Rethinking Downside Protection in Fast Markets
Investing—whether in fixed income or equities—is rarely a smooth, linear journey. Because of this, many investors place a high value on “downside protection” during their investment period. You could argue that long‑term investors shouldn’t worry about short‑term fluctuations and should focus solely on the final outcome. But investing is emotional for many people, and the […]
Investing a Lump Sum
If you receive a lump sum of any amount, whether an annual bonus or an inheritance, are you better off investing it all at once or gradually? The answer isn’t the same for everyone because personal factors matter as much as analyzing the markets. Studies point to all at once Investment analysts have examined the […]
How falling interest rates affect investments
The Bank of Canada’s interest rate cut in June was slight, yet significant. It was the first rate reduction in more than four years and a signal of cuts to follow, which we’re already seeing. One of the first things that interest rate cuts bring to mind is lowering the cost of borrowing, but they […]
Do You and Your Spouse See Investing The Same Way?
Interestingly, spouses with very different—even opposite—investment personalities may quite easily develop an investment program that’s just right for the couple. Yet, in some cases, partners who view investing the same way may need to proceed with caution. APPROACHES FOR DIFFERING VIEWS Take the case of a conservative investor and an aggressive investor who share a […]
Profit By Overcoming Investment Biases
Financial behaviourists have identified well over 20 investment biases that can tempt or lead individuals to invest in a particular way. Generally speaking, none of the biases is good news for investors. Fortunately, investors who have an advisor aren’t vulnerable to making poor decisions out of fear, hope or any number of irrational reasons. However, […]