Drew Ross - Financial Advisor

Investors in active funds outperformed in Q2 | Investment Executive For the first time in eight years, flows into active equity funds as a percentage of total assets exceeded flows into passive funds

Over the past couple of years I've strived to make my professional page a source of timely information relevant to the lives of my clients.

To this end I hope I've been successful, but moving forward I will be striving to connect with my clients in a more personal and meaningful way.

While I'm proud of the information I've posted, I will be terminating my professional page.

Hopefully you've found this page both entertaining and helpful. However, I am looking forward to returning to using Facebook solely for documenting the hilarity of my personal life.... mostly for my own amusement.

Your questions, comments and concerns can be sent to me safely and securely at [email protected]

Cheers!

Good day. When a product that you've believed to be inherently flawed is "fixed", and the best part is it can add a whole new level of value for your clients. Good meeting Sun Life Global Investments... thanks!

Sorry, one other key take away.

Market volatility like what was experienced Q4 2018 will continue for a while.

For anyone saving for goals 5+ years out, this is awesome news and where the bulk of our returns will come from for the next decade.

For anyone starting to flow money from saving into their retirement cash flow, ensure the income plan is set and protected. Volatility at this point can wreak havoc if reacting to markets after the fact. Easily done with simple, well-tested concepts like a cash wedge, GIF strategy or guaranteed income plan.

Federal Budget 2019 Sun Life Global Investments brings together the strength of one of Canada’s most trusted names in financial services, Sun Life Financial, with some of the best asset managers from around the world to offer a lineup of innovative, world-class investment solutions.

My take away for clients:

Pay attention to taxation - No real relief so retirees and savers must remain vigilant, focus on net dollars in pocket... it's not how much your investments make, it's how much you get to keep that matters in the end.

Possible Enhanced GIS - Does nothing for the "middle class" but as an ethical matter, helps those who need it. This may be the right thing to do, but personally I see this as another threat to social security when I retire in 20 years 6 months 10 days and 4 hours....

Home Ownership - Be careful, home ownership is a financial strategy that must be carefully weighed. Believe me, I endorse home ownership. But, as with all investments, it is but one option and doing it incorrectly can set your plans back. Home ownership is a boon to government and industry... which is great. Make sure you're buying vs. renting because it is the right move for your plans, not simply because you can.

Federal Budget 2019 Sun Life Global Investments brings together the strength of one of Canada’s most trusted names in financial services, Sun Life Financial, with some of the best asset managers from around the world to offer a lineup of innovative, world-class investment solutions.

Which investments can reduce your tax bill? Taxes may be inescapable, but your choice of investments can have a huge impact on how much tax you pay.

Word is getting around about using RRSPs as a deliberate tax planning tool .... as opposed to the assumption that RRSP contributions are a default transaction.

No doubt, RRSPs are great... at the right amount, in the right circumstances, at the right time, for the right outcome, in the right product.

Yes you do need to save and to plan, but don't assume RRSPs are for you!

Important read!

Yes rate of return is important... of course it is! But that is the snowflake on the tip of the iceberg!

There are several sources of income to consider, and using one impacts the others! The measure of success of an Advisor is NET CASH IN CLIENT'S HANDS TO ENJOY!

What good is a 15% return if you lose half of it to taxes unnecessarily?

What good is a huge RRSP that puts an extra $500 a month in your hand, if it costs you $500 in income from somewhere else to use it?

Build a portfolio that maximises money in your pocket and minimises profit that goes to the government!

Oh, and get a nice return too!

These are the eight sources of retirement income you need to know about Ted Rechtshaffen: Hopefully you have many of these, but be careful — the more sources of income, the more complicated your tax planning becomes

RRSP "Season" is here. PLEASE remember:

1. RRSP is not a product, it is an account. You pick a product and put it into an RRSP to get a tax credit now, and tax deferral on the growth

2. Don't invest in RRSPs because you are "supposed" to. In many households, RRSPs create as many tax problems than they solve. While the RRSP can be the best account to put your investments long term, it isn't always.

3. RRSPs are not better or worse than the TFSA, and vice versal.

Despite its name, the RRSP is not a retirement savings account, it is a tax mitigation tool.

Despite its name, the TFSA is not a savings account, it is a place intended for your most aggressive long-term investments.

They are different accounts with different features, meant to achieve different outcomes. One is not better than the other, how much of what to put where depends on the desired outcome.

4. RRSP vs TFSA vs Mortgage vs Debt... which one?

At the end of the day, the answer to the question "do I invest or pay down debt"... is "yes".

Do the one that you feel most comfortable with. The Advisor's roll is to leverage that decision for maximum impact over the coming years.

I don't care which one you do, I'll easily adjust the plan accordingly, just DO ONE OF THEM if you want your plan to move forward.

Now is a GREAT time to pay against debt due to still low interest rates.

The coming year or or two will also be a FANTASTIC time to add to your investments, as volatility has presented us with ample long-term opportunity.

Conclusion: Do. Something. Anything. Either Or. You'll be glad you did.

For anyone taking money out of their investments for income, the current investment climate is worrisome (if your advisor hasn't built appropriate contingencies in your portfolio).

For everyone else. If you are adding to your investments or holding them for at least 3 years, volatility and "bad" markets are good. In fact, they are better than good, this is opportunity time.

I've been waiting for this environment for about 3 years...

Anyone who says they know when the markets will return, is guessing.

I have no idea when markets will "recover" exactly, but I know that given a 3-5 year window, the fund managers I trust welcome volatility like what we're experiencing, because it is in this environment where you make money.

Ok folks, important timely food for thought.

Part of my role in making sure you keep as much money in your hands as possible, is ensuring it is in the right place, in the right amount.

Earlier this week had a client meeting, to make an annual TFSA contribution.

The clients available contribution room was $6,000.

The Service Canada website said the available room was $11,500.

I track my client contributions carefully, the client had only $6000 of room.

Apparently, Service Canada only updates your information on the page sporatically. After calling to check, Service Canada confirmed they had added her new $6000 of 2019 contribution room to her information, but failed to update the clients $5500 2018 contribution in June 2018.

Had I not been tracking it, the client could have overcontributed by $5,500.... and you can bet that CRA would want their penalties, and fees, and interetest etc for the client's "overcontribution".

Point being, track your contriubtions. Service Canada isn't timely on keeping track for you.

Client appreciation event update:

Last year the client appreciation event, and advance screening of "The Last Jedi" was amazing!

Thank you to all my amazing clients for your trust!

I am DEFINITELY doing another event this year, but postponing until the March Break 2019.

March Break is March 11-15... hopefully some better options at the box office by then!