skip to content
  1. Home
  2. >
  3. Investment Q&A
You can view 3 more answers this month. Sign up for a free trial for unlimited access.

Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: Hello, the distribution paid by these ETFs is starting to come down, even before the new rules becoming effective Jan 31th. Distributions will also follow the BoC rate when it starts going down as well. What would happen if shareholders start selling PSA, CSAV or CASH en masse? Is there some sort of marketmaker for these ETFs that, no matter what, will keep the share price close to NAV? Thanks.
Read Answer Asked by Martin on January 15, 2024
Q: Regarding CASH and similar etfs:
Couldn’t the price fall if/when interest rates decrease?
I realize that in such a scenario the price may fall below NAV, but potential buyers may not care until the price falls low enough for the yield to be attractive. In this way, it seems as if they could trade similar to a long bond. If so they could hardly be considered cash alternatives. Your help in understanding this, please.
Read Answer Asked by john on January 02, 2024
Q: Happy Holidays,
I have a question about tax efficiency on HISA ETF investments in non-registered accounts. Do the dividends received from these ETFs qualify for any dividends tax credits? Or are they being treated as interest income, such as GIC, which will be subject to the usual marginal tax rates?

Thank you,
Read Answer Asked by Roger on December 23, 2023
Q: My daughter has opened her First time Home buyer Savings Account with the intent to wait 1 ½ to 2 years until she will be ready to purchase her first home. Do you have any ETF's you would like to suggest ?
Read Answer Asked by Gord on December 20, 2023
Q: I intend to invest a significant amount of cash ETFs in my TFSA ,could you suggest a list of safe ETFs with interest,or even short term bond ETFs if pertinent with this objective,aiming at preservation of capital and 4% + to 5% revenue, would it be better to hold just one ETF or a mixture is better in this context,many thanks for your excellent work
Read Answer Asked by Jean-Yves on December 08, 2023
Q: I need to sell 1/3 of my portfolio and park the cash for 3-6 months. TD will not allow me to buy PSA, CASH, HISA, or HSAV. Can you recommend a few other good options.
Thank you,
Derek
Read Answer Asked by Derek on October 27, 2023
Q: Dear 5i
Could you please confirm the MER's for the above stated high interest funds and that the stated 12 month yield is net of the MER . Also is it more important to go with the fund with the higher yield or the fund with the tighter bid/ask spread or the fund with the tighter 52 week differential or try to determine the best when considering all three factors knowing there is some compromises ?
Thanks
Bill C
Read Answer Asked by Bill on October 20, 2023
Q: Dear 5i
Do most or all high interest savings accounts pay distributions monthly or quarterly ? How would you rate the above ones that i've listed ? Do you have to be a little cognizant of when you buy them as i see the price can fluctuate slightly throughout the day ? Are you best to buy the one with the highest % distribution or a combination of % distribution and the smallest 52 week high /low spread ?
Take as many points as necessary as i have multiple questions and lots of points .
Thanks
Bill C
Read Answer Asked by Bill on October 17, 2023
Q: I have money invested in non-registered accounts which I will need in 1-3 years for a downpayment on a house.

Am I correct that money needed in a 1-3 year time frame should not be invested in the markets ?

If so, what should be done with this money ? Any "money" ETF s to consider ? Thank you !
Read Answer Asked by laurent on October 16, 2023
Q: The four referenced cash accounts pay roughly the same rate of return. Which of these are best in terms of risk and liquidity. What would you recommend for cash portions of the portfolio and which etf if any would you avoid. Thanks
Read Answer Asked by mitchell on September 20, 2023
Q: Hi there,

With so many low risk, high yielding ETFs now that are producing better rates than savings accounts, which would be the best to hold in a non registered account, and why?

Thanks!
Read Answer Asked by Michael on September 06, 2023
Q: I'm looking to park some cash and let it earn some interest. My bank doesn't offer any meaningful savings interest rate and I'm not interested in a GIC. Can you please recommend a couple of money market funds or ETFs I could buy through my non-registered iTrade account.
Read Answer Asked by David on August 25, 2023
Q: I am currently holding over $80K in ZMMK as a holding place. Approx. 4.92% dividend while I wait to see where this market is going (so many mixed signals and differing opinions !). RBC just announced they are supporting the purchase of things like CASH, PSA, etc. How does ZMMK compare compare to the Horizons High Interest Savings ETF (CASH) ? Is ZMMK as "safe" ?
Read Answer Asked by Randy on August 18, 2023
Q: Hi there, could you please name your favourite high-interest savings account etf for a non-registered account, with a short description of why?

What is your favourite for a registered account and why?

Thanks!
Read Answer Asked by Chris on August 01, 2023
Q: Wondering what your favourite/safest High Interest savings ETF would be to park cash for a few months or maybe a little longer.
Are there any risks associated with these ETFs?
I note for CASH, todays price is 2% greater then the 200 day moving average. Can these drop in value?
CASH management fee is .11%-is this high?
Why are the distributions variable on a monthly basis?

Thanks
Jeff
Read Answer Asked by JEFF on July 26, 2023
Q: For the High interest savings etf's listed, which has the best net yield (or if another has a better yield that is not listed please let me know)?
With the HSAV product not paying a distribution, how do you find its yield? (In an answer to a previous question recently, it had the highest gross yield at that time of 5.25%)

And lastly, for funds held within a corporation, what would be the best tax advantaged way to go (pay tax on the dividend or the capital gain on HSAV)?

Thanks very much,
Read Answer Asked by Dustin on July 26, 2023
Looking for more? Sign up for a FREE 14 day trial! No credit card required

We invite you to sign up for a 14 day free trial of 5i Research!
Experience all the benefits and tools we have to offer; stock research, model portfolios, Q&A with our experts, and so much more. Join a community of like-minded investors today!