Our Conservative portfolios have around 30% equity allocation. These have been designed for for a conservative investor desiring a slightly larger equity component. If you prefer stability and a modest return, this portfolio is for you. You should be willing to accept that there are short-term market fluctuations but also hold a long-term perspective.
We've modelled a 35% equity portfolio below. This portfolio has grown by 10.4% (gross of fees) since Wealthsimple's launch on August 20, 2014 to September 1, 2017.
Your portfolio will be invested in the following funds:
|Purpose Core Dividend||40 North American dividend-paying companies||7.5%|
|iShares Core MSCI EAFE||IEFA||Large, mid, and small cap stocks in developed Europe, Australasia and the Far East||5%|
|iShares Core MSCI Emerging Markets||IEMG||Large, mid, and small cap stocks in more than 20 emerging markets||0%|
|iShares Core S&P/TSX Capped Composite Index||XIC||250+ Canadian equities representing 95% of the Canadian equity market||7.5%|
|BMO Short Corporate Bond Index||ZCS||Exposure to variety of short term Canadian corporate debt securities||42.5%|
|Purpose Duration Hedged Real Estate||PHR||Hedged exposure to 30 retail, residential, commercial, specialized and diversified real-estate companies||7.5%|
|Vanguard Total Stock Market||VTI||3800 large, medium, small and micro-cap companies mirroring the US equity market||7.5%|
|BMO High Yield US Corporate Bond Hedged to CAD Index||ZHY||Exposure to variety of high yield American corporate debt securities||7.5%|
|BMO Mid Federal Bond Index||ZFM||Mid term debt securities issued or guaranteed by the Government of Canada||15%|
The MER of this portfolio is 0.21%
The dividend yield (trailing 12 months) of this portfolio is 3.22%