How to choose the best investments for children

How to choose the best investments for children

Traditionally, there have been several options for parents and grandparents looking to make investments for children. But here’s how to choose the best investments for children in 2019.
Taking the time to pick the right investments for children and grandchildren is a worthwhile endeavour. If the child is under… Read More

Q: May I ask your opinion on ZWB (BMO Covered Call Canadian Banks) and HYGH (iShares Interest Rate Hedged High Yield Bond ETF)? In addition, does “covered call” offer any appreciable advantage over straight bank stocks or bank ETFs? And does the hedging of HYGH add risk or unpredictability versus the “straight” HYG? Thank you.

A: The BMO Covered Call Canadian Banks ETF, $18.62, symbol ZWB on Toronto (Units outstanding: 68.1 million; Market cap: $1.3 billion; www.bmo.com/gam), holds shares of Canada’s six largest banks (CIBC, TD Bank, Bank of Montreal, Bank of Nova Scotia, Royal Bank and National Bank) either… Read More

Rising rates limit the appeal of bond ETFs

The Bank of Canada increased its benchmark interest rate in July 2018 from 1.25% to 1.50%. That rate could rise further later this year on stronger economic growth and low unemployment. Inflation has also moved up steadily, sitting at 3.0% in July 2018.
We continue to… Read More

Two ETFs offer high-quality bonds at low fees

Two ETFs offer high-quality bonds at low fees

The Bank of Canada increased its benchmark interest rate in January 2018 from 1.00% to 1.25%. That rate could rise further later this year on stronger economic growth and low unemployment. Inflation has also moved up, although it eased somewhat from 2.3% to 2.2% in… Read More

Buy these low-cost ETFs if you want bonds

The Bank of Canada increased its benchmark interest rate in January 2018 from 1.00% to 1.25%. That rate could rise further later this year on stronger economic growth and low unemployment. Inflation has also moved up, sitting at 2.3% in March 2018.
We continue to caution… Read More

Two ETFs may be the best choices in bonds

Two ETFs may be the best choices in bonds

The Bank of Canada raised its benchmark interest rate from 1.00% to 1.25% in January 2018. The Canadian economy is growing and unemployment is low, although annualized inflation eased to 1.7% in January, from 1.9% a year earlier.

We continue to caution against investing in bonds… Read More

Here’s two bond ETFs if you need them

The Bank of Canada increased its benchmark interest rate in January 2018 from 1.00% to 1.25%. That’s because the Canadian economy is growing and unemployment is low. Inflation has also moved up, to 2.1% in November 2017.

We continue to caution against investing in bonds… Read More