ALex,

You need to look at the annualized returns over the last few years.

https://www.tangerine.ca/en/products/investing/portfolios/core

In the last 5 years, the return has been 4.88%. When you factor in the MER of 1.07%, your return is 3.81. Which this is nothing special, it is in line with what the expected returns for a portfolio with 70% fixed income.

I’m not sure what you mean by saving income. This portfolio is very conservative and appropriate for someone of your age.

Bond ladders would be even safer, but would likely yield a lower return.

I am 66 years old and retired. I am looking for save income any suggestions?

Also, do you see the bond, GIC rates staying low for the foreseeable future because of the virus, and the growing government debt?

Thanks, A;lex

Lonnie,

That’s correct.

Canadiancouchpotato has a good breakdown of different model portfolios if you’re looking for examples. I don’t think they talk about past returns though.

All of the funds are similar. If you know what you’re doing, go with Vanguard since it’s the cheapest option. I personally started with Tangerine index funds, then went to TD E-series funds and now use Vanguard all-in-one ETFs.

Thanks, Barry. I AM a Tangerine customer but was hoping to research / compare Tangerine funds with other similar funds using WebBroker. I can do that on Morningstar but would rather do my research all in one place. It sounds like TD WebBroker only shows funds a person can actively buy from the platform. Would that be correct?

Hi Lonnie,

Tangerine investment funds are only available to Tangerine customers. To replicate them you can purchase VBAL, VGRO or VEQT. Alternatively, you could purchase TD’s e-Series funds if you plan on making monthly contributions.

Here are a few resources

https://canadiancouchpotato.com/
https://www.vanguardcanada.ca/individual/etfs/about-our-asset-allocation-etfs.htm
https://boomerandecho.com/vanguard-all-equity-etf-veqt/

Barry, I am new to TD WebBroker. I don’t see the Tangerine mutual funds coming up when I search for them, or in any of the comparisons. Since you use TD Direct Investing, you might know what I am missing. I don’ t want to assume that TD is censoring investments.

I can find Tangerine in Morningstar independently of the TD platform.

Thanks in advance.

My follow-up question, if I may, is if I should switch the type of investment portfolio once I transfer out of TD to Tangerine (or Wealthsimple is the other I’m exploring)? Ie, should I opt the portfolio to something more dividends or income focused since I won’t be putting in much, or does it simply won’t make any difference at all?

Thanks again. I really appreciate your guidance.

Trevor

Hey Trevor,

Switching your TD RRSP to Tangerine would cut your MER by more than half. If you switched to a robo-advisor, you could lower it a bit more. Considering you still have 25 years until you retire, you might as well switch it to save on the MER.

Also, in the event you ever change employers, you have things set up already.

This may not be relevant, but check the MER on your employer’s gorup RRSP. Although you’re already ahead with the 50% match, if the MER is high, you may want to see if it’s worth transferring it out to wherever you end up moving your personal RRSP once the vesting period has lapsed.

First of all, thank you for all your great advice in general and also specifically on Tangerine. I’m 40 years old and currently have a RRSP Mutual funds with TD Bank (under $50k) and a TFSA with Tangerine Balanced portfolio (around $20K). I don’t have much cash flow for auto-invest because I put most of my cash flow towards my employer’s Group RRSP and Shares matching (both at 50% matching so they are guaranteed). My question is: my $50K or so of RRSP sitting in TD Bank is doing pretty much nothing for me, and I’ve not thought about MER/fees before until now. Do you see any valuable in my switching from TD to Tangerine for RRSP/TFSA, knowing that I will likely not invest in either of these due to my cash flow per above.

Thanks in advance for answering my loaded question.

Trevor

Julia,

I use TD Direct Investing to manage my portfolio. As for Tangerine automatic withdrawals to their investment funds, you can set it to withdraw from any account. That could be your Tangerine account or another bank account outside of Tangerine.