Search found 486 matches

by couponstrip
16 Feb 2018 12:10
Forum: Financial News, Policy and Economics
Topic: Clippings 2018
Replies: 16
Views: 1330

Re: Clippings 2018

An article on the key elements of a well-managed portfolio However, what (almost) everyone needs and wants is for the overall portfolio to generate the best return possible. No portfolio should simply be left to grow on its own like an oak tree; you can choose to tame it any way you like, just make ...
by couponstrip
30 Jan 2018 15:42
Forum: Financial Planning and Building Portfolios
Topic: Derek Foster
Replies: 263
Views: 18655

Re: Derek Foster

I would also submit that a father of seven is not retired in any sense of the word. Unless he is living in a different residence and has hired someone else to do the parent duties, his time is not his, but rather his family's. The freedom to really live like a retiree is likely 10-20 years hence. Ag...
by couponstrip
30 Jan 2018 15:32
Forum: Financial Planning and Building Portfolios
Topic: Derek Foster
Replies: 263
Views: 18655

Re: Derek Foster

I am not an economist, but broadly looking at it, I can see how allowing a population to age without replacement is not the road to prosperity. Our elderly population has to be the highest expense for our country and no longer contribute significantly to government revenue as they did in their worki...
by couponstrip
17 Jan 2018 09:42
Forum: Financial News, Policy and Economics
Topic: Has your Investment Policy Changed After the US Election
Replies: 99
Views: 6096

Re: Has your Investment Policy Changed After the US Election

The data in NormR's Periodic Table of Annual Returns for Canadians for 2017 shows

EM - 28.7%
EAFE - 17.4
S&P 500 - 13.4
S&P/TSX - 9.1
Yes, but Trump wasn't elected on Jan 1, 2017.
All in CAD
Indeed.
by couponstrip
16 Jan 2018 17:52
Forum: Financial Planning and Building Portfolios
Topic: How Did You Do in 2017?
Replies: 111
Views: 4144

Re: How Did You Do in 2017?

Well that's very generous, Keith, but it's more like: If you are going to DIY, make sure you understand what your broker is reporting on its reports. :) My interest in tracking this carefully did fade about 2 years after learning to DIY. It seems to me that tracking yearly returns is largely an acad...
by couponstrip
16 Jan 2018 16:45
Forum: Financial Planning and Building Portfolios
Topic: How Did You Do in 2017?
Replies: 111
Views: 4144

Re: How Did You Do in 2017?

Ok, I had a chance to take a closer look. Norbert's first assumption/instinct was exactly right. My quoted returns did not account for the loss of value of the CAD over the year. My broker (IB) gives a "mark to market" summary and breaks this down into CAD and USD holdings. So I took the profit numb...
by couponstrip
16 Jan 2018 14:40
Forum: Financial Planning and Building Portfolios
Topic: How Did You Do in 2017?
Replies: 111
Views: 4144

Re: How Did You Do in 2017?

Yes, something is definitely off if those are the returns from each ETF for 2017. I've just taken the yearly return figure from our brokers' spreadsheet for each account and averaged them by weight. Let me take a closer look tonight.
by couponstrip
16 Jan 2018 13:19
Forum: Financial Planning and Building Portfolios
Topic: How Did You Do in 2017?
Replies: 111
Views: 4144

Re: How Did You Do in 2017?

Equal contributions to VTI/VEA/XIC. 100% equity. Our returns were 18.7% in 2017 including dividends. What a run this market is having. I'll have to remember how much fun this part was when it's not fun. One question, I am assuming it is indeed the case, but is your return forex adjusted? There were...
by couponstrip
16 Jan 2018 13:18
Forum: Financial Planning and Building Portfolios
Topic: How Did You Do in 2017?
Replies: 111
Views: 4144

Re: How Did You Do in 2017?

Equal contributions to VTI/VEA/XIC. 100% equity. Our returns were 18.7% in 2017 including dividends. Measuring stick in USD, presumably? No in CAD, but I did do a double take after you posted. The CAD went from about 0.74 to almost 0.80 over the year. I checked the spreadsheet and realized I misquo...
by couponstrip
16 Jan 2018 13:03
Forum: Financial News, Policy and Economics
Topic: Has your Investment Policy Changed After the US Election
Replies: 99
Views: 6096

Re: Has your Investment Policy Changed After the US Election

An update here. Since USA elected Trump a little over a year ago, the returns with dividends are: EAFE ~ 28% (in USD) USA ~ 27% (in USD) Canada ~ 14% (in CAD) I would never have predicted this on election night Nov 8. I thought the global markets were going to tank, especially USA and on that night ...
by couponstrip
16 Jan 2018 12:32
Forum: Financial Planning and Building Portfolios
Topic: How Did You Do in 2017?
Replies: 111
Views: 4144

Re: How Did You Do in 2017?

We are heading into our 12th year of this portfolio designed by reading extensively here including many book recommendations from here all those years ago: Equal contributions to VTI/VEA/XIC. 100% equity. Our returns were 18.7% in 2017 including dividends. What a run this market is having. I'll have...
by couponstrip
18 Dec 2017 16:33
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

The new rules don't apply to existing assets or the income arising from existing assets. But if you sell those assets, do those dollars continue to be grandfathered? One possibility, consistent with what is written above, is that they are no longer grandfathered. In that case, it may make sense to ...
by couponstrip
16 Dec 2017 22:14
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

Whew, it seems that my family members have bitten the bullet. From the first link: The changes include clear, "bright-line" tests – or off ramps – to automatically exclude individual members of a business owner's family who fall into any of the following categories: * The business owner's spouse, p...
by couponstrip
24 Nov 2017 22:14
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

The Parliamentary Budget Officer released an analysis of the new CCPC tax changes. Kim Moody's blog provides some analysis on the report: Grandfathering Assumptions – Footnote 9 of the report states “We assume that second generation investment income from grandfathered assets would be subject to the...
by couponstrip
10 Oct 2017 23:25
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

I agree with your assessment for some groups, e.g. small business and perhaps limited use by certain individuals, but for many who have used (and abused) the CCPC for purposes other than originally intended, I'd suggest those specific individuals who now feel harmed should instead be thankful that ...
by couponstrip
26 Jul 2017 00:16
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

To those watching this from the outside, this is a subtle, but important point. Physicians bear much risk in their businesses particularly with regards to wage inflation, rent inflation, material inflation, and now tax inflation :shock: without any means to offset those increased costs with higher ...
by couponstrip
25 Jul 2017 20:11
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

About incorporated professionals, some groups (dentists, lawyers, accountants) have more freedom than others (physicians) to pass along increased costs (taxes in this case) to their clients. Seventeen years after physicians negotiated with provincial governments the option to incorporate in lieu of...
by couponstrip
24 Jul 2017 21:14
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

Here is a growing petition in response to the proposed changes originating from a physician women's group. The petition is from a female physician perspective, however there is an opportunity to add the reason you might be signing at the end of the signature. The petition is approaching 5000 signat...
by couponstrip
22 Jul 2017 20:02
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

On the campaign trail, Trudeau mentioned the CCPC several times. He referred to "friends of his" who are professionals and derived great benefit from incorporation which he felt the CCPC was not designed for. I think he is headstrong and determined to close what he perceives as a tax loophole for th...
by couponstrip
21 Jul 2017 21:00
Forum: Financial News, Policy and Economics
Topic: Clippings 2017
Replies: 345
Views: 20668

Re: Clippings 2017

I think rebalancing is a useful tool for portfolio risk management, but that's not how it's often portrayed in financial articles and books. It's mentioned in the context of forced selling high and buying low. Doing better by taking the emotion out of it. If this is why you rebalance, then this bogl...
by couponstrip
19 Jul 2017 18:28
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

in the document my interpretation is that they want tax invested in the corp passively to end up being equal to personal tax on passive investment, hence eliminating any rate benefit to the deferral (ie before capital gains inside CCPC did better than personal/RRSP/TFSA) but i do not see the possib...
by couponstrip
19 Jul 2017 11:18
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

Note that when it comes to income sprinkling and converting income into capital gains, both sections are subdivided into background, proposed measures and next steps. However, the section on holding passive investments inside a private corporation is subdivided into background, possible approaches ...
by couponstrip
19 Jul 2017 00:08
Forum: Taxing Situations
Topic: Investment income in a CCPC
Replies: 925
Views: 78307

Re: Investment income in a CCPC

Well that's the end of that. Dividend sprinkling gone. Retaining income in the CCPC to invest over decades and defer tax gone. It sounds like business income earned prior to these changes will not be affected apart from the passive income generated from the investments which may be taxed differently...
by couponstrip
06 Jun 2017 17:41
Forum: Retirement, Pensions and Peace of Mind
Topic: Strategy for stock market correction
Replies: 32
Views: 2033

Re: Strategy for stock market correction

"But historically waiting for the market to fall has been an abysmal strategy, far worse than buying and holding in both absolute and risk-adjusted terms." And a corollary to this is the notion that one will actually buy loads as the market is reaching new lows. In 2008-9, there was a lot of gloom ...