Comments on: Mutual Funds

By: David Hosten

David Hosten — Thu, 18 Dec 2008 00:10:40 +0000

I wonder how the ETF crowd is faring now? More specifically, the rational that well run managed funds do not perform on the upside, but on the downside is readily apparent in this brutal market. Indexers and ETFers are taking it on the chin, while good funds have protected on the downside…as they were always supposed to do. I still think that ETFs are a vital and valid part of almost any portfolio, but managing downside risk for retirees is an important part of my business, and I recommend asset mixes that include mutual funds, GICs, segregated funds, PPNs and segment their investments over time frame in addition to regular risk profile and asset allocation stuff. I could not in good faith recommend that one of my clients invest solely in ETFs, funds, bonds or equities. Diversity; the right kind of diversity is still key.

By: Four Pillars

Four Pillars — Tue, 22 Apr 2008 01:04:08 +0000

Thanks!

By: Ranv

Ranv — Mon, 21 Apr 2008 23:44:32 +0000

Thanks for the advice, I’ll check out Questrade. Great blog by the way.

By: Four Pillars

Four Pillars — Sun, 20 Apr 2008 10:43:09 +0000

Hi Ranv – I use Questrade (type in the name in the search box for my posts on them). Mr. Cheap uses E-trade.

We’re both happy with our brokerages but Mr. Cheap says that E-trade’s $20 commissions are too high.

Mike

By: Ranv

Ranv — Sun, 20 Apr 2008 04:11:06 +0000

Good post but I’d like to mention one minor detail. While ETFs do have lower expense ratios than Mutual Funds, they may not end up being cheaper investments because of the brokerage fees and commissions on ETF purchases.

Despite this, I’m thinking of setting up an RRSP account that is comprised of index ETFs (iShares to be exact). I’m having a bit of trouble choosing a discount broker and I was wondering which brokers you all use?

By: Should I participate in my employer’s matching program?

Should I participate in my employer’s matching program? — Tue, 18 Mar 2008 02:39:30 +0000

[...] contributions don’t take advantage of it attracted a few comments to the effect that if the mutual funds that were offered had a high MER (management expense ratio) then perhaps the matching contribution [...]

By: Four Pillars

Four Pillars — Sat, 16 Feb 2008 21:34:41 +0000

SF – good work on getting into low cost investing!

Mike

By: squawkfox

squawkfox — Sat, 16 Feb 2008 16:21:17 +0000

Years ago I invested in mutual funds. Back then I knew nothing about investing, and was happy to give control to a “professional advisor”. I moved my money over to DIY index funds when I learned about MERs, trailers, and loads. I am always astonished when I compare the cost of the average mutual fund with an ETF or index fund.

I enjoyed reading about your dinner ETF discussion with friends. I too have tried to discuss passive indexing with my family and friends only with negative results. Apparently, my acquaintances don’t like hearing about how dearly they pay in fees. How do you approach the subject with them? My intention is always to help.

By: Saturday linkstuff

Saturday linkstuff — Sat, 16 Feb 2008 14:14:35 +0000

[...] Carnival of Personal Finance was hosted by My Dollar Plan and she was kind enough to give our post Why ETFs Are Better Than Mutual Funds a special [...]

By: Dividends4Life

Dividends4Life — Wed, 13 Feb 2008 18:57:56 +0000

That was a very interesting read. Over the last year I have began heavily using ETFs in my portfolio. I plan to include your article in my weekly carnival review this Friday.

Best Wishes,
D4L