Investment Q&A

Q: If the unthinkable happens and the US doesn't raise the debt ceiling leading to the US government defaulting, how would this affect holdings in each of HSAV, HSUV.U and ZMMK? Secondly if an investor held both such an opinion and such holdings, would it then be prudent to sell the holdings before the limit is reached? Please define the risks to these holdings if any actually exist.

Q: Good day,

I was considering parking US$ funds from my brokerage account in SPRXX (Fidelity® Money Market Fund) or VMFXX (Vanguard Federal Money Market Fund). However, I am given to understand that Canadian citizens cannot own US mutual funds. (Thank you for the guidance!)

Is there something else that you can suggest for US$ in lieu of these? How do they compare to Canadian ETFs CASH.TO or PSA.TO in terms of safety etc?

Thank you

Q: Hello everyone,

I have U.S. cash on the sideline and would like to "park" it short term (3/6 mths), can you suggest where to place 20th$ ?
I need to keep funds in U.S. dollars.
Thanks and all the best !

Q: I am interested in both of these ETFs to replace PSA as my savings account. My understanding is that rather than the distributions being taxed as interest as in the PSA the earnings are reinvested and NAV increases accordingly and when I need money sales of units at higher prices are taxed as Capital Gains.
When reading the Horizons website both of these ETFs have suspended sales of new subscriptions. As these ETFs continue to trade am I correct that this will result in market prices being increasingly inflated over NAV. The website also goes on to say that it does not recommend purchasing units when price exceeds NAV.
Can u clarify what this all means and am I ok to purchase these ETFs to use as a savings account to place temporary excess funds.

Q: Further to your answer to question: Can you suggest a US ETF similar to CASH in Canada, dated Feb 24, 2023 10:30 AM, what about a HISA Mutual Fund like NBC101, current rate = 4.15% ?

Q: Can you suggest a US ETF similar to CASH in Canada. Thanks

Q: Hello I’m wondering if you could name a couple of USD traded etfs that would be as close to the equivalent of PSA or CASH but trade in USD either on a Canadian or US exchange if necessary. Thanks

Q: Last week Horizons issued press release indicating they were suspending new subscriptions after reaching approx. $US 775 million in assets.
The release says that “ during a period of suspended subscriptions , the Manager expects the shares of HSUV.U to trade at a premium to its NAV per share . While new subscriptions are suspended , Horizons ETFs is strongly discouraging investors from purchasing shares of HSUV. U “ .
As of today , the price and NAV are within a few cents of each other.
How should this press release be interpreted ?
Is it just a formality ?
Or should you be listening when Company issues a caution on its own product ?
Thanks.

Q: What is the best ETF as savings account for US dollars?

Q: Looking to park some US cash and some Cdn cash with a reasonable assurance of safety (CDIC aside) while avoiding interest income in favour of capital appreciation via Horizons corporate class structure using these 2 ETFs. Do you see these as a reasonable means of achieving the goal? Both ETFs have substantial amounts invested and seem to use a similar approach to generating returns yet HSAV has more erratic up and down performance. Why? Any cautions or concerns? Whatcha think - does this plan make sense? Thanks as always for your generous thoughts.

Q: For a resident Canadian retiree, can you list a few instruments to earn interest on USD funds ? Thanks

Q: Is there a US dollar savings account equivalent to PSA where I can park US dollars in my investment account rather than converting back and forth?
Thanks
Peter

Q: How do you suggest investing US funds to earn some interest that are held in a Canadian bank’s brokerage account for short term holding?

Thanks, Bryan