Every average Canadian will eventually retire; leave the workforce and live off the income that they have saved. For most people, retirement will happen around the age of 65, and it usually comes with a significant drop in income. According to a Statistics Canada report that looked at incomes in 2012, 12% of all seniors are Read more about Simplified Retirement Planning[…]
In March 2016, Canada’s Federal Government released a new budget, which outlines the fiscal plan for the next year. If you want to take a look, the budget document can be found here. Included in the budget are several changes to taxes, tax credits, and benefits. This article will summarize the changes most likely Read more about Canada’s 2016 Federal Budget[…]
Derivatives are another major type of financial instrument. We introduced two other major types in our earlier articles on fixed income and equities. As the name implies, the value of a derivative is derived from something else, whether an index, interest rate, debt, or physical asset. In terms of size, derivatives dwarf equities and Read more about Overview of Derivatives[…]
An equity investment refers to the ownership of stock or shares in a corporation. A typical investor acquires equities by purchasing them on the open stock market. Companies that are listed on the stock market are publicly traded, so the purchase of equities is open to anyone with an investment account. It is also Read more about Overview of Equities[…]
Introduction This post will present a general overview of fixed income investments. For some more specific examples, take a look at our previous post on the subject. A fixed income product is an investment that makes regular interest payments over a length of time. The interest payment amounts are typically determined at the time the investment Read more about Overview of Fixed Income[…]
Life expectancy is an important topic for retirement planning. To make sure you can live comfortably throughout your entire life, you need to know how long you will need to support yourself. To get an idea of life expectancy, we can consult the information provided by the government. Since we are based in Canada, we will Read more about Life Expectancy[…]
Update: The federal government has clarified their plans for the Tax-Free Savings Account (TFSA). The TFSA contribution limit for 2016 will be reduced to $5,500 as planned. Everyone will be able to carry any unused contribution room into the next year, giving a cumulative contribution limit of $46,500 for 2016. Our last article Read more about TFSA Update – Year End 2015[…]