Streetwise Balanced Income Fund - A Review

The Streetwise Balanced Income Fund is primarily intended for investors with a low tolerance for risk who intend to keep invested for the medium-term (five years or so).  It is invested in

• 70% Canadian bonds via the DEX Universe Bond Index: The Index is designed as a measure of Canadian investment-grade fixed income market and consists of bonds which mature in more than one year.
• 10% Canadian equity via the S&P/TSX 60 Index: This is a capitalization weighted index that measures the performance of 60 large, liquid Canadian common stock listed on the Toronto Stock Exchange.
• 10% US equity via the S&P 500 Index: This is a capitalization weighted index that measures the performance of 500 widely-held U.S. common stocks representing all major industries in the United States.
• 10% International equity via the MSCI EAFE Index: This Index is a broad measure of performance of equity securities of companies domiciled in developed markets covering countries in Europe, Australasia and the Far East.

The Streetwise Balanced Income Fund returned 7.67% in 2009 (after an expense ratio of 1%). Given the turmoil in the world stock markets in 2009, this is a satisfactory result.

These are the top 25 holdings of the Streetwise Income Fund.

1. Canada Housing Trust 4.60% Sep 15/11 6.4%
2. Government of Canada 3.75% Jun 01/12 4.4%
3. Canada Housing Trust 2.70% Dec 15/13 2.5%
4. Canada Housing Trust 4.55% Dec 15/12 2.5%
5. Province of Ontario 5.00% Mar 08/14 1.9%
6. Cash and Cash Equivalents 1.7%
7. Province of Ontario 4.40% Mar 08/16 1.6%
8. Government of Canada 8.00% Jun 01/27 1.5%
9. Canada Housing Trust 2.75% Dec 15/14 1.4%
10. Government of Canada 5.75% Jun 01/33 1.2%
11. Government of Canada 5.75% Jun 01/29 1.2%
12. Government of Canada 3.50% Jun 01/ 13 1.2%
13. Province of Quebec 5.25% Oct 01/13 1.1%
14. Canadian Credit Card Trust 4.51% Apr 24 /12 1.1%
15. Province of Newfoundland 6.40% Jul 25/1 1 1.0%
16. Government of Canada 8.00% Jun 01/23 0.9%
17. Canada Housing Trust 3.15% Jul 15/14 0.9%
18. The Toronto-Dominion Bank 5.14% N o v 19/1 2 0.9%
19. Canada Housing Trust 4.10% Dec 15/18 0.9%
20. Government of Canada 3.00% Jun 01/14 0.9%
21. Province of Ontario 5.60% Jun 02/35 0.9%
22. Province of British Columbia 4.70% Dec 0 1/1 7 0.9%
23. Royal Bank of Canada 0.8%
24. Province of Quebec 6.25% Jun 01/32 0.8%
25. Canada Housing Trust 2.95% Mar 15/15 0.8%

I invest in another ING Fund (the Streetwise Balanced Fund), but if you want a safe haven then the Balanced Income portfolio is a fine pick.