My Own Advisor

 

This week, we read about little things and powerful things.

Starting with little things, we watched NDP rookie MP Sana Hassainia pressed into leaving her seat just ahead of a House vote, because she was accompanied by her three-month-old boy, Skander-Jack. Sana brought the baby into the chamber because she could not find her husband, before the vote on the long-gun registry. I guess this takes the “take your child to work” practice to a whole new level!

Regarding powerful things, I’d like to thank Bryan Borzykowski again for profiling me in The Toronto Star. The article discussed the increasing power of the Tax Free Savings Account (TFSA). If you didn’t get a chance to read it, check it out and let me know what you think.

I also made time to read my favourite blogs this week to come up with the list below for you. I hope this provides some great weekend reading material.

Have a safe, happy and healthy weekend and thanks for reading!

Rob Carrick said to defend savings from a surprise tax grab.

Andrew Hallam shared when the underdog fights.

Since I’m mentioning Andrew Hallam, Balance Junkie did a fine review of his book, Millionaire Teacher.

Beating The Index asked why is Parallel Energy Trust in the penalty box?

Boomer & Echo said I hate paying fees. You and I both!

Canadian Capitalist took issue with penny stocks as investments.

Canadian Couch Potato wondered if active funds are adding value.

Big Cajun Man asked…did you know the CRA (Canada Revenue Agency) had a YouTube account? I didn’t.

Dividend Guy asked, as an investor, what annoys you the most? For me it’s talking financial heads. Nobody, including all the financial experts, can accurately predict the future.

Dividend Monk reviewed 3M.

Dividend Ninja had a guest post that said I love REITs! This article was good enough to catch the attention of Rob Carrick at the Globe & Mail this week. Nicely done!

Krystal Yee from Give Me Back My Five Bucks is giving you a chance to win a copy of H&R Block’s at Home Online Tax Program.

The Passive Income Earner released some interesting results from his investing survey.

Retire Happy Blog had a post entitled: Should you keep your winners and sell your losers?

My buddy The Daily Thinker provided a nice overview of HostPapa.

My University Money discussed financial engineers vs. real engineers.

BankNerd told us about increasing interest rates for lines of credit. I’m SOO happy ours is finally paid off!

Crystal from BITFS gave us her portfolio update.

Young & Thrifty continued her net worth ascent.

Speaking of Young & Thrifty, Mark from The Blunt Bean Counter had a little fun with his post that said he was a little older and not so thrifty when compared to Y&T.

Financial God discussed Harper’s plan to toy with the Old Age Security (OAS) program.

Mike Holman from Money Smarts Blog decided to have a special sale for his readers and reduced the price of his RESP Book, Kindle e-book version to $4.99. Get it quickly because this price will go back up soon!

Prairie EcoThrifter shared 5 simple ways to help combat world hunger. I really liked this post. No doubt many third world countries are in dire conditions, but you can help close to home as well. Donate to your local food bank as often as you can or other organizations that help those in daily need. In our city, we contribute to this worthy organization.

Kevin from Invest It Wisely wrote about how to quit your job with grace.

Susan Brunner reviewed another company I own this week: Shaw Communications.

Larry MacDonald wrote about 7 RRSP contribution suggestions.

Sustainable Personal Finance had a guest post by Teacher Man that said renewable energy isn’t just for tree huggers. Totally agree.

Preet Banerjee from Where Does All My Money Go had a guest post entitled: I hope you are not waiting for an RRSP refund.

Michael James on Money wrote about Moneyball. He said “I’ve never read a book about baseball I liked more than Moneyball by Michael Lewis.” I really need to read this book and watch the movie.

Million Dollar Journey wondered if you will be buying the Facebook IPO. My answer is, not a chance. (By the way – Facebook has been valued around $100 billion. Mr. Zuckerberg will be retaining 28% or so of the company, that means, he’ll be worth about $28 Billion. Not bad…I guess.)

Thanks for reading and sharing this article.

After reading the respective websites of Preet Banerjee and Dan Bortolotti earlier this week, I decided it would be a good idea to listen to these panelists among other experts for a personal finance discussion hosted by ING Direct Canada yesterday.

I wasn’t disappointed. 

Preet, Dan, Ellen Roseman (columnist, Moneyville.ca) and Rubina Ahmed-Haq (financial journalist) offered tons of great personal finance advice to attendees at the ING DIRECT café at 221 Yonge Street in downtown Toronto and folks like myself who watched the event via live streaming video.  Although I missed a bit of the dialogue during the event (I was also watching the Ottawa Senators vs. New York Rangers hockey game last night at the same time; unfortunately Ottawa lost), I did manage to capture some poignant comments I’d like to share:

When asked about how to survive today’s markets, Dan said:  ”Have exposure to a little bit of everything.” (then you don’t have to worry so much). 

When asked about some advice he could provide to everyday Canadians, Dan said:  ”No one cares more about your money than you do.  Educate yourself.   Make an effort to take control over your own finances.”  (Well said Canadian Couch Potato).

When asked what Canadians could do to help their personal finance situations, Preet said:  “Spend less than you earn, pay down high-interest debt and disaster-proof your life.  It’s really that simple.”   (Awesome).

When asked about the Tax-Free Savings Account (TFSA) and should everyone have one, Dan said:  “Not everyone needs a TFSA.”  (Depends on their personal situation he went on to say.)  ”I’ll be honest, I don’t have one.”

When asked what some of the barriers are to successful money management, Preet offered some comments about the human condition and said “successful investing is 90% psychology and 8% math.”

Not that Ellen and Rubina didn’t have some fine things to offer, but I really appreciated Preet and Dan’s blunt, straight-forward talk.   No preaching, just common-sense encouragement and a willingness to help Joe and Jill Canadian.  Nicely done gentlemen!

In other news yesterday, I was very pleased and honoured to find out that BankNerd rated yours truly as one of the  best financial websites for Canadians.  I realize there are tons of personal finance and investing sites across Canada, so to be rated as one of them, well, I must say it was quite a thrill!  Thanks very much for including me Sensei and Bank Guru! 

The BankNerd article announcing the best financial sites for Canadians said: 

“The websites listed below have been aimed to help you get the best experience out of your finances. Some websites will have methods to help you get out of debt, while others might have a great plan for you to retire on time, maybe even early.  All of the websites listed are fantastic, and deserve your time to be spent on each one of them.”

I agree!  Many of the sites listed are in my blogroll and for good reason.  These sites are an excellent resource for me, not to mention, an inspiration.  Kudos and congrats to all of you, and your great work!  Well deserved!

If you haven’t visited BankNerd yet, check them out.   These folks are dedicated to providing breaking news on the Canadian Banking Industry and informing Canadians about banking trends, bank account information, credit card deals and general information for consumers.  Their goal is to provide simple, unbiased and transparent information on the financial industry.  Amen to that!!!

Speaking of great websites, here are many articles from them from the past week or so, great reading for your great weekend.  I hope you enjoy the articles.  Until next week, where I hope to provide you with my dividend-income update for October, take care, be safe, stay healthy!

Mark

 

Nelson Smith wrote a good guest post on SPF about some more costly things than “the latte factor”, like alcohol.  While I agree with his post for the most part, drinking alcohol does not have to be costlier than drinking coffee.  For example, most of the beer in my fridge costs $1 per bottle.   (I splurge now and again for Steam Whistle, honest!)  I know alcohol isn’t for everyone, I respect that, but a pint here and there in moderation is eh-ok by me

Boomer & Echo provided some compelling reasons to invest in dividend growth stocks. 

Dividend Mantra wondered if you’re using rewards cards to your advantage.

Dividend Growth Investor offered some advice to investors for stock spin-offs, like Abbott.

Million Dollar Journey informed us about Canada’s most expesnive and lowest cost MBA programs.   He also informed us about process improvements underway at Canada Revenue Agency (CRA, offering recourse for clients who feel that they have not been treated fairly.

My University Money wondered why leverage is seemingly OK when it comes to real estate.

Susan Brunner, who holds a host of dividend-paying stocks, shared some experiences and some adventures in small cap stocks.  

Jim Yih told us that estate planning starts by getting organized.  How true.  Check out his post to learn more.

Dividend Guy Blog provided readers with a dividend stock analysis of Telus.

Today’s Economy Blog told us what the Occupy protesters should do next.

Preet Banerjee said there’s tons of doom and gloom in the markets still…and oh yeah, record earnings.

Balance Junkie wrote about bulls vs. bears, Q4 2011 edition. 

Passive Income Earner told us the choices we often need to make between time and money.

Robb Engen wrote a guest post on Canadian Finance Blog telling us meal planning can save time and money.

Big Cajun Man said if you don’t like what you’re getting from your bank, well, Change Your Bank!

Michael James offered some positive feedback about a quality article comparing Steadyhand Funds versus indexing with ETFs. 

Mich from Beating The Index told us why he sold Pinecrest Energy.

Dividend Monk provided a stellar analysis of Exxon Mobil Corporation.

Dividend Ninja had another guest post, this time, by FinanceFox with a post entitled Paying off debt is the best investment.   Depending on what your investments are earning, FinanceFox is spot on!

Canadian Mortgage Trends revisted Rob Carrick’s article in the Globe and Mail, second-guessing if variable rates are really over with.  Rob was great to point out, they could be, because ”a 3.29% five-year fixed wins if rates stay flat and then start rising in 2013.*”  *Assuming 100 bps of hikes occur in 2013, OR 75 bps in 2013 followed by 50 bps more in 2014.

Teacher Man wrote a guest post on Youngandthrifty’s blog, entitled:  The Discount Brokerage Revolution.

Last but certainly not least, Canadian Capitalist provided an overview of the new Vanguard products with pricing and ticker information.  He also told us why stock ratings should be taken with a big grain of salt.  Absolutely CC, maybe a whole tablespoon  

Thanks for reading and sharing this article.

The love/hate relationship between investors and stock markets continue…

Toying with investors’ emotions again this week, the Dow Jones and our S&P/TSX index closed about 3.5% lower today.   A pretty good hit to the solar plexus as tough SNL guys Hans and Franz would say.   Turbulent times continue – I believe long-term market volatility is our new normal – let’s get used to it.   Looking at the big picture, much more long-term than any given market day, equities crashing are times to buy.   No, I’m not crazy, I don’t think.  You’re supposed to buy low and sell high, aren’t you?

If I’m crazy then I have company.  Fellow blogger Mike Holman tweeted today “Looking forward to do some buying today.  I hear VEA is 5% off today.”  Great stuff Mike.   I bought some AT&T myself, a small position, for my RRSP.   AT&T (T:US) has paid dividends for decades.  My kinda company folks.   AT&T and many other blue-chip companies are taking a beating of late which is fine by me.  Regarding AT&T, no matter what’s going on in the world or with currency markets, people aren’t going to suddenly give up their telephones, mobile phones, or broadband internet connections.   If you did, you wouldn’t be reading my blogpost right?   Outside of direct stock purchases, I’d like to get some more VWO, one of my favourite international ETFs later this fall.  This ETF is awesome.  Didn’t catch that post?   Don’t worry.  Thanks to Rob Carrick at the Globe & Mail, you can read that post and a couple more related to my favourite ETFs series.  Thanks again Rob for the mention in your Reader column.

I also completed a brief interview with the Toronto Star today, so hopefully some more My Own Advisor will be headed your way.  Stay tuned friends.

While on vacation this week, I not only enjoyed some amazing weather in Ottawa but some excellent articles from around the blogosphere.  I encourage you to check them out as well.

Have a safe, healthy and happy weekend.  Thanks for reading.  See you next week!

 

The Big Cajun Man reflected on what it means to be an adult now. 

Million Dollar Journey informed us about the new Capital One Cash Back Credit Card.

Michael James said millionaires aren’t what they used to be.  Fair enough, but $1 million is still a magical barrier in my opinion given only about 5% of all Canadians are millionaires based on study earlier this spring. 

The Wealthy Canadian continued to breakdown his portfolio for readers.  This week, he shared his excellent diversification in a sector classified as Merchandise & Lodging.   This post also provided a nice summary of previous posts related to this portfolio.  Check it out.  Investing that is near and dear to my heart, TWC also had an excellent article about the Top-5 companies to DRIP.

Krystal Yee reminded us to increase our mortgage payments.

The Dividend Ninja reviewed Claymore’s new dividend ETF:  CUD.

Canadian Capitalist said commission free ETFs are a good deal for most, but not all investors.  Read why here.

Canadian Couch Potato provided his take on Claymore’s new dividend growth ETF.

Andrew Hallam gave us something much scarier than the stock market.  Amazing post Andrew, really.

SPF discussed the ex-dividend date.

Mich from Beating The Index shared his good outlook on Hyperion.

Boomer & Echo are planning to give away a copy of The Wealthy Barber Returns!

Dividend Guy Blog gave us six steps to help us invest in dividend-paying stocks.

Dividend Monk told us the top-5 holdings owned by value investor and stock guru Seth Klarman.

Just as healthy as the TFSA vs. RRSP debate, the knowledgeable folks at Canadian Mortgage Trends discussed the fixed vs. variable mortgage conundrum.

Preet revisited P/E ratios for a long time reader.

Jim Yih discussed the benefits of investing in low fee mutual funds.   Given the costs some mutual funds charge investors, low fees are the only fees that should be paid.

Canadian Finance Blog gave us some great tips to make your career a successful one.

The aforementioned Mike Holman from Money Smarts Blog asked if home owners could actually benefit from falling real estate values.   With economics, anything is possible!

 

Again, have a great weekend and don’t forget to follow me on Twitter!

 

Thanks for reading and sharing this article.

Love.  Hate.  On-again.  Off-again.  Up.  Down.  The markets have certainly had some fun with investors’ emotions this past week.  The Dow Jones was over the place, but it had a good day today, closing up 4%.  We’ve had just as much fun at home as well.  After a rocky start to the week our S&P/TSX index closed 3% higher today.  We’ll see what tomorrow brings :)

No doubt these are turbulent times, I’m not trying to trivialize things, but like many of the articles told me to do this week the best decision is really no decision at all.  “Hold the line” as they say.  Sure, maybe limping into a few equities is a good play when equities crash big over a few days but certainly looking at the big picture, this is no time to make any drastic decisions.  A good financial plan will weather this market ride and many others worse than it.  Simply build one and stick with it.

I not only read this advice from many fellow bloggers who share this sentiment, I was bold enough to say so myself during a radio interview this week.  The gang at the Rick Howe Show in Halifax was nice enough to drop me a line, ask about my perspectives on the market calamity, but asked me why I blog, why I invest in dividend-paying stocks, why I don’t like mutual funds and what are my long-term financial goals.  I managed to pack a lot of answers into my 10-minute radio spot with anyone who was listening to radio on the East coast and I had fun doing it.   I’d like to thank Erin and Meghan at the Rick Howe Show for asking me to do the interview.  Let’s do it again sometime OK?

As I watched gold prices skyrocket to all-time highs this week, I also took time to read some quality posts from my favourite bloggers.

I hope you enjoy this weekend’s reading list – and you have a great, safe weekend!

101 Centavos has an interesting guest post:  will your clothing help you determine your job advancement?  Geez, now I’m self-conscious…maybe I need a new wardrobe?

Andrew Hallam asked why do people think the markets are so cheap?  He’s got a great point.  Check it out!

Boomer & Echo told us to “tune out the noise” and stick to your plan.

Sustainable Personal Finance told us about your computer’s sleep mode.

Mich from Beating the Index informed us about Canadian interest rates forecasts for 2011-2012.

The Wealthy Canadian discussed why he’s considering using dividend reinvestment plans (DRIPs) for his portfolio.  He breaks down the pros and cons of DRIPs and offers excellent resources for folks to understand this process better as well.  TWC also provided a detailed breakdown of part of his portfolio, concluding his 4-part series about it.  I found it excellent reading.

Balance Junkie told us that history only rhymes.

Rob McLister from Canadian Mortgage Trends offered some good news for variable rate mortgage holders.  Looks like the debt-mess in the U.S. will favour variable rates over the next five years.

Canadian Capitalist asked us what to do now regarding the European credit crisis?

Dan from Canadian Couch Potato asked if you have the right asset allocation?

Big Cajun Man asked if anybody has seen his financial ass?

Dividend Mantra was buying again this week.  Check out what he bought here.

Dividend Monk completed his excellent 9-part series about building and managing a dividend portfolio.  This time, he discussed asset allocation.  A very timely article given the market noise of late.   I fully agree with his comment “asset allocation is more important for your portfolio than individual selections.”

Robert from DIY Investor asked are we on an emotional roller coaster?

Krystal from GMBMFB wrote about saving up for her renovations.

Kevin from Invest It Wisely said beware of the coupon code!

Micheal James on Money discussed Larry Swedroe’s book The Quest for Alpha.   A great post, and I have my take Larry’s book coming up soon.  Stay tuned!

Mike from Money Smarts Blog has some advice for folks who see a bad day in the markets.

Jim Yih said market volatility creates opportunity to rebalance your portfolio.   I would have to agree with him.

The Dividend Guy Blog gave us a market outlook for what’s coming in the next quarter.

The Dividend Ninja reminded folks:  hey now, before you backup the truck….

Susan Brunner had two-posts about her utility stocks.  We own many of the same dividend-payers Susan.  With someone who has so much knowledge and experience with dividend-paying stocks, not to mention success, I have a strong belief I’m on the right track with you.

I look forward to interacting with you more next week!

Thanks for reading and sharing this article.

Needless to say, it’s been a few weeks since I shared any of my reads and trips from around the blogosphere.   I’m not sure where you are, but the weather in Ottawa over the last week or so has been nothing but rain, no shine.  If that sounds like your weather, at least you’ll have lots of good reading material to pour through this long weekend below.  If the sun does happen to shine brightly where you are this weekend, get out and enjoy it.  The articles will be here when the sun goes down ;)

First up, my shameless plug.  I was pleased to find out my “Why become a DIY Investor” article was featured in the Globe and Mail this week, under Rob Carrick’s Personal Finance Reader.

Check out:

My Adviser? The Firm Of Me, Myself And I - reasons to consider becoming a do-it-yourself investor.

Thanks for the mention Rob!

Next up, a host of great articles.  Everything from what makes a good negotiator, to the inevitability of the U.S. debt crisis,  moving to Teksavvy, a dividend stock review of Sun Life and budget travel tips.  Enjoy the articles and have a good weekend folks.  I’ll be back in a few short days!

101 Centavos tells us what makes a good negotiator.

If you got your latest MoneySense magazine, check it out, The Millionaire Teacher Andrew Hallam is featured.  Want to know more about Andrew and his journey to financial success?  Pre-order his book!

Balance Junkie wrote about opportunity costs and lost.

Mich from Beating The Index asked if oil and gas stocks will rise again.

Boomer and Echo provided some excellent criteria for selecting a dividend growth stock.

Larry MacDonald told us about the inevitability of the U.S. debt crisis.

Canadian Capitalist said goodbye Bell, hello Teksavvy!   I might have to consider the same thing, after learning you can pay less than $40 per month for 5 Mbps and major bandwidth.

Canadian Couch Potato asked if you could have picked the winning funds.  Sounds like a lottery to me.  I’ll stick to my ETFs, thanks for the reminder Dan!  Also, if you haven’t already heard, Canadian Couch Potato was selected as the top investing blog in Canada by the Globe and Mail.  Great work and keep up the great stuff.

Canadian Mortgage Trends told us about falling 5-year fixed rates.

Big Cajun Man wrote a scathing, but justified article about the poor folks fighting for their Nortel disability plan. I wish to offer my sincere condolences to the family of Peter Burns.

Dividend Growth Investor asked if dividend stocks are indeed a separate asset class.  I could see this, but it’s a stretch.

Dividend Mantra told us about his recent buys.

Dividend Monk gave a great analysis of dividend-payer Novartis.

Dividend Partisan told us about five utility stocks worth considering.

Robert from DIY Investor asked if the U.S. has run out of financial options.

Financial Uproar made a case against going to college.  Not a bad one, considering he saved a crazy percentage of his income during his first few working years.

Kevin at Invest It Wisely told us why he supports Ron Paul for U.S. President in 2012. I hope Paul gets some serious consideration.

Susan Brunner did a thorough review of Sun Life Financial, amongst a host of other stocks over the last week.  Check out her blog for the details.

Michael James is not convinced there is any truth behind cutting your losers and letting your winners ride on.

Million Dollar Journey offerred some suggestions for spending your tax refund, if you haven’t already!

Mike from Money Smarts Blog wrote about some last minute RESP ideas.

Jim from Retire Happy Blog informed us that debt has become big business.  Also, Jim is another award winner:  Retire Happy Blog gets the nod by the Globe and Mail for Best Canadian Personal Finance Blog this year.   Amazing stuff Jim, very well deserved!

Sustainable Personal Finance offered us a tip related to digital music.

The Dividend Ninja had an extensive interview with Canada’s Youngest Retiree. Check it out!

The Passive Income Earner gave us a great list of dividend stocks to consider based on his customized technical screen and dividend yield.   His watch list is a worthwhile one to check out.

Young and thirfty had a guest post on her blog who offered some great tips to budget for a holiday. My simple rule of thumb?  Pack half the clothes but take twice the money.  You never need as many clothes as you think you do but you can always use a bit more cash when travelling…right?

As always, your comments, perspectives and opinions are welcome.

Cheers!

Thanks for reading and sharing this article.