Hi!
My company is switching the investment company it deals with from Manuvie to Industria Alliance (here in Quebec, Canada) for RRSP and RPSC.
I now have to choose between pre-made funds (around 0.7% fees) depending on my ''investor profile'' and hand picking my funds.
Obviously, I'm here because I'm more interested in hand picking my funds with lower management fees.
The lowest management fees available are for index funds at 0.4%. It is higher than the ETF's I have on Questrade, but still not that bad.. and I can't ignore the company's 4% contribution over my 2% contribution :)
I am interested in 3 index funds (all at 0.4% management fees) :
- US index fund : Aims to closely track the S&P 500 Index
- CAN index fund : Replicates the performance of the S&P/TSX
- International index fund : The Fund aims to closely track the MSCI EAFE Index by investing in securities from Europe, Australasia and the Far East.
So my question is, should I try to stick to my AA with those investments too? I currently aim at 50%US / 20%CAN / 20% ROW / 10% bonds and plan on leaving that money there for a very long time..
But, looking at the compound returns of those funds, historicaly, the US index fund has better return over a long period so I'm tented to put more than my AA in this fund, but I'd like to get opinions before I do it.
Actually, I was thinking 80% US index fund, 10% CAN and 10% International..
Or should I even bother look at the other proposed funds..?
Thanks !