Not sure how to make a retirement plan? Read on…
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Best way to invest a large sum of money + MORE Sep 10th
Moyra Thompson, 60, is retired and her $600,000 mortgage-free house is up for sale. “I want to sell before boomers flood the market with homes,” says Moyra, who receives $2,100 a month from two small pensions and will start collecting CPP at age 65. Right now, her $150,000 portfolio is in.... More »
Choosing priorities in retirement planning + MORE Nov 11th
Q: We are in our sixties and still have a $310,000 mortgage. We are paying about $600 per month for life and disability insurance. Can this insurance be cancelled? We’d like to use these funds to help pay down our mortgage sooner.
— Retiring in debt, Vancouver
Ayana Forward is a certi.... More »
Do bonds still make sense for retirement savings? + MORE Apr 27th
Now that it’s clear interest rates bottomed some time ago and are well on an upwards trajectory, we’re seeing headlines declaring the “death of bonds.” Notable was the Globe & Mail article by veteran columnist and author Gordon Pape, announcing he was “getting out of bonds.”
W.... More »
How to make sure you have enough money to fund your RRIF withdrawals + MORE Apr 18th
After decades of using registered retirement savings plans (RRSPs) to reduce taxable income, it can come as a shock to discover the shoe will one day be on the other foot. At the end of the year you turn 71, you have to either cash out your RRSP (not recommended), annuitize it or convert it into a R.... More »
Women, here’s how to save more for retirement — or you’ll live to regret it + MORE Mar 2nd
The right adviser and the right habits can impose discipline, writes Lesley-Anne Scorgie..... More »
The federal government is changing the way it accounts for its employees’ pension plans — a change that would indicate the plans have a nearly $100-billion deficit. The government says the move will have no impact on Canada’s finances or the viability of the plans. But that doesn’t stop Canada’s 17 federal unions from worrying that […]
28 ways to pay less tax
– moneysense.ca
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Deep value picks from Francis Chou
– moneysense.ca
(Creative Commons/401(K) 2012)Long-time money manager and deep value investor Francis Chou recently released two letters to investors. The first was addressed to clients in the U.S. and the second was geared to Canadians. But they both cover similar ground and I’m going to focus on the Canadian offering today.
Chou is an interesting value investor for several reasons, but most people are attracted to his long-term track record. Chou Associates, his flagship fund, largely invests in U.S. stocks and has gained 10.2% annually over the last 15 calendar years. By comparison, the S&P 500 climbed 2.7% per year over the same period. (Both figures are in Canadian dollar terms.)
His Canadian-focused Chou RRSP fund climbed 10.0% annually over the last 15 years. It also handily beat the market because the S&P/TSX Total Return index advanced only 6.2% annually over the same period.
The gains include fund fees (MERs), which currently stand at 1.8% annually for both funds. But it is important to point out that Chou has provided fee rebates in the past when he thought his performance wasn’t up scratch, which is really quite extraordinary…
CIBC's McCaughey And Nesbitt Keep Getting Paid After Retirement, To The Tune Of $25 Million
– walletpop.ca
What’s better than retiring?
Retiring, and still collecting your paycheque.
That’s the arrangement that former CIBC chief executive Gerry McCaughey and former chief operating officer Richard Nesbitt have with their employer, and between the two of them, they will collect $25.2 million in post-retirement pay.
McCaughey left his job on Sept. 15, 2014, but will continue to be paid as the bank’s CEO until April 30, 2016. In that time, he will have earned $16.7 million.
That’s despite the fact CIBC is already paying a new CEO, Victor Dodig, who earned $7.1 million in 2014. And he’ll likely earn much more this year, as he only became CEO in the last quarter of last year.
COO Richard Nesbitt also left on Sept. 15 of last year, but he will continue to be paid until Oct. 31, 2015, and in that time he will have made $8.5 million.
Not bad for sitting on a private beach in St. Kitts or working two hours a week on the board of some Bay Street company, or whatever these guys are doing these days…
