Search found 1755 matches

by DanH
13 Nov 2017 20:25
Forum: Financial News, Policy and Economics
Topic: How can Cash Flow be less than Earnings
Replies: 5
Views: 360

Re: How can Cash Flow be less than Earnings

The classic case study when I was in university was W.T. Grant Company. It's an extreme but interesting case study in earnings quality and the importance of careful cash flow analysis.

Added: Here is a presentation on the same topic.
by DanH
13 Nov 2017 20:10
Forum: Financial Planning and Building Portfolios
Topic: Robo-advisors
Replies: 55
Views: 5676

Re: Robo-advisors

True that most robo-advisor clients are unlikely to be affected by U.S. estate taxes based on either the new or old thresholds. But the bigger issue (in applicability, not necessarily magnitude) is how to invest for clients who are considered U.S. persons (and in turn have a U.S. tax reporting oblig...
by DanH
11 Nov 2017 09:07
Forum: Financial News, Policy and Economics
Topic: T plus two business days Starts Sept 5 2017
Replies: 28
Views: 1186

Re: T plus two business days Starts Sept 5 2017

I was also quite annoyed with the week-long hold on amounts I deposited into my bank account. At first they allowed access to the first $1,000 right away. Then I called to complain and they expanded that to $1,500. Then, without further urging from me they started giving me immediate access to all f...
by DanH
06 Nov 2017 20:56
Forum: Financial Planning and Building Portfolios
Topic: Strip bonds or Bond ETF
Replies: 16
Views: 506

Re: Strip bonds or Bond ETF

The thing is that the most likely time for the counterparty to fail its obligations is the exact time when one wants his bond holdings to fulfill their promises, during a bad crisis*. Let's not even think about what could happen to the "high-quality" collateral. Maybe this collateral is short-term ...
by DanH
06 Nov 2017 20:12
Forum: Financial Planning and Building Portfolios
Topic: Strip bonds or Bond ETF
Replies: 16
Views: 506

Re: Strip bonds or Bond ETF

Is there a Corporate Class fund which indexes the whole Canadian bond market no active management? No. HBB is as close as you're going to get. It's not a corporate class but it's just as good or better in terms of tax efficiency. If the Feds crack down on swaps of this nature (as they did with equi...
by DanH
06 Nov 2017 16:51
Forum: Financial Planning and Building Portfolios
Topic: Strip bonds or Bond ETF
Replies: 16
Views: 506

Re: Strip bonds or Bond ETF

why don't you use HBB instead of VAB? Counterparty risk? Synthetic ETFs defeat the whole idea of diversification. I'm not touching any such ETF with a ten-foot pole. (I'm allergic to derivatives; I won't touch currency-hedged ETFs either, because of their use of derivatives for hedging currency). I...
by DanH
21 Jul 2017 11:02
Forum: Financial Planning and Building Portfolios
Topic: Robo-advisors
Replies: 55
Views: 5676

Re: Robo-advisors

I've been following a periodic series of posts on Jon Chevreau's blog by an advisor who took $5k and invested it with an unidentified robo-advisor (whose name shall remain Wealth Simple ;) I'm only 99.9% of that). I have been surprised by the number of changes in holdings he has experienced. This is...
by DanH
19 Jul 2017 15:40
Forum: Financial Planning and Building Portfolios
Topic: Outstanding Financial Pornography
Replies: 624
Views: 108458

Re: Outstanding Financial Pornography

I'm with you on the indexes that are built specifically for product launches. We're quite some way from ETF numbers exceeding mutual funds. We have maybe 600 ETFs. Unique Canadian mutual funds might be in the 1,400 range. But at this pace of growth, we will get there in the next few years.
by DanH
19 Jul 2017 09:47
Forum: Financial Planning and Building Portfolios
Topic: Outstanding Financial Pornography
Replies: 624
Views: 108458

Re: Outstanding Financial Pornography

I don't think that qualifies as financial porn. IIRC, at least a few studies (I'm sure they are easy to find online) found that family controlled public company shares have meaningful outperformance vs. the broader market. No different than launching a value index or a momentum index or a low vol in...
by DanH
27 Jun 2017 21:12
Forum: Financial Planning and Building Portfolios
Topic: Dual Citizen (US/CAD) - Investing
Replies: 7
Views: 290

Re: Dual Citizen (US/CAD) - Investing

I believe U.S. citizens investing in PFICs inside of a RRSP is safe from an IRS tax liability/reporting perspective. But you should double check that with someone more qualified than me.
by DanH
27 Jun 2017 16:14
Forum: Financial Planning and Building Portfolios
Topic: Dual Citizen (US/CAD) - Investing
Replies: 7
Views: 290

Re: Dual Citizen (US/CAD) - Investing

It's always a good idea to get advice from a tax expert versed in cross border taxation. Generally, it's likely a good idea for dual citizens (or any U.S. citizen) to avoid investing in investment funds that are domiciled or resident in Canada (i.e. mutual funds, exchange traded funds, pooled funds,...
by DanH
21 Jun 2017 17:16
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Home Capital Group (Symbol-HCG)
Replies: 263
Views: 14570

Re: Home Capital Group (Symbol-HCG)

You [randomwalker] are positing a 50% haircut on the value of Home's non-insured residential mortgage book, which is not the same thing as a 50% decline in housing prices. Bingo. Definitely a risk since Home seems to be heavily exposed to the 905 area code but not the equivalent of the loan book be...
by DanH
21 Jun 2017 10:08
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Home Capital Group (Symbol-HCG)
Replies: 263
Views: 14570

Re: Home Capital Group (Symbol-HCG)

There has been virtually no news that suggests their mortgage portfolio is significantly impaired. Their problems relate to a lack of confidence of depositors. 50% haicut? That's quite a stretch. . Any way to spin this as a "bail out"? It's not 'news' per se but if the stream of Twitter posts from ...
by DanH
20 Jun 2017 22:56
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Home Capital Group (Symbol-HCG)
Replies: 263
Views: 14570

Re: Home Capital Group (Symbol-HCG)

But this deal does not involve residential mortgages. It appears to be all commercial mortgages - which is more in line with KingSett's focus. KingSett has taken advantage of various forms of motivated selling in the past - e.g., KingSett/AIMCo close ING Summit deal ; KingSett/AIMCo buy half of Scot...
by DanH
20 Jun 2017 14:27
Forum: Stocks, Bonds, ETFs, Funds, REITS and More
Topic: Home Capital Group (Symbol-HCG)
Replies: 263
Views: 14570

Re: Home Capital Group (Symbol-HCG)

KingSett is indeed a very savvy institutional real estate investor. They can be aggressive at times - when warranted - but they don't mess around with low quality or distressed loan assets. If they've purchased assets I would assume the quality is very good. But a very fair concern re: what's left.
by DanH
13 Jun 2017 17:58
Forum: Financial Planning and Building Portfolios
Topic: Taxable Account Planning - US Expat
Replies: 24
Views: 1177

Re: Taxable Account Planning - US Expat

Oops...didn't even notice the date. Thanks for pointing that out. But I still want to know how a family of three is living on $3k monthly when rent along has to eat up most of that.
by DanH
13 Jun 2017 14:27
Forum: Financial Planning and Building Portfolios
Topic: Taxable Account Planning - US Expat
Replies: 24
Views: 1177

Re: Taxable Account Planning - US Expat

Hi there, First time poster here. I have some investing/overall planning questions that I hope I can get some advice with here. I appreciate any and all input. Background Information -Age: 30 -US Citizen working and living in Vancouver BC, Canada. I have a 2 year old son and my wife is also a US Ci...
by DanH
08 Jun 2017 11:43
Forum: Financial Planning and Building Portfolios
Topic: Fee Based advisor Expectations
Replies: 31
Views: 1000

Re: Fee Based advisor Expectations

Norm and I (and possibly Dan) have argued for years that the best approach for the uninterested is not a couch potato portfolio but a low cost balanced fund. (I say this having tried to educate my sister in portfolio allocation principles.) Definitely Dan! ;) It's been at least ten years since I wa...
by DanH
07 Jun 2017 16:45
Forum: Financial Planning and Building Portfolios
Topic: Fee Based advisor Expectations
Replies: 31
Views: 1000

Re: Fee Based advisor Expectations

Yes, directed at you AltaRed. I don't want to hijack this thread but I have very mixed feelings about the MoneySense list because it's based on a model of advisors/firms paying a significant fee to be reviewed and to be on this list. We were asked and we respectfully declined. So it's a good start a...
by DanH
07 Jun 2017 14:48
Forum: Financial Planning and Building Portfolios
Topic: Fee Based advisor Expectations
Replies: 31
Views: 1000

Re: Fee Based advisor Expectations

Do you have someone lined up for her yet? While it's not an issue for my household (all accounts are at HighView, run like all other client accounts) but many friends and relatives rely on me for specific suggestions. I don't have a back-up for them since they're all significantly older than me so c...
by DanH
07 Jun 2017 12:49
Forum: Financial Planning and Building Portfolios
Topic: Fee Based advisor Expectations
Replies: 31
Views: 1000

Re: Fee Based advisor Expectations

If I use the default 25/25/25/25 from 2001, I get 5.9% annualized arithmetic and if I choose 40% Cdn bonds, 60% TSX Composite, I get 6.8% annualized. All these are before costs.... If you knock off 1 percentage point for MER/costs, the results still are well above the 3.8% you mentioned. She can do...
by DanH
24 Apr 2017 13:02
Forum: Financial Planning and Building Portfolios
Topic: Ultra Aggressive Portfolio Advise
Replies: 12
Views: 850

Re: Ultra Aggressive Portfolio Advise

SueC wrote:
23 Apr 2017 22:27
XAW already contains emerging markets.
So does Mawer Global Small Cap.
by DanH
24 Apr 2017 10:53
Forum: Financial Planning and Building Portfolios
Topic: Questions for my Fin. Advisor
Replies: 26
Views: 1215

Re: Questions for my Fin. Advisor

I've read through most of the comments and I can offer a little insight from my own experience. I'll start with a stroll down memory lane... I met with many people in late 1999 and through 2000 who had made a lot of money in technology stocks/funds. My advice at the time was to sell their technology...
by DanH
19 Apr 2017 20:27
Forum: Financial Planning and Building Portfolios
Topic: Mercer is using a proprietary fund universe to argue that Canadian active equity funds have trounced the index
Replies: 9
Views: 833

Re: Mercer is using a proprietary fund universe to argue that Canadian active equity funds have trounced the index

I don't know about the Mercer universe, but Morneau Shepell (yes that Morneau) is another major player in this pension advisor/consulting space. If you want to look at a current report, read Performance universe of pension managers' pooled funds as at December 31, 2016 . Thank you for the link. Tha...