Weekend Reading – Fat executive bonuses, deals, purpose and value of #money and more
Welcome to my latest Weekend Reading edition…I hope you had a good week.
Here are my articles from the week that was:
This is one reader’s perspective: how you can tell if someone is actually an early retiree (or simply bullshitting you.)
I’m off to the last regular season game for the Ottawa REDBLACKS tonight against Hamilton. As always, it should be a fun game. I’m hoping for a win of course to keep our playoff hopes (for first place) alive.
Enjoy the weekend!
New mortgage rules are coming into effect. Soon, lenders will be required to “stress test” all uninsured mortgage loans – those where the buyer makes a down payment of at least 20 per cent of the home’s purchase price – at the greater of the Bank of Canada’s five-year posted rate or 200 basis points (two percentage points) higher than the negotiated contract rate. I think this is a good move.
Who doesn’t love getting a deal?
A reminder about my Deals page where you can save hundreds or even thousands of dollars over years with better saving and investing solutions. It’s your money – get more out of it!
Newbie investor? Millennial investor?
Get Rich Slowly wrote about the purpose and value of money.
Millennials and young professionals in Toronto appear to need help from greedy landlords. The average rent for a one-bedroom condo in the GTA jumped in cost year-over-year, now going for almost $1,900 per month.
Interesting new financial product here – a robot, AI-powered ETF. So far, so good. This ETF with ticker AIEQ was beating its benchmark the S&P 500 year to date.
A list of reasons why dividends are the most stable form of investor return. The author argues assessing current valuation is the least stable form of returns. While business growth is a better predictor than valuation mind you, dividends are the most stable form. From the article “dividend payments offer:
- Downside protection when the overall stock market is falling
- The ability to quantify future returns with ease using the dividend yield
- A method to profit from owning stocks without reducing or eliminating your ownership stake.”
I found this older graph about net worth targets interesting from MoneySense. You can check out the older, entire article about the Canadian wealth test here. What are your immediate thoughts when you see this?
Boomer and Echo wrote about overdressing your portfolio. It was good to see them write there is no perfect portfolio despite claims from some investors they exist.
Young & Thrifty reviewed Simplii – the replacement for PC Financial. Here is the Coles Notes version of the perks (which remains pretty good):
- No-fee online banking; no-fee banking without any balance minimum
- Continued (free) access to CIBC ATMs for any banking needs
- A promise of higher and competitive rates on savings accounts and mortgages.
Krystal Yee changed her mind about pet insurance.
Stay tuned for new posts next week including one about robo-advisors demystified.