Do bonds still make sense for retirement savings? + MORE Apr 27th

Not sure how to make a retirement plan? Read on…
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Is there a better time of the year to retire based on tax implications: December 31 versus June 30 versus January 30? —Laf The best date to retire for tax purposes For most Canadians planning their retirement, tax isn’t the primary factor, Laf. However, there are instances when tax can com.... More »

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Can 50% of my LIRA be transferred to my RRSP if I do not have contribution room in Ontario Canada? Is it better to transfer to an RRSP or RRIF if funds are not needed and are used for investment purposes?—Katherine How much can you transfer from a LIRA to an RRSP? Katherine, Ontario resident.... More »

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My mutual funds are doing terribly, and I know they always say that it is better to stay the course and ride out this market crash and whatever. But I’ve been thinking about divorcing my big bank for awhile now. I have RRSP with mutual funds that have high management fees with RBC, slightly b.... More »
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Can a non-resident open an investment account in Canada? Sep 21st

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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.”

What to expect from bonds

Considering that Pape is well past the traditional retirement age of 65, that must have shocked many of his retired readers. But he warned in his April 5 article that there is still “much more pain ahead” for bond investors. He said all but two of 40 iShares bond exchange-traded funds (ETFs) sold in Canada were in the red. Some were down 10% or more, like the iShares Core Canadian Long Term Bond Index ETF (XLB), down 11.8% from Jan. 1, 2022, to March 31, 2022. Even short-term bond ETFs, like Vanguard’s Short Term Bond Index ETF (VSB/TO), have suffered losses, albeit a modest 1% for 2021. If these were stock losses, he said, it could be called a crash.

In a similar vein were the pronouncements by financial planner Ed Rempel, who argues retirees should be out of bonds and ratchet up their personal risk tolerance to take on more stock exposure…

Continue Reading On moneysense.ca »

Stuck in the ‘culture of now’ and going into debt to treat yourself? Here’s how to break out and start saving for your future selfThe ‘culture of now’ is preventing people from making retirement planning a priority, 85% of financial professionals said in a survey.

Continue Reading On thestar.com »

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