Posts by Ed Rempel
Are you too focused on Risk Reduction vs. Growth?
A few years ago, we held a client event that highlighted the difference between how different types of investors think. I had invited my favourite Hedge Fund Manager and my favourite Growth Fund Manager. It was the contrast in their thinking that I found fascinating. Read more…
Read MoreHow to Read and Understand Business News
Do you ever read the business news and find yourself wondering exactly what you should or shouldn’t believe? Do you find yourself thinking there is a “big picture” behind the story and you just don’t know what it is?
Read MoreCapital Gains Refund Mechanism – Why Mutual Fund and ETF Investors Potentially Pay Less Tax
When I see tax returns for do-it-yourself investors, I am often struck by how much tax they pay on their investments. Many high net worth investors also pay a lot of tax on their investments. However, when I see tax returns for mutual fund investors, most of the time they pay very little tax on their investment…
Read MoreAchieving Peace of Mind
Worried about debts? Do you know when or even if you can retire? Most Canadians do not feel secure financially because they look for security in all the wrong places. The conventional wisdom is to focus on paying off debts & buying “safe” investments, while not knowing if either of these strategies will pay off…
Read MoreTax Refund is NOT a Benefit of RRSPs
Getting a tax refund is one of the main motivators for contributing to RRSPs. However, there are two main benefits of RRSPs and the tax refund is not one of them. The benefits of RRSPs are: Tax-free growth (same as the TFSA). Tax gain or loss depending on your post-retirement tax bracket when you withdraw…
Read MoreAre you “Smart Money” or “Dumb Money”?
Amateur investors often look down on professional fund managers thinking they are not worth their fees. Meanwhile, professional fund managers tend to think of amateur investors as “dumb money”. What is “dumb money”? It is investors that invest when the markets are high and then sell when the markets are low.
Read MoreTiming the Market vs. Buy and Hold
After the recent strong stock market gains, I have been asked a few times lately: “What should we do to protect against a possible market downturn? Should we become defensive?” If you could move in and out of the market at the right time, you would obviously increase your returns and avoid some losses. On…
Read MoreSmith Manoeuvre – Convert your mortgage to tax deductible interest
This article was written for The TaxLetter, a subscription newsletter for accountants and tax specialists. It discusses the tax implications of the Smith Manoeuvre strategy in depth. Read more… TTL_Maximize Tax Savings_2013 06
Read MoreLosing Money by Chasing Yield
The classic truism by Raymond DeVoe Jr. is particularly appropriate today: “More money has been lost reaching for yield than at the point of a gun.” Searching for investments with higher yields has often led to bubbles and has often lost money for investors. For example: The sub-prime mortgage-backed securities that collapsed in 2008 were…
Read MorePaying too much tax? How much is too much?
Do you ever wonder whether you are paying more tax than you need to? Do you hear stories about people claiming all kinds of deductions or about rich people being able to avoid tax? At tax time each year, these questions are foremost in Canadians’ minds.
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