# Shall I invest more in TD Canadian Bond Index – e (TDB909)



## beginner (Jul 29, 2011)

I am still very newbie so please tolerate this dumb question. 

As I check the couch potato strategies (I am planning transfer ~30K to TD index funds) and study the index funds recommended there, it seems TD Canadian Bond Index – e (TDB909) has performed very well, average ~5% annually for the last 5 and 10 years. It is much better than my mutual funds sleeping with Bissett equity and Bissett balanced since 2004(with Franklin Tempton, I guess high MER of more than 2% is the reason). It is also better than my GIC (currently 1.5%). 

My question is, is it a good idea to invest more percentage to this TD bond index? --- I have a time frame of more than 10 years. Any risks for losing money by investing in this bond? 

Please give your advice or point me some links for further readings. 

Many thanks in advance!


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## balk (Dec 6, 2010)

Just remember that bond prices have risen quite a bit as interest rates have fallen so don't expect a similar return in the future.


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## Jungle (Feb 17, 2010)

Nope, I would be buying gic or savings accounts right now over those bonds. If anything, now is the time to sell those bonds and buy stocks.


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## beginner (Jul 29, 2011)

Thank you very much for your valuable advice. It seems I am far away from being qualified investor.

Can you please tell me then, is US stocks(equity index) a good choice compared to international equity index? Since I have other investment in GIC, I am willing to bet on some risky choices. --- I checked the China equity index (ishares) and it so far performs badly. I guess it is hard for Americans to understand Asian economy?


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## Abha (Jun 26, 2011)

beginner said:


> Thank you very much for your valuable advice. It seems I am far away from being qualified investor.
> 
> Can you please tell me then, is US stocks(equity index) a good choice compared to international equity index? Since I have other investment in GIC, I am willing to bet on some risky choices. --- I checked the China equity index (ishares) and it so far performs badly. I guess it is hard for Americans to understand Asian economy?


Both are heavily undervalued. I would probably do a 50 / 50 split if you are really in this for the long term.

I am more in favour of the American economy than the World economy though so my split would be 70 / 30 in favour of America.


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## w0nger (Mar 15, 2010)

you need to study alot more and figure our your risk tolerance and your allocations. Once you've got that figured out, then you can go shopping for funds or stocks... keep reading on this forum and decide for yourself how much tolerance you can handle. Also, don't make your picks based on past performance.


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## balk (Dec 6, 2010)

beginner,

It seems that you are relying too much on recent performance without looking into why that performance has happened. Trying to read up on why there has been strong performance in different sectors might help you with your choices in the future. 

Balk


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## beginner (Jul 29, 2011)

THANK YOU !! 
I appreciate all of your advices very much! I do have one problem: I am lazy  but now become "greedy" as well. I guess therer is no free lunch ... So I will continue read and think... 
Hope everyone a great weekend and become wiser every day!


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