Over the years I’ve had many people ask me for advice for someone wanting to improve their financial position. Below are a few of the concepts of how people generate wealth over time. These may seem like elementary concepts but can be valuable for someone new to investing. Savings trumps investing The first concept I […]
All income and growth within Registered Retirement Savings Plans (RRSPs) and Registered Retirement Income Funds (RRIFs) are tax deferred. Tax will only apply when amounts are withdrawn from these accounts. Registered accounts To illustrate, a client may have contributed $300,000 to an RRSP over 20 years with annual cash contributions (20 years x $15,000 per […]
Over the years I have been asked several times how we pick our stocks. The process for picking stocks really begins with our overall investment philosophy. All decisions are made in the context of achieving the best risk adjusted returns for the entire portfolio over a medium to longer term. Returns can be achieved through […]
Over the years we have helped new clients and existing clients deal with inheritances. In the majority of cases the inheritances are coming from parents. These can be done upon the parent’s passing away but are also done while they are alive in more and more cases. In other cases we have clients receiving inheritances […]
Wouldn’t you love a strategy of selling high and buying low? Naturally we have the tendency to want to let our winners run without taking profits. On the flip side, a good stock might be going through a rough patch and, rather than sell the stock, adding to it might be the right move. Creating […]
A managed account is a broad term that has been used in the financial-services industry to describe a certain type of investment account where a portfolio manager has the discretion to make changes to your portfolio without verbal confirmation. There are different names and types of managed accounts which may be confusing for investors when […]
Many people do not feel they have the knowledge to best manage their own money. Some have the knowledge but they do not have the time. Both portfolio managers and Wealth advisers can assist people with financial decision making. A wealth adviser must obtain consent from the client prior to any trades. Often this is […]
A fee-based account is where a fee is charged based on the market value of the assets being managed. This is distinctly different than a transactional account, where commissions are charged for every buy and sell transaction. When clients open a fee-based account, they sign a fee-based agreement that establishes the agreed-upon fee, how the […]
Taxpayers, naturally, are fixated on trying to minimize tax in the current year. This is a classic scenario of someone not being able to see the forest for the trees. The forest is your ultimate final tax liability. The trees are the current year taxes. The final tax bill in Canada consists of any income […]
Not everyone who purchases investments wants or needs the income today. Many clients are trying to grow a nestegg to fund a future goal, such as retirement. Investors who are not requiring income may want to invest in growth stocks that pay either no dividend or minimal dividends. It is my opinion that good dividend-paying […]
