I’m interested in an indexing approach by using the TD e-series funds for a portion of my RSP. I have looked at purchasing iShares ETFs within a discount brokerage. However, as I don’t have a lot of money in the RSP; and as I’m planning on contributing small amounts monthly, I think TD e-series funds is the most cost-effective approach now.
As my horizon is very long-term (30 years+), I can have an aggressive mix. I’m thinking about splitting the money in thirds (and rebalance when needed) across Canadian Equity (MER 0.31), US Equity (MER 0.33) and International Equity (MER 0.44).
However, I also saw that TD have e-series managed funds (e.g., TD Managed Index Maximum Equity Growth with MER of 1.37%); which seems to be similar to my proposed mix.
Wondering if I should stick with the split of three, or pay the higher MER for one simple fund that is balanced automatically. In other words, are the e-series managed funds worth it? Opinions?