Around the Blogosphere

The recent stock market crash and plunging interest rates may have some investors scrambling for safe havens. Stocks fell by as much as 35 percent (before recovering about half of those losses), while the interest rate on GICs and savings accounts in particular have dropped in lock-step with the Bank of Canada’s emergency rate cuts.…

One knock against passive investing is that while it’s great to match the market’s performance in good times, it’s not as fun to watch your portfolio drop when the outlook turns bearish. Indeed, index investors like me have seen their portfolios take a 20-25 percent hit in a relatively short period during the COVID-19 crisis.…

A dead cat bounce is a temporary resurgence in stock prices after a substantial fall. The phrase originated on Wall Street, derived from the idea that “even a dead cat will bounce if it falls from a great height.”  That’s what investors saw last week as stock markets rallied for three days before slumping again…

My inbox has been flooded with emails from companies telling me “we are here for you” during these difficult times. Banks, credit card companies, airlines, restaurants, Galen Weston Jr., that retailer you bought a shirt from three years ago. They’re all here for you.  What does it mean? For some, it’s public relations and a…

Last week felt like a year. It began Monday with one of the largest one-day stock market declines in history (S&P500 -7.6%) before Thursday said, “hold my beer”, and stocks fell an incredible -9.51% that day. Then markets rallied on Friday with one of the largest one-day gains in history (S&P500 +9.29%) to cap-off a…

The Bank of Canada cut its key interest rate by 0.50 percent on Wednesday in a response to a global economic threat caused by the COVID-19 outbreak. The decision followed the U.S. Federal Reserve’s emergency rate cut on Tuesday. It’s the first interest rate cut in four years. Here’s what it means for Canadians: Interest…

Let’s talk about last week. Unless you were living under a rock, which in hindsight might not have been a bad idea, you couldn’t help but notice that North American stock markets suffered their worst week of losses since the financial crisis. Global economic fears triggered by the outbreak of coronavirus disease (COVID-19) caused the…

For several years the federal government has tightened mortgage rules with the goal of slowing down rising home prices in booming markets like Toronto and Vancouver, and ensuring home owners weren’t getting in over their heads by taking on too much debt. The mortgage stress test, first introduced in 2016 and then expanded in 2018,…

Aloha! We’ve spent the past week in Maui escaping the cold winter back home and taking a much needed break. The past few months have been stressful and anxiety-ridden as I transitioned from a day job + side hustle to full-time entrepreneur. I’m happy to say that life as an online entrepreneur is going better…

One of the biggest decisions retirees face is when to take their Canada Pension Plan (CPP) benefits. There’s a case to be made for deferring CPP until age 70, or taking CPP at 60, or somewhere in between (like the standard age 65).  You can view your estimated monthly CPP benefits online using your My…