Blogs & Comment

One-minute portfolio: quarterly update

During the first quarter of 2011, the One-Minute Portfolio (OMP) increased3.6%, due to continuing strength in equities. The total return on the bond component was flat, with price declines offsetting interest payments.
The OMP is made up of two exchange-traded funds (ETFs): the iShares S&P/TSX 60 Index Fund (XIU) and the iShares Canadian Bond Index Fund (XBB). The weightsare adjusted annually according to a rule described in the annual updates. They currently stand at 70% for the equity ETF and 30% for the bond ETF.
The average annual compoundreturn on the OMP is 10.7% since inception in early 2003. Thisfigure is based on total return data from the iShares website and the weighting patterns described in the annual updates. For more details on the OMP, see the annual updates at the beginning of each year. The last appeared on Jan. 4, 2011.
The Jan. 4, 2011 update mentioned that the OMP may be revised to include foreign diversification. My apologies for not posting on this topic as promised its been a busy time (now home schooling my 7-year-old, among other things). The topic remains under consideration, and a blog post will appear, hopefully in the near future.