Simplified Retirement Planning

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[…]

Canada’s 2016 Federal Budget

  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[…]

Overview of Derivatives

  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[…]

Overview of Fixed Income

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

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[…]

TFSA Update – Year End 2015

  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[…]

Real oil prices

Real vs. Nominal Values

It is useful to make the distinction between real and nominal values as these concepts are intrinsically related to inflation and used in the financial plans that we build at Exponeta Financial. In addition, these concepts are frequently encountered in economic and financial data sets. At a high level, nominal values include inflation, and real Read more about Real vs. Nominal Values[…]


In previous articles we traced the development of money from ancient barter systems to modern day fiat currency. One of the unavoidable realities of money throughout history is that as its supply increases, its value per unit decreases. This is the fundamental principle behind inflation which will be described in this article. Definition Inflation is Read more about Inflation[…]

The History of Money – Part V

In this series we have reviewed the development of money from barter systems to commodity money to bank notes and representative money. In this final entry, we will discuss modern day fiat currency. Definition A brief definition is in order before proceeding further: Fiat: a formal authorization or proposition; a decree an arbitrary order Origin: Read more about The History of Money – Part V[…]