Jon Vialoux iShares S&P/TSX Capped Energy Index ETF XEG-T COMMENT Mar 09, 2020

Big runup, and then a sideways consolidation. Easy money's been made in energy. Oil likely to move lower and be in a sideways, choppy trading range. For the bulk of this year, and into 2024, energy stocks will go sideways and be relative underperformers. For example, if market's up 10%, energy might be up 8-9%. So they'll be broadly in line with market, but will underperform. They're late-cycle plays, and all his works shows that we're starting a new cycle.

Best way to get exposure to Canadian energy.
Provides dividends.
Excellent returns. 

Total return over 3 years is 157%. Total return should be your focus, unless you really need the income. There's value in energy going forward, but no near-term catalyst for it to move higher anytime soon.

It's such a broad sector, from energy to oil-related to materials to gold or uranium.

The most popular one related to the energy index is probably XEG. Exposure to most of the larger Canadian energy producers like CNQ, SU, etc.

What's catching his eye more right now is CGL, the gold bullion ETF. Recently broken out. He can see a scenario where gold moves higher to $2600 or even $3000 over the next year and a bit. Avoids the issues that come with mining in certain jurisdictions. Good way to play exposure to gold and to the commodity market in general.

Bullish on energy. Breakout on many oil and gas equities. Still lots of opportunity in sector. Investors not overly interested in sector. 

There are funds that have materially beaten this one. Most of the planet owns CNQ, and it's the top holding of this fund. SU is second. Those names have done really well, but there's now more upside in other names. More potential in mid-cap names.

The go-to energy ETF. He's bullish energy, particularly Canadian. Is market-cap weighted, so you get more exposure to big names like Suncor and less to smaller names.

In general, the energy sector is one that could start to move positively simply because he thinks there's going to be a change in Canadian government. It might be the place to be.

The cap is pretty high. He doesn't know if there are more equal weight ETF's in the energy sector

He's relatively positive on Canadian energy, with some caveats. Oil stocks have been near the bottom of a trading range, whereas the gas stocks have done OK. More probability of upside in gas over the next couple of years. Yet there might be opportunity in oil stocks.

This ETF is probably more biased towards oil. Try to buy on a lift off the bottom, and then sell somewhere near resistance. This one is bouncing off the halfway point of the range, which is support from 2024. You have a decent chance of it getting to the $18-19 range or maybe a bit higher. He'd rather trade individual stocks than the ETF.