All about Canadian investments. Learn the ins and outs and get the latest news.
Latest News
How should a 24-year-old invest now to minimize taxes in the future? + MORE Dec 5th
Q. I’m 24 years old and have a dilemma. I have made the maximum contributions to my Tax-Free Savings Account (TFSA) every year, and now I’m wondering what money moves I should make next. By that, I mean what is the best investment route for me at this stage of my life so that I pay the least amo.... More »
Home Capital suspends dividend after burning through most of its $2B lifeline + MORE May 8th
Home Capital has withdrawn $1.4 billion of the $2 billion loan it was recently given as savers continue to pull funds out of the bank..... More »
Will GIC rates keep going up in 2024? + MORE Dec 22nd
As Canadians are painfully aware, Canada’s inflation has stubbornly persisted above the Bank of Canada’s (BoC) target rate of 2%. In response, the BoC has repeatedly raised the benchmark interest rate—which sets the pace for banks’ prime rates—since early 2022. While no one can predict wit.... More »
Does buying GICs still make sense after the recent rate cuts? + MORE Oct 2nd
The Bank of Canada (BoC) recently lowered its policy interest rate by another 25 basis points, from 4.50% to 4.25%. It was the central bank’s third consecutive cut, and economists widely expect more cuts before the end of the year.
What does it mean for Canadians as borrowers and savers when in.... More »
Can an estate contribute to an RESP account? Dec 20th
Can money left in a will to be put in a trust fund for a child under 18 be put into an RESP?—Paula
Using a trust to contribute to an RESP
A registered education savings plan (RESP) is a great way to save for post-secondary education. RESP contributions of up to $2,500 per year attract a 20% .... More »
Valeant said to be in talks for sale of Salix business to Takeda
– theglobeandmail.com
The unit could go for as much as $10-billion and there is at least one other bidder interested; Valeant stock jumps as much as 36 per cent in New York on Tuesday
Five under-the-radar dividend picks
– theglobeandmail.com
Portfolio Management’s Norman Levine looks for a sustainable, growing dividend. If he can buy the stock at a discount, even better
Housing, debt risks best addressed by government
– moneysense.ca
Bank of Canada governor Stephen Poloz says risks from household debt and the housing market will be better addressed by the government’s recent policy moves than by adjusting interest rates.In a speech in Vancouver, the head of Canada’s central bank says adjusting interest rates is a “very blunt tool” that has widespread effects.
“Our view is that these so-called macroprudential policies are best placed to deal with threats to financial stability because they can be designed to target specific financial vulnerabilities,” Poloz said, according to a text of his speech released in Ottawa.
“Given all the work done to strengthen the global financial system over the past few years, it makes even more sense to separate monetary policy from efforts to stabilize the financial system.”
.cbR{box-sizing:border-box;display:block;width:100%;margin:1em 0;border:1px solid #bbb;padding:.5em}@media (min-width:480px){.cbR{width:250px;margin:0 0 1em 1em;float:right}}How Canadians should adapt to low interest rates: Poloz
Household debt levels have hit record levels in recent years and housing markets have boomed, helped by low interest rates that have allowed consumers to borrow cheaply…
Despite mechanical difficulties, WestJet’s flghts to London led it to solid earnings over the summer as the airline flew nearly 6 million passengers in the quarter — a record. The airline said it is actively looking for more jets to add to the 767 fleet.
What happens to a TFSA after you die?
– moneysense.ca
Q: I have topped up my TFSA to date and my wife has done the same. Returns have been good enough, no problem.
The TFSAs currently hold equity mutual funds as part of ‘near balanced’ allocations with a large mutual fund manager.
For estate planning and future risk planning (we are both 67), what happens to a TFSA upon death?
Is it liquidated and transferred to the survivor as cash?
Is it transferred ‘as is’ to the survivor and added on to their plan?
—Edmund
A: Tax-Free Savings Accounts (TFSAs) are still relatively new accounts, having been introduced in 2009. I find there is still some uncertainty about how they work, ranging from what to buy to what happens when you die.
Ask a Planner: Leave your question for Jason Heath »
In general, there are three options with a TFSA on death, Edmund:
1. Name a successor holder who becomes the accountholder.
2. Name a beneficiary who receives a distribution from the account.
3. Name your estate to receive the distribution, with the proceeds distributed based on the terms of your will…
