What to do with my investments?

[ExtraSlow]

Correct me if I'm wrong, but in terms of the bonds that those large ETF's hold, they aren't buying and selling based on fluctuating market prices, they are buying and holding to maturity, so as long as the issuing institution stays afloat, pays the face value interest for the life of the bond, and the face value back at the end, then who cares about the potential market inefficiency?

Am I missing something?

[suntan]

This quote is hidden because you are ignoring this member. Show Quote

Correct me if I'm wrong, but in terms of the bonds that those large ETF's hold, they aren't buying and selling based on fluctuating market prices, they are buying and holding to maturity, so as long as the issuing institution stays afloat, pays the face value interest for the life of the bond, and the face value back at the end, then who cares about the potential market inefficiency?

Am I missing something?

ETFs almost never hold bonds until maturity.

Assets in the fund are continually changing and do not mature. Instead, bonds are bought and sold as they expire or exit the target age range of the fund. The challenge for the architect of a bond ETF is to ensure that it closely tracks its respective index in a cost-effective manner, despite the lack of liquidity in the bond market. Most bonds are held until maturity, so an active secondary market is typically not available for them. This makes it difficult to ensure a bond ETF encompasses enough liquid bonds to track an index. This challenge is bigger for corporate bonds than for government bonds.

CCP has a similar quote somewhere in his site.

[ExtraSlow]

Most bonds are held until maturity,

???

[suntan]

This quote is hidden because you are ignoring this member. Show Quote

???

Yes, most bondholders hold them until maturity. But bond ETFs don't hold them until maturity. Thusly the market is illiquid.

Bond ETFs currently make up a *tiny* portion of the bond market.

In the US municipal bonds are extremely popular because the income is usually tax exempt.

I'm still regretting not getting some MGM corporate bonds after 2008. Fuckers were yielding 11%. Mmm, junk bonds.

[ExtraSlow]

Gotcha. I didn't realize that the ETF's didn't hold them. I always assumed they basically acted like an individual would, but with a really large portfolio of rolling maturities.

Neato.

[Buster]

This quote is hidden because you are ignoring this member. Show Quote

Good for you @eblend

IMO the best path to becoming an investor is to have the motivation to seek out learning material. The article you linked about "Bob" is a great read, one that I've read myself several years back too.

You can have all the people in this thread telling you what's best, but in the end you know your own tolerances and can come to your own decisions about where you want to park your money. It's a deeply personal thing so I'm glad you were able to run with it after some brainstorming in this thread.

One last thing I'll mention is that since you have a LIRA, there may be considerations about your asset location (different from allocation) across your portfolio. I'm not sure how your 200k is divvied up, but there are tax implications and restrictions for LIRAs when they get converted to LIFs. This is of interest to me since I recently left a company after 6 years so I have a commuted pension going into a LIRA soon as well.

See following article:

https://www.myownadvisor.ca/what-is-...-invest-in-it/

Perhaps @Buster has some additional thoughts on this. The article talks about both sides, one being maximized withdrawal flexibility in retirement and the other being simplicity which would be the case for you since everything is in VGRO.

I don't think of myself as any sort of expert on personal finance or personal investing. There are numerous people in this thread alone that I would defer to on the personal finances and investing front: @suntan @ExtraSlow @91_Integz and I'm sure others.

Like many people in high-leverage positions in financial services, I don't want that shit when I get the money in the door. I want my personal finances to be boring and steady. I get enough "finance excitement" at work and spending a lot of time on personal finances/investing is a low-return activity for me compared to my other things.

[suntan]

This quote is hidden because you are ignoring this member. Show Quote

I don't think of myself as any sort of expert on personal finance or personal investing. There are numerous people in this thread alone that I would defer to on the personal finances and investing front: @suntan @ExtraSlow @91_Integz and I'm sure others.

Like many people in high-leverage positions in financial services, I don't want that shit when I get the money in the door. I want my personal finances to be boring and steady. I get enough "finance excitement" at work and spending a lot of time on personal finances/investing is a low-return activity for me compared to my other things.

Hey if you think my cocaine fueled TQQQ/SQQQ buying binges while my wife pegs my ass are a good thing, more power to you.

[Buster]

depends. pics of wife and implement of pegging?

[rx7boi]

My investments are pretty boring and steady too. Just riding that couch potato wave while I focus on other things in life that give me enjoyment. Took a bit before I got out of the habit of looking at my investments way too much.

[max_boost]

This quote is hidden because you are ignoring this member. Show Quote

My investments are pretty boring and steady too. Just riding that couch potato wave while I focus on other things in life that give me enjoyment. Took a bit before I got out of the habit of looking at my investments way too much.

Cannabis Cannabis Cannabis

[max_boost]

Is it time for a pullback/correction? 20%?

If so, go bear and then go bull (if you can time the market lol)

[rx7boi]

@max_boost Dudeeeee welcome back. Was wondering where you've been haha.

I never got into the MJ market. I don't know enough about it to jump on the bandwagon so I just tossed $500 at Aleafia. Down 75%

[A790]

This quote is hidden because you are ignoring this member. Show Quote

Cannabis Cannabis Cannabis

Down 50% on HMMJ with my latest round of buys lol

[max_boost]

This quote is hidden because you are ignoring this member. Show Quote

@max_boost Dudeeeee welcome back. Was wondering where you've been haha.

I never got into the MJ market. I don't know enough about it to jump on the bandwagon so I just tossed $500 at Aleafia. Down 75%

Thanks bro. You can look into HMMJ etf. It pays a dividend as Horizons makes money by lending out shares. Horizons has been steadily paying out since the inception of the etf BUT Idk if the dividends will stop. What if it no longer participates in securities lending? Tbh the dividend is the only thing keeping me sane.

I will say this tho, high risk high reward. Until America legalizes it federally and banks can actually finance these companies oh it's gonna be a rough ride. I do believe in it tho based on my personal experiences with opiods and mj and if the science is right, cannabis is the future. After America I can see the rest of UK/NZ/Aus legalizing and then the rest of the world.

https://www.horizonsetfs.com/news/Bl...MJ-Pays-Income

https://www.horizonsetfs.com/ETF/HMMJ

This quote is hidden because you are ignoring this member. Show Quote

Down 50% on HMMJ with my latest round of buys lol

I feels you man haha my average cost 14.20 lol

Enjoy the .2636 dividend tho

[rx7boi]

I'll probably hold off on the MJ sector for now, mostly due to my own ambivalence and ignorance. I'm happy playing slow-and-steady with my broad equities ETF's and some more tech heavy ETF's. NASDAQ ftw haha.

[max_boost]

^

Oh I should have stuck with that. I got double owned in Aug.

I decided the market was too high so I dumped all my TFSA XQQ (Nasdaq) at $61 and switched it all to HMMJ at $14. Well the XQQ is at $69 and the HMMJ is at $8.xx

haha $35k swing in the wrong fkn direction lol

All I can think of is the opposites on Seinfeld where George can't get anything right haha

[ExtraSlow]

This quote is hidden because you are ignoring this member. Show Quote

^

Oh I should have stuck with that. I got double owned in Aug.

I decided the market was too high so I dumped all my TFSA XQQ (Nasdaq) at $61 and switched it all to HMMJ at $14. Well the XQQ is at $69 and the HMMJ is at $8.xx

haha $35k swing in the wrong fkn direction lol

All I can think of is the opposites on Seinfeld where George can't get anything right haha

This is what most people shouldn't be actively picking their own investments. Passive investing FTW.

[The_Rural_Juror]

Not enough YOLO in this thread.

[max_boost]

This quote is hidden because you are ignoring this member. Show Quote

This is what most people shouldn't be actively picking their own investments. Passive investing FTW.

Well that's the thing. Some prefer the extra slow style and others just want the max boost for better or worse.

[The_Rural_Juror]

This quote is hidden because you are ignoring this member. Show Quote

the max boost for better or worse.

This is the way.