# ZWB or ZEB or Individual Bank Stocks



## saad1253 (Sep 11, 2011)

I am looking to invest $1000 in my RRSP into either one of the above Etfs or Individual Bank stock. I don't need the income as I don't retire for another 40 years. Which options would you guys recommend. 

I currently hold VT (50% of my portfolio) and the rest 40% in some energy, consumer staples, telecom, and one penny stock  ...


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## Soils4Peace (Mar 14, 2010)

What are your trading fees? They are likely hurting you if you are investing $1000 at a time. Do you have access to low cost (zero load, <1% MER) index mutual funds?


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## leoc2 (Dec 28, 2010)

If you think bank stocks will continue sideways or drop then ZWB.
If you think bank stocks are at a bottom and will start to rise then ZEB.
I think this is an investment that needs to be evaluated and traded periodically and may not be a buy and hold for 40 years.


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## gibor365 (Apr 1, 2011)

leoc2 said:


> If you think bank stocks will continue sideways or drop then ZWB.
> If you think bank stocks are at a bottom and will start to rise then ZEB.
> I think this is an investment that needs to be evaluated and traded periodically and may not be a buy and hold for 40 years.


I'd say "start to rise" - also ZWB, if they "soar" - ZEB


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## fatcat (Nov 11, 2009)

apologies for not directly answering your question but if i had a 40 year timeline and wanted to have an investment in canadian banks i would use a direct drip program where you can add shares for nothing in whatever time periods you like ... 

pick your favorite 3 banks and drip money into them as you wish ... i would not be paying the .55 mer for 40 years to own something like ZEB (which for other people i think is a fine product and thought about for myself but ended up getting XFN)

keeping investing costs low would be the way to win over such a long time frame

check out: http://www.dripprimer.ca/


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## saad1253 (Sep 11, 2011)

Thankyou for all the replies everyone. 

I pay $4.95 a trade (Questrade). I will probably retire in 40 or so years but certainly don't plan to hold zwb for that long... (my pickings for longterm.. that i already hold are... vod, su.to, rei.un with drip enabled.) zwb is meant as a short term play until the banks start to rally (or until I have more to put into).. say 3-4000 at which point I can sell zwb (or zeb... again depending on the banks at the time) and pick TD or RY. Suggestions?


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