The EXACT Portfolio I’d Build As A BEGINNER Investor In 2024
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- Опубліковано 15 чер 2024
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Today I'll cover the best portfolio build for beginners using ETFs/Index Funds in Canada!
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Disclaimer: The views and opinions shared on this channel are for informational and educational purposes only. Although previously licensed, the contributors are no longer industry participants and are not licensed to provide financial advice. They strive to provide you with educational information in an entertaining manner. Always do your own research and due diligence before investing. Generally speaking, you should consult a licensed investment professional before investing. - Розваги
XEQT and call it a day
Great video Brandon! Lots to think about. Thank you!
Love XEQT and ZSP
Great Vidéo ! Personnaly, Horizon is my favorite however they typically have Slightly higher fees, they worth it.
Which ETF would you suggest to supplement to China and India holdings?
What’s your opinion on adding a Nasdaq 100 ETF like QQQ/QQQM for someone with a longer time horizon looking for more growth? I always wonder if adding one of those instead of VEQT, etc. is a good as I already have a large Canadian dividend portfolio of stocks and VFV.
I also wonder if international specific ETFs are needed in a world where most companies operate internationally.
Great video Brandon. I'm 22 and just started 2 months ago. I still have a lot in my timeline so right now, I went all in with ZSP (S&P 500 ETF). So far so good I guess, I am now up 4% on my capital.
Let’s go!!! So far so good buddy 🙌🏼
Great video. Question: Im a total beginner and dont want to go the robo investor route but if I purchase XEQT and then also purchase build your own ETF like XUU, VCN etc... is that basiclly redundant, is it purchasing the same holdings?
back to basics!! i love it. thanks for the great video Brandon!
Cheers Momo!! Happy holidays :)
Brandon, thank you for sharing this video. I've been eagerly searching for something like this, and your content really hits the mark. As I gear up to start my inaugural investment journey, even after two months of researching, I still feel overwhelmed by the initial steps.
Completely normal to feel like that at first! Dive in and you’ll realize it’s not rocket science :)
One theme to keep in mind, the power of uncorrelated assets. Diversify and smooth your equity curve. For examples, managed futures with the right allocation can dramatically reduce volatility.
Love it! KISS. Thanks Brandon!
Always 😉 happy holidays Aaron
Thanks, for introducing these ETFs
Nice new background. Merry Christmas to you and your dad Marc
Absolutely amazing Thank you so much.
Thank you for sharing your knowledge
What are your thoughts on the offering of private equity fund with Wealthsimple? This is the LGT offering?
Great video to share with young investors in the family!!!! Thank you. Subscribed!
18:31: "You could build wealth very easily if you're willing to contribute to your portfolio every paycheque, every month and let that compound over years and years and years, ideally decades, right? We're in this for the long term."
I think your prior sentence in which you stated 'for a long enough period of time' is key. How many years is realistic to ride out the volatilty of markets and to benefit substantially from compound interest - ten years, twenty, forty? This semi-geezer (over 70) sincerely wants to know.
Investment favours the young. I will live probably another fifteen years maximum. Thus, my perspective and more importantly timeline, is less about income or even savings than TIME.
A tip from a retired man on GIS. Start when you are not yet twenty. This is key. Authors and speakers who say 'it's never too late' are selling snake oil. Fortunately, you make no such outlandish claims.
Can you recommend a financial advisor in Victoria BC?
thank you!
Can't I do both option 1 and option 2? Get like one All-in-one ETF and then some other ETFs from across sectors? Amazing vid btw. TONS of info presented thoughtfully.
This is the first video of many other videos and articles I've read that just left me confused and defeated when it comes to financial stuff, where I actually understand what to do and where to start. Thank you! New subscriber!
How do i buy etf .... i never bought any. Not sure how to stary
thank you so much your all video so helpul 🙏🙏
Excellent video.
Thank you very much!:)
hi great video, iv noticed all videos for beginners talk about doing due diligence, but no one ever explains what that means or how to do it, a fund is mentioned, holds a mix for example, then what, id love to see a video for complete beginners showing what steps seasoned investers take when choosing what to invest in, thanks
Due diligence means to do your research. As in check Financials of a company you want. Or different youtube channels for info to make your decisions. More or less don't blindly trust one person
Great video, I just started investing about a month ago. This video brought the clarity and calm that I needed. Thank you!!
If you buy an ETF get one that follows the U.S S&P 500
Zsp FTW
@@flow2techYes it’s a good one but take a look at the top 7-8 stocks make up big percentage of the index. There are some concentration risks here.
Or just buy into the index fund that tracks the sp 500
@@bgr007I'd blend that with the Berkshire Hathaway CDR as BRK is known to outperform the s&p at different durations
Dollar-cost averaging just as Warren Buffet said
thank you so much!!
Reit etds all seem down right now while s&p and tsx rtfs seem high, would it be a good time to purchase reits instead of others for a new long term investor?
Helped a lot. Never to late.
Which ETF would you suggest to first park one's lumpsum amount?
What did you go with?
@@carpentryfirst3048 Ultra Short term treasury bond fund
Im almost all in on TSLA and retire in 6 years. Wish me luck!
ZUQ has done nice for me. 40%VFV, 5% ZWB, 5% HMAX, 10% various ETF's, 40% individual stocks.
I'm 20 years old, currently in my portfolio I am holding 80% VFV held in my TFSA and 20% XEQT in my FHSA. Should I reallocate so that I have more in XEQT? Or should I diversify my portfolio more?
Historically, VFV sp500 has had huge performance over xeqt. I think that this is because of the huge run up on tech stock prices in recent years. I think your ratio of 80/20 is fairly optimal. If you want to improve the MER you could break down xeqt, and buy its sub etfs, and avoid buying the ones already listed in VFV. XGRO and vfv surely have overlapping holdings in the US.
Keep in mind that you are taking on more risk when you go all in on the sp500, so I'd you're saving for a house near term, I would taper away from only holding vfv and instead get something with bonds in it like Xgro, xbal, or xcons if you're very conservative. ZAG is also a good option for easy bond holdings.
One theme to keep in mind, the power of uncorrelated assets. Diversify and smooth your equity curve. For examples, managed futures with the right allocation can dramatically reduce volatility.
if youre a beginner just buy SP500 etf and if youre interested start learning about stocks - dont do it the other way around or you have a good chance of getting burned - if you dont want to research stocks then just keep buying SP500 every month (or few months) till you retire and you will do very well. be careful buying too much TSX as it has vastly underpeformed the SP500 over last 100 years
What do you do if you have come from another country, I have 100k CAD to take with me but im severely limited in the total amount I can invest, from what I understand I can only invest 7k of the 100k into a TFSA, seems really shit and there must be a way around it, even if I pay extra taxes for going over the limit, VOO or VFV has a avg return of 9.7 percent, seems way better than any bank savings account offering a 3 percent return
What do i use, wealthsimple or questrade?
If you plan on holding USD in your account then questrade, Wealthsimple and questrade both charge a 1.5% currency conversion fee but Wealthsimple doesnt have free usd accounts. It’s $10 a month unless you have 100k in assets, then it’s free. If you only plan on investing in CAD, then Wealthsimple all day because they have no fees versus questrade’s $5-$10 on sell orders. And you can get a lot of great Canadian ETFs that hold American companies. Overall I would pick weathsimple
You said xec but the screen said xef for international msci eafe imi index ????
Nevermind I figured it out xec is for emerging markets
Do i use wealthsimple or questrade?
Both more or less the same. Brandon does an older video about that topic
What happens if I buy XEQT within the TFSA? Do I have to declare any earnings such as 15% US withholding tax? Or does the EFT lose some value due to this but there’s nothing I need to do? I’m worried I might miss something on the tax return.
Your dividends will be taxed and you don’t have to claim anything as the tax is withheld by the IRS.
Best to buy US dividend stocks in RRSP to avoid withholding tax on dividends.
Finally a realistic video❤
thank you, it starts to make sense!!!
That’s what I like to hear! You’re welcome Luis :)
Thank you so much for making this video
XEQT mer is 0.2. If I go with the underlying etf instead with the same distribution wouldn't that add up to more than the XEQT mer at 0.2?
You only pay the fee on the money invested in that specific fund, not all of your funds. Don't add up all of the MERs of the funds (but you could average them if you want to see the overall MER you are paying).
ZSP gets advantage of getting tax reductions of 15% for owning it with an RRSP?
Because as far as I know, it doesn’t. It is a ETF domicile in Canada and don’t get that advantage as how the VOO does.
XEQT Gang
Hey Brandon, thanks for the video. I just started an approach with my wife, for her, who is not so interested in the stock market. I have penned about 50% to VFV, 30% to HXQ, 15% VCN and the remaining 5% in HAZ, TLF and VDY. going for growth as we’re early 30’s. Tlf I found has strong history so might be worth a look? Please comment if you have any insight. Cheers
I’ve personally never considered TLF but I’ll take a look!! The allocation you’ve listen looks awesome 👍🏻 looks like you guys are on the right path
@@beaviswealth What ETF you recommend for China & India ?
One theme to keep in mind, the power of uncorrelated assets. Diversify and smooth your equity curve. For examples, managed futures with the right allocation can dramatically reduce volatility.
Any tips for investors that has been in it for 4 years now? What are the next goals?
Keep learning and let your investments do their thing! Not much more to it!
One theme to keep in mind, the power of uncorrelated assets. Diversify and smooth your equity curve. For examples, managed futures with the right allocation can dramatically reduce volatility.
If I was building a portfolio from scratch as a new investor, I would buy 100% VGRO and call it a day
Easy peasy! Love it
95% VXC all cap no canadian
5% VCN all canada
Hello @Beavis, I am new to investing, how can I invest in s&p 500 US, from Canada, In wealth simple, the conversion fee is 1.5%, is it a good option, or are any other alternatives?
You’ve been investing for 20 yrs .. you look like you are 20 years old! lol
Of course you learned from your dad & now you can teach us!
😆
Just started investing last month. Sending 1 to 2k per month in my TFSA. This is my current plan, thoughts ? :
50% in VFV-C
30% in VDY-C
10% in XQQ
10% in REI.UN
Trying to get some dividend returns all the way playing it pretty safe. Is this half decent to get started ?
Solid picks
I like it!
One theme to keep in mind, the power of uncorrelated assets. Diversify and smooth your equity curve. For examples, managed futures with the right allocation can dramatically reduce volatility.
Brandon, you're such a cutie, and so handsome :D
love vfv
pefer xiu over xic
I saw your another video which was 2 years old where you mentioned you have 10 years of experience and now u mentioned it’s 20 years. As a beginner, should we trust the information that you are sharing?
Just opened up an investing account with my bank and everything is so confusing (acronyms for days) and this is a really nice intro thanks man
Take a look at the WealthSimple platform. We left our bank platform 2 years ago and never looked back.
I personally like TGRO. They tweaked their structure so it's passive and expense ratio is 0.15, lower than XEQT's 0.20. The downside is it has 10% bond and no emerging market. On my RRSP, I have 100% ITOT, and in all other accounts, I am 100% TGRO.
TGRO is 0.28% MER. 0.15% is the managment fee.....
@@eric3030 that's because the fund has been modified only recently (less than 6 months ago) and the MER is that from last year (as of December 31, 2022). Should give us more accurate MER in a year
@@dhyoon1 as far as I know MER is a set fee, not something that changes, unless managment decides to change it. Can you elaborate on what you mean?
@@eric3030 less than 6 months ago the ticker name was TOCA. And it changed to TGRO with the same cusp. So all existing holders got transferred over to the TGRO. The funds underlying ETFs all changed. Expense ratio got changed drastically. Don't know what else to tell you... Google the rest
im thinking of putting 40% SCHD 40% XUS and 20% VGT in my FHSA and 60% SCHD and 40% VGT in my TFSA. I am a beginner canadian investor targeting etfs. thoughtsÉ
You should watch Canadian In A T shirts video on VOO vs VFV! Might give you some good info about the US-listed funds and where to hold them 👍🏻
After watching this video I decided to allocate my portfolio as follows: 75% VFV, 15% VCN, 10% XEF. What you think?
New sub here ... Appreciate yer advice sir ... Thank you for the content 🙏
Welcome!
But why you don’t own them?
11:13 - investing in Canada. Is this purely a business/tax decision or an emotional/nationalistic one? You mention how buying US equities is recommended due to it being the world's largest stock marlet. Why invest in Canada at all? I mean versus say Australia or Singapore (other of course than the difficulty in opening trading accounts overseas)?
I went with HEQT from Horizons :)
Another amazing choice. 👌🏼
Great video Brandon! I agree with this approach as a whole and I think many new investors can benefit from it. You may know I am huge fan of XEQT 😁 which interestingly has a lot of similarities to your approach (i.e. approximately 45% exposure to US, 25% to Canada, 25% international, and 5% emerging markets). I am not investing in bonds, given that I have a DB pension in retirement which could act as a bond portion for my future early retirement plans. Happy investing man.
Hahahaah I know very well!! Thanks Moe. Happy investing! :)
i have a few million dollars in 6% ten year GICs (so built in stability) but i have several hundred thousand dollars i'd like to play around with. so thanks for this video. (i'd like to pretend i earned that money but i so didn't - it was an recent inheritance)
This video could have been 3 sec long. An image saying “XEQT”.
Brandon, thanks for educational videos, as always!
Is it possible to transfer my investments/stocks to my kids when they become adult?
Thank you
You mention your dad helping you when you were younger. How do you recommend helping our kids who are younger than 18 and can't open their own investing accounts??
If I had to start all over again, I’d just invest the same amount every week into a few different ETFs.
Mutual funds or stocks what’s better. Because I have 25k in mutual funds
Mutual funds charge higher fees so often investors will look into ETFs as an alternative!
@@beaviswealth thank you.. im planning to sell everything before the end of the year. what’s your opinion on vfv?
Some people think they want control over rebalancing, buying and selling, but human emotions are the investors worst enemy, and exactly why the average investor should buy the all in one etf, set it and forget it. People get too greedy when one part of their portfolio is rising and don’t want to rebalance, and too fearful when the market drops and they sell People can’t control their emotions and do opposite to what they should be doing. Simple solution, XEQT until you are 40, then XGRO until 60, and XBAL until you take the dirt nap.
Fund of Funds is a good idea, I think, but the yields are kinda low for my tastes...HDIF HDIV...but the growth needs to be compared as well.
I think I would go with some blue chip stocks with a decent dividend instead of the ETFs you listed...but I like the income.
Or, research the funds, see which stocks they hold that you like, and then buy those stocks. Maybe I'd end up with Microsoft, Disney, BMO, MREL, CNR...and of course: ATD and SRU.UN!! I am kinda Canada centric, I know.
Started with atd at 18, now im 30 and im still only buying atd after 12 years.
You've been lucky and are still taking huge risks. Not advisable.
@@basseon Not really, diversification = risk and lower result. If you cant analyse good business and more importantly good managers in a circle of competence you know, buy etf. Worked there from my 16 to 26 years, went from employees to manager.
The worst possible advice for someone trying to build wealth is to diversify. You want to concentrate when building wealth, Diversification is for wealth preservation.
The issue I have with ETF is two folds. First, when you buy into an ETF, the companies contained within it is going to change with time. Therefore, you are not really buying companies you are buying into a fund “manager” or index. Second, prices of stocks go up and down when people buy and sell. Therefore, there is another leverage with this mechanism because not only are company prices fluctuating but the ETf price is two. I just can’t find comfort in those two aspects.
Did you say that you started investing 20 years ago? Huh!? But you look like 24 years old? 🤔 I guess you were the toddler that started investing in Mutual Funds before ice cream? Lol 🙏🏼👏 Keep up the great work Brandon! 😀
How have you been investing for 20 YEARS???? You look like you’re 20 years old! Lol
Even if you’re 30, that means you started investing when you were 10?!
Anyway, thank you for the videos and giving us advice over YT.
🇨🇦
Well there must be some value in mutual funds Since there fees are higher Always hear Dave Ramsey talk bout ‘em
The value is for the benefit of the financial planner who put you into higher fee mutual funds. You can either save for your retirement or you can save for his.
@@HamiltonRbwell said
So by holding a fund of funds you are paying management fees and all those funds are also charging management fees so it’s not .20% in fees, but more like 0.40-0.50% all in. Holding individual ETFs tracking indices with 0.05-0.06% MER seems more optimal in terms of fees.
That's not how it works. The MER of XEQT (or whatever) is what you pay, not all the funds combined together.
1.96 yield of zeqt seems kinda weak to me
Thanks for the video. Very very helpful for beginners like myself. I am planning to start my TFSA with this distribution. @beaviswealth, please provide feedback if possible. any input appreciated. VFV(40%)+ZQQ(20%)+XIC(15%)+XEI(10%)+VIU(15%)
JUSTBUYXEQT