“The lowest risk way to increase returns on your investment portfolio is to pay less to the financial services sector.”
“If you want something different You Gotta do something different.” – Nathaniel Williams
We love to read and share – here’s some notable things from the last week covering life, investing and financial planning.
Only two resolutions for Canadian investors in 2016 – “we have seen some very concerning consistencies in the portfolios that we have reviewed,the two biggest and most concerning being high fees and lack of diversification. For 2016 we recommend Canadian investors address both issues.”
Recent winners are often just the funds to avoid – “But, from an investment point of view, chasing what’s hot and putting your trust in the latest “star” manager is a thoroughly bad idea — a fact reinforced by a new study from Morningstar.”
10 Bear Market Truths – “Number 10: These are the times that successful investors separate themselves from the pack. Most investors mistakenly assume that you make all of your money during bull markets. The reason so many investors fail is because they make poor decisions when markets fall.”
5 deadly investing sins that let cons and crooks take your money – “While the mistakes that the average investor makes will not cost them in the same way and to the same magnitude that coming in contact with a straight rip-off will, investors who fail to recognize the danger in their own behaviors increase the chances that they fall short of their goals and that they could become the victim of the landmines that regulators are warning them about.”
Calculated Risks From the Coach Who Never Punts – “There is of course the problem of career risk and the herd mentality. I’m reminded of the old Keynes quote where he said, “Worldly wisdom teaches us that it is better for reputation to fail conventionally than to succeed unconventionally.”
Slumping loonie boosts foreign equity funds in 2015 – “The worst performer was the Canadian Equity fund index, down 6.2%. The energy and basic materials sectors were the main detractors from performance for Canadian equity funds over the past year, as both sectors declined more than 20%.”
Financial Planning
The top reasons people fail with money – “Spend below your means, prepare for financial emergencies, invest regularly with a long-term perspective – that pretty much sums it up. Now for a much tougher assignment – figuring out why people don’t listen to advice such as this.”
Tax-Free Savings Accounts a good product with a bad name, experts say – “Tax Free Savings Accounts, or TFSAs, have been available to Canadians since 2009, but they’re not being used to their full potential, say financial experts, who put a large part of the blame on the name.”
Five financial resolutions for 2016, and how to (really) make them happen – “Resolutions are a good first step, but without a specific plan, they can be hard to maintain for 12 months.”
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