Larry Berman CFA, CMT, CTA iShares Core S&P/TSX Capped Composite Index ETF XIC-T COMMENT Jul 08, 2019

Limits size of each name in index.
Provides exposure to largest companies in Canada.
Good for balanced portfolio. 
Believes lots of reasons to be bullish on Canada.

Another dip-buying candidate in this ETF which tracks the TSX. If for whatever reason the entire market slides in a day or so, then use this to buy that dip. XIC‘s biggest holding is Royal Bank at 6%, followed by TD, CP, Enbridge, CNR, Shopify, CNQ and the other big banks. Read 3 All Canadian for our full analysis.

Around a long time. Introduced as a capped product, because its predecessor was at market weight and 40% of that was Nortel. 

Core Canadian holding. He hasn't been buying lately, because he's overweight the US market.

Benchmark index for Canada. You should have some core allocation to Canada. Question is do you trim or add based on market conditions? Rates and economic signals are leading his strategists to pull back from Canada and EMs in favour of US and international. Diversified, ultra-cheap at 5-6 bps. A great anchor in your portfolio.

Good way to get exposure to TSX broader market. Will track TSX index with low management fees. Good for long term investors. 

A core position in his model portfolios for Canadian equities. Fee is 5-6 bps, almost impossible to get a more efficient exposure. Has done well on recent strength of real estate and materials. Good anchor point if you're starting your portfolio from scratch. Not needed if you already have a home bias on Canadian exposure.

Each position is capped at 5% maximum. 220 stocks on the TSX, and so it's widely diversified. Recommending because of the upcoming change in Canadian government. Core position. MER is 0.06%.