Q: I recently read that the hugely over-priced Tesla has been added to the S&P 500. Since I have a significant portion of my retirement funds in an S&P 500 ETF, I am concerned that the value of the ETF will be dragged down once (I think) the Tesla valuation comes down out of orbit. Should I rebalance my holdings to decrease exposure to the S&P 500? Thanks!

A: Certainly, if one stock becomes an outsized part of a market capitalization-weighted ETF, then you need to consider adjusting your overall holdings. That’s especially so if that ETF also makes up a significant part of your portfolio.
Meanwhile, you always need to keep the “Nortel factor”… Read More

5 great tips for ETF investing

5 great tips for ETF investing

You will have better opportunities for success with ETF investing when you follow our tips
In 1990, ETF investing was introduced in Canada. The fund was called Toronto Index Participation Shares, and started trading on the Toronto Stock Exchange (TSX). The shares, which tracked the TSE… Read More