Finance professor sees payoff buying ETFs when times are gloomy

 

Detailed price information for Ishares S&P TSX Capped Energy Index ETF (XEG-T) from The Globe and Mail including charting and trades.

They were sold six months later for a nice capital gain. Click here to subscribe. Story continues below advertisement. None of the Index Data is intended to constitute investment advice or a recommendation to make or refrain from making any kind of investment decision and may not be relied on as such. Published January 20, Updated April 13,

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The iShares S&P/TSX Capped Energy Index ETF seeks to provide long-term capital growth by replicating, to the extent possible, the performance of the S&P/TSX Capped Energy Index, net of expenses. The index is comprised of constituents of the S&P/TSX Composite Index in GICS sector 10 – Energy – but excluding GICS subindustries , and

In recent years, he has been buying more income securities — such as corporate bonds and the preferred shares of financial, utility and pipeline companies.

To maximize after-tax returns, he holds the bonds in his registered retirement savings plan or tax-free savings account. Dividends and capital gains are earned outside tax-sheltered accounts.

Just before the oil sector was blindsided by falling prices, he bought Enbridge Inc. At one point, the shares lost more than a third of their value.

He recommends investing in the broad market or a sector when all the news is gloomy. Want to be in Me and My Money?

Contact Larry MacDonald at mccolumn yahoo. This is a space where subscribers can engage with each other and Globe staff. Non-subscribers can read and sort comments but will not be able to engage with them in any way.

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Comments that violate our community guidelines will be removed. Commenters who repeatedly violate community guidelines may be suspended, causing them to temporarily lose their ability to engage with comments. Read our community guidelines here. Article text size A. Open this photo in gallery: Special to The Globe and Mail. Published January 20, Updated April 13, Jerome Gessaroli Occupation Finance professor Story continues below advertisement. Story continues below advertisement.

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