I’ve gotten as far as buying $1000 worth of XEQT in TFSA do I just leave it for 30 years now?
In: Economics
What is your plan for this money? Is this for retirement or is it to be used much sooner than that?
If you have any debt (like credit cards), the interest on that ALSO compounds, which is putting you ever deeper in the hole, so your first use for that $1000 is to pay off debt.
You should have some cash that is easily accessible as an emergency fund to pay for unexpected expenses that will crop up in your life. (Ideally enough to cover all your living expenses for 3-6 months). If you don’t, then you should set this $1000 aside for that.
If this money may be needed in the next few years, then sell the shares of XEQT, and buy an ETF like HISA or CASH or CBIL or ZMMK or ZST. These are all stable funds that will give you a monthly payout which you can use to buy more shares. Currently these all yield about 5%.
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