Investment Q&A

Q: Hi there,

I'm evaluating the fixed income portion of my portfolio and am debating between a ladder GIC vs a HISA ETF. I understand GICs are locked in rates and HISA etfs are floating, but can you provide any insight as to the general historical differences in performance over historical time? In other words, say 100k split into 5 rungs of 20k vs 100k in a floating rate HISA etf - is there any difference in performance historically?

Thank you!

Q: I right now have 100,000 in cash (Canadian Dollars) that I want to keep in Money Market ETFs for the Short Term.

I have been trying to find the yield for all of the above and it is not easy because most of them show me the annualized yield. Interest rates have come down several times in the last year so the annual yield is not the best way to compare the above funds.

Which of the two funds above do you recommend, the reasons why and what is the current yield on it.

My brokerage account is with Questrade and they do not offer any of their own High Interest Savings Accounts like TD Direct Investing.

Thank You.

Q: Which of the following you recommend for safety ?
ZMMK, HISA or CASH.
Please deduct as required. Thanks for your insight.

Q: Hello. David Rosenberg’s latest per a Globe article today:

“Best to hide in cash, bonds (Treasuries, Ginnie Mae mortgages, high-quality corporates), gold and the miners (silver too), defensive bond-proxies in the stock market that have decent yields and consistent dividend payout growth (stable dividend stocks are up +5% year-to-date), Japanese money market funds (ride the most undervalued currency on the planet and a BoJ set to raise short-term interest rates sooner rather than later), and diversify into the European Defense and Capital Goods sectors which now have more fiscal-related visibility.”

Can you provide some specific ideas (stocks and or ETFs) that match up with his recommended areas to ride this out?

Thanks!

Q: If all of your portfolio was in cash and you wanted to buy a cash-like etf, would you be okay with buying 1 or 2 etfs or would you diversify the money across several cash-like etfs? Thank you.

Q: Good Morning Peter & Team,

Please advise best recommendation for holding cash during this Trump induced market turmoil.

Thanks for all you do

gm

Q: Hello I am 72 and fully invested in CDN and US equities. I am concerned about a bear market or a correction, and would like to reduce my equity risk.
Say for $250K , how would you invest between CASH, T-Bills, GIC, Bond ETF?
What are you suggestions?
Thanks
Carlo

Q: I would like any info that you may have on this cash vehicle, including who administers this fund.

Q: I am looking to invest in these 4 names for my father after he sold his house. He is 92 so I would like something as 'risk-free' as possible, just income needed. Thinking 100k for each, just wondering about any risks involved aside from interest rate risk and inflation risk.
Thanks!
Scott

Q: I have $100,000 of cash in an investment account, am looking for some conservative ETF’s with 1/3 going to fixed income, same to Cdn Equity and balance to Global. Any suggestions? Given the trade war with the USA, I might sit on the sidelines for a few weeks so ny thoughts on best way to invest the cash with good liquidity. I was looking at HISA ETF’s but they are very low currently.

Q: Where is the safest ETF to put cash in for a decent yield?

Q: What would cause cash to lose money ?

Q: Hello 5i,

I have been retired for 4 years and i am now am about to turn 65. i have a DB pension from my previous employer with a bridge benefit that carries until my 65th birthday in a few months.

I have done some projections on maximizing both income over the course of my retirement. I have determined that in my case it appears that these results are optimized if i defer OAS and CPP until age 70...and i am fortunate that i can afford to do this.

At this point i am in the process of converting a enough of my investments to fixed income products to cover income requirements until age 70 (to avoid short term market volatility and help me sleep better at night). One of the products i am looking at is using laddered USD GICs as they have better returns than CAD GICs at this point. I understand you don't give personal advice but i am wondering if there are other options i should consider? Bonds for example? Other?

Thanks!!

Peter

Q: Good afternoon,

I have around 18k in my FHSA currently all cash, I'm looking for some investment options to allocate that cash to but not sure of the best practice. I'm looking at purchasing my 1st home in 8-12 months. Would it be best to invest the 18k in different ETFs? Should I allocate 1/3, 1/3, 1/3? What would you recommend as diversification as well as some ETF's you think would be appropriate for my current situation.

Thanks!

Q: I am preparing for the sky to fall in coming weeks if not days and may pivot right out of equities, or at least anything remotely tech/risky. My question: can you recommend any monthly pay bond etfs or similarly vehicles where I can sell at any time and don't have to lock in, even for 30 days, so that I can realize some income from the portfolio? Looking to have my cake and eat it too! Thank you.

Q: im looking for a high interest canadian cash etf to park some cdn funds?

thanks

Stephen

Q: Hi team,
Is the dividend from an etf such as CASH taxed as bank interest or as a dividend and eligible for the div tax credit ?

Thanks
Shane

Q: I like what Global X has to offer in their line of ETF's. However, I think I read one of your Q&A responses a couple months ago that their can be a concern with overloading the overall percentage of ones portfolio with a given ETF company. Did I understand that correctly? If so, just wondering what the potential consequences are in doing that, and if you do recommend spreading investments over a number of ETF companies.

Percentages are personal, but perhaps 5i has a ballpark-ish range that they would be comfortable with for a given ETF company (?)

Q: Is there a cash holding to invest in that is not locked into a term (like a GIC but with no term), so, with full liquidity? I'm thinking of a high-interest type account within an RRSP so I can go to cash a few months in advance of need for the cash, but still incur interest on the cash as I wait to make a monthly withdrawal. I invest with RBC Direct Investing in case that's helpful - perhaps there is an RBC product that suits my needs.

Q: Can you comment on the relative returns of CASH versus CIB238 CIBC MON MKT FP /NL'FRAC. Today's rate for CIB238 shows 3.97% but this has been slowly going down as rates drop. For parking money for a few months up to a 6 months, which offers the best return?