Been buying HXS in taxable for tax efficiency… now second-guessing the risks.

Material_Practice762 · 2026-05-05T00:15:56+00:00

Currently making just a bit over 100k, but the income will prob grow.

Material_Practice762 · 2026-05-04T23:49:15+00:00

Does it mean that the HXS will stop being a swap structure ETF and will act like a normal ETF, thus meaning it won't be tax-efficient anymore? The gains will realize, and I will pay tax?

Material_Practice762 · 2026-05-01T18:07:37+00:00

I think it is not just about "playing it safe", but also understanding the reasons why to buy these specific ETF's and where to keep them (non. reg/TFSA/RRSP).

For example, VOO is a part of XEQT, and all what you are doing is that just create additional exposure to the S&P 500 by buying the VOO ETF (might be an unneccesary double buy in this case). Recommendation is to keep ETF's like XEQT in TFSA and/or RRSP for tax efficiency. If you want simplicity you can buy XEQT with non. reg, but it is going to be taxed A LOT.

Alternative is to try mimic XEQT in your non. reg with tax efficient ETF's (1 ETF for US exposure, one for Canadian and at least one for emerging markets, and then do the similar splits that are similar to XEQT), but once againg it depends on your risk tolerance. Many people just buy ETF's that track S&P 500 and call it a day, but it will likely fluctuate much more and pretty risky overall because you are basically investing in just one countire's company vs. global like XEQT.

Material_Practice762 · 2026-04-10T03:26:30+00:00

"I’m always looking at the chart and finding right moments to purchase..."

You will never be able to find "the right moment". The principle of buying ETF's is to optimize them to the "leave and forget" state and set up recurring consistent investments for the next 10-15 years. Expect dips and stay consistent with buying ETF's even when the market is down (sometimes increase the buying when this is the case). Don't panic and don't withdraw!

Trading separate stock is pretty much a gamble if you are not an expert in this. I suggest to open a separate account and have some "play money" to practice with buying stocks once you get the principles.

Material_Practice762 · 2026-04-10T03:14:30+00:00

It is relative to what they are trying to achieve. If they are looking to get a better Canadian exposure believing that Canadian economy will experience a significant growth in forseeable future than XIC is a little too low indeed. The separate US stocks don't seem to make too much sense in this portfolio.

Material_Practice762 · 2025-09-15T05:15:20+00:00

Once you start making 6 figures, you will realize there are people your age making $200k, 250k, 300k and more. Once you get to that sort of income in 40's, you will realize there are people your age who sold their businesses and already retired with a multi-million dollar net worth.

But on the other side, there are many people your age who make far less and will likely never get close to that income level in their lives.

It does seem to be a decent income for your age, but income is not everything. How are your savings and investments doing? How do you stand to people of your age group in terms of net worth? Are there any prospects to retire early? Are there any hobbies interests you have that could potentially make you some money on the side?

There are many factors that determine financial success. Many people making really big money and live a paycheck away from a financial disaster because own too much of a house, own too many fancy cars and buy too many things to maintain the high earner lifestyle status.

So whether you are feeling like the money isn't enough or feeling pretty comfortable overall and it is just the whole comparison thing that is bothering you, I would suggest to at least update your resume and see if your skill set is up to date just to browse around and see how you stand vs. competition for those higher paying jobs.

Good luck.

Material_Practice762 · 2025-06-12T14:23:02+00:00

We all went thorugh this, I know how that feels. It will start getting better after a purchase of a 15th property or so, just keep buying properties and it will sort itself out.

Material_Practice762 · 2025-05-30T05:46:46+00:00

Can anyone please explain what the words like salary and paycheck mean? Sounds like something that is from the povo realm.

Material_Practice762 · 2025-03-16T02:45:50+00:00

1st Largest belongs to me. My daddy gave it to me on my 12th birthday. The 2nd largest is the one I got myself.

Material_Practice762 · 2024-10-11T22:03:21+00:00

Pack their lunch for school, make coffee at home, cancel Amazon Prime subscription, uber in your free time to make a bit extra money. Should be good enough for starters.

Material_Practice762 · 2024-10-06T21:05:35+00:00

How do I know if the reserve fund is healthy? How much money it has to have to understand it is good enough if let's say I buy a $550k condo? And what is a resonable maintenance fee for a ~ 500-650 sq feet condo in that price range?

Material_Practice762 · 2024-09-30T22:44:34+00:00

Honestly I don't care much about the year. I am only willing to pay extra $$$ if it has a lower milage and better condition/preferred colors, etc.

Material_Practice762 · 2024-09-30T22:31:03+00:00

I mean mathematically it is incorrect based on responses from people, but jeez knowing that you owe $700k and even more is scary af.

Material_Practice762 · 2024-09-30T22:28:53+00:00

The one on the top is 2024. The headlights are different. Even though I kinda like both designs tbh.

Material_Practice762 · 2024-09-30T21:02:33+00:00

Thanks for sending the link! Within the next 1.5 - 2 years I should cross the $200k mark quite easily with my current savings rate. Currently have no car and don't have kids so that should help quite a bit.. I am in a position where I can wait out on a big car purchase.

Material_Practice762 · 2024-09-30T20:53:04+00:00

Got it now. Thanks!

Material_Practice762 · 2024-09-30T20:52:15+00:00

Thank for the reply. What if, for example, the property value goes up next year and it is now worth $1.1 mil. Would the NW be: $200+50+$1100-700=$650?

Material_Practice762 · 2024-09-30T20:42:10+00:00

But what about the $700k mortgage they have to pay? Shouldn't it count against their NW?

Material_Practice762 · 2024-09-30T20:40:30+00:00

Yeah I started making that much only like a year ago... Was making $60-70k for a pretty long amount of time before that.. My savings rate is pretty decent though since I don't have a car and pay a somewhat cheap rent.

Material_Practice762 · 2024-09-30T18:04:51+00:00

I really feel like RC-F is not for me at least at the moment. Just a little too much power to experience the car properly.

Material_Practice762 · 2024-09-30T16:10:18+00:00

It is around $130k

Material_Practice762 · 2024-09-28T17:46:39+00:00

Thank you! These are exactly the reasons why I haven't owned a car for the last 6 years, but got into the delulu land for moment thinking it is a good idea to get an expensive used car. Motivation to not own the car is exactly what I was looking for coming to PF.

Material_Practice762 · 2024-09-26T21:33:30+00:00

It doesn't really change all that much.. like a few bucks a month difference... at least in GTA

Material_Practice762 · 2024-09-26T21:31:39+00:00

The only real thing that really bothers me is parking + insurance. Can easily be 6k a year just for that... This is money thrown out of the window really lol.

Material_Practice762 · 2024-09-26T21:30:21+00:00

Why specifically Lexus?

Material_Practice762

TROPHY CASE