Stockchase Insights
Horizons S&P 500
HXS-T
BUY
Dec 13, 2023
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research
We would suggest HXS, which is an S&P 500 'total return' ETF and thus does not pay distributions. They instead accumulate via derivatives in the ETF. Thus, only capital gains taxes apply (when sold). Unlock Premium - Try 5i Free
ZSP gives classic exposure. Good thing is that you can buy this either in USD or hedge to CAD. HXS though offers a little more tax efficiency. Both are good and give you exposure. HXS charges a 0.1% MER and ZSP 0.09%.
He and his team are not tax experts, and the answer is very individual-specific. Consult your tax advisor.
XSP or ZSP are good starting points. One is hedged, one is not. HXS is another option, though it doesn't pay distributions, just accumulates as capital.
Believes markets will rise in 2023 - good product to get exposure. Owns shares in own portfolio. Sees more momentum in US stocks than in Canada with Magnificent 7 tech stocks. Good option for long term investors.
General position that is good for investors who are bullish on the market. Has recently began reducing position. Not as bullish as was at the start of the year.
A global ETF that's the best for Canadians from a tax point of view. Slightly higher cost than others. It tracks a total return in the US market, and is tax-efficient in taxable Canadian accounts.
We would suggest HXS, which is an S&P 500 'total return' ETF and thus does not pay distributions. They instead accumulate via derivatives in the ETF. Thus, only capital gains taxes apply (when sold).
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