Should I sell my European fund?

Q – I am turning to you in the hope you are able to offer a suggestion concerning one of my RRSP funds. (My financial adviser has not offered any guidance.)

You recently recommended a “sell” for Mackenzie Universal European Opportunities Fund. I presently hold the RRSP version in my portfolio and the losses to date amount to over $1,800. Should I stay with this fund in the hope it recovers in time or accept my loss and switch to another fund? I am 60 years old and looking to retire in 3 – 4 years and every cent counts. – C.M.

A – I recommended switching out of the fund because the prospects for European stock markets do not look good for the next several months. So we expect the decline in this fund’s valuation to continue for a while, which would add to your losses. If you want to stay in an international fund within Mackenzie, we recommend Cundill Value or Ivy Foreign Equity at this time. – G.P.