In my wife’s personal RRSP account she held the Vanguard VDY-T ETF. It had outperformed the TSX Composite by about 1% annual. We can thank the financials overweight for that. The Canadian financials XFN-T and the Canadian banks ZEB-T have a long history of outperformance. In June of 2023 we moved to a Canadian blue […]
Retirement tip: use the spousal RRSP account on the Sunday Reads.
Income splitting is one of the most useful strategies in retirement. And here’s a retirement tip that is often missed – taking full advantage of the spousal RRSP account. The spousal RRSP account allows a higher income spouse to transfer funds into the hands of a lower income spouse. Those funds will grow tax free; […]
Tech stocks lift markets on the Sunday Reads.
Here we go again. Or with respect to our stock portfolios and net worth perhaps the right framing is ‘here we grow again’. And once again, it is tech stocks driving the market in the U.S. While a stellar earnings report from Shopify gave the Canadian markets a jolt. Shopify is once again the most […]
We’re looking for U.S. ETFs on the Sunday Reads.
Most Canadian self-directed investors are hybrid investors. They build a blue chip Canadian stock portfolio, they diversify with U.S. and International ETFs. They might choose a Global X-Canada ETF that covers the international markets in one ETF. The hybrid approach is a mix of stocks and ETFs. It’s a wonderful way to build wealth; the […]
You can count on your CPP payments to be there, on the Sunday Reads.
There are three major pillars for your retirement income in Canada. There’s Government Benefits, Personal Savings and the Employer Pension. The Canada Pension Plan (CPP) and Old Age Security create the Government Benefits. We might consider that part of our pensionable earnings as the amounts are ‘guaranteed’ and indexed to inflation. At times we can […]
How much is in your TFSA? Plus, the Sunday Reads.
The Tax Free Savings Account (TFSA) is one of the greatest gifts to Canadians. While misnamed, the TFSA is true to its name. It is tax free in every way. While the money that goes into your TFSA is after-tax money (you’ve already paid tax to create the funds), the TFSA account continues to grow […]