Anti Bank Sentiment a Little Frightening

I have spent a number of years working within the frequently difficult and stifling environment of the Canadian banks. I am no great fan of them as employers, but I must say that I am stunned at the animosity toward banks that is currently pervading political elites around the world. President Obama has them in his gun sights, and is whipping up political fury. Apparently the international conference in Davos, Switzerland, has featured similar sentiment (CLICK HERE). No question that bankers share some of the blame for the recent meltdown, but should they have to hunker down and prepare for a global political assault (CLICK HERE). Most global politicians likely should revisit their first year economics courses...banks actually work with central banks to create money, and it is a very dangerous game to constrain their capital. Love them or not, banks have the ability to support economic growth and stability, in the right regulatory environment. Let's hope global regulators are able, and willing, to temper the fervor of populism.

rebuilding your portfolio after the lost decade

Many investors are looking for away to invest in the market with reduced risk to their principal. This has led to a surge in guaranteed withdrawal benefit plans and segregated funds. Tune in Saturday morning at 9:30, for Beyond Funds Market Weekly. I will continue my series on rebuilding your portfolio after the lost decade. This week, I will discuss the role that segregated funds may play, particularly if you wish to invest in equities, but are worried about losing your principal, .Segregated funds are not for everyone, but they may have a place in your portfolio

Segregated Funds

Tune in Saturday morning at 9:30, for Beyond Funds Market Weekly.  I will continue my series on rebuilding your portfolio after the lost decade.   This week, I will discuss the role that segregated funds may play, particularly if you wish to invest in equities, but are worried about losing your principal.Segregated funds are not for everyone, but they may have a place in your portfolio.

Another Portfolio Rebuilding Strategy

As I mentioned on today's radio segment, I believe convertible debentures are an excellent component of a portfolio damaged by the weakness of the past decade. Wikipedia does a great job of describing these vehicles (Wikipedia article), so if you want a quick lesson, read the article. I think they are a great way to get back "in the market," while increasing the3 yield in your portfolio.

Utilizing Convertible Debentures

This week, on Beyond Funds Market Weekly, I am continuing with my series on rebuilding your portfolio after the lost decade. Last week I discussed bonds, and their important role they play in protecting your portfolio from market volatility. Unfortunately, many bonds are offering yields barely above inflation. One bond alternative I like is utilizing convertible debentures. Tune in tomorrow,and I will explain how these may give you the upside of bonds,and protect you from the downside of stocks

Convertible Debentures

Over the past few weeks, I have been discussing rebuilding your portfolio after the lost decade. This week, I will be discussing convertible debentures as a way to grow your wealth. When stocks go up, debentures benefit from their conversion priviledge. When stocks go down, debentures may retain value better, because they earn interest, and are ahead of stocks on a company's balance sheet. Despite the advantages, few investors take advantage of the opportunity they present, Tune in Saturday to learn more.

Bonds Play a Critical Role

On Saturday, I discussed the critical role that bonds play in a well constructed investment portfolio. Strip bonds and corporate bonds can both significantly enhance the return you earn, while protecting you from the volatility of the stock market. If you have not looked at the value of adding bonds to your portfolio, why not give me a call, and get a decond opinion?

Bonds

This week I have been talking about the benefit of diversification. Tomorrow, I will discuss a second key theme for rebuilding your portfolio after the lost decade. Bonds are a key element of a properly diversified portfolio, and I believe that their role is often misunderstood. Bonds may significantly reduce your risk, and provide income during difficult times. Tune in tomorrow at 930, and I will iscuss how bonds fit into your long term strategy.

"Diversification is more than buying a bunch of global mutual funds"

Conventional investment wisdom is frequently flawed. Over the past decade, we have seen the Canadian dollar strengthen, and stocks around the world floundering.  Global equity mutual funds have been hit hard by this double negative. As a result,you may have lost money, especially if you followed the traditional approach of buying a number of global equity funds for diversification.  Quite simply, the time has come to recognize that diversification is more than buying a bunch of global mutual funds.  If you are wondering if you need a second opinion, give me a call.

The Important Role of Diversification

On Saturday, i discussed the important role of diversification in rebuilding your portfolio. Diversification allows your portfolio to grow through difficult market conditions, and can protect you from the wild swings in equity markets. Many portfolios I review are made up of several equity oriented mutual funds. This is not diversification. Bonds, cash, preferred shares, real estate, and even options all have their place in a well constucted portfolio. If you think that your portfolio needs a second opinion, give me a call.

Time to Rebuild

2009 is over, and with it's end, we have seen the conclusion of one of the worst decades in stock market history. The lost decade has damaged many retirement plans, but there are real, meaningful steps you can take to rebuild your portfolio. I have prepared a series of strategies that are designed to help you get back on track after the gruelling bear markets of the past decades. If you would like to review these unique ideas, give me a call at 519 963 8019.

10 themes for 2010-recovering from the lost decade

Over the next few weeks,I will be sharing a number of ideas for rebuilding after the last ten years:

1) Diversification means more than just stocks from around the world
2) Move up the balance sheet…consider bonds
3) Learn about convertible debentures as a stock alternative
4) Seg funds make sense to keep you in the market and secure your retirement income
5) Guarantee your principal with a strip bond
6) Look at ETFs as a mutual fund alternative
7) Buy at least one fun or interesting stock this year
8) Use covered calls to generate income
9) Look at a hedge fund for diversification
10) Take a serious look at the cost and performance of your mutual funds

Stay tuned...