We last wrote about TD Science & Technology Fund in 2010. That was before the strong emergence of ETFs as a low-cost alternative to mutual funds and their pricey active management.
June 2010
TD SCIENCE & TECHNOLOGY FUND $15.13 (CWA Rating: Aggressive) (TD Asset Management, P.O. Box 7500, Station A, Toronto, Ont. M5W1P9. 1-800-386-3757; Web site: www.tdcanadatrust.com. No load — deal directly with the bank) mostly invests in U.S. firms that research, develop and produce products or services related to science and technology.
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TD Science & Technology’s top holdings include Microsoft, IBM, Apple, Google, Cisco Systems, Samsung Electronics, McAfee Inc., Qualcomm, Palm, Autodesk, Juniper Networks, Canon, Hewlett-Packard and Accenture. The fund’s MER is 2.68%.
The $92.6-million fund rose 49.5% (in Canadian dollars) over the last year. The Nasdaq index gained 19.4% (also in Canadian funds) in the same period. However, over the last 10 years, the fund has lost 10.6% annually, compared to a loss of 7.4% annually for the Nasdaq index.
Science and technology is a volatile area, and the fund could suffer significantly in a market downturn.
TD Science & Technology Fund is a hold, but for aggressive investors only.