It’s been a busy vacation thus far, not that we’ve travelled far. We’ve taken a few day trips, spent some time with family, I played some golf, we did some much needed work around the house and there were some days to relax in between – when it wasn’t pouring rain here in Ottawa. That said with that schedule I haven’t been overly committed to the blog. I suspect as the fall comes around that will change. There are a number of money-items on my mind including a potential move back into the city in a few years. That’s something to plan and work towards. Certainly lots of things to share with you…
Here was my article from this week: try these five ways to stash more cash.
Enjoy these articles and I hope you have a great weekend!
John Heinzl listed five ways to de-stress your investing plan. I agree with John’s tips. Here is some more explicit direction from me:
- Keep most ETFs and Real Estate Investment Trusts (REITs) that produce return of capital inside registered accounts.
- Keep your U.S. dividend paying stocks inside your RRSP. You can read more why here.
- Keep your trading to a minimum. Agreed. This is certainly one key to self-directed investing success.
- Keep your investment return expectations realistic – don’t chase yield.
- Keep diversification at the heart of your investment plan. Invest outside Canada’s borders (we are only 4% of the world market).
With those five reminders to help you I believe the best time to invest was actually yesterday.
On the subject of home ownership Holy Potato revisited the rent versus buy debate. We’re not against renting for a few years ourselves.
A Wealth of Common Sense wrote about prioritizing your time. Ben’s post led me to this article with Aziz Ansari about quitting the internet and the allure of wanting more in GQ.
Half Banked believes millennials don’t need cash-value life insurance, but term life insurance – yes. Here is why I like term insurance and why we use it:
- It’s simple to understand. You have premiums, you have a term for your premiums and you get coverage.
- Our policy is renewable and convertible. This means our coverage can be renewed and/or converted to a permanent plan when the term is up without a medical exam.
- Our premiums are low.
- Our premiums are fixed. They won’t go up for the length of our term.
- We hope to self-insure eventually when all debts are paid off and assets can cover the following:
- Income replacement from a prolonged job loss
- Money for emergencies
- “Final” expenses
Million Dollar Journey updated the performance of the Dogs of the TSX. Like MDJ I also own all the stocks mentioned in his article and I have no intention of selling them unless those stocks stop paying dividends.
This is why Mr. 1500 owns a home. I’m not sure we own one for the same reasons.
Looks like Toronto home prices are actually falling since their highest peak earlier this year. I suspect if we see another interest rate increase (this year) this trend will continue. Otherwise it’s just a small blip on the trendline going higher still. (Note: after looking at house prices in downtown Ottawa this week I simply cannot get over how pricey things are…$700,000 semi-detached homes that need work; $800,000 single-family homes that need significant work; seems a bit crazy but alas it is what it is…).
Could the popularity of indexing reach a tipping point? Probably but we’re nowhere near that yet. Here is what investing guru Andrew Hallam thinks.
Freedom Thirty Five Blog wrote about millennials rejecting capitalism.