Q: PMO005....Pimco Monthly Income... I had this transferred in from my wife's "fired" advisor account. Is it worth keeping? and,if not, could you suggest an ETF. Very hard to find any info on this product. Thank You Ron
You can view 3 more answers this month. Sign up for a free trial for unlimited access.
Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: Could I please get your opinion on the. emerging market fund RBF 1099 with a mer of 1.5. As always thanks so much for your valued opinion.
Q: Good Morning
Quite a few years ago I began investing through full fee global mutual funds. I graduated to purchasing individual stocks through a discount brokerage account but held on to the mutual funds which now comprise about 15% of my portfolio. The mutual funds have performed OK, nothing spectacular, returning a little over 9% annually and have doubled in value. The MERs are high at about 2.75%. I would dearly like to switch into global ETFs. If I sell the mutual funds over a number of years, I will limit the capital gains tax bite to about 15%. I calculate that going forward if the mutual funds average 7% then the ETF should average 9.5%. I arrive at this by adding the 2.75% MER back onto the 7% gain and then subtracting .25% for the ETF MER. At this rate it will take 8 years to recover the 15% lost to capital gains tax and achieve the ongoing benefit of lower fees. Is this a valid strategy or am I missing something?
Thanks
David
Quite a few years ago I began investing through full fee global mutual funds. I graduated to purchasing individual stocks through a discount brokerage account but held on to the mutual funds which now comprise about 15% of my portfolio. The mutual funds have performed OK, nothing spectacular, returning a little over 9% annually and have doubled in value. The MERs are high at about 2.75%. I would dearly like to switch into global ETFs. If I sell the mutual funds over a number of years, I will limit the capital gains tax bite to about 15%. I calculate that going forward if the mutual funds average 7% then the ETF should average 9.5%. I arrive at this by adding the 2.75% MER back onto the 7% gain and then subtracting .25% for the ETF MER. At this rate it will take 8 years to recover the 15% lost to capital gains tax and achieve the ongoing benefit of lower fees. Is this a valid strategy or am I missing something?
Thanks
David
Q: Peter,
What is year end date for Mutual Funds, and for Etf's (if any specific date for those)
Thank you
CDJ
What is year end date for Mutual Funds, and for Etf's (if any specific date for those)
Thank you
CDJ
Q: Instead of bonds I have 2 mutual funds (I know dirty words!) that I consider fixed assets. I think they are both excellent but I would like your opinion. NCE617 Sentry Canadian Income and NCE621 Sentry Small/Mid Cap. I have about 1/3 or my portfolio in these funds as well as 40 stocks. I have about $5,000 in each of your growth portfolio stocks.
THANKS FOR YOUR WORK! I WOULD LIKE TO BUY YOU A BEER! (or TWO)
THANKS FOR YOUR WORK! I WOULD LIKE TO BUY YOU A BEER! (or TWO)
Q: Good Morning Peter and Team,
For the global / international equity portion of my portfolio I have looked at ETF's and mutual funds rather than individual stocks. In my view the best global / international equity manager that I have found, so far, in terms of performance, low fees, people, and process is Mawer Investment Management located in Calgary. They appear to run equity portfolios much like you (albeit less concentrated). In other words they only own the really good or great companies and completely ignore the many "cigar butts" and "value traps". Would you agree that their style has some similarities to your own and what is your opinion of their firm and are they a good choice for global / international equity exposure ??? Thank you very much for leaving Bay Street and helping the retail investor. DL
For the global / international equity portion of my portfolio I have looked at ETF's and mutual funds rather than individual stocks. In my view the best global / international equity manager that I have found, so far, in terms of performance, low fees, people, and process is Mawer Investment Management located in Calgary. They appear to run equity portfolios much like you (albeit less concentrated). In other words they only own the really good or great companies and completely ignore the many "cigar butts" and "value traps". Would you agree that their style has some similarities to your own and what is your opinion of their firm and are they a good choice for global / international equity exposure ??? Thank you very much for leaving Bay Street and helping the retail investor. DL
Q: Hi.What is our opinion about FXM-T (first asset management Canada value fund)Thank you and have a good day.ebrahim
Q: Could you tell me why ET is in your income portfolio?
Is there still a change of a take over?
Also if you had a choice which 3 stocks would you put in a tsfa?
Is there still a change of a take over?
Also if you had a choice which 3 stocks would you put in a tsfa?
Q: I keep a hefty chunk of cash in my online account but the Broker pays no interest!! What in your view would be the best way to get interest on it and yet have it easily available for stock purchases at the appropriate time?
Q: Hi Peter and Team:
My self-direct RSP account still has the following mutual funds:
AIM925/924
MFC838/837
I am able to sell the mutual funds this year without penalty. It was recommended by our previous financial planner (bought in 2007)
My question is should we keep it or sell it now? if we sell it, what is your suggestion to replace mutual fund at this moment?
thank you so much.
adriana
My self-direct RSP account still has the following mutual funds:
AIM925/924
MFC838/837
I am able to sell the mutual funds this year without penalty. It was recommended by our previous financial planner (bought in 2007)
My question is should we keep it or sell it now? if we sell it, what is your suggestion to replace mutual fund at this moment?
thank you so much.
adriana
Q: hi folks:
regarding carole's question of should she dump a fund (cig786) and buy a stock
believe me when I say that I am no big fan of mutual funds, yet if you look at that particular fund, internationally balanced, with a below average mer of 1.6%, and one that has crushed the index over most periods, I wonder if your dislike of all funds has over taken prudence
with this size account, with the goals noted, I am very surprised you would not at least acknowledge the quality here
along with the international diversification carole alsohas had....
10.4% p.a. return over the past 15 years (fifteen years)
inception was dec 1996 and since then has an 9.78% annual return
(all net of fees)
I think your service is second to none, yet in this case I believe you are offside
(no, I do not work for CI funds, and my total fund holdings are 15% of assets, mostly international)
Robert
ps. this fund has out-performed many (arguably most) hedge funds which you recommend and they all have far far greater fees
robert
regarding carole's question of should she dump a fund (cig786) and buy a stock
believe me when I say that I am no big fan of mutual funds, yet if you look at that particular fund, internationally balanced, with a below average mer of 1.6%, and one that has crushed the index over most periods, I wonder if your dislike of all funds has over taken prudence
with this size account, with the goals noted, I am very surprised you would not at least acknowledge the quality here
along with the international diversification carole alsohas had....
10.4% p.a. return over the past 15 years (fifteen years)
inception was dec 1996 and since then has an 9.78% annual return
(all net of fees)
I think your service is second to none, yet in this case I believe you are offside
(no, I do not work for CI funds, and my total fund holdings are 15% of assets, mostly international)
Robert
ps. this fund has out-performed many (arguably most) hedge funds which you recommend and they all have far far greater fees
robert
Q: Further to my question of March10/14, my wife owns Mawer Global Small Cap fund in her TFSA. She was advised by the company that no T3 tax slips would be issued for this fund, as mutual fund investments that are registered(RRSP & TFSA) do not receive T3 tax slips. If this is correct, does this mean that if she decides to invest in individual stocks of global companies in her TFSA instead of using the mutual fund, she will not receive a T3 tax slip either?
Q: I'm looking for your thoughts. My wife and I's RRSP money is invested in 2 mutual funds - Phillips Hagar and North Dividend Income fund (200K+ in D series, have held for 15yrs+ and no longer contribute) and Franklin Tempelton Bissett Canadian Equity (400K+ in F series, have held for 15+yrs and continue to contribute). At what point should I/we consider switching these to self controlled RRSP accounts as opposed to investing in Mutual funds - please note both are invested directly with the investment firms and not through a Broker? Both funds have what I consider low MERs at 1.18%, and have performed quite well as far a returns relative to overall markets with very little thought or effort on my part, allowing me to focus on other investment themes. Over the last few years I have taken control of much of our other financial assets and have self directed TFSAs (2x 40K) and non-registered monies in stock (100K), none of which overlaps companies invested in the mutuals, and most of which are a combination of profiled companies from your site... I'm not sure my question is a question, but I'm looking for your thoughts on evaluating switching from the quality of my mutual funds to say ETFs or a basket of stocks to replace the mutuals, if I was to do so. - Cheers.
Q: What are the tax implications of holding investments in a Global Equity Mutual Fund or ETF in my TFSA? As these funds hold many different stocks in different countries, how are the taxes calculated on the dividends or capital gains?
Q: Do you like the Cambridge Pure Canadian Equity Fund (Class A units) for a holding in a TFSA
account.
account.
Q: What is your opinion on the Invesco Intactive Balanced Growth Portfolio in a RIF portfolio?
Q: Do you like the Mackenzie US Mid Cap Growth class? This was formerly Mackenzie Universal
American Growth Class?
Thanks.
American Growth Class?
Thanks.
Q: What do think of the Trimark Global Dividend Class for a TFSA holding?
Q: Hi all,
Just a comment, as per your answer to Jacques question, I believe you quoted the MER for the FT Bissett Microcap A series. As the Q's was about the F series (TML 239)the MER for the F series is 2.40%. Still high, but I have held this one for just over 16 yrs and considering selling because of the fees. No discount for larger accts. plus they were initially going after < 100 mill MKT cap companies but that changed after Templeton took over and opened a A series.
Just a comment, as per your answer to Jacques question, I believe you quoted the MER for the FT Bissett Microcap A series. As the Q's was about the F series (TML 239)the MER for the F series is 2.40%. Still high, but I have held this one for just over 16 yrs and considering selling because of the fees. No discount for larger accts. plus they were initially going after < 100 mill MKT cap companies but that changed after Templeton took over and opened a A series.
Q: Can I have your opinion on the Franklin Bissett Microcap Fund series F. I realize that the fees are quite high but the long term returns have been quite good. Wandering if I could use this fund as a percentage of my TFSA portfolio.