Debt levels are dangerously high and is a risk for us all
Deferred costs, such as mortgage payments and billions of federal support, have camouflaged our financial weakness and the dangers of staggering amounts of debt, writes Peter Watson. Debt is good and debt can be dangerously bad. That is an issue that affects us all. The magic of debt can be every consumers’ dream. Without any […]
Will the US Election Affect Stock Values?
Fama/French Total US Market Research Index 1929 to 2020 shows the increasing value of US stocks. The political party of the President has not been a significant influence on stock market performance. Will the US election outcome affect the value of your US stocks? This is a question that investors are asking these days as […]
Speech From The Throne: Our Path Forward
The Speech from the Throne outlined the federal government’s plan to deal with COVID-19 and the financial support it intends to offer Canadians, writes Peter Watson. Last week, the Liberals gave Canadians the equivalent of a Business Plan. The Speech from the Throne provided a strategic direction for the government. The main objective is COVID-19 […]
Covid-19 Could Change Your Life for the Better
Bad news sometimes turns out to be good news, writes Peter Watson. For many, the Covid-19 pandemic will change your life in ways you could not have imagined. Sometimes change can have a negative impact, but it can also lead to positive results. This article will focus on the positive. Some will be able to […]
Financial Planning will be taught in elementary schools
Ontario’s overhaul of math teaching will include financial literacy, writes Peter Watson. Young children will start learning financial planning at school. This is an excellent life skill and, in my opinion, an educational upgrade. One of the foundations an individual carries through life is a strong education. Reports over the years show a correlation to […]
Stock Market COVID-19 Volatility
Stock market volatility as measured by the S&P 500 demonstrates the fears and uncertainty of these troubled times, writes Peter Watson. Welcome to the roller coaster world of investing. The stock market volatility has been extreme and set new records. The emotional stress on some investors can be significant. Many will have bailed on their […]
Stock market volatile annual returns
The formula for success is holding stocks for the long-term, writes Peter Watson. Since 1926, as reported by S&P, the average annual return for the US stock market is very close to 10 per cent. That includes the Great Depression of 1929, one of many times the stock market crashed. Returns vary between positive and […]
Protecting your investments before a stock market crash
Address this before a stock market crash, not after, writes Peter Watson Protecting your assets is the key to investment success. Perhaps consider diversifying your portfolio with more than one asset class and security type to mitigate downside risk exposure during times of market volatility. A popular question after severe stock market crashes is how […]
Seven Steps to Building an Evidence Based Investment Strategy
Use what is known about investing to your benefit, writes Peter Watson Evidence-based investing uses research and what is known about investing to the benefit of individual investors. The evidence applies to solid investment principals and human behaviour that greatly impacts individuals decision-making ability. This column will provide seven solid principles of how to best […]
Understanding the Stock Market will Lead to Success
Investor patience and courage is needed, writes Peter Watson. Stock market investing success comes from investing long-term, ignoring the temptation of selling during volatile times and not missing significant stock value gain best days. This leads to higher investment returns and lower anxiety during times of volatility. Investment risk is measured by volatility. The value […]