Weekend Reading – Don’t sell everything, Couch Potato returns, Air Miles and more

Weekend Reading – Don’t sell everything, Couch Potato returns, Air Miles and more

Welcome to your Weekend Reading edition, some of the best articles from the personal finance and investing blogosphere right here.

With a new year, there is some new TFSA contribution room, and I shared my thoughts on what to put into this account here

I also made some bold 2016 predictions including who might win The Stanley Cup. Some thoughts about what the markets might do this year is there also…

Enjoy these articles and enjoy your weekend!

As a follow-up to the RBS article last week to “sell everything”, Tom Bradley shared better, more practical advice here:  “Broadly diversified portfolios have consistently served Canadian investors well. I’m not talking about ones focused on Canadian financial, real estate and resource stocks, but rather portfolios that hold cash, government and corporate bonds, and small, medium and large companies across a range of industries, geographies and currencies.”

Here are the Couch Potato returns for 2015, specifically comparing the following:

Now let’s put these blocks together and see how the model portfolios performed. At the beginning of 2015, I expanded the TD e-Series and ETF models to include five different asset mixes, ranging from Conservative (30% stocks, 70% bonds) to Aggressive (90% stocks). Here are the returns for each version:

TD e-Series funds

ConservativeCautiousBalancedAssertiveAggressive
30% equities45% equities60% equities75% equities90% equities
5.26%6.36%7.45%8.55%9.65%

Vanguard ETFs

ConservativeCautiousBalancedAssertiveAggressive
30% equities45% equities60% equities75% equities90% equities
4.97%5.72%6.46%7.21%7.95%

Is collecting Air Miles still worth it?  How To Save Money has a take.

Here are some signs you need a better retirement plan if you’re hoping for government programs to save you.

U.S. buyers are snapping up cheaper Canadian real estate with our decimated loonie.

Golf star Lee Westwood is selling his $11 million dollar home.  Nice place!

My Dividend Pipeline has been on a buying spree lately.

Retirement guru Fred Vettese told us saving 10% of your income is no longer good enough for a comfortable retirement.  This was his recent article.  I mentioned the same thing here.

Enjoy your weekend!

My name is Mark Seed - the founder, editor and owner of My Own Advisor. As my own DIY financial advisor, I'm looking to start semi-retirement soon, sooner than most. Find out how, what I did, and what you can learn to tailor your own financial independence path. Join the newsletter read by thousands each day, always FREE.

13 Responses to "Weekend Reading – Don’t sell everything, Couch Potato returns, Air Miles and more"

  1. Thanks for the mention Mark – have a great weekend! Watching both my investments and the Canadian dollar tank has not fun, but it never is 🙁 Unfortunately, I am overweighted in Canada and have been slowly trying to correct that. The markets have deemed fit to correct it for me a little faster!

    Reply
  2. re: US real estate invasion — funny how things flow. Following the US housing bubble, Canadians were huge buyers of US real estate; now that our oil/currency bubble has popped, they are here to consume our RE! Even nationally, Alberta’s boom saw a lot of AB money buy up BC property; now BC money is flowing back into AB buying up foreclosed and depressed property. Americans buying into Alberta right now are getting some monster deals!

    Reply
    1. I was thinking about the same thing SST when I read that article. 7 years ago, Canadians with cash were buying in Florida and Arizona. Now, the tables are turned. Good on them – smart buyers.

      Reply
  3. I am with Michael James, although I am fairly sure my lump of gold would be even smaller. The world has changed a great deal since I was a lad, but I have been glad to watch it all happen. Thanks for the inclusion this week, have a great weekend.

    Reply
  4. After the RBS noise I thought about how much gold I could buy with everything I own. It turns out to be a surprisingly small lump. I think I’ll keep my money in my house and a small slice of almost every stock on earth. Thanks for the mention.

    Reply

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