Opinions
Joey Mack
Vang.Cdn Short-Term Corp. Bond
VSC-T
COMMENT
Jun 10, 2014
$25.090
Stock price when the opinion was issued
E.T.F.'s
It's the ideal tool to help you make quicker, more informed decisions for
managing and tracking your investments.
If interest rates move up, how sensitive are short-term corporates as opposed to governments or other vehicles? Where do you expect those rates to go in the next 2 years? This is a great strategy as it is a great way to take your money and park it in a safe place in the bond market for the next couple of years. The challenge is that the short-term and the market only yield 1.5%, so you are getting less than what the rest of the market is going to give you. However, that is countered by the fact that the duration of this fund is probably around 2-2.5 years. You would be better buying this and staying in cash.