Investing Can Be Simple: Do What Works
Picking the best mutual fund is a difficult task, writes Peter Watson. You would hope for two things: The mutual fund would stay in business, and the fund will outperform its benchmark. In 2001 there were 2,900 US-based equity mutual funds. Twenty years later only 41 per cent of those funds were still in existence. […]
Banks Push Back on Investor Protection Reform
Banks and regulators at odds on proposed reforms aimed at protecting investors, writes Peter Watson. New reforms designed to provide better protection of individual investors has hit a major speedbump. Starting at the end of 2021, financial advisors are required to have a better understanding of the investment products they sell. This includes understanding alternative […]
Mortgage debt is a financial risk
Excessive mortgage debt is a financial risk for many homeowners, writes Peter Watson. The nagging issue of excessive mortgage debt held by Canadians continues. There is new information that the risk of excess borrowing is getting worse. This has significant implications for homeowners that might get caught carrying too much debt. Also, there is considerable […]
Protect Yourself Against Fraud
Canadians are being targeted and they should protect themselves, writes Peter Watson Have you been scammed yet? If not, it’s just a matter of time. Fraud attempts include CRA scams, request from a romantic partner, identity theft, and bogus investment schemes. Just under half of all Canadians have either been scammed or know someone that […]
Buy and Hold Stock Advice Could Backfire
The best financial planning advice might just prove to be your worst nightmare, writes Peter Watson Investors without adequate diversification are at risk under the current stock market volatility. Concentrated positions in companies that do not recover will cause financial harm. Evidence-based investing proves diversification is essential protection for your investment portfolio. The traditional advice? […]
Flexibility Should be Built into Your Retirement Planning
Retirement is not always the way you imagine. Ipsos conducted a poll on behalf of RBC. The 1,800 Canadians surveyed were 55 years and older and had retirement assets of at least $100,000. Over half of people surveyed anticipated knowing their retirement date one year in advance. The reality was just under 40 per cent […]
Consider trusted contact person for the elderly
Growing old presents financial risks. The Canadian Security Administrators published a paper in June 2019 titled “Suggested Practices for Engaging with Older or Vulnerable Clients.” The paper states “As the human body ages, it is normal for changes in the brain to take place. These changes may not have a noticeable effect on one’s ability […]
Dementia can cause debt or the loss of financial assets
According to the Alzheimer Society 564,000 Canadians are living with dementia, and that number jumps to 937,000 in 15 years. It is very likely this disease will affect you directly, or indirectly with a family member or close friend. On June 17 the federal Health Minister held a news conference in Toronto and outlined Canada’s […]
Growing old has financial risks
As people grow older we expect to see physical signs of aging. The other facet of aging is declining mental ability. This needs to be better understood, particularly as it applies to a person’s ability to manage their financial affairs. We all have to make financial decisions. Now more than ever, everyone needs to protect […]
Planning for retirement is getting more complex
Historically, when thinking of retirement, the key question was whether you had enough money to support your desired lifestyle for the rest of your life. The fear being you would run out of capital. Statistics Canada reports that Canadians are living longer, and estimates 20 per cent of Canadians will be 65 years of age […]
