When You Can Ignore Tracking Error
In Monday’s post, I reviewed the major factors that contribute to an index fund’s tracking error. Here are some other things to consider when you’re comparing your fund’s performance to that of its...
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ETF Dividend Dates Explained
This post is excerpted from The DIY Investor’s Handbook, coauthored by myself and Justin Bender, and available exclusively to clients of our DIY Investor Service. Occasionally when you buy an ETF you...
View ArticleCan Couch Potatoes Be Socially Responsible?
In my latest MoneySense column (see the June issue, not available online), I explored whether socially responsible investing is compatible with the Couch Potato strategy. If you’re not familiar with...
View ArticleEquity Index Funds for the Socially Responsible
Last week I shared my interview with Timothy Nash, president of Strategic Sustainable Investments, the blogger behind The Sustainable Economist, and an expert in socially responsible investing (SRI)....
View ArticleA New ETF of Strip Bonds
Back in February I asked readers to share their ideas for new ETFs that might fill gaps in the current marketplace. The idea for that blog post came from a contest run by First Asset, who invited...
View ArticleWhy Use a Strip Bond ETF?
Barry Gordon admits he was surprised when he first read Justin Bender’s entry in First Asset’s Search for Canada’s Next Top ETF contest, which I introduced in my previous post. “It runs against the...
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What’s Happening to My Bond ETF?
If your portfolio includes a broad-based bond index fund, you’ve probably noticed its value has fallen significantly over the past several weeks. Judging from recent e-mails I’ve received, the reasons...
View ArticleETF Investors: Avoid the After-Hours Club
One of the first rules of buying and selling ETFs is to always use limit orders, never market orders. A limit order allows you to specify the maximum price you’re willing to pay, or the minimum you’re...
View ArticleThe Wait is Over: New ETFs From Vanguard
“Ask and ye shall receive.” That should be the refrain of Couch Potato investors during the last 10 months or so as the industry has filled just about all the gaps in the ETF marketplace. First it was...
View ArticleInside the New Vanguard ETFs
Vanguard Canada launched some new ETFs this week, and I spoke with managing director Atul Tiwari about the funds. Let’s take a closer look. Cross-Canada coverage The Vanguard FTSE Canada All Cap (VCN)...
View ArticleETF Choices Are Less Important Than You Think
The comments following my recent post about new ETFs from Vanguard were another reminder of just how often investors get overly focused on products. I accept part of the blame here, since I write a lot...
View ArticleWill Mutual Fund Advisors Soon Be Selling ETFs?
There are many reasons why relatively few Canadian investors use ETFs compared with actively managed mutual funds. There’s about $900 billion in mutual funds in this country, while ETF assets total...
View ArticleMore Swap-Based ETFs on the Horizon
I have to admit I was skeptical when the Horizons S&P/TSX 60 (HXT) appeared back in September 2010. In an interview with a Horizons executive a few months later, I asked why the company would go...
View ArticleTax Loss Selling with Canadian ETFs
Traditional equity index funds are often touted for the tax-efficiency of their structure, and rightly so. But there’s another potential tax advantage that few ETF investors employ. Justin Bender and I...
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Finding the Perfect Pair for Tax Loss Selling
If you’re using ETFs in a non-registered account, there’s plenty of opportunity to harvest capital losses and reduce your tax bill. Justin Bender and I tell you exactly how to do this in our new white...
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Looking for Value in Canadian Equity ETFs
Monday’s post about factor analysis was, I admit, too technical for most readers’ tastes. At least that’s the conclusion I drew when the two most enthusiastic comments came from a professor of...
View ArticleA Touch of (Corporate) Class
ETFs are generally more tax-efficient than mutual funds, but there is one area where they’re at a disadvantage. Investors who use non-registered accounts can take advantage of corporate class mutual...
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The Hidden Cost of Bid-Ask Spreads
Trading commissions get a lot of attention from ETF investors, and rightly so. But depending which ETFs you use and the size of your trades, the impact of bid-ask spreads may be larger than you...
View ArticleAsk the Spud: When Should I Use US-Listed ETFs?
Q: Under what specific circumstances would it be better to hold a US-listed ETF if there is a Canadian equivalent? For example, when it is preferable to use the Vanguard Total Stock Market (VTI) rather...
View ArticleWhy Has VRE Outperformed Its Rivals in 2013?
It’s been a marvellous year for equities, but 2013 has not been kind to real estate investment trusts. Like other income-producing investments, REITs are sensitive to rising interest rates, and the...
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