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Couch potato investing for the last 12 years - tracking my progress

  • Last Updated:
  • Nov 22nd, 2017 10:55 pm
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Jr. Member
May 15, 2015
180 posts
51 upvotes
North York, ON
I'm doing TD e-Series (25/25/25/25 couch potato) since May 2017 and it has gone down quite a bit. Any advice? I have a lump sum of money right now and I'm not sure whether I should throw more at the TD e-Series.
Deal Addict
Jan 20, 2016
1376 posts
516 upvotes
Houston, TX
funnykiddy wrote:
Aug 23rd, 2017 1:58 pm
I'm doing TD e-Series (25/25/25/25 couch potato) since May 2017 and it has gone down quite a bit. Any advice? I have a lump sum of money right now and I'm not sure whether I should throw more at the TD e-Series.
Couch potato investing for the last 12 years
- time=money, you've been investing for 3 month and already going alternate your long term based goals on short-term observations??
3 from 4 times lump sum investing have better results then spreading it over the time. It's dozen days per year when most gain is made on market, will you prefer to miss them waiting on a side with money ALREADY available?

My imo - invest what you are going to do as it available. If you have concern about your AA - yes, you can think about it and change if you found this appropriate.
For me 25/25/25/25 is quite fine AA if you have 10 or more years ahead
Make the Trudeau drama teacher again!
[OP]
Deal Addict
Oct 1, 2006
1687 posts
649 upvotes
Montreal
funnykiddy wrote:
Aug 23rd, 2017 1:58 pm
I'm doing TD e-Series (25/25/25/25 couch potato) since May 2017 and it has gone down quite a bit. Any advice? I have a lump sum of money right now and I'm not sure whether I should throw more at the TD e-Series.
Your investment success will depend on if you are able to stick to your investment strategy no matter what will happen. If you are already worried about this tiny drop, investing in equities may not be for you.

Yes, the best option would be to invest your lump sum into more TD eseries.
Jr. Member
May 15, 2015
180 posts
51 upvotes
North York, ON
Will probably pull the trigger today. Advice much appreciated!!

I understand the principle behind buy and hold for long-term growth, I guess I'm having trouble putting it into practice what with all the worrisome news around the world.
Newbie
Jan 23, 2017
40 posts
48 upvotes
I have maxed out my 2 children's RESP contributions for the 2017 year. Fortune would have it that I have an extra $5000 that I am able to invest specifically towards their future. Should I invest that immediately into ETFs (e.g. 25% XIU, XEF, XUS, XBB) in a non-registered cash account and transfer the shares into their RESP in January 2018? Or should I simply hold the cash for 4 months until Jan?

In thinking it through, the only reason to invest now would be to gamble on a gain in the next 4 months, which would be taxable anyways. I'm leaning towards just holding the cash ... any other things I'm not considering?
Deal Addict
Jan 20, 2016
1376 posts
516 upvotes
Houston, TX
imclumzy wrote:
Aug 24th, 2017 3:07 pm
I have maxed out my 2 children's RESP contributions for the 2017 year. Fortune would have it that I have an extra $5000 that I am able to invest specifically towards their future. Should I invest that immediately into ETFs (e.g. 25% XIU, XEF, XUS, XBB) in a non-registered cash account and transfer the shares into their RESP in January 2018? Or should I simply hold the cash for 4 months until Jan?

In thinking it through, the only reason to invest now would be to gamble on a gain in the next 4 months, which would be taxable anyways. I'm leaning towards just holding the cash ... any other things I'm not considering?
If you'll transfer them in kind, it will be not taxable, no?
P.s. you can use MAW105 to avoid distribution and paying taxes on them, IF capital gains will be UNtriggered by transfer to RESP, you'll pay no taxes.
Make the Trudeau drama teacher again!
Newbie
Jan 23, 2017
40 posts
48 upvotes
asa1973 wrote:
Aug 24th, 2017 3:15 pm
If you'll transfer them in kind, it will be not taxable, no?
P.s. you can use MAW105 to avoid distribution and paying taxes on them, IF capital gains will be UNtriggered by transfer to RESP, you'll pay no taxes.
So in the hypothetical situation where I invest $5000 now and then in 4 months/Jan 2018 the value is $5100, I would transfer the $5100 value of ETFs in-kind into the RESP and only $5000 would be eligible for the applicable grants.

I'm afraid I don't know what MAW105 is, could I trouble you for a brief explanation or link for further reading?
Deal Addict
Jan 20, 2016
1376 posts
516 upvotes
Houston, TX
imclumzy wrote:
Aug 24th, 2017 3:30 pm
So in the hypothetical situation where I invest $5000 now and then in 4 months/Jan 2018 the value is $5100, I would transfer the $5100 value of ETFs in-kind into the RESP and only $5000 would be eligible for the applicable grants.

I'm afraid I don't know what MAW105 is, could I trouble you for a brief explanation or link for further reading?
I'm not a big expert in RESP rules, so I could not say about this more detailed.

MAW105 is a "balanced" fund like MAW104 but optimized for non-reg accounts
http://www.mawer.com/our-funds/fund-pro ... nced-fund/

MER is 0.93% , not the lowest one but OK for all-in-one solution
Make the Trudeau drama teacher again!
Jr. Member
Mar 29, 2015
124 posts
25 upvotes
Westmount, QC
Ahzuz wrote:
Aug 22nd, 2017 7:05 pm
Hello folks,

I invested following the CCP strategy, i went 25% VCN, 50% XAW and 25% ZAG, this is for a TFSA and i'm in my low 30s.
It's been around 6 months and my P&L is negative all across the board since almost the beginning. I bought at mkt price at the time.

Should I change my strategy ? Invest in other ETFs ?
You must of invested around the same time as me . Seems like we got in when things were extended to the upside , and now they're all dropping alot as of late. I actually made a bit of money with XAW and got out about 2 weeks ago as the market seemed worrisome to me and just wanted to lock in profits and possibly get back in later. VCN has not been doing well at all and for some reason I put a good chunk in there. Regretting it but Im holding on and collecting dividends for now while it hopefully recovers.
Newbie
Feb 5, 2017
80 posts
41 upvotes
seriously, you can't do that, get in and out of VCN/XAW a few times per year.
These are indexes and if you buy them, you need to stay invested for at least 10 years.
If your horizon of investing is less than that, I do not think that the CCP is the model to follow.
You have to understand that your porfolio might and will one day lose at least 25% of its value. If you can't live with that, do not invest in stocks at all !
Newbie
Feb 5, 2017
80 posts
41 upvotes
Just to give you an example, my XAW portion of my portfolio lost 40K on paper since our CAN$ went throught the roof. And it could lose easily another 5-10% in the next few months. So what ? I will not take money out of there for at least 20 years ... it's nothing down the road !
[OP]
Deal Addict
Oct 1, 2006
1687 posts
649 upvotes
Montreal
jay81k wrote:
Aug 24th, 2017 4:47 pm
You must of invested around the same time as me . Seems like we got in when things were extended to the upside , and now they're all dropping alot as of late. I actually made a bit of money with XAW and got out about 2 weeks ago as the market seemed worrisome to me and just wanted to lock in profits and possibly get back in later. VCN has not been doing well at all and for some reason I put a good chunk in there. Regretting it but Im holding on and collecting dividends for now while it hopefully recovers.
That's terrible, please do not do this! You are trying to time the market. This is not going to work and will reduce your rate of return over the long-term.
Newbie
Jan 23, 2017
40 posts
48 upvotes
asa1973 wrote:
Aug 24th, 2017 3:49 pm
MAW105 is a "balanced" fund like MAW104 but optimized for non-reg accounts
http://www.mawer.com/our-funds/fund-pro ... nced-fund/

MER is 0.93% , not the lowest one but OK for all-in-one solution
May I ask, why go for an "all-in-one solution" fund like MAW105? Why not simply do a CCP mix using TD e-Series or ETFs? Is there a special consideration for this situation when investing in a non-registered account with the intention of moving in-kind to registered accounts?

Sorry, I'm an investing n00b with just enough knowledge to be dangerous. :)
Jr. Member
Mar 29, 2015
124 posts
25 upvotes
Westmount, QC
Yes I agree it's terrible if you are following the CCP model which I was when I first started investing. What I don't get is why keeping your money frozen in something that's only going down is a good idea instead of putting it into a stock that's actually making money ?
Member
User avatar
Nov 26, 2014
290 posts
57 upvotes
Quebec
jay81k wrote:
Aug 25th, 2017 9:54 am
Yes I agree it's terrible if you are following the CCP model which I was when I first started investing. What I don't get is why keeping your money frozen in something that's only going down is a good idea instead of putting it into a stock that's actually making money ?
Maybe because Germack, unlike you, doesn't seem to have a crystal ball to know which stock will go up...
I lost my crystal ball too so I'm not trying to time the market either

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