Should You Sell Your Stocks?
Recent stock market returns have been very poor. One, should this be of concern and is it time to sell stocks? Two, is this just a normal part of investing and should you remain invested? Stock market returns have generally rewarded long-term investors that stayed invested during both good and bad times. One of the […]
Interest Rate Increase Will Hurt Many Canadians
Interest rate hikes will be painful for many Canadians, writes Peter Watson. The Bank of Canada made an aggressive move to increase interest rates. That increase will impact many individuals. The underlying story is just how serious the risk of inflation is to the Canadian economy and that such extreme measures have been taken. Three […]
Investors Will Benefit from New Investment Industry Rules
New legislation regulating the use of financial titles will reduce confusion in selecting an advisor, writes Peter Watson. Investor confusion on selecting a person to help you with your finances should be greatly reduced. Ontario will start to regulate who can use standard industry titles. The titles “Financial Planner” and “Financial Advisor” will now be […]
Mutual fund past performance data can be misleading
There is a bias in mutual fund past performance than can overstate past results, writes Peter Watson. Since mutual funds are the investment vehicle of choice for most Canadians, it is helpful to understand how to interpret information that is publicly available. We will follow the path of a very astute investor who wants to […]
New Year’s Resolution: Is it Time for a Career Change?
Rethink your current career to see if you should make a change, writes Peter Watson. Financial success starts with your ability to earn an income. Your employment is not just a job, it is your current livelihood and your future financial security. It makes perfect sense to periodically evaluate your working life. Consider making this […]
Canadians Will Spend More This Holiday Season
Holiday spending will increase this holiday season, writes Peter Watson. Holiday spending is forecasted to rise sharply from last year. After the pandemic lockdown, Canadians want to shop, celebrate, and spoil friends and family. This insight is according to Deloitte Canada’s 2021 Holiday Retail Outlook. Holiday spending during 2021 is expected to increase 31 per […]
Financial Stability on Pins and Needles
The new variant of COVID-19 has increased the financial worries of Canadians, writes Peter Watson. Last week the Bank of Canada warned that interest rate increases were likely to happen in the first part of next year in order to put the brakes on inflation. One particular concern we have seen is the rising prices […]
Federal Election 2021: Will it Affect My Investments?
Investors wonder how the federal election results will affect their investment, writes Peter Watson. Investors have two questions. Who will win the federal election and how will this affect my investments? We will look at the United States for some insight. It has a two-party system. Democrats are considered more socialistic and the Republicans more […]
Invest in Stocks – Prepare to Lose
There will be a time when you lose money. That is a certainty. The assumption is based on a broadly diversified portfolio versus owning just a few stocks. Information is taken from the S&P 500, a US stock index. Yes, some years you win when your stock portfolio increases in value. Winning is easy. Anyone […]
Stocks and Bonds: What to Expect
Let’s talk investments. Specifically, how the volatility of stocks and the returns of stocks are related. Many investors dislike volatility. A stock can be worth $10 a share, increase to $15, decreased to $8, and then back up to $11. Most would prefer a $10 a share price to increase gradually to $11. Perfect. A […]
