2 Recent Buys – XGRO, RNX

BuySell

A quick update on a couple of purchases in our portfolios.

First purchase was same transaction repeated in two different portfolios – one in Mrs R2R’s RRSP, and the other in Baby R2R’s RESP account. For these portfolios, I follow a index investing approach and lately I’ve been thinking of moving to a simpler multiasset portfolio holding. I recently previewed the multiasset ETF options available in Canada. Based on that review, I decided to initiate a position in iShares Growth ETF Portfolio (XGRO.TO). This follows a 80/20 stock/bond approach and provides a one-stop passive investing approach providing global exposure. This was a small initial investment and over the months, I will continue buying regular amounts dollar cost averaging & building a full position. I still hold some bond positions that exist in these accounts and will leave them there for now until I am happy with the XGRO position & then sell those to go to a simple one-fund holding.

Continue reading

MultiAsset ETFs – VGRO vs XGRO vs ZGRO

The Canadian ETF space has been undergoing some intense competition over the past few months. The big problem for retail investors has been to mix and match various ETFs to find a good balanced diversified multi-asset portfolio. How much weightage do you give stocks & bonds, how much per geographical region, hedge currencies or not….the choices are endless and overwhelming. Also, this came with the problem of rebalancing regularly and making the appropriate purchases on a regular basis.

The Canadian ETF providers have thus launched the all-in-one multiasset ETFs which addresses these problems and fills the gap in the market. I have received a few questions on this front, so I will try to provide a simple overview on this front. While there are different ETFs with different weighting based on risk tolerance (growth vs balanced vs conservative portfolio ETFs), this post will look at the growth-oriented series, since that seems to garner the most attention from the readers.

The three comparable growth multi-asset ETFs compared in this post are:

  • Vanguard Growth ETF Portfolio (TSE: VGRO)
  • iShares Growth ETF Portfolio (TSE: XGRO)
  • BMO Growth ETF (TSE: ZGRO)

All three have an approx 80/20 stocks/bonds approach.

Continue reading