Topic: How To Invest

Dear Pat: Could you give me your opinion on which of the following mutual funds are recommended and which are not? Thank you for this and P.S.: I love the Twitter service! Bissett Multinational Growth Bissett Canadian Equity CI Global Value CI International Value CI Harbour Fund Templeton Global Smaller Co. Templeton Growth Fund

Article Excerpt

We feel that most mutual-fund investors should own no more than five funds. When you own more than this, you run a higher risk of over-diversification. This could cause your portfolio to produce a return that matches that of the market, minus the 2% to 3% cost of fund-management fees and expenses. Bissett Multinational Growth Fund mainly invests in North American-listed companies that get a significant part of their revenue and earnings from international operations. The fund is okay to hold for exposure to the U.S. market, with indirect exposure to the global economy. Bissett Canadian Equity Fund holds mostly high-quality, large-capitalization Canadian stocks. The fund is okay to hold. CI Global Value Fund is not one of our favourites, but it’s okay to hold as an international fund. CI International Value Fund holds many of the same stocks as the CI Global Value Fund. Consider selling the fund so that foreign stocks don’t make up too large a part of your portfolio. CI…