You can't go wrong holding Canadian Bank Stocks, or Bank ETFs. Canadian Banks have a really long history of recovery. Canadian Banks are well-regulated unlike the Banks in the US, which are not. Some US Banks failed, and people lost a lot of their money. I really like BANK, BKCL, and HMAX.
Just buy the shares yourself and save 0.2% per year. That fee is effectively exponential because year after year it will add up to a huge % of your profits being given to the fund managers.
If you want some US banks, CALL is an Evolve ETF on the TSX that holds the best 16 US banks and has about 15% dividend, paid monthly. I bought some CALL to get more exposure to the US than my Canadian bank ETFs BKCL and HMAX give me.
HCA from Hamilton uses an interesting strategy. Essentially buying more of the banks in the Big 6 that are underperforming (aka cheaper) every quarter and less of the better performers (aka more expensive). It's a good, basic strategy to use one's investment dollars to buy what's on sale, get more total shares for every dollar and increase yield. It's like the difference between an Active Covered Call Strategy and Passive Covered Call Strategy. I think most of us agree with Adrian that Active CC is superior and worth the extra Management Fee. Short comment this time. Fingers crossed the comment isn't blocked for whatever reason. P.S. Adrian doesn't know why many of my comments get blocked. If someone is flagging or reporting my comments, please stop. I often have critiques in previous comments, but I always do so politely and with the sole interest of increasing my knowledge and maybe someone else's too. Thanks. Hope you and Erica had a nice weekend Adrian.
the bottom performers are there for a reason, it's an interesting strategy, but td and ry will probably outperform in capital appreciation going forward, like they've done in the past. its worth calculating whether reinvested excess div in the laggards make up for greater cap gains in the leaders, and factor in tax in non-reg accounts also (since CG better tax wise than div after a point)
@@soneeeee4440 Great points. Would simply be a matter of comparing HCA's performance to an Equal Weighed fund. Would need to calculate benefit of CG over Divs for each fund for tax purposes. If HCA's performance is sufficiently superior compared to an Equal Weight fund, the tax benefits shouldn't offset the greater gains. Good comment.
My portfolio is at 1.45 million now, in financials I have about 300K in scotia, td, rbc, bmo and sun life and manulife Unless your going to do leverage or covered calls why would you get an ETF and pay fees I was with a portfolio manager since 2017 but recently fired them and manage it myself Fees can really add up especially when your talking big numbers
Canadian banks have 250 billion in neg amortized mortgages and we are barely into renewals. Banks are fucked. Toronto has the highest unemployment in the country
Hello Adriano, what is the difference between "Maximum Annual Management Fee" and "Management Expense Ratio" on ETFs and at the end, how much in fees you will pay? Thanks
Question Adriano, I have 900 shares of BK, 4000 shares of HMAX, and 3800 shares of ZWK. Total of 15% of portfolio. I have 4020 shares of ZWB that is only paying me 7.5% at the moment. Do you think it beneficial to maybe sell a 1000 shares and delve into the Canadian banks that were mentioned 🤔 7.5 in this environment seems a little low since our dollar doesn't stretch that far with inflation. Cheers, and a big fan, one of your first subscribers, you really did change our retirement life 😊
Do the calculation. If selling and buying different stocks, will you actually make more for month when considering any loss you took in selling a stock. How many months until net positive?
Fixed Payment Variable Mortgages will be very painful for the Canadians Banks. That doesn’t come till 2025/2026, so be careful. I dollar cost average and I just increased my dollar amount. This strategy is perfect during these time. Good luck to all.
Maybe you should also look at US banks. XLF is the most popular financials ETF in the US. BIGB is a new ETF that focuses on the 6 biggest US banks. It does not pay dividends. JPMO is a new Yieldmax fund that pays monthly dividends. JPM is its underlying asset, and it is the biggest bank in the US.
Adrian is Canadian. In order to avoid the 15% withholding tax, the investment must be done in a Canadian RRSP which only allows so much room each year. RRSPs are tax deferrals not tax avoidance.
I appreciate the way you separated them into 4 different categories, its much easier to digest and also come back to in the future! I also really like BKCL and BANK
I already own BK shares and not a good idea to swap to bank ETF because BK is down, bought CALL instead. A spreadsheet format would have made it perfect presentation.
Banks… yum. Their stock has taken a beating, but I suspect their businesses are doing pretty well. They are an oligopoly, too big too fail and way smarter than US banks (see 2008). ETFs, individual stocks…lots of choices fir everyone’s preferences!
Leverage is what is going to be the biggest issue in next 12 months. Liquidity crisis incoming. Retail investors are being sucked in as banks no longer buying treasury or bonds only ones left are retail aka dum money. NFA
@@boatscarsplaces6580i made a backtest with XFN HCAL and ZEB. Since nov 2020 (hcal start) = xfn performs the best. Xfn zeb zwb. Since 2011. = zeb 1st, xfn, zwb last
You can't go wrong holding Canadian Bank Stocks, or Bank ETFs.
Canadian Banks have a really long history of recovery. Canadian Banks are well-regulated unlike the Banks in the US, which are not. Some US Banks failed, and people lost a lot of their money.
I really like BANK, BKCL, and HMAX.
Just buy the shares yourself and save 0.2% per year. That fee is effectively exponential because year after year it will add up to a huge % of your profits being given to the fund managers.
ZEB is one of the best funds on the TSX. Canadian banks are some of the most stable, safest financial institutions in the world.
If you want some US banks, CALL is an Evolve ETF on the TSX that holds the best 16 US banks and has about 15% dividend, paid monthly. I bought some CALL to get more exposure to the US than my Canadian bank ETFs BKCL and HMAX give me.
HCA from Hamilton uses an interesting strategy. Essentially buying more of the banks in the Big 6 that are underperforming (aka cheaper) every quarter and less of the better performers (aka more expensive). It's a good, basic strategy to use one's investment dollars to buy what's on sale, get more total shares for every dollar and increase yield.
It's like the difference between an Active Covered Call Strategy and Passive Covered Call Strategy. I think most of us agree with Adrian that Active CC is superior and worth the extra Management Fee.
Short comment this time. Fingers crossed the comment isn't blocked for whatever reason.
P.S. Adrian doesn't know why many of my comments get blocked. If someone is flagging or reporting my comments, please stop. I often have critiques in previous comments, but I always do so politely and with the sole interest of increasing my knowledge and maybe someone else's too. Thanks.
Hope you and Erica had a nice weekend Adrian.
the bottom performers are there for a reason, it's an interesting strategy, but td and ry will probably outperform in capital appreciation going forward, like they've done in the past. its worth calculating whether reinvested excess div in the laggards make up for greater cap gains in the leaders, and factor in tax in non-reg accounts also (since CG better tax wise than div after a point)
@@soneeeee4440 Great points. Would simply be a matter of comparing HCA's performance to an Equal Weighed fund. Would need to calculate benefit of CG over Divs for each fund for tax purposes. If HCA's performance is sufficiently superior compared to an Equal Weight fund, the tax benefits shouldn't offset the greater gains. Good comment.
My portfolio is at 1.45 million now, in financials I have about 300K in scotia, td, rbc, bmo and sun life and manulife
Unless your going to do leverage or covered calls why would you get an ETF and pay fees
I was with a portfolio manager since 2017 but recently fired them and manage it myself
Fees can really add up especially when your talking big numbers
I'm invested heavily in HMAX & BKCL.
Canadian banks have 250 billion in neg amortized mortgages and we are barely into renewals. Banks are fucked. Toronto has the highest unemployment in the country
Yes you are right banks are all going bankrupt , please sell all your shares ! ( I’ll buy them)
btw, for stuff like ytsl/ tsly, what happens to the stock price if the underlying company goes bankrupt or private?
How is the liquidity on - CBNK ?
Thanks Adriano! Love the bank ETF since it’s the one business that will always get bailed out by the government unlike most companies 😊
True! Wait, does that mean Air Canada should be considered a bank? 🤣
How is replenishment of shares handled with the cover calls such as - HMAX ? / just curious - thanks for your response
typically they buy them back rather quickly , or maybe settled in cash
You did a lot of work on this video so thank you. Was really nice to be able to compare and understand each one.
Think long term ..... compare the big banks to the S&P long term. I'll wait.
Thanks for separating them, so simple to understand for a novice like myself! Really helpful video!
Your videos are awesome wish there was this much information, access and opportunities 30 years ago when i was buying rrsps👍
Hello Adriano, what is the difference between "Maximum Annual Management Fee" and "Management Expense Ratio" on ETFs and at the end, how much in fees you will pay? Thanks
MER is the combination of management fee, trading expenses and leverage costs if it has any.
Are any of these available on the US market? Or, is there another Canadian Bank ETF on the US market?
EWC, BBCA, and FLCA offer exposure to Canadian banks and are on the NYSE for US investors. They do not have high dividend yields.
Question Adriano,
I have 900 shares of BK, 4000 shares of HMAX, and 3800 shares of ZWK. Total of 15% of portfolio.
I have 4020 shares of ZWB that is only paying me 7.5% at the moment. Do you think it beneficial to maybe sell a 1000 shares and delve into the Canadian banks that were mentioned 🤔 7.5 in this environment seems a little low since our dollar doesn't stretch that far with inflation.
Cheers, and a big fan, one of your first subscribers, you really did change our retirement life 😊
Do the calculation. If selling and buying different stocks, will you actually make more for month when considering any loss you took in selling a stock. How many months until net positive?
these are hard questions to answer my friend without more details
@@PassiveIncomeInvesting I'll ask the question on FB with my other holdings Adriano, thanks.
@@ScubaSteveCanada ZWB is dead even, won't take a loss or gain on it.
Cool vid Adrianno! Good idea splitting the categories up like that, made it easy to follow along.
Glad it was helpful!
Fixed Payment Variable Mortgages will be very painful for the Canadians Banks. That doesn’t come till 2025/2026, so be careful. I dollar cost average and I just increased my dollar amount. This strategy is perfect during these time.
Good luck to all.
yeah the banks have been around before we were born and will be around when we're gone. I think they will be just fine
Excellent video. Great way to choose the one to invest depending of your investment profile. 😁
Maybe you should also look at US banks. XLF is the most popular financials ETF in the US. BIGB is a new ETF that focuses on the 6 biggest US banks. It does not pay dividends. JPMO is a new Yieldmax fund that pays monthly dividends. JPM is its underlying asset, and it is the biggest bank in the US.
Adrian is Canadian. In order to avoid the 15% withholding tax, the investment must be done in a Canadian RRSP which only allows so much room each year. RRSPs are tax deferrals not tax avoidance.
@StephenShawCanada Yes, I know he is Canadian. I was wondering if he could look into US ETFs that invest in Canadian banks for his US viewers.
EWC, BBCA, and FLCA offer exposure to Canadian banks and are on the NYSE for US investors. They do not have high dividend yields.
thanks!
I appreciate the way you separated them into 4 different categories, its much easier to digest and also come back to in the future!
I also really like BKCL and BANK
Banks are pretty low these days so “ lots of upside”? Maybe covered calls are something to consider avoiding soon?
I already own BK shares and not a good idea to swap to bank ETF because BK is down, bought CALL instead. A spreadsheet format would have made it perfect presentation.
Banks… yum. Their stock has taken a beating, but I suspect their businesses are doing pretty well. They are an oligopoly, too big too fail and way smarter than US banks (see 2008). ETFs, individual stocks…lots of choices fir everyone’s preferences!
Yum Brussel sprouts.
Canadian banks are solid. They will be just fine. Buy more now.
30 real comments. Over 100 from fake spammers push8ng some stupid scam
@ the 6 mins mark, we see Adrian has been working out... dude got tix to the gun show🙂
lol ive been working out 5-6 days a week since i was 20 years old
Leverage is what is going to be the biggest issue in next 12 months. Liquidity crisis incoming. Retail investors are being sucked in as banks no longer buying treasury or bonds only ones left are retail aka dum money. NFA
Thanks Adrian!
Thanks dude!!!
Thanks Adrian, quality video, as always 👌
Thanks 👍
interesting options something for everyone
BNS will be the easiest money you’ve ever made if you buy under 60.
No LBS split corp ?
not an ETF
Leverage is not a good idea right now. Until the Market turns around and it's a bull Market I'd stick to no leverage
its quite the opposite actually. think about it. you want the leverage BEFORE the turn around , not after.
Weird you dont know XFN
I held XFN for years but not great divs or much growth. I think the ETFs in this video offer more potential.
@@boatscarsplaces6580i made a backtest with XFN HCAL and ZEB. Since nov 2020 (hcal start) = xfn performs the best.
Xfn zeb zwb. Since 2011. = zeb 1st, xfn, zwb last
Stay away from him
who me?
More video about investments not leveraged and not covered call.
Portfolio's like Henry Mah?
whats his portfolio?
Hes so happy about the Recession coming in, like hes super excited to be witnessing it.
its here already and yes im excited!
Im starting to think your entire channel exists to ensure nobody makes as much money as you made lol
why do you say that?
On the contrary, he is educating us all, highlighting his mistakes and making very easy for us to invest as per our objectives