Advertisement
I think we can safely say we are now almost four years into the most disrespected bull market in history, to borrow a phrase from Alexander Green. In a recent roundtable in The Wall Street Journal, the moderator opened the discussion by saying, “It’s been another very difficult year for investors.” Um, really? U.S. stocks [...]
I think we can safely say we are now almost four years into the most disrespected bull market in history, to borrow a phrase from Alexander Green. In a recent roundtable in The Wall Street Journal, the moderator opened the discussion by saying, “It’s been another very difficult year for investors.” Um, really? U.S. stocks were up over 16% in 2012, and international equities did even better. If that’s a difficult year, I can’t wait for an easy one.
Indeed, last year was much kinder to investors than 2011, when the Complete Couch Potato returned just 2.36% and most of my other model portfolios did worse. In 2012, all of the model portfolios delivered remarkably similar performance, with returns between 8% and 9%.
The data below were gathered from fund websites whenever available: otherwise I used Morningstar. Returns for US-listed funds are expressed in Canadian dollars. Consider these unofficial results: when I have all the necessary data I will update the long-term Couch Potato performance report card. [Note: The updated report card is now available .]
| Global Couch Potato (Option 1) | |
| iShares S&P/TSX Capped Composite (XIC) | 6.9% |
| iShares MSCI World (XWD) | 13.5% |
| iShares DEX Universe Bond (XBB) | 3.3% |
| 8.1% | |
| Global Couch Potato (Option 2) | |
| TD Canadian Index – e (TDB900) | 6.9% |
| TD US Index – e (TDB902) | 12.6% |
| TD International Index – e (TDB911) | 15.5% |
| TD Canadian Bond Index – e (TDB909) | 3.1% |
| 8.2% | |
| Global Couch Potato (Option 3) | |
| RBC Canadian Index (RBF556) | 6.4% |
| RBC US Index (RBF557) | 11.8% |
| RBC International Index (RBF559) | 16.4% |
| TD Canadian Bond Index – I (TDB966) | 2.8% |
| 8.0% | |
| Complete Couch Potato | |
| iShares S&P/TSX Capped Composite (XIC) | 6.9% |
| Vanguard Total Stock Market (VTI) | 13.4% |
| Vanguard Total International Stock (VXUS) | 15.2% |
| BMO Equal Weight REITs (ZRE) | 18.1% |
| iShares DEX Real Return Bond (XRB) | 2.4% |
| iShares DEX Universe Bond (XBB) | 3.3% |
| 8.7% | |
| Yield-Hungry Couch Potato | |
| iShares S&P/TSX Cdn Div Aristocrats (CDZ) | 9.0% |
| iShares DJ Canada Select Dividend (XDV) | 8.8% |
| iShares Global Monthly Adv Dividend (CYH) | 9.5% |
| BMO Equal Weight REITs (ZRE) | 18.1% |
| iShares S&P/TSX Preferred Stock (XPF) | 11.1% |
| iShares DEX HYBrid Bond (XHB) | 8.7% |
| iShares Advantaged US High-Yield Bond (CHB) | 13.0% |
| iShares Advantaged Canadian Bond (CAB) | 3.0% |
| 8.5% | |
| Über-Tuber | |
| iShares Canadian Fundamental (CRQ) | 9.8% |
| iShares S&P/TSX SmallCap (XCS) | -2.6% |
| Vanguard Total Stock Market (VTI) | 13.4% |
| Vanguard Small Cap Value (VBR) | 15.7% |
| iShares MSCI EAFE Value (EFV) | 14.5% |
| iShares MSCI EAFE Small Cap (SCZ) | 16.8% |
| Vanguard Emerging Markets (VWO) | 15.8% |
| SPDR Dow Jones Global Real Estate (RWO) | 21.9% |
| BMO Mid Federal Bond (ZFM) | 2.8% |
| BMO Short Corporate Bond (ZCS) | 3.6% |
| 9.0% | |
Share this article Share on Facebook Share on Twitter Share on Linkedin Share on Reddit Share on Email
You may be able to get some tax relief when the stock of a company you hold goes bankrupt....
This advisor isn’t losing any sleep over the markets. In fact, looking back at 2024 and forward into 2025,...
Bitcoin’s value surpassed the USD$100,000 mark in late 2024. Here’s what could affect bitcoin and other cryptocurrencies in the...
Those at or near retirement need to account for slightly higher tax brackets, as well as higher Basic Personal...
Sponsored By
Simplii Financial
Sponsored By
Simplii Financial
Sponsored By
Simplii Financial
Would swapping a house for cash from a corporation save on taxes? And is this tactic worth it in...
Bank of Canada makes a big cut, U.S. inflation is up, Oracle ends a great year on a low...
