We compare the return and volatility of a Canadian portfolio under a no-rebalancing scenario and ten naive rebalancing strategies, over 35 years (1980-2014) of capital market history.
Determining an appropriate asset allocation is one of the most important decisions an investor will ever make. This decision is based on the investor’s ability, willingness and need to take risk.
It is difficult to estimate the value that can be obtained from a competent investment advisor. This paper reviews 12 value-added services performed by competent investment advisors.
It has been our experience that portfolio rebalancing is one of the very few ways to generate additional returns for a portfolio without incurring any additional risk.
The facts that are indisputable are that we are living longer and returns from income generating securities such as bonds have fallen to historic lows.
When an individual owns a small business corporation, common advice tends to be that they leave all dollars in excess of their living expenses inside of the corporation to defer paying personal tax.
All large investment institutions—including banks, pension funds and insurance companies—devote significant resources to risk management.
In this paper, we introduce the various methods used to calculate a portfolio’s rate of return, explain how and why they can produce different results, and help you determine which method is most appropriate to your circumstances.
Preferred shares are popular with Canadians because of their high yields (compared with bonds and GICs) and favourable tax treatment.
Making smarter investment choices is one of the key elements in building up adequate retirement savings. People are constantly inundated with sales pitches for investment opportunities from banks, insurance companies, and their friends and relatives. For an individual with limited investment knowledge, this can be intimidating.