High demand for U.S. blue-chip stocks leads to more CDRs – but how do they fit in portfolios?

  • 📰 globeandmail
  • ⏱ Reading Time:
  • 45 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 21%
  • Publisher: 92%

United States News News

United States United States Latest News,United States United States Headlines

CDRs allow Canadian investors to buy a fraction of blue-chip U.S.-listed stocks in Canadian dollars without having to worry about the volatility of the foreign exchange rate

A CDR can be purchased more easily because it doesn’t require the client to have U.S. dollars in their account and they can buy a smaller amount.. Get exclusive investment industry news and insights, the week’s top headlines, and what you and your clients need to know. For more from Globe Advisor, visit our

CRDs were launched on the NEO Exchange in July 2021 and allow Canadian investors to buy a fraction of blue-chip U.S.-listed stocks in Canadian dollars without worrying about the volatility of the foreign exchange rate of converting Canadian dollars into U.S. dollars. “You probably want some of these in a client’s portfolio, maybe as a core position or as a trading position. This is a pretty easy way to do this.”

He adds he would be interested if there were CDRs available for international stocks as well, especially luxury goods retailers such as LVMH Moet Hennessy Louis Vuitton SE.Aman Raina, investment coach and founder of Sage Investors in Toronto, uses CDRs in his own personal portfolio and likes them because he can purchase big U.S. stocks without having to pay a premium. He also likes you can buy a really expensive stock, such as Berkshire Hathaway Inc.Mr.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 5. in US

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stock market today: Asian stocks fall as concerns rise over Israel-Hamas war and high yieldsHONG KONG (AP) — Asian shares were lower on Monday as higher risks of broader conflict in the Middle East clouded market sentiment and bond yields further...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »

Five things to watch for in the Canadian business world in the coming weekTORONTO — Five things to watch for in the Canadian business world in the coming week: Oilpatch earnings PrairieSky Royalty Ltd.
Source: PGCitizen - 🏆 65. / 51 Read more »

Five things to watch for in the Canadian business world in the coming weekTORONTO — Five things to watch for in the Canadian business world in the coming week: Oilpatch earnings PrairieSky Royalty Ltd.
Source: BurnabyNOW_News - 🏆 14. / 77 Read more »