Retirement planning getting you down? There are always smart ways to plan the financial aspects of your retirement.
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Should you loan money to someone who is house rich and cash poor? May 18th
My daughter is 60, divorced, owns a house, perhaps $800,000 house value. She has a small mortgage and no savings of any kind. She lives on a line of credit and a credit card. Her only income is about $300 to $400 monthly CPP.
She is wondering how best to manage. Should she sell now and rent for a.... More »
CPP payment dates this year, and more to know about the Canada Pension Plan + MORE Aug 30th
In Canada, no retirement plan is complete without considering the CPP. Whether you’re approaching retirement or still several years away from it, the Canada Pension Plan will likely play a role in your retirement income. How big a role depends on several factors. You may have other questions, too..... More »
How to save (and invest) your first $100,000 + MORE Mar 28th
A popular milestone goal for young adults just starting out is to save $100,000 cash. YouTube and TikTok are buzzing with videos on this very topic, and it makes sense—$100,000 is enough to give you financial breathing room and life-changing options, like making a down payment on a condo or house,.... More »
Should I rely on REITs for better investment returns? + MORE Mar 31st
Q: As a retiree, I need to maximize my return on investments. I notice there are a number of income trusts that have significant yields and I was wondering if there is an ETF made up of income trusts. While I know this income is fully taxed my plan was to keep such an ETF in a TFSA. I have a REIT ET.... More »
5 reasons to buy life insurance—right now Aug 24th
If you’re working to improve your financial situation, a few strategies may come to mind: paying down debt, building an emergency fund, investing inside a tax-free savings account (TFSA) or a registered retirement savings plan (RRSP), or putting your money in other savings vehicles. These are all .... More »
A growth portfolio for the long term
– moneysense.ca
Srinivas Velanki (Jason Franson)The problem
Srinivas Velanki, a 52-year-old engineer from Edmonton, has a defined-benefit pension plan and real estate properties. Right now his low six-figure retirement portfolio is invested mostly in an RRSP of 90% balanced mutual funds, 7% global equity funds and the remaining 3% spread among three stocks: Corus Entertainment, Canadian National Railway and Canadian Pacific Railways. Now he wants to switch to a high-growth stock portfolio (no dividends required) and exchange-traded funds. “I want the money to travel in retirement, so I’m aiming big. I’d like an average annual return of 10% over the next 20 years.”
Minimizing exposure to fixed income by reducing exposure to balanced funds is a good move mainly because Velanki’s core retirement needs will be taken care of with his pension and other savings. “Investors who rely on bond products to keep them safe and provide a reasonable rate of return could be very disappointed for many years,” explains Miles Clyne, a portfolio manager with the Tycuda Group at MacDougall Investment Counsel Inc…
