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iShares Core Canadian Long Term Bond Index ETF (XLB)
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Vanguard Canadian Aggregate Bond Index ETF (VAB)
Q: Hello,
I own both of these ETF's in my RRSP. The position in VAB is higher by 3 fold as compared to XLB.
I will be adding to one of these with my 2019 contribution. Given the outlook for rates (I lean towards the notion that they have most likely peaked), I was going to increase my position in XLB. Would you agree with this decision or would you favor VAB? As background, I am retiring in 13 years if that helps.
Secondly, do you view preferred shares and corporate bonds issued by public companies comparable in terms of asset categories? Both respond for the most part to movements in interest rates as best I can tell but would like to get your opinion please.
Thanks,
Dan
I own both of these ETF's in my RRSP. The position in VAB is higher by 3 fold as compared to XLB.
I will be adding to one of these with my 2019 contribution. Given the outlook for rates (I lean towards the notion that they have most likely peaked), I was going to increase my position in XLB. Would you agree with this decision or would you favor VAB? As background, I am retiring in 13 years if that helps.
Secondly, do you view preferred shares and corporate bonds issued by public companies comparable in terms of asset categories? Both respond for the most part to movements in interest rates as best I can tell but would like to get your opinion please.
Thanks,
Dan
