Passive investing
February 22, 2020

Passive investing is an investing approach that involves buying & holding securities while minimizing fees with the goal of building wealth over time. Here are some of the key risk-managing strategies involved with passive investing:
  • Diversification: managing risk is an important part of any investing strategy. Companies and economies go bust at times, but they generally don’t go bust all at once. If you diversify your portfolio by investing across different sectors, economies, and asset classes, you can spread your risk and limit your exposure to specific companies, sectors, and asset classes.
  • Re-balancing: once you’ve decided how to diversify your portfolio, you need to keep it diversified. This is where rebalancing comes in. In order to align your portfolio back to its target, you need to buy (and possibly sell) holdings from time to time as some holdings grow or shrink.

As with any investing strategy, discipline and follow-through are key. If you’re following (or planning to) follow a passive investing strategy we’ve got you covered. For that reason, we’ve partnered with Passiv.

Passiv’s goal is to automate the tiresome aspects of managing a portfolio by making it easy for you to allocate your cash, rebalance your portfolio, execute trades, and invest your deposits & dividends as they become available.

And the best part? Passiv offers a fully integrated, secure and free to link tool. Ready to start? Check out this article for easy instructions on linking your Questrade accounts up with Passiv.

You may want to check this out

Need more help?

The information contained in this website is for information purposes only and should not be used or construed as financial or investment advice by any individual. Information obtained from third parties is believed to be reliable, but no representations or warranty, expressed or implied is made by Questrade, Inc., its affiliates or any other person to its accuracy.

Questrade Wealth Management Inc. (QWM) and Questrade, Inc. are wholly owned subsidiaries of Questrade Financial Group Inc. Questrade, Inc. is a registered investment dealer, a member of the Investment Industry Regulatory Organization of Canada (IIROC) and a member of the Canadian Investor Protection Fund (CIPF), the benefits of which are limited to the activities undertaken by Questrade, Inc. QWM is not a member of IIROC or the CIPF.

© 2020, Questrade, Inc. All Rights Reserved.