July 2019: Are Index Funds Over-Diversified? | CPPIB Report | Tax Implication of Asset Allocation ETFs

+ Episode 52: A Closer Look at the CPPIB Report: What You Need to Know [41:55]

Today we’re diving into the recent CPPIB report that portrays actively managed funds in the most optimistic light. But before you trade in your index funds, we look at the methodologies and calculations employed by the report and show why there are a number of issues with their findings.

Benjamin shares his proposal for an alternative analysis that employs a more risk appropriate benchmark, and we discuss why the report can be seriously misguiding. We also talk about the transitional issues that have result from MB Financial being taken over by Scotiabank and why some MB Financial clients have not been too pleased with it all.

More Recent Rational Reminder Episodes

+ Episode 51: Writing About Money: Advocating for Consumer Rights with Ellen Roseman [39:52]

+ Episode 50: Tax Tales: Considering The Tax Implications Of Asset Allocation ETFs [34:12]

+ Episode 49: Insights into Horizons: Continuous Innovation in the Canadian ETF Market [43:13]


Are Index Funds Over-Diversified?

Every now and then we hear the comment that index funds result in over-diversification. The thinking goes that instead of buying all of the companies in an index, you might be able to focus on a smaller subset that you believe will perform better than the market.

More Recent CSI Videos
+ Low Volatility - Low Beta ETFs [CSI Video 11:38]

We hope that you found our newsletter useful and informative.

Cameron & Ben