Guiding you along your financial journey
Just like your car, your investment portfolio needs routine maintenance. While having an asset allocation for your investment portfolio is a great start, unfortunately it doesn’t mean you can set it and forget it. In any diversified portfolio, some of your investments will do a lot better than others. Rebalancing is the process of selling some asset classes that have done […]
There has been plenty of talk about whether actively managed mutual funds are worth the fees they charge. There are many people on either side of the argument. The proponents of active management argue that active managers can add value by selecting the best securities to own or by tactically shifting the asset allocation of the fund. The growing list […]
February 2015 Market Performance All index returns are Total Return (includes reinvestment of dividends) and are in Canadian Dollars unless noted. Indexes Return for February 2015 YTD Return S&P/TSX Composite +3.98% +4.55% S&P500 +3.88% +10.19% MSCI EAFE +4.38% +14.83% MSCI World +4.30% +12.13% MSCI Emerging Markets +1.54% +11.83% FTSE TMX Universe Bond -0.13% +4.49% JP Morgan Emerging Markets Bond […]
Studies* have shown that 80 to 90% of investors’ return comes from asset allocation, so it is much more important than most investors realize. The main idea behind asset allocation is to reduce risk. By including asset classes with investment returns that move in different directions you can protect your portfolio from significant losses. If you have too much of […]
The ETF (Exchange-traded fund) market has skyrocketed from one fund in 1993, to over $70 Billion and more than three hundred funds in 2014. In fact, many experienced investors now refer to ETFs as “the cheaper and better alternative to mutual funds”. Here is a look at how ETFs differ and how you can benefit from their advantages: What are ETFs? How do they […]
Most people know the biggest advantage of using an RRSP is the tax savings. But do you know how to maximize that refund? Or choose when a TFSA might be better? We break it down so you can make those decisions in minutes. Below is a table of the income tax brackets (applicable to BC). Since ModernAdvisor is based in […]
Happy 2015! Early January of each year many people come up with their predictions for the year. This year, I am publicly announcing mine: 2015 will be a great year for Canadian investors. This is not a prediction of great investment returns, but of fundamental improvements in the industry that will have long-term benefits for almost all Canadians. For years, average […]
There has been much debate about whether investment managers should be paid a fixed fee linked to the size of the assets they manage, or a performance-based fee that ties their compensation to how well they do for the client. Most traditional advisors and mutual fund managers are paid a fee based on the assets under their management, and not […]
