Investment Q&A

Q: I am an income investor seeking capital preservation over capital appreciation. I am thinking of purchasing some or all of these ETFs. Do they meet my requirements? How would a downward market correction affect these ETFs?
Thanks for your assistance

Q: I am very heavy on Canadian equities within my corporate investment account. My personal accounts are all a bit heavy on Canadian equities as well. Plan to purchase ETFs to balance. Which of your current ETF portfolio names would you add right now and is there any advantage to doing so within my INC., TFSA, RSP or personal unregistered account. Would invest a 5% positon in the next few weeks. Balanced equity portfolio is the target, 10 year horizon.

Q: Good morning from the West Coast.
Merry Christmas and a Profitable New Year to all the staff at 5I.
My question : Is there a CDN ETF that has a monthly payout please?
Thanks
Rick

Q: What would be your recommended ETF's for the following sectors that would provide safety and a regular monthly income . Financial, Consumer, Utilities ,, Energy, and Healthcare. I have noticed that you generally prefer for retired conservative investors like me to follow more the income portfolio.
Your comments and recommendations are appreciated. Thanks.

Q: I own ZWH at present in a registered account. Is there any advantage to adding XDU (hedged or unhedged) for diversification? I am also looking at ZWU as a possible addition. Thank you.

Q: I am a retired non-resident and living on dividend income. My portfolio is a collection on higher yielding dividend stocks such as TD, BCE, FTS, AX.UN, ENB etc. (80% of portfolio focused on income)
I also have some lower yielding but higher growth stocks such as SIS, GSY, CCL.B, PBH, WSP. (20% of portfolio focused on growth)
To offset the lower yield of my growth stocks, I am looking into covered call ETFs such as ZWU (yield=6.6%) to bump up my income. I am not concerned with capital appreciation with the covered calls, only safety of dividend. Is a covered call such as ZWU for utilities as safe as it appears for dividend income? Are there any additional risks to be aware of holding a covered call such as ZWU vs the individual holdings within its portfolio?
Are covered calls the safest strategy to generate a 6-7% yield in a portfolio? Any other recommendations for higher yield (such as CEFs, BDCs)?
I am considering investing 10-15% of the income generating portion of my portfolio into higher yielding investments.
What 3 funds/stocks would you recommend I invest in to bump up the yield and thus offset the lower yield of my growth stocks?

Q: I am considering these two ETFs for my RRIF. Do you have a preference? I currently hold the following: SLF, BNS, TD, RY, AQN, BEP.UN, T, BCE, ALA, ENB and PPL. Thank you.

Q: Are covered call ETF's okay to put in a non registered account vs TFSA & RRSP from a tax perspective vs regular dividend etfs? Does this make things more complicated when filing?
Also what is the opinion of 5i regarding PDF?

Thank you!

Q: I am a fan of covered calls. I am retired and like the income, tax treatment and downside protection. In addition I like the diversity an ETF brings.
I hold all the above but am looking for more diversity. Are there equivalent US offerings? Does BMO have competing products that are more diverse?
Thanks

Q: I am considering converting the holdings in our investment account from the couch potato to a dividend portfolio consisting of the 4 etfs listed. In both cases cash replaces the bond component. I want to draw a larger dividend from the portfolio. Do the 4 etfs provide satisfactory diversification and how do you see the pros and cons of implementing this change. Thanks

Q: Peter; My wife holds NPI in a non registered account. Shes thinking of switching to ZWU. She is 74. Thanks.

Rod

Q: Hi 5i,

I'm thinking on adding ZWH 5%-10% to my RRSP to cover my US exposure. This is for a income portfolio.
My portfolio now consist of 50% GIC's and
5% in each of the following stock.. BNS,EMA,ECI,ENB,SRU.UN,BCE.
10% in CDV.
Can you suggest another ETF that would fit better then ZWH? Or would you consider ZWU a better position. I see 5i income portfolio doesn't have any US equity holdings.
Would the US dividend be tax excempt within the ETF?

I look foreward to your answers.
Thank for all the excellent info!!

Q: Do you expect ZWU to fall substantially with a Cdn rate hike? Would you move out of utilities into something else that would perform better with rising rates?

Q: I'm retired and am interested in building an income portfolio. A recent contributor provided a list of 6 utilities Aqn, Bep.un, Bip.un, KWH.un, FTS and VNR for a total of 15%. 5I was OK with the choices. I've been considering ZWU @ 15% for the utility sector. Comments, ideas please.

Q: What is your opinion of ZWU as a long term hold? Do you see any reason to hold this instead of a basket of utilities on their own?

Thank You

Paul

Q: Is there a etf with the major communication stocks in it,Bce,Rogers etc ?

Q: I am interested in your opinion of ZWU, PFF, and IPFF as potential investments for income in both CAD and USD please. Thanks.

Q: Hallo I5, is there a tax advantage between dfn, df and zwu, would you please rate or rank them from safety point of view. Perhaps suggesting a couple better ones. I do not have any India holding. Would you consider either of the above safe with reasonable MER, perhaps a suggesting a couple better ones. Many thanks, J.A.P. Burlington

Q: Hi Peter and Team
Enjoyed your BNN show and picks as always!
I am reasonably balanced in my RSP with your positions in your growth and balanced portfolios but now, at age 68 have to convert my RSP to RIF in a few years. I am considering transferring most "in Kind" and would be looking at 10-20 stocks to hold that are good income generators. Would you consider listing 10 good stocks to continue to hold in a RIF ?
Should I try and hold more "conservative" dividend growers ?
Would you suggest I sell to cash and purchase larger positions of the financials, for example; or is it better to stay balanced?

Complicated question but I appreciate the advice as I have done quite well from you previous guidance

Thanks,
Peter

Q: 5i

What is a covered call and what is the risk level in a covered call ETF in both a rising market and a falling market. Looking at ZWH and ZWU as my utilities segment is low as is my USA segment of my portfolio. Yield on both is good and I am looking more for income with a little growth.

Wayne