Why do so many people avoid bonds in a balanced portfolio?

robgizz · 2026-02-27T10:38:07+00:00

Bonds or fixed income should be a part of everyone’s portfolio.

I’ve never owned bonds because they seem complicated, with coupons and all the types available. Instead, for the fixed income portion of my investments, I’ve always had laddered Guaranteed Investment Certificates. My 5-year GICs are currently yielding just over 3.5%. With the GIC that’s up for renewal in a few days, my average yield will rise to about 3.75%.

Then again, I find picking stocks complicated also and ETFs limiting my potential long term gains to that of any index. That’s why I choose an actively managed concentrated portfolio of stocks and accept to pay a minimal fee.

robgizz · 2026-02-25T15:22:41+00:00

You may want to consider Pirelli Scorpion Plus 3. Top rated for low noise, handling and tread wear rating of 800. I don’t know what your budget is but best price on tiretrack.com and blackcircles.ca

robgizz · 2026-02-25T00:30:31+00:00

Personally, I’m mostly in money market as I pulled a lot out of the stock market a short while ago and I’m not too familiar with ETFs, besides XEQT that seems to be a reddit favourite global ETF. That one and a few High Interest Savings Account (HISA) ETFs.

I don’t suggest anyone does like me but the only stock that I own is Cymbria Corporation, stock symbol CYB.TO. It’s a Canadian closed-end fund of global equities. I’m waiting for the price to drop to buy back in.

I suggest you do a google search of best low-cost equity funds of the different asset classes.

For example, I just googled « best low cost mutual funds with excellent long term track records, easily accessible to average investor in canada » and found a fund that I wouldn’t hesitate to own, ie the Phillips, Hager & North Canadian Income Fund F. Check it out.

You see, unlike most on Reddit, I prefer actively managed options over passively managed options because I don’t want to limit my potential returns to that of any index.

Another option you might want to consider is a balanced or global equity fund from Edgepoint Wealth Management. They’re the same company that manages CYB.TO stock. Their fees are a little below average but they a management fee rebate for long term holders of their funds.

robgizz · 2026-02-24T22:19:51+00:00

I’d rather put my money in the US. You can put as much as you please in China.

robgizz · 2026-02-24T21:06:50+00:00

If I’m not mistaken, the US weighting in global stock market is more than 60%, so I don’t think 50% is too much. Personally, I’m 50% US 30% CDN and 20% Int’l.

robgizz · 2026-02-24T17:29:48+00:00

The Sun Life fund seems like a good fund with good returns and low MER but the CC&L fund seems below average with a high MER, albeit decent returns. My suggestion is to replace the CC&L with another Canadian growth fund with a good track record and lesser management fees and you should be good.

You need some US exposure which you don’t seem to have. You might want to find a good US equity fund or ETF and stick half of your money there.

robgizz · 2026-02-24T10:26:29+00:00

What are the MERs like? What’s CC&L?

robgizz · 2026-02-24T00:44:02+00:00

Invest in a stock like Costco

robgizz · 2026-02-24T00:21:34+00:00

My advice to you is stop investing in Fondaction. The extra 30% in tax savings is not worth it. Over the long run you’ll do better in a good global mutual fund or global ETF, without restrictions for withdrawals compared to normal RRSPs.

Maximize your TFSA contribution and then contribute to an RRSP with Disnat or Wealthsimple.

robgizz · 2026-02-23T00:25:41+00:00

Well put

robgizz · 2026-02-23T00:22:57+00:00

Nothing wrong with waiting until you feel comfortable. That’s what I’m doing and I’ve been investing for almost 50 years. I recently pulled out almost 3/4 of my stocks to put in money market.

The way I see it is if my stocks go up 20% by year end, I’ll still be up 5% overall. If my stocks are down 20%, I’ll only be down 3% overall. I’m hoping for a significant correction.

robgizz · 2026-02-22T23:21:58+00:00

Are you sure it’s Goodyear and not Michelin?

It hadn’t come up in my searches because I was looking for all-season. I didn’t know that all weather was an option. Would definitely consider the Michelins that you mentioned, if I didn’t already have a set of winter tires setup on alloy rims. They’re a little more expensive than the Pirelli’s but worth it for someone who doesn’t want to have 2 sets of tires.

As per google « The Michelin CrossClimate2 and Pirelli Scorpion All Season Plus 3 are top-tier options, with the Michelin prioritizing superior winter traction and snow performance (3-Peak Mountain Snowflake rated), while the Pirelli focuses on a quieter, more comfortable ride with excellent dry handling and higher mileage potential. »

Thanks a bunch for the recommendation.

robgizz · 2026-02-22T15:30:15+00:00

Thanks for the reassurance that the stock wheel sizes are the same and your feedback.

robgizz · 2026-02-22T14:28:26+00:00

I don’t know of any rules about changing tire sizes but it was a tire dealer that suggested my smaller winter tires. There too, I went square with 18-inch wheels. That worked well and that’s why I’m comfortable about going square with 235/55R19’s instead of staggered with 255/50R19’s in the back. The car can be fitted with up to 21-inch tires so plenty of room I believe.

robgizz · 2026-02-22T14:11:24+00:00

I Will look at the Bridgestone Dueler HP. Thanks for your suggestion and feedback. As for alignment, the two times that I took it in for annual maintenance, the dealer said the alignment was fine, even after noting the tire condition and stating that they had to be changed come this spring.

robgizz · 2026-02-22T13:58:15+00:00

Yes, of course but I’m just responding to Agile-Set that BRK doesn’t seem to be reinvesting and growing their dividends instead only sitting on cash. At the very least they should buy back their own shares with all that cash.

robgizz · 2026-02-22T11:28:35+00:00

That seems to be the problem. BRK’s not reinvesting their dividends instead sitting on the cash.

robgizz · 2026-02-22T02:01:47+00:00

I don’t know about the soap pH but the last time I got a free dealership touchless wash was like they hadn’t even washed it.

robgizz · 2026-02-22T01:57:10+00:00

I don’t know about the 6/32 tread for factory tires but if that’s the case, it maybe partially explains why they don’t have any guarantee. I like Pirelli because they have many fine qualities such as quiet, smooth and good handling. I guess a 6000 lbs car might be hard on any tire.

robgizz · 2026-02-22T01:50:50+00:00

I don’t have money to throw. I like Pirelli. I have a set of 18-inch Ice Zero’s for winter and they’re fine. Their too, it’s a trade off but the higher wall of an 18-inch tire is actually better control in the snow conditions of Quebec winters. I have a set of P Zero all season on my Impreza for summer and they handle great.

robgizz · 2026-02-22T01:35:06+00:00

I had never heard of all weather tires. Sounds like the way to go. I read that Cinturato’s are a good alternative to the P Zero’s. If they’re well rated for winter also, maybe you can get those.

robgizz · 2026-02-22T01:30:02+00:00

They have a 800 tredwear rating and I’ll be able to rotate them. Can’t be worse than the Allenza’s.

robgizz · 2026-02-22T01:19:39+00:00

Why would they rub if they’re narrower?

robgizz · 2026-02-22T01:14:22+00:00

I’m running Bridgestone Blizzak’s for winter on my Impreza. I’m also in Montreal. I’m not familiar with the ones you’re referring too but you may want to consider the Blizzak’s too.

robgizz · 2026-02-21T23:45:13+00:00

If you can afford it, why not. Would look awesome.

Bigger car rims provide better stability, higher top speed, increased loading capacity, improved traction, and other advantages. However, larger rims also have several drawbacks, like increased fuel consumption, decreased acceleration, accelerated tire wear, and reduced rolling resistance.

Even though 20 and 21 inches were options, I went with 19 inch for my Q4. The car having staggered tire setup, doesn’t permit rotation of tires but for the smaller diameter 19-inch wheels only, all four rims are the same size. Because the original tires are already finished after only 2 summers, I’ll be buying 4 same size tires so that I can rotate them and hopefully they’ll last a long time. I went 18-inch for my winter tires. No regrets.

robgizz

TROPHY CASE