Investment Q&A

Q: Small position on this ETF for long term. With TSX controversy about listing marijuana companies, do you think I should sell?

Q: ZWH BMO High Dividend Covered Call for U S exposure and income in a RRIF portfolio

Q: Hello, I'm looking for broad market exposure to emerging market equities and emerging market debt. Can you recommend any ETFs that are unhedged? so far I came across LEBM on the debt side and XEC on the equity side that seem ok. thanks for your time. Matt

Q: Hi. My portfolio has no US ETFs. I have some individual US technology, financial and industrial stocks. (total 10% weight). Now, I'm planning to sell some of my Canadian stocks and to increase US stocks to 25 to 30% weight.

I'm in the process of adding more US stocks into my well diversified portfolio. My questions are 1) Do I need to buy into every US sector? If not, what US sectors should I concentrate into buying and what other US sector should I ignore? For instance, I assume I don't need US energy and US material stocks. 2) In my US portfolio, I have GOOG, ADBE, VISA, AIG, CGNX. What others US stocks should I also add?

I'm still unsure how to incorporate US individual stocks into a portfolio. Please give guidance... Have a great day.. Thank you in advance.

Q: Hi Peter: I have VXC in my portfolio for international exposure. I want to add to it for rebalancing. Now that the Canadian dollar has recovered to the $0.80 range should I add to this or to an unhedged ETF. If so which would you recommend? It will be in a RRSP account. Thanks.

Q: I don't have any US exposure and would like to add 10% of my portfolio to ZWH in my Cash account (non registered). Are the dividends eligible for the dividend tax credit? Are they paid in US funds and would there be any withholding tax? Do you have a better suggestion to get US exposure with a decent yield.

Q: Hello
Need some advice please. 62 and recently retired. RRSP's are almost maxed out but only a few k in TFSA account.
As my income is now at its lowest point (CPP),I'm
thinking I should start moving some RRSP funds to my TFSA?
I'm considering a mix of ETF's such as VAB,VCN,XAW or perhaps some of your Income stocks and funds such as CPD,XHY,BCE and BNS.
Note that I do hold most stocks in the balanced portfolio.
Thanks for your great service.
Gary

Q: Hi 5i. In an answer to Joel today you said "to make sure he has his US PF in place." I have 25.5% of my well balanced PFs in US and am interested in VXUS or VEU. However I have 4.85% in US financials, 9% in US I.T, 4.7% in US Cyclicals and 7% in US Industrials. Should I have all US sectors? before I buy International? Must i go to 5% in one of these ETFs? I have no International. I;m looking to hold for a long time in my RRIF. I am a young 67. Please deduct credits as you see fit. I've been a member since April 2014 and still "lovin it". Thanks so much!

Q: Hi, are there any etfs that appeal to you now (for value and/or momentum)?
Thanks

Q: do you recommend reducing exsposure from USA and Canadian stocks and add a bit of European and Emerging market and if so what mutual funds or stocks would you recommend that are available on the Canadian or usa markets that would accomplish this

Q: The Russell 2000 has had a nice run up and now appears to be descending. I need US$ and would like to realize my profits in US$ while the Cdn$ is strong. As I have Loss carry forwards for tax purposes there will be no tax payable on this transaction. I would consider buying back in to IWO if you feel the Russell 2000 will reverse and start to rise again. What do you think at this time about investing in IWO? Mike

Q: Do you have any thoughts on this ETF?

Q: Please recommend some USD non-US global ETF options for large cap dividend payers. I would appreciate pros/cons of any recommendations from your perspective. Please deduct the appropriate number of credits.

Q: I would appreciate your updated opinion of HYG-T.

Thanks
Jon

Q: In your response to Stephen you state that ZWH in a RRSP incurs a non-recoverable US withholding tax on the dividend - I hold ZWH in a RRSP and receive $0.095/share/month, the same amount as stated on the BMO website. Am I missing something here?
Thanks

Q: Which would you prefer? Is there a difference between them? Thanks, Austin

Q: Dear 5i
I currently own Dynamic Active Core Bond Private Pool DYN3900 as part of my portfolio with my previous financial planner as part of my fixed income .
I`m thinking of selling it in favour of CLF,CBO,CPD and XHY as recommended by 5i.
Do you see this as a good move or do you see any compelling reason for keeping it ?
Thanks
Bill C.

Q: My real estate exposure consists of CAR.UN. To increase diversity I am considering selling CAR and buying RIT. The MER is on the high side but the short and long term performance, relative to other REIT ETFs or mutual funds, seems justified. Volatility is also relatively low. What is your opinion on my plan and on RIT as a long term hold? Are there any other mutual Funds or ETFs I should consider. The percentage of my portfolio devoted to REITs is not high enough to obtain the diversity I seek by direct investments. I also do not wish to increase my security count by 3 or 4.

Q: I note that CBO have US instruments within their investment portfolio. What percentage of the portfolio is in non Canadian paper and what effect does currency have on this ETF. Regards

Q: Do I really need gold (XGD)?

I know 5i regards gold as an insurance/flight-to-safety hedge, but over ~ 10 years of investing, gold (XGD) has only lost me money. So, based on:

(a) http://money.cnn.com/2017/04/19/retirement/retirement-savings-gold/index.html and
(b) May 08, 2017 - Asked by Harry 'you can use TIPS securities under ticker TIP',

I'm considering replacing all my XGD (2.2% of portfolio; keeping RTM and ZCL in Basic Materials sector) with TIP ETF (10-year returns: TIP: +13.2%, XGD: -30%).

Would very much value you thoughts on this. Thank you.