better.

Q: 5i’s opinion of XST for a 5-yr hold in RESP?
I see its 5yr & 10yr returns are 10% & 12%, its 3 largest holdings (ATD, Loblaws, MRU) total about 60% of the fund, and it has 11 holdings.
I would basically purchase for diversification as opposed to buying the main holdings individually and paying commissions. Thank you.

Q: If we see interest rate cuts 2 or 3 times this year in the US, this should get the house building companies a real lift. What is your outlook for these stocks and are they a real buy now?
Thanks Again