Horizon’s BetaPro S&P/TSX60 (HXT) ETF. A Sheep in Wolf’s Clothing!

Investors have been flocking to ETF’s these last couple of years like bees to honey!  On September 14th, Horizon announced the BetaPro HXT, an ETF that tracks the S&P/TSX60 Index. With a MER of only 0.07% you can easily understand the interest that generated! Imagine an ETF that tracks the TSX-60 for a super-low MER. It sure had me thinking recently, when I saw the TV commercial, and had extra money to invest. Well hold on, what appears to be isn’t so. Here are some facts about the Horizon HXT ETF that might have you rethinking your decision to purchase: …

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Are Canadian Banks Overvalued?

It seems these days that caution has been thrown to the wind, and investors have been looking for higher yields and even better returns on investment.  With blue chip stocks paying dividend yields higher than government bonds and some corporate bonds, it’s no wonder dividend stocks are the flavour of the month.  A lot of attention has been centered on the Canadian Banks lately, and with yields of 3.5% to 4.7%, these stocks are looking attractive to investors.  But with three of the six big banks trading near their 52 week highs, and all six trading at or near 2007 …

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Index Investing ~ Canadian Couch Potato

At heart I’m a dividend investor.  Nothing is more exciting to me than to buy a quality stock at its lows, watch it go up in value, and then sit back and collect my dividend income. To me the reward of patience, persistence, and the desire to invest for myself is the ultimate reward.  Since I’m into good quality stocks that pay me for owning them, I’m not overly concerned with market movements.  When the market goes down, that gives me the chance to buy a quality stock for a bargain price.  And ultimately the choices I make in my …

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Three US Stocks for your RRSP

US Stocks do not receive the dividend tax credit, and US dividend income is fully taxed unregistered or in a TFSA. So holding US Stocks inside your RRSP makes good sense.  Some of the big US blue chips also pay reasonable dividends of 3.00% or more, are deemed safer than the US Dollar,  and  raise their dividends annually. In addition the dividend yield on these blue chips is higher than the current rate for GIC’s and government bonds. I’ve picked three of the Dividend Cadillacs for US Stocks. You’re not going to get a huge capital gain on these companies, …

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