Asset Location Strategies with the ”Ludicrous” ETF Portfolios

If you're wondering whether you're holding your ETFs in the right accounts, this episode of the CPM Podcast is for you. During the show, investors will learn how to properly implement a traditional asset location strategy with the new Ludicrous Model ETF Portfolios. Justin will also reveal why a Ludicrous portfolio can be a superior choice to simply holding the same asset allocation ETF across each account. We'll then break up the discussion with an ETF Kombat between two popular U.S. equity funds: XUU and VUN. After the match, we'll compare the advantages and disadvantages of a Ludicrous portfolio. At the end of the episode, Justin will answer a common listener question: "Does all this technical tax stuff really matter for most investors?"

 

• The steps involved in setting up a Ludicrous portfolio [0:02:46.6]
• Does this asset location strategy actually work? [0:05:10.6]
• What's really causing the Ludicrous portfolio's huge performance advantage? [0:09:18.6]
• Comparing apples-to-apples (or after-tax asset allocations to after-tax asset allocations) [0:11:08.6]
• ETF Kombat: XUU vs. VUN [0:12:28.6]
• Great reasons to consider a Ludicrous portfolio [0:17:56.6]
• Potential disadvantages to managing a Ludicrous portfolio [0:20:49.6]
• Ask Bender: "Does all this technical portfolio tax stuff really matter for most investors?" [0:23:22.6]

 

Blog posts/resources discussed in this episode:

Canadian Portfolio Manager: Introducing the "Ludicrous" ETF Portfolios

Canadian Portfolio Manager: Model ETF Portfolios