Search found 1828 matches

by ockham
03 Mar 2024 13:31
Forum: Retirement, Pensions and Peace of Mind
Topic: Retirement Countdown: Start of 2025
Replies: 74
Views: 4455

Re: Retirement Countdown: Start of 2025

SQRT wrote: 03 Mar 2024 13:06 It’s funny. Everybody loves a pension but everybody hates an annuity? Difficult to “square” that opinion isn’t it?
Nice summary. :thumbsup:
by ockham
02 Mar 2024 22:45
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Preferreds
Replies: 2578
Views: 318367

Re: Preferreds

randomwalker wrote: 02 Mar 2024 21:15 Of interest to those who follow preferred shares,
Even of interest to some, like me, who don't follow preferred shares. I don't much care one way or the other about ZPR specifically. What I do care about is a major ETF player like BMO so brazenly misdescribing what it's doing with one of its funds. This deserves to be widely publicized, imho. Will give me pause about using one of their products.
by ockham
26 Feb 2024 16:32
Forum: Retirement, Pensions and Peace of Mind
Topic: Retirement Strategy of living on Dividend Income?
Replies: 37
Views: 2273

Re: Retirement Strategy of living on Dividend Income?

Mentioning "dividend growth companies" suggests a stable of individual companies. So the other consideration is time horizon, stock selection and whether rebalancing or revisions will be considered. I am less sanguine about the 'blue chip, set-and-forget' Canadian dividend portfolio than I used to be. Unless someone has a plan for periodic screening and adjustment of the portfolio - as you do , a person is going to have to be prepared to accept the potential for erosion of value when a 'dog' is allowed to lay around for too long, On the weekend I was looking at some values to see how the underlying share value of a few of the usual suspects had performed over 5 and 10 year periods if they'd been left untouched and forgotten while...
by ockham
24 Feb 2024 11:54
Forum: Taxing Situations
Topic: Is withholding tax paid on rrsp withdrawal credited against installment payments?
Replies: 16
Views: 745

Re: Is withholding tax paid on rrsp withdrawal credited against installment payments?

Basically the same question, but for a RRIF. Say I schedule RRIF withdrawals quarterly (Mar 15, June 15, etc). Say I have a CRA instalment requirement of $5K for March and June. Will instructions to my financial institution to withhold $5K for CRA from my quarterly withdrawal count as an instalment payment?? Certainly seems easier than making it two steps: a full withdrawal into my bank account, followed by me then remitting $5K from my bank account.
by ockham
22 Feb 2024 18:16
Forum: Retirement, Pensions and Peace of Mind
Topic: Retirement Strategy of living on Dividend Income?
Replies: 37
Views: 2273

Re: Retirement Strategy of living on Dividend Income?

I was once on the path the OP is on. My observations:
-- SQRT's summary of the pro's and con's is a good one.
-- a lack of diversification is a big problem, and fixing the problem runs a high risk of diworsification. For example, my impression is quite a few posters added AQN for div income and diversification reasons; and got burned, badly.
-- there's a high risk of getting caught in value traps. For example, I hold all of BCE, BNS, CU, ENB, TRP. When is a dog just a dog?? To be successful at the dividend focussed strategy, you need discipline and strong convictions to be able to decide when to euthanize. Some people on FWF are good at this. I think LTR is one. I've found that I'm not.
by ockham
20 Feb 2024 13:27
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Preferreds
Replies: 2578
Views: 318367

Re: Preferreds

MaxedOut wrote: 20 Feb 2024 13:14
* To pass on the asset intact in your will use in specie provision.
Continuing OT, and just for clarification, it's a pretty standard "boiler plate" will provision to give to the executor the discretion to satisfy bequests by in specie transfer. What would be less standard would be a will provision that mandated satisfying bequests by in specie transfer.
by ockham
18 Feb 2024 16:58
Forum: Retirement, Pensions and Peace of Mind
Topic: Decumulation? Really?
Replies: 94
Views: 5662

Re: Decumulation? Really?

To Longinvest, with your retirement, I'm thinking you can close down the "VPW forward test" thread, and replace it with a "VPW actual test" thread. We're no longer talking a hypothetical retiree in the lab, it's now a real retiree. :thumbsup: Congratulations.
by ockham
16 Feb 2024 12:56
Forum: Financial Planning and Building Portfolios
Topic: I'm about to receive a sizeable gift. Need advice.
Replies: 25
Views: 1884

Re: I'm about to receive a sizeable gift. Need advice.

Benjamin wrote: 16 Feb 2024 00:44
Is getting familiar with phantom distributions something I should invest time to do? It sounds like a hassle, to be honest.
To be honest, the whole "issue" of phantom distributions is a distraction. They're the very last thing to fuss about, imho. Your brokerage will almost certainly track them for you, if you neglect to. What's the very worst that can happen if you and/or your brokerage don't track them?? The very worst is that, when you sell, you'll declare a higher cap gain than you needed to. That's it. Let's keep the nature of the problem in perspective.
by ockham
15 Feb 2024 12:11
Forum: Financial Planning and Building Portfolios
Topic: Is XAW withering on the vine?
Replies: 12
Views: 834

Re: Is XAW withering on the vine?

I certainly hope not. I have a significant position in XAW's direct but smaller competitor, VXC. VXC has AUM of $1.64 B. If XAW's at risk of withering, so is VXC.

But I'm not concerned: (i) XAW and VXC aren't niche products, but rather basic building block ETFs; (ii) both are funds of funds, and the funds out of which they're built are themselves popular basic building block ETFs, (iii) both have AUM well north of $1 B. Both Vanguard and Ishares maintain ETFs a lot smaller than that.
by ockham
14 Feb 2024 17:02
Forum: Taxing Situations
Topic: Portfolio Liquidation: Tax Strategies & Questions
Replies: 18
Views: 956

Re: Portfolio Liquidation: Tax Strategies & Questions

ole'trader wrote: 14 Feb 2024 15:07
nitro wrote: 14 Feb 2024 10:50
However, how does the timing of the liquidation affect the AMT situation?
Not sure it does - because I do not believe AMT applies in the year of death
The deemed disposition on death won't trigger AMT, but a voluntary disposition minutes or days before death could??
by ockham
11 Feb 2024 14:32
Forum: Taxing Situations
Topic: Can CRA go after a RRIF beneficiary? If there are no other estate assets?
Replies: 19
Views: 1045

Re: Can CRA go after a RRIF beneficiary? If there are no other estate assets?

Assume two identical estates, except that in one there's a beneficiary designated for the RRIF, and in the other there's no beneficiary designation. Assume in both cases the RRIF is the only estate asset and assume further that both estates have total CRA liabilities that exceed those related only to the RRIF.

Is the argument that where there's a beneficiary designation, CRA is SOL as far as collecting anything over and above the RRIF related liability?? I'm sceptical.
by ockham
09 Feb 2024 13:38
Forum: Taxing Situations
Topic: Portfolio Liquidation: Tax Strategies & Questions
Replies: 18
Views: 956

Re: Portfolio Liquidation: Tax Strategies & Questions

SQRT wrote: 09 Feb 2024 11:58 If my MIL gives a bit of advanced warning, I intend to liquidate prior to death, although I’m a bit concerned about AMT. if AMT is an issue, liquidation in the few days post death. The thought of distributing actual shares has been totally dismissed.
I'm curious about the "liquidation in the few days post death" idea. With what authority will you do that?? Are you a joint account holder??

Agree emphatically that the thought of distributing "actual shares" should be dismissed.
by ockham
07 Feb 2024 18:14
Forum: Taxing Situations
Topic: Small estate size solutions
Replies: 23
Views: 774

Re: Small estate size solutions

That's said, he still likes to keep some sundry accounts under his single name totalling to under 50k. My suggestions: 1. get your uncle to reduce or eliminate these sundry small accounts. He's creating the problem, he can fix it. 2. approach the institutions where these small accounts are being held to discuss what their probate policy is for small account holdings. If their policy is "probate is required, no matter what", just another reason to close the account. No institution is obliged to release accounts without probate. Yet many institutions are willing to be quite flexible on the matter, depending on the circumstances, the size of the account usually being one. Why not find out in advance from the institutions your uncle ...
by ockham
03 Feb 2024 17:37
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 1102
Views: 152220

Re: RRSP vs. CCPC

Marcus Aurelius wrote: 03 Feb 2024 16:44
ockham wrote: 03 Feb 2024 10:06 What about investing the excess in your TFSA, which isn't taxable, ever?? That's not as good as leaving it in the corp to invest??
I think using the TFSA is worth it. Here is Jamie Golombek's article on the subject:
https://www.cibc.com/content/dam/person ... ers-en.pdf

Any time I can get money out of the CCPC into a registered account, I think it is a good choice. As has been said before, CCPC taxation is a political football and any money in your company can quickly become less advantageous than you planned for. RRSPs and TFSAs are politically more stable.
An excellent article by Golombek, thank you. :thumbsup:
by ockham
03 Feb 2024 10:06
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 1102
Views: 152220

Re: RRSP vs. CCPC

Park wrote: 03 Feb 2024 02:37 You’d be left investing any excess (amounts you don’t need to live on) outside your RRSP, which is taxable annually and is not as good as leaving the funds in your corporation to invest"
What about investing the excess in your TFSA, which isn't taxable, ever?? That's not as good as leaving it in the corp to invest??
by ockham
01 Feb 2024 12:31
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: What and why did you sell? What might you sell? (2024)
Replies: 26
Views: 3406

Re: What and why did you sell? What might you sell? (2024)

goleafsgo wrote: 01 Feb 2024 11:09 I am a terrible long-term holder.
You sure?? Aren't you a Leafs' fan?? :wink:
by ockham
28 Jan 2024 13:39
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Canadians are bananas for not embracing index funds
Replies: 26
Views: 2221

Re: Canadians are bananas for not embracing index funds

brucecohen wrote: 28 Jan 2024 10:15 Most people still know little about investing, understand less and don't try, either because they're intimidated, too busy on other stuff, or don't care.
I recently spent a pleasant evening with two acquaintances from years ago, both retirees (within last 3-5 years) from a provincial crown corp with DB pensions. Both are intelligent, well-educated, well-read, well-rounded people. I asked what inflation protection their DB pensions had. Neither had the remotest, slightest, faintest idea. Leaves me baffled.
by ockham
27 Jan 2024 11:36
Forum: Financial Planning and Building Portfolios
Topic: Choosing between VBAL, XBAL, ZBAL - Vanguard, iShares, BMO - Asset Allocation ETFs
Replies: 13
Views: 1567

Re: Choosing between VBAL, XBAL, ZBAL - Vanguard, iShares, BMO - Asset Allocation ETFs

I prefer the Vanguard AA products. Reasons are:
1. Vanguard created and introduced the idea and the products. Ishares and BMO rushed to copycat.
2. Vanguard accompanied the introduction with a paper explaining its thought process in deciding on the home bias and internal asset allocations within the products. Ishares and BMO, to my knowledge, haven't offered any explanation/rationale for their decisions. For example, that ishares overweights the US in its products, absent explanation this looks like simple performance chasing.

That said, I've recommended XGRO to my daughter, not VGRO. At her brokerage (Qtrade), XGRO can be traded commission free. If you're buying in frequent small increments, $10/trade matters.
by ockham
23 Jan 2024 17:15
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: What is the value of your TFSA today
Replies: 24
Views: 1819

Re: What is the value of your TFSA today

It's been discussed here many times that people put their TFSAs to a wide variety of different uses. The current value of a TFSA account will depend a great deal on its use.

Isn't the more interesting question: what percentage of participants on this forum have unused contribution room??
by ockham
23 Jan 2024 16:56
Forum: Taxing Situations
Topic: Disclaiming an inheritance
Replies: 20
Views: 1146

Re: Disclaiming an inheritance

mewmew wrote: 23 Jan 2024 15:46

"Timing Is Crucial
In principle of course beneficiaries can disclaim a gift. That much is obvious. However, questions of whether, why, how, and when to disclaim are going to be fact and jurisdiction dependent. If there truly are serious issues at stake for you, what's crucial, imho, is that you engage your own lawyer on the matter. I wouldn't rely on an anonymous Internet forum to set my mind at ease.
by ockham
21 Jan 2024 10:27
Forum: Financial Planning and Building Portfolios
Topic: Best online broker for RESP
Replies: 23
Views: 924

Re: Best online broker for RESP

FWFReader wrote: 20 Jan 2024 15:26 Just to summarize:

- There are no other assets

- Looking for a brokerage that does not charge account fees for small accounts. 2 examples were given but they do not offer RESP.
To summarize, Qtrade:
1 offers RESP accounts
2. waives small account fees if you enroll in EFT of >$100/month
3. offers commission free trading of the BlackRock AA ETFs (XEQT, XGRO, XBAL)

What's not to like?? Give them a call to confirm.
by ockham
20 Jan 2024 12:38
Forum: Financial Planning and Building Portfolios
Topic: Turn over your DIY to an adviser when you retire?
Replies: 38
Views: 2260

Re: Turn over your DIY to an adviser when you retire?

Joebaba wrote: 20 Jan 2024 12:09
OptsyEagle wrote: 20 Jan 2024 11:27 Very recently, I went through this with my wife and perhaps I can give a few tips that have worked for me.
Thanks OptsyEagle,
:thumbsup:

I have a one page plan. Supplementing it with a one or two pager describing what I do (monthly, quarterly, annually) to execute the plan is simply a great idea. I hate instruction manuals myself, but my spouse thrives on them .
by ockham
20 Jan 2024 11:01
Forum: Financial Planning and Building Portfolios
Topic: Best online broker for RESP
Replies: 23
Views: 924

Re: Best online broker for RESP

Consider Qtrade, the online brokerage connected to the Credit Union system. It's the brokerage my daughter uses for her child's RESP. IIRC, small account fees are waived if you are enrolled in a PAD of $100 or more per month. Qtrade has two good features: 1. Qtrade has some 100 ETFs that can be traded commission free. This includes XEQT, XGRO, and XBAL. Commission free trading is important where the sums involved are likely small, e.g., when the $500 gov't grant arrives. 2. Qtrade is excellent in answering questions through its online internal messaging service. It's prompt and responsive to your questions. At least, it's excellent as compared to my own brokerage, RBCDI. This can be particularly helpful for people who are inexperienced DIY ...
by ockham
19 Jan 2024 19:23
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: What are your top holdings? (2013-2020 and counting)
Replies: 261
Views: 29979

Re: What are your top holdings (at start of 2013)?

This has been an interesting exercise. Maybe I should do it more often (or maybe not). Hadn't realized what a dog TRP has been, but also hadn't realized what a star CNR has been. I retired in Sept/2012, so there's been no adding to these largest positions and a bit of trimming. Largest funds by a long shot, both Jan 1/2013 and Jan 1/2019, VTI and then VEA. Largest to smallest individual positions on Jan 1/2013: ENB, BNS, BCE, RY, BMO, TRP, TD, (then a bunch of other stuff, including CNR) Largest to smallest individual positions on Jan 1/ 2019: RY*, BNS, TD, CNR, BMO, BCE*, ENB*. (then a bunch of other stuff, including TRP) *= some trims in the six years Top 6 equity holdings now, reflecting efforts to reduce individual positions and buildi...
by ockham
19 Jan 2024 17:29
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Horizons ETF Allocation
Replies: 9
Views: 6857

Re: Horizons ETF Allocation

OnlyMyOpinion wrote: 19 Jan 2024 16:23 I see Horizons is closing down some of their 'niche' etfs.
Of little consequence, I don't think I've seen any of them even mentioned here:
Well, one consequence is that it confirms my overall impression of Horizons as a shop that loves gadgets and gimmicks. No thanks.