ETFs
Exchange traded funds trade on stock exchanges, just like stocks. Investors can buy them on margin, or sell them short. The best exchange-traded funds offer well-diversified, tax-efficient portfolios with exceptionally low management ETF fees. They are also very liquid.
Investors use ETFs in a variety of ways, and some investors work only with ETFs and no other type of investment in portfolio creation.
An amazing aspect of ETFs is their diversity. Some investors may create an entire portfolio solely from a few well-diversified ETFs.
ETFs trade on stock exchanges, just like stocks. That’s different from mutual funds, which you can only buy at the end of the day at a price that reflects the fund’s value at the close of trading.
Prices of ETFs are quoted in newspaper stock tables and online. You pay brokerage commissions to buy and sell them, but their low management fees give them a cost advantage over most mutual funds.
As well, shares are only added or removed when the underlying index changes. As a result of this low turnover, you won’t incur the regular capital gains taxes generated by the yearly distributions most conventional mutual funds pay out to unitholders.
ETFs have a place in every investor’s portfolio, at TSI Network we also recommend using our three-part Successful Investor strategy:
- Invest mainly in well-established companies;
- Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; the Consumer sector; Finance; Utilities);
- Downplay or avoid stocks in the broker/media limelight.
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ETFs Library Archives
BETAPRO EQUAL WEIGHT CANADIAN REIT 2X DAILY BULL ETF $13.24 (Toronto symbol HREU) aims to use a combination of derivatives and debt to offer daily returns that correspond to twice the daily gains of the Solactive Equal Weight Canada REIT Index....
In early 2022, most real estate stocks and REITs were well on their way to recovering their pre-COVID highs. That was before investor worries about rising interest rates and a potential economic downturn set them back.
Nonetheless, for most real-estate classes (except for offices), occupancies are now mostly in line with pre-pandemic levels, and rents are rising....
Nonetheless, for most real-estate classes (except for offices), occupancies are now mostly in line with pre-pandemic levels, and rents are rising....
INVESCO SOLAR ETF, $45.84, is a buy for aggressive investors. The ETF (New York symbol TAN; buy or sell through brokers) tracks solar-related companies (including technology firms and utilities) listed on global exchanges.
The fund’s top holdings are First Solar (China; solar panels) at 10.5%; Enphase Energy (U.S.; home solar systems), 10.1%; SolarEdge Technologies (Israel; solar-power batteries), 6.4%; Xinyi Solar (China; solar panels), 5.3%; GCL Technology (China; polysilicon), 5.1%; and Sunrun (U.S.; solar panels), 5.0%. The ETF charges a relatively high MER of 0.69%.
Renewable stocks have drifted down since early 2021; that follows big run-ups in 2020 on President Biden’s support for sun, wind and hydro power—plus strong investor interest in stocks gaining from environmental concerns....
The fund’s top holdings are First Solar (China; solar panels) at 10.5%; Enphase Energy (U.S.; home solar systems), 10.1%; SolarEdge Technologies (Israel; solar-power batteries), 6.4%; Xinyi Solar (China; solar panels), 5.3%; GCL Technology (China; polysilicon), 5.1%; and Sunrun (U.S.; solar panels), 5.0%. The ETF charges a relatively high MER of 0.69%.
Renewable stocks have drifted down since early 2021; that follows big run-ups in 2020 on President Biden’s support for sun, wind and hydro power—plus strong investor interest in stocks gaining from environmental concerns....
Generally speaking, Canadians are blocked from buying mutual funds that are registered in the U.S. unless those funds are also registered with provincial securities commissions. (Moreover, some Canadian mutual funds are only available in a limited number of provinces.)
Investors in this country can, however, buy exchange-traded funds, or ETFs, listed on U.S....
Investors in this country can, however, buy exchange-traded funds, or ETFs, listed on U.S....
One key factor in successful investing—apart of course from picking good stocks (or ETFs that invest in those stocks)—is to diversify your portfolio.
Our main suggestion would be to make sure that your holdings are always well-balanced among most if not all of the five economic sectors—Manufacturing, Consumer, Utilities, Resources, and Finance.
That way, you avoid overloading yourself with stocks that are about to slump simply because of industry conditions or changes in investor fashion.
By diversifying across the sectors, you also increase your chances of stumbling upon a market superstar—a stock that does two to three or more times better than the market average....
Our main suggestion would be to make sure that your holdings are always well-balanced among most if not all of the five economic sectors—Manufacturing, Consumer, Utilities, Resources, and Finance.
That way, you avoid overloading yourself with stocks that are about to slump simply because of industry conditions or changes in investor fashion.
By diversifying across the sectors, you also increase your chances of stumbling upon a market superstar—a stock that does two to three or more times better than the market average....
Online commerce exploded for 2020 and 2021 as the COVID-19 pandemic limited consumers’ access to shopping malls and other traditional shopping outlets. However, as shoppers returned to physical stores in 2022 the rapid growth rate of online shopping slowed. Still, estimates indicate that the strong uptrend of online shopping has resumed in 2023 and will continue in the years ahead.
Growth slowed after pandemic boost
Global e-commerce retail sales (which includes all products and services ordered using the Internet, excluding travel, events, and money transfers) jumped by 50% between 2019 and 2021 to $5.0 trillion according to estimates from consulting firm eMarketer.
However, as shoppers returned to physical stores in 2022, e-commerce growth slowed globally to 6.5%....
Growth slowed after pandemic boost
Global e-commerce retail sales (which includes all products and services ordered using the Internet, excluding travel, events, and money transfers) jumped by 50% between 2019 and 2021 to $5.0 trillion according to estimates from consulting firm eMarketer.
However, as shoppers returned to physical stores in 2022, e-commerce growth slowed globally to 6.5%....
This month we feature a very high-yielding financial services ETF from Hamilton Capital Partners, and a top-performing North American value equity ETF from RBC.
HAMILTON CANADIAN FINANCIALS YIELD MAXIMIZER ETF $13.12 (Toronto symbol HMAX) invests in the top 10 Canadian financial services companies as measured by their total market value....
Sovereign wealth funds are state-owned investment funds that taps into a country’s cash reserves—and the number of sovereign wealth funds globally has grown steadily over the past two decades, from 62 funds in 2000 to 176 in 2023. During that time, assets under management jumped from $1 trillion to $11 trillion.
The largest of these wealth funds is the Norway Government Pension Fund with $1.5 trillion of assets.
Other funds among the top 10 are the China Investment Corporation, the Kuwait Investment Authority, and the Saudi-based Public Investment Fund....
The largest of these wealth funds is the Norway Government Pension Fund with $1.5 trillion of assets.
Other funds among the top 10 are the China Investment Corporation, the Kuwait Investment Authority, and the Saudi-based Public Investment Fund....
The United Arab Emirates is a small country in a potentially volatile region, with neighbours like Yemen and Iran nearby. Still, it has used its oil riches wisely to diversify the economy and become a major commercial hub in the Middle East.
Here’s an ETF that provides exposure to the top companies listed in the UAE.
ISHARES MSCI UAE ETF $14.66 (New York symbol UAE; TSINetwork ETF Rating: Aggressive; Market cap: $35.0 million) tracks the performance of the largest publicly listed UAE companies.
Financial Services account for 39% of its assets, while Telecommunications (18%), Real Estate (21%), Industrials (10%), and Energy (5%) are other key segments.
The ETF has a portfolio of 40 stocks; the top 10 holdings make up a high 74% of its assets....
Here’s an ETF that provides exposure to the top companies listed in the UAE.
ISHARES MSCI UAE ETF $14.66 (New York symbol UAE; TSINetwork ETF Rating: Aggressive; Market cap: $35.0 million) tracks the performance of the largest publicly listed UAE companies.
Financial Services account for 39% of its assets, while Telecommunications (18%), Real Estate (21%), Industrials (10%), and Energy (5%) are other key segments.
The ETF has a portfolio of 40 stocks; the top 10 holdings make up a high 74% of its assets....
We think that most Canadian investors should hold the bulk of their portfolios in high-quality, dividend-paying Canadian stocks (or ETFs that hold those stocks). We also feel that virtually all Canadian investors should have, say, 20% to 30% of their portfolios in U.S....