Stocks were relatively flat for the week as the market makers weighed the potential of a Fed pivot vs the risk of a recession or at least, economic weakness. Fed officials keep reminding investors that they are serious about raising rates and keeping rates higher as long as is needed to tame inflation. Inflation is showing to be sticky in Canada, the most recent reading was little unchanged. The markets were in a holding pattern for the week.
The previous week the stock markets were ripping thanks to some cooling inflation signs in the U.S. It’s going to take months, if not years, for this all to play out. The short term market reactions are more than entertaining.
That said, investors are back to being somewhat cheery …
Here’s the returns year-t0-date and month-to-date. Energy is still the only sector working in 2022. That is expected in an inflationary or stagflation environment.
Making Sense of the Week
On MoneySense Kyle was making sense of the week in the markets. Kyle will be away for a weeks and yours truly will be coming off the bench to sub in. Looking forward to writing a few posts, covering the ongoing economic and market events.
We don’t know what we will get, but market bottoms historically happen after the pivot. The markets are not always that forward thinking when they are very nervous.
Once again, we don’t know the future. Stick to your investment plan.
More Sunday Reads
Joe offers his Dividend and Portfolio update on Million Dollar Journey.
I am in the process of updating this post on MDJ that looks at the big (major producers) oil and gas stock portfolio.
Ridiculous dividend growth from oil and gas stocks
I recently took a look at the recent dividend growth of our oil and gas stocks. It was ridiculous, so I had to write a post. You’ll find that on Seeking Alpha. If you can’t access that post, I did include the stocks and stats in my original Canadian oil and gas dividends post on Cut The Crap Investing. I have an 11% oil and gas weighting in my RRSP. The accounts also include pipelines, not part of that 11%.
I have update the BTSX Portfolio for 2022. In the mix of 10 stocks for 2022 you’ll find Algonquin that offered up a poor quarterly report. The is also the risk of a dividend cut or elimination. Have a watch of Dan’s video …
Dan at stocktrades.ca also offered this post on 10 Canadian stocks to buy in November. I certainly would not argue with that list. That is mostly in line with the Canadian Wide Moat approach.
On My Own Advisor Mark asks – what does your retirement look like?
And of course we always have our eye on the weekly updates on Dividend Hawk.
There’s a wonderful mix of reads and podcasts courtesy of Banker on Wheels.
The pension booster
And on the retirement front, a shocking stat on the benefit of delaying CPP.
And don’t miss my retirement post on Tawcan, covering the basics and a few portfolio models to consider. That’s the all-in-one retirement post. 🙂
And on Findependence Hub we’re planning for longevity and avoiding retirement hell.
Justwealth is still the top-performing Canadian Robo Advisor
Friends at the Globe & Mail have updated the portfolio returns comparison. I have borrowed that evaluation. Justwealth is still the top-performing Canadian Robo Advisor.
That is usually the Robo of choice for Cut The Crap Investing readers. You have access to your own advisor, and that can include financial planning. Compared to high fee Canadian mutual funds that often come with no advice or poor advice, the choice is usually obvious. Check your personal returns vs the Robo and Justwealth returns in that post. Fees matter …
The Canadian investor with modest investments is no long underserved in Canada. Given the offering, it might be a wonderful spot, even if you have a more generous portfolio. You might cut your fees in half or much more.
I have also updated the returns for the Canadian asset allocation ETF portfolios.
While I use a combination of stocks and ETFs, keeping it simple with a wonderful core balanced ETF portfolio is a proven way to build wealth. Keep it simple and keep it cheap. Stick to your investment plan.
Tweetable – then and now
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CANADA’S TOP-RANKED DISCOUNT BROKERAGE
Cut the Crap Investing readers can earn a break on fees at Questrade by way of that partnership link. At Questrade, you can buy ETFs for free.
Here’s Canada’s top-performing Robo Advisor, Justwealth.
Consider Justwealth for RESP accounts. That is THE option in Canada with target date funds that adjust the risk level as the student approaches the College or University start date.
RETIREMENT FUNDING PLANNING
The self-directed investor might consider the service provided by Mark Seed from My Own Advisor. He runs Cashflows & Portfolios where they will provide options for that optimal retirement funding strategy. That service is provided for a very reasonable fee.
If you do head to Cashflow & Portfolios, be sure to tell them Cut The Crap Investing sent ya.
OUR SAVINGS ACCOUNTS
Make your cash work a lot harder at EQ Bank. RRSP and TFSA account savings rates are at 2.0%. You’ll find some higher rates on GICs, recently updated and increased to 3-4%. They also offer U.S. dollar accounts. We use EQ Bank, they have been awesome.
OUR CASHBACK CREDIT CARD
We make between $50 to $70 every month! And that’s on everyday spending. There are no fees with …
Last month we received $75 in cashback cash. We are spending too much, ha.
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