“Lazy Canadian ETF” Portfolio Update – Almost 4 Years Later $$

This is known as the “Couch Potato” approach, and you can read about my hypothetical portfolio here. I started tracking it in May 2007 and finished a year and a half later.

This “lazy” method seems to be popular in Canada, and is profiled in many financial magazines almost every year. Truly, it’s the land of the extremes – either full-on penny stock speculation, or boring index fund investing 🙂

Here’s a look at how that initial $10,000 is doing now. Note:

  • I chose not to re-invest the distributions.
  • Profit/loss includes paid out distributions.
  • Commissions are excluded because they’d be like $5 for the initial buy-in, doesn’t affect anything.

Click to enlarge

Here’s a visual representation of the same. I assume the “amount invested” is going down because of the inflation.

Components

CDN Composite (XIC) – 45%
CDN S&P 500 (XSP) – 25%
CDN MSCI EAFE (XIN) – 30%

Initial Investment

Approximately $10,000 one-time in May 2007.

3 Comments

  1. duc

    Kat,

    You should use the AIM methodology when undertaking a long-term holding strategy. I’m pretty sure I gave you the link a couple of years back.

    jog on
    duc

  2. Duc,
    yes, I remember and still have the link.

    I wanted to revisit this portfolio because I get quite a few hits on the topic. The above allocation is a typical recommendation, so I just went with that at the time.

  3. duc

    Kat,

    Although it’s all water under the bridge, just work through the chart, using the calculator various buy’s/sells, and see how different your result would have been.

    You’d be showing a significant profit I’ll be wagering!

    jog on
    duc

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