
TSE:VSP
This summary was created by AI, based on 3 opinions in the last 12 months.
The Vanguard S&P 500-CAD Hedged ETF (VSP-T) offers a hedged exposure to the S&P 500, appealing to investors concerned about Canadian dollar fluctuations. Experts highlight that while VSP provides significant tech exposure, which comprises about 45-50% of the ETF, valuations are currently perceived as a bit high. There is also mention of the complexity in deciding between hedged and unhedged ETFs, like VFV, as currency fluctuations can have a considerable short-term impact but generally even out over time. A strategy could be to hold both ETFs to balance currency risk. With an annual cost of approximately 1.75% for the currency hedge, the decision to hold VSP may depend on predictions about CAD strength versus USD in the long run, suggesting that carefully timed investment may yield better outcomes.
Vanguard S&P 500-CAD Hedged (VSP-T) or BMO Dow Jones Industrial Average Hedge (ZWA-T) and in the next 3-6 months? These are 2 very different things. In this one you are basically getting pure exposure to the upside to the S&P 500. The Dow has actually lagged the S&P 500. So he would want to own this one instead. Low fee and just stick with it and allow the full upside of the market to be delivered to your statement every month.