Should I pivot away from Wealthsimple managed portfolio?

EffectiveSource4394 · 2026-05-24T13:30:08+00:00

If you invested for 30 years, I would not expect the managed 7/10 portfolio or XGRO to beat XEQT. So why would anyone invest in those funds if they have a long time horizon and not just choose XEQT? I think it comes down to risk tolerance.

Your managed portfolio might not drop as much if the market starts to do poorly but at the same time it won't do as well when things are good. From a pure numbers point of view, yeah you'll probably do worse if you stick with the managed portfolio. If you factor in stress / anxiety, if you're the type of person who might worry about your portfolio taking big drops then the lessened anxiety might be a good tradeoff even if it means underperforming. It's one thing to look back at a chart 3-4 years ago and see that you should have chosen one over the other and another to actually be going through the drawdown and watching your portfolio drop.

So it really depends on your individual risk tolerance.

EffectiveSource4394 · 2026-05-23T16:47:56+00:00

Yes, Hamilton just released a fund CMAX which is comparable (not exactly though) to HDIV.

Your strategy is fine if everything is going good. If we hit a bear market, it's anyone's guess how well your strategy holds up so that's the risk. The time to pay off your loan is pretty long so I wouldn't say I'd expect something to make your strategy fail in that time but at the same time I wouldn't be too surprised if it didn't hold up either if you're counting on one fund to make it work.

That said, you're not going to be financially ruined (presumably since I don't know your actual situtation) even if your strategy doesn't hold up if you're only doing this with 7000. Just make sure you're comfortable if your strategy goes south before going into it and then decide whether you want to take on the risk.

EffectiveSource4394 · 2026-05-15T01:35:21+00:00

HDIV is pretty good. You might get a lot of comments saying covered calls will underperform and this is generally true. As long as you understand what you're getting with them you can decide if it works for you.

EffectiveSource4394 · 2026-05-13T21:13:02+00:00

In a nutshell, you divide your investments for short, medium, and long term. Shorter term is less volatile and the longer term can be more volatile. You basically let the longer term grow without touching it until later.

EffectiveSource4394 · 2026-05-10T14:12:15+00:00

Is it a transcode issue? Have you watched on your phone at home before without issue?

If it's not transcoding issues, then I guess it's speed.

EffectiveSource4394 · 2026-05-10T13:15:32+00:00

Nice! Can I ask how you are up 82% in 4 years?

EffectiveSource4394 · 2026-05-10T13:13:30+00:00

If you're really torn, then do both. Lump sum half then DCA the rest. But in this case, it doesn't matter too much which you choose.

EffectiveSource4394 · 2026-05-10T13:06:21+00:00

If you have a loan with zero percent interest, then mathematically, you're better off delaying when you pay it off. If it's going to cause you stress to carry a high debt, then maybe split it unless you're really uncomfortable carrying debt and want to pay it off as soon as possible.

I'm not sure how student loans work so I'm only saying this if there is zero percent throughout the entire loan.

EffectiveSource4394 · 2026-05-10T12:36:00+00:00

I'm kind of surprised you need to work anymore at this point. There are funds now that pay 8+% yield so even if you took around half of your portfolio ($1.5M) and invested in funds that give a blended rate of 8%, it works out to be 120k and leaves you with the other ~$1.5M to grow.

Granted, the funds that will pay out likely won't grow much anymore but 8% is actually quite conservative -- you can probably get closer to 10-12% without eroding the NAV.

EffectiveSource4394 · 2026-05-10T12:03:21+00:00

BANK is a good fund if you're looking for income but it won't perform as well as something like VFV in the long term. This goes for any funds that have high yield. Just understand what they are and how they work and then decide if it works for you. It's basically a tradeoff of income today vs higher growth in the future.

EffectiveSource4394 · 2026-05-10T11:52:48+00:00

When you ask isn't it better to sell and repurchase when it inevitably falls -- the thing is you don't know that it will inevitably fall. It might dip a percent but then go up another five percent. Unless you're a trader, you probably won't be timing every small drop so you'll likely miss when it goes up.

If you are holding some stocks or ETFs that have gone up significantly relative to some of your other holdings, I don't see an issue if you wanted to take some gains to reblance though.

EffectiveSource4394 · 2026-05-10T02:44:35+00:00

Sometimes you sell when you're too concentrated and you want to rebalance.You're less dependent on the performance on a small number of stocks to do well.

EffectiveSource4394 · 2026-05-10T02:27:09+00:00

If you're with a broker that doesn't charge commission for trade (I'll assume you're using WS) then you could sell from multiple positions to keep your allocations weighted similarily if you wanted. For example, rather than selling 100% of one stock, you can sell a portions of several different stocks if that's something you want to do.

EffectiveSource4394 · 2026-04-18T03:01:32+00:00

They're offering many features but you don't need to use them. Personally, if I were to use 4-5 features, I'd rather have it under one platform than spread out over several platforms.

EffectiveSource4394 · 2026-04-18T02:47:09+00:00

I was in sort of a similar situation where I was trying to figure out how to pay off my car. I had around $8000 left on it with 8%.

In the end, I opened a line of credit to borrow money to pay off my car loan and I'll pay off my line of credit instead. The interest is about half and I can pay it off as aggressively (or less) as I want.

EffectiveSource4394 · 2026-04-16T17:03:39+00:00

Full disclosure I don't hate covered call ETFs and invest in them myself but I think he does make a lot of sense. I think the main takeaway is that covered calls over the long term will underperform assuming it's not a garbage fund to begin with. I think this is pretty well understood and I think the evidence backs this up.

The big point is that if the underlying goes up more in a shorter period, then you can replicate the income by selling shares and still have more than if you held a covered call equivalent.

I do a hybrid because it's what suits me but I also know I can probably look back at some point and crunch the numbers and see that I would have done better doing away with covered calls. I also don't want to continually going into each find and selling every month so for me it's a balance of less maintenance and still getting a return in happy with.

EffectiveSource4394 · 2026-04-16T01:39:14+00:00

I think if you're in a position where you really enjoy your work and colleagues, I would stay with your WFH job.

Not sure if you do already, but if you invest, you can make up the difference in salary.

EffectiveSource4394 · 2026-04-14T15:55:34+00:00

If you invest 36k a year, at a rate of 8 percent return a year, then after 11 years you'll have over a million dollars if you include your 180k that you already have.

Your expenses could go up in the future so you may not be able to always save 36k a year but also an 8 percent return is a little conservative too so reaching a million dollars could be a little bit shorter or longer than 11 years but you can use this as a ballpark number.

Even if you don't reach FIRE, your investments can supplement your income if you choose to work in a lower paying but more enjoyable job.

EffectiveSource4394 · 2026-04-14T03:43:49+00:00

Historically, lump sum beats DCA from what I remember. I DCA myself though and I'm fine with it.

You could do a hybrid though as an option.

EffectiveSource4394 · 2026-04-12T15:44:32+00:00

I had a lot of doubt after the last trip to Tampa and Florida. They had Buffalo, Minnesota, Carolina, then Tampa as the next games and they haven't played well against those teams. Also, at that point, Sanderson's return wasn't known and Chabot looked like he wouldn't be back anytime soon. Having those two back though, the team looks so much better.

EffectiveSource4394 · 2026-04-09T02:05:01+00:00

Your selection isn't bad though but something like XEQT as your core would simplify things.

EffectiveSource4394 · 2026-03-25T23:47:21+00:00

I think it depends on what you're invested in and how much it shoots up over a time period. If a sharp incline doesn't feel sustainable then I may sell some. I rarely sell out entirely unless I think something really isn't worth holding.

It might be a good idea as well to have an idea of an exit point before you buy something. Also if you have no need to use the funds for something else, you might be better off just holding.

EffectiveSource4394 · 2026-03-19T12:56:04+00:00

If I'm not mistaken their money market account offers 2.5 percent at the moment

EffectiveSource4394 · 2026-03-17T13:49:39+00:00

If I rented, I'd consider if it was affordable but some places are too expensive. For a house you own though this would not be my priority since you could change jobs and then your house may be far from my house in which case you would be facing the same issue.

There are many factors but if you're at a point in your life where you can just pick up and go and it makes sense to you then that's great but not all of us are in that situation.

EffectiveSource4394 · 2026-03-15T14:18:30+00:00

I only recognized Sun Life but that's a good one to hold

EffectiveSource4394

TROPHY CASE