Every day newspapers carry headlines that worry retirees. The challenge is learning about the risks. While the world is changing and the markets evolve over time, learning and understanding risk and the obstacles can be a challenge. Here are some simplified ideas. The difference between having and not having money is simple. The wealthy invest their money first and spend what is left. The people without a great deal of money spend what they have and try to save what is left. Do you have an automatic saving or investing program, or are you waiting until all your bills are paid? What other mista ..read more

The new buzzword in the investment industry is “program.” It seems several well-known investment companies have developed their own programs. Each company has unique names and features for its programs. Examining the differences of programs can be as confusing as picking next year’s hot fund. What you need to find out is whether these investment plans are suitable for you. Of what benefit is it to go into a plan or program with your money? There are several concerns you should have when looking at investing into these types of investment plans; but first let me explain that these are processes ..read more

Rebalancing Tires and Money In Canada, we all know the importance of maintaining our vehicles for winter.  I am in the habit of putting on the snow tires, bringing out the storm windows, and preparing for the cold weather. We need to regularly rotate our tires for maintenance and efficiency. How about your portfolio? How is it rebalanced? Avoid the pitfalls faced by investors–market volatility, currency risks, rising interest rates, and missed opportunities. Rebalancing on a regular basis can help you stay on track and on the road when things get rough. There are six ways to establish a r ..read more

How to Utilize Diversification to Manage Your Money There are more investment management programs available for Canadians today than ever before. There are now several different opportunities for investors to diversify their portfolios through managed programs, which used to be designed only for the wealthy investor in North America. Larry Herscu wrote a book entitled The Canadian Guide to Managed Accounts(WRAP Publications, January 2004),which gives Canadians true insight into some of the leading-edge diversification programs available to investors. Understanding the benefits of these program ..read more

Average life expectancy increased from 47 years in 1900 to almost 78 in 2004. Then to 83 in 2019. Do not underestimate how long you might be around. The tables show that it could be longer rather than shorter, so consider investing your funds accordingly. Have you ever had the thought or concern, “Do I have enough money to last?” When people get concerned about preserving money, having enough of it, and wanting to keep it close to the vest, what types of investments do they often make? Usually lower-yielding investments. Instead of looking at other investment options including annuities ..read more

What is a Deposit Broker? Deposit brokers are independent retailers of _ financial products and services specializing in “guaranteed” investment products such as GICs, term deposits, and Canada Savings Bonds. They work diligently to provide you with the best independent advice on information affecting your deposit product needs. Deposit brokers maintain daily information on current interest rates, help you achieve the best possible return on your deposit investment, and work on your behalf  to find the best investment available from all financial institutions including trust companies, ba ..read more

Testing Your Emotions It is a well-known fact that 80% of professional money managers under-perform their relevant indexes. Even worse, a large percentage of investors lose money even when investing in mutual funds that out-perform their relevant indexes. Between 1980 and 1992 the most successful fund in the United States compounded annually at more than 25%, yet most investors lost money. How is this possible? The average investor held the fund for seven months. You cannot plant seeds in August and expect a wonderful crop in September. It takes patience and time. Yet with so much instant info ..read more

Consider ways to maximize your Canada Pension Plan. This could include early retirement, contributing past age 60, and splitting or assigning CPP benefits to a spouse. First, you need to know how much you are entitled to receive (and your spouse if you are married) as well as your net income for all sources (and that of your spouse). Your entitlement can be determined by a call to the CPP office, toll-free, at 1-800-959-8281. Your net income can be found on your income tax return statement.   Early Retirement You are entitled to receive CPP at the age of 60. If you have contributed the ma ..read more

Can I be honest with you? Most people don't like talking about money. Whether that's a culture thing, a pride thing, or maybe even a shame thing, that is the truth. Most people do not like to talk about money, savings or their financial situation. It makes them feel uncomfortable. Almost like it's taboo to discuss investments and returns around a diner table.   Financial literacy was not taught in school growing up, and so many of the concepts seem foreign to us.   Does this sound like you?   I was fortunate enough to have grown up in a household where we spoke about money regul ..read more

Throughout history, people associated with the stock market loved predicting doom and gloom. They still do. Disaster lurks around every corner and, most important, is easy to sell. Read a selection of predictions from the beginning of the printed word until today, and you’ll be amazed that anyone is alive, much less prospering! Take a look at some of these actual forecasts, predictions, and headlines about the stock market from the past: Don’t fall for it when they tell you–buy now! Prices are going higher! Because prices are heading for one of the worst plunges you’ve ever seen. (1951, Dow Jo ..read more