Investment Q&A

Q: Hello. David Rosenberg is recommending a move to cash and, I think, short duration treasuries (per Globe article published today). What are the best investment vehicles for short term treasuries? And what do you think of his current opinion?

Thanks!

Q: Building the bond part of my investments. What proportion would you allocate to each of the four indicated. 2-What is the difference between XSB and XBB? 3- Do you consider OK to allocate some XHY as a bond equivalent?

Thanks for your great service.

Yves

Q: I have $800,000.00 from the sale of a house, and am looking for a safe place to park it. There is a possibility of further interest rate cuts, so would a long term bond ETF be a good place?

Q: Up to this point I have been a growth investor. Recently retired, I am converting some RRSP into a RIF and want to lower the risk profile. I am 60 y/o.

Kindly advise some ETFs that you would recommend in Canada or US.

Thanks a lot,

Q: Looking to add some longer duration bonds with inflation and interest rates dropping. You think this is a good move. Already own lpay, zst and cbil and looking for diversification, any other suggestions are welcome.
Thanks and have a great day.

Q: Bond ETF's like XLB have performed poorly in the face of peak interest rates and pending Fed rate cuts. Could you offer some insight as to why there has been recent weak demand for US treasuries, whether you see that trend continuing in the near term and at what point bonds may become a rewarding investment?

Q: Would XSB be a suitable holding for an 18-month holding period in a RESP?

Q: Can you compare these 2 ETF's?

Q: my position in XLB:CA has almost recovered to break even. i am adjusting my behaviour in investing to try to avoid betting on conditions such as rising , falling, or staying near current for longer. I am getting the feeling from comments that long bonds are a play on rates dropping. If this is true, i would rather be positioned in bonds for more balanced risk/return regardless of rates. Any suggestions ?
Many thanks for your great service!

Q: Do you think it is a good time to add bonds? It seems the most likely scenario's (slow growth with moderating inflation like now, or full blown recession) will be more favourable to bond investors than equity holders. What is the asset mix you would employ and do you favour longer bonds today? Thanks.

Q: Some time ago when rates were starting to go up I bought XSB for the bond (cash) part of my investments, . The thinking was that the "Short" would protect against rising rates. Alas, things did not work out that way and the holding is down about 9 %, not including interest paid. At this point, can you see any advantage to holding XSB with a return of 2-3 % when GICs are available at more than 5%? Many thanks

Q: With the sell-off and resultant higher yields on bonds, what are a few bond ETFS that I might consider as a short term park for money in registered accounts. Maybe there are bonds I could buy? They are hard to get some times on my bank platform: CIBC Investors Edge.

I have not owned any bonds for a very long time. Prefer dividend growth stocks.

Q: Dear 5i,
Many experts are suggesting that Bonds are very attractive right now because of the high yields.
Can you please suggest some Canadian bond ETF's and Mutual Funds that one might want to do further research on. In your opinion what duration range represents a sweet spot that might offer attractive total return within 3 years.

Q: Hello 5i, common question for you but I have very little bond exposure and was looking to start building a fixed income portfolio. Can you give me your current top 5 bond picks (assuming ETF's). This can be USA or Canada bonds.

Q: How risky is HYG?

thanks

Q: What bond funds are the best to invest in right now for the long term? Currently I hold ZAG.TO and CVD.TO. Should I continue buying them? I would prefer a higher dividend than what the ZAG gives.
Thank you!

Q: Hi there,

Can you please suggest Canadian-listed ETFs for the bond portion of a long-term portfolio? I'm interested in diversification.

Thanks,

Chris

Q: Supposing that an investor had three registered accounts of roughly equal size that they wanted to change from equity ETF's to a fixed income allocation for their portfolio, and these accounts would have to be converted to RIF's in 6 years. Let's also assume that we get one or two more small rate hikes this year, then interest rates flatten and begin to come down slowly over the following several years. Which of three options would you choose on a risk/reward basis? 1. Just hold money market funds currently paying 4.5%+ 2. Barbell XSB and XLB using two accounts, and put XBB (or ZAG) in the third (avg. yield close to 3 %? with potential cap. gains) 3. Put TLT in all three, yield close to 3%? maybe highest potential cap. gain? With the BOC policy rate going up close to 5 points since the start of 2022 the bond funds above fell anywhere from 10%+ to 30%+. Does that imply that if the BOC rate went back down 2.5% that they would rise 5%+ to 15%+, or you can't make that kind of straight line assumption? Maybe there is a way better option, but I don't really want to tie up funds in GIC's and don't want to try to pick individual bonds either. I also considered something like PSA but no cap gain upside there and the money markets probably pay as much interest or more. Thanks for your thoughts.

Q: Hi, I have heard about short term bonds providing high yields. I don't have much experience in this area. Could you recommend a way to add this into my portfolio?

Thanks
Paul

Q: In the current environment, when should an investor consider bonds vs. a high yield cash ETF? For example, XSB has a 2.4% yield right now whereas CASH has a 3.9% yield. CASH seems better due to the higher yield and also won't have capital losses whereas the XSB price can change.