Success through simplicity entails buying the right companies and holding them a long time. This reduces stress and workload managing investments, and leads to better outcomes. But do I follow my own advice? My first decade of stock investing was unsuccessful so when I transferred my RRSP into a stock account in 1993, I began […] Read more
Long-term investment successes… and a few blemishes
Herman VanGenderen reveals the ups (and a few downs) of his stock investing history
Evaluating your investment performance
Are you getting your money’s worth when it comes to mutual fund fee structures?
There has been a lot of negativity directed towards the mutual fund and financial advisory industries around performance and fees, partly because of the emergence of Exchange Traded Funds (ETFs) with lower fees. Advisors, however, rely on mutual fund fees. My bias is towards taking control with direct stock ownership. This virtually eliminates fees and, […] Read more
The folly of market predictions
For the best long-term predictions, predict that most predictions will be wrong
In a previous column, I mentioned less than half of predictions are accurate. This phenomenon has been well documented, yet market predictions continue to abound. I began making market predictions in my January 2016 newsletter, mostly to poke fun at the whole prediction process, but also to test myself against the experts. How have I […] Read more
Thoughts on investing in real estate
Most farmers have invested in a home and in farmland. These investments are not risk free
My January 8, 2019, column titled, “Re-think what you thought, Part 2” contained a statement that a common misperception is that a house is one’s most important investment. For farmers, a house often comes with the farm, which is clearly an investment. Does this apply to those who don’t farm? I wish to clarify that […] Read more
The much-maligned RRSP
RRSP’s have a bad reputation lately, but for many investors, they’re a good option
By the time you read this the 2018 Registered Retirement Savings Plan (RRSP) deadline will have come and gone. However, I suspect most readers will have contribution room available, which can be found on your annual income tax “Notice of Assessment.” Many Canadians have tossed the RRSP into the trash bin, favouring the TFSA. I […] Read more
Investment success factors
Some personal and investment-focused factors that drive investing success
In September of last year I was interviewed by the Globe and Mail, Canada’s premier business newspaper. A question that really made me think was, “What accounts for your outperformance since the 1990s?” I would like to delve into this question, dividing the answer into personal and investment factors. Personal factors for success The personal […] Read more
A dynamic investment trio: TFSA, Stocks, the ‘Rule of 72’
Use the three parts of this trio to build your own self-sustaining retirement program
The TFSA program is beneficial to all, but is especially beneficial to the younger generation who have an unprecedented ability to use its tax-free compounding potential for many years. Let’s look at how the TFSA can be combined with stock investments, compounding through the “Rule of 72,” to build a self-sustaining retirement program. Stocks are […] Read more
Down markets aren’t bad markets
A review of 2018’s market performance shows a slight gain from the sample portfolio
Down markets are great if you’re in the stock buying mood. Markets ended 2018 with a thud. In the fourth quarter there were declines of about 16 per cent in Canada and 20 per cent in the U.S., closing the year slightly off these lows. Financial headlines were dire, with many suggesting the worst December […] Read more
2019 SMART Investing Goals
Setting personal financial goals for the upcoming year is a good way to make sure you grow your portfolio
2018 has been a challenging year for stock and bond investors around the world. Virtually every asset class, in every country is down year-to-date. Following is a sampling of stock market declines (not including dividends) around the world as at mid-December, 2018: China is down 22 per cent, Germany 16 per cent, Canada 10 per […] Read more
Re-think what you thought, Part 2
Four more common financial investing myths, de-bunked by Herman VanGenderen
This article is a continuation of my previous column, and a summary of the themes of my 30- to 45-minute presentation. Most stock investing perceptions are actually misperceptions. I outlined five common misperceptions in the previous article. Here are another four. 1. You have to sell to make a profit The three companies I have […] Read more
Cyber-Savvy Farmer
