Investing
What’s Not To Love About ETFs?
The availability of exchange-traded funds is one of the best things to happen to investors in the last twenty years. What’s not to love about ETFs? Investors can get broad diversification on the cheap with just two or three funds. This simplicity is what tipped the scales for me nearly three years ago when I…
Read MoreBuilding Your Wealth: What You Need To Know Before Investing In ETFs
For most Canadians, mutual funds are still the mainstay of their investment portfolios. However, many investors are angry and frustrated with the high fees that are being charged on mutual funds that rarely match let alone outperform the market. Investing in ETFs seems like a good alternative. In some respects, ETFs are similar to mutual…
Read MoreWhy Don’t You Have Bonds In Your Portfolio?
Confession time: I’ve never held bonds in my portfolio. I didn’t own bonds when my portfolio was filled with Canadian dividend stocks, and there’s no bonds in it today. Instead I’ve opted for a two-ETF all-equity portfolio. I don’t have anything against bonds, in fact if you were to ask me to build you a…
Read MoreProtecting Your Portfolio From Rising Interest Rates
The Bank of Canada has increased interest rates twice since July and many are anticipating one or more hikes before the end of the year. Investors need to consider how rising interest rates might affect their portfolio. Rising Interest Rates and Inflation The effect of inflation on savers and investors is the loss of purchasing…
Read MoreBuilding Your Wealth: What You Need To Know Before Investing In Mutual Funds
An investment is an asset or item that is purchased with the hope it will generate income or will appreciate to create future wealth. There are lots of types of investments – from stocks and bonds, antiques, art and collectibles, and real estate. All investments have different ways of being selected and purchased, and each…
Read MoreThe Problem With Core And Explore
A core and explore investing approach can give you a taste of both passive and active strategies. The idea being that you put 90 percent of your portfolio into a low-cost, broadly diversified set of index funds or ETFs, and then put the remaining 10 percent of your portfolio into investments that have potential to…
Read More3 Reasons Why DIY Investors Fail
The message is everywhere. You don’t need the input of an investment professional to manage your portfolio. You can easily do it yourself and it takes no time at all. There are many reasons for investors to pursue DIY investing. Perhaps you are tired of paying the high fees for so-so performance with your advisor,…
Read MoreSteak Knives, Yes. Financial Advice, Maybe Not.
When I was younger I had the opportunity to work for Vector Marketing, the sales arm of Cutco Corporation and the maker of Cutco cutlery – speciality knives with a forever guarantee. The job listing said no experience necessary and it wasn’t all commission-based – you received a guaranteed base rate of pay every time…
Read MoreAre Your Assets Under Management Really Being Managed?
Many investors don’t have the time, inclination, or ability to handle their own investing. Once their portfolios reach a certain level they decide to rely on an investment adviser or wealth manager. After all, these “experts” are supposed to have superior knowledge. What do you get from these advisers? Are your best interests in mind?…
Read MoreFrom The Boomer & Echo Mailbag: Understanding Withholding Taxes On Foreign Investments
Q. What types of foreign investments can Canadian investors invest in their RRSP, TFSA and Non-Registered accounts that don’t charge withholding taxes? Canadian investors get enormous benefit from diversifying their portfolios with U.S. and international stocks, but it can come at a cost – foreign withholding taxes. In a nutshell, many foreign countries including the…
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