iShares Core MSCI EAFE IMI Index ETF (CAD-Hedged)

XFH-T

Analysis and Opinions about XFH-T

Signal
Opinion
Expert
COMMENT
COMMENT
January 26, 2016

Likes this holding, because Canadian and US investors are going to have to start looking somewhere else to diversify a little more.

Likes this holding, because Canadian and US investors are going to have to start looking somewhere else to diversify a little more.

Mike S. Newton, CIM FCSI
Director & Portfolio Manager, Scotia Wealth Management
Price
$18.130
Owned
Unknown
BUY
BUY
August 17, 2015

As long as you hold it judiciously it could be a core holding, such as low double digits as a percentage. Because it has the total investable benchmark index, you are getting a lot of small company names and a lot of exposure to stocks from around the world, especially in Europe. A great way to get diversification, both in terms of getting outside of North America, but also by tilting modestly towards small company stocks. You have to decide whether you want hedged or unhedged, and for most products right now he is using unhedged, but sometime reasonably soon, when he thinks we have hit close to a bottom, he will probably be putting the hedge on the US positions that he has, as he thinks the Cdn$ will drop further, when interest rates are raised further in the US. (Be aware that this could trigger some capital gains.)

As long as you hold it judiciously it could be a core holding, such as low double digits as a percentage. Because it has the total investable benchmark index, you are getting a lot of small company names and a lot of exposure to stocks from around the world, especially in Europe. A great way to get diversification, both in terms of getting outside of North America, but also by tilting modestly towards small company stocks. You have to decide whether you want hedged or unhedged, and for most products right now he is using unhedged, but sometime reasonably soon, when he thinks we have hit close to a bottom, he will probably be putting the hedge on the US positions that he has, as he thinks the Cdn$ will drop further, when interest rates are raised further in the US. (Be aware that this could trigger some capital gains.)

John DeGoey
Portfolio Manager, Wellington-Altus Private Wealth Inc.
Price
$20.930
Owned
Unknown
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