Vanguard FTSE Cdn High Div Yd. (VDY.TO)

People need to think about getting more money out of Canada and how to deal with income. If you don’t mind taking a little more risk, then maybe you can aim for dividend income as opposed to getting a coupon. This is not a traditional income play, but if you want to buy this for the income and hold it for a very long term, he wouldn’t blame you entirely for that. Dividend yield of about 3.5%.

For people who are trying to find ways to get income and trying to get some diversification, instead of buying individual companies or individual sectors, why not just buy all the things that are paying dividends, get it cheaply, get broad diversification. He thinks the worst is behind us and that we hit the bottom in Jan-Feb.

(Market call minute.) Good, but you have to remember that about 50% is Canadian bank stocks.

Canada for the 5 past years has lagged the S&P. It is time for the pendulum to swing back. It is a highly diversified basket that has sold off a lot. It is cheap, simple and pure.

This has had a really, really tough year. If you believe in dividend investing, this is as good a Canadian dividend product as you can find. The product is fine, but you have to ask yourself if you want to be in Canadian stocks, dividend or not.

Sees no problem with this. It’s about 50% Canadian banks, which he likes. Has a dividend play he likes. Thinks your downside is limited.

This is the ETF that he uses for preferred shares. The Canadian stock market has had a rough go of it since about Labour Day, but nonetheless, the yield is in the low to mid 3% range. Broadly diversified. Very inexpensive.

Bond ETF’s? He can’t recommend any, because there is not a single one that he likes. This is because we are at an all-time low in interest rates, and he doesn’t like bond ETF’s. You might want to consider using a dividend ETF instead. It will be a little more volatile, but there is not a great deal of downside risk if you are buying now. He would recommend Vanguard FTSE Cdn High Dividend Yield (VDY-T).

A preferred share ETF with a good deal of 4% plus? A yield of 3.2% would be perfectly fine and he would rather have more diversification, so for that he would recommend this one. It will be probably as volatile as most. There will be some in it that will not have as great a yield, but it will have more names, and those 2 things will offset each other. This is low-cost and broad diversification. In terms of the kind of performance you are going to get, you will see that it did very well until the market had its selloff.

This is his main Canadian dividend product that he uses in his own practice and one that he recommends very highly. Has a large number of names and is very low cost.

(Top Pick Nov 8/12, Up 22.21%) Still likes it. This not fixed income but given that dividends are currently higher than fixed income, it should do well. The dividend play has not run its course.

What is your favourite dividend paying income ETF? This is his favourite. Base model, plain-vanilla, dividend paying ETF. Also the cheapest at about 15 basis points.

Most diversified dividend ETF in Canada, many hundreds of names and one of the lowest cost ETFs.

Highest dividend paying stocks in Canada. Costs 30 basis points so it is very cheap. Not just dividend stocks, but the highest dividend stocks. You get the diversification of a number of securities. Yield of .08%.

Started trading today. Broadly diversified, low cost and could become a market leader in short order.