Investing in speculations: an oxymoron

Is that investment you’re considering an actual investment? Or are you speculating?

Are cryptocurrencies and marijuana stocks investments? How about a technology company like Tesla? I can’t seem to have a conversation without being asked about these types of companies, although the cryptocurrency discussion has declined with their prices. Let’s look at the financials of Tilray, a marijuana stock, and Tesla. At the time of writing Tilray […] Read more

Wheat and Canadian Money or dollar or currency in double exposure shot, concept for earnings or spend in Agriculture

Farm debt in Western Canada

Our debt levels are increasing, but our debt-to-equity ratios are holding steady

The headline of an article released by FCC near the end of September was a little worrying: “What does a new high in farm debt mean for the ag sector?” Between 2016 and 2017, total Canadian farm debt increased by 6.6 per cent to more than $100 billion. In Manitoba, Saskatchewan and Alberta, the increase […] Read more


Stock market chart on LCD screen. Selective focus.

Is market level relevant? If you’re an investor, not a speculator, market predictions are futile

Investing for Fun and Profit with Herman VanGenderen

I am about to question one of the sacred beliefs of market pundits. It is my belief that market level isn’t very important to our investing success. What? Does that make sense? First, let’s look at how accurate market predictions tend to be. Reading about the topic leads me to believe the prediction success rate […] Read more

Farm Financial Planner: What to do with farm equity?

Farm Financial Planner: What to do with farm equity?

With no children and no debt, farming couple needs a wealth transition plan

A couple we’ll call Mark and Susan, both 59, have been farming in south-central Manitoba for three decades. They have had off-farm work too, both in a machine shop Mark owns where Susan does administrative work as an employee. The farm, 1,440 acres valued at $3.45 million, and the off-farm business, organized as a corporation, […] Read more


Cash flow is king. A simple measurement that helps you evaluate a company

Cash flow is king. A simple measurement that helps you evaluate a company

Investing for Fun and Profit with Herman VanGenderen

What’s more important than profits? Well of course family, friends and health, but what about in a business? My favorite valuation measure is actually cash flow. Everyone has heard the saying that “cash is king.” At today’s interest rates I would argue that cash is a waste of money, but cash flow is king! Most […] Read more

*10-year growth compares 2017 to 2008. Example, Royal Bank’s 2017 dividend was 1.8 times larger than in 2008.

Sorting through the mumbo jumbo of financial investments

Herman VanGenderen puts his model portfolio to the 
test for Grainews readers

There is a lot of mumbo jumbo surrounding the stock investing field, and quite frankly a large amount of horse exhaust as well. Let’s cut through a bunch of that, in this and the next column, to illuminate what’s really important to us as independent investors. I have taken the portfolio I described in my […] Read more


Close up of Canadian currency

Starting your self-managed accounts

Getting accounts started is a simple as a visit to your local bank

So you have emptied your piggy bank, read my book, and are now motivated to start a stock investing account. Or you already have accounts at a few different places and want to consolidate them to start managing yourself. Perhaps you are working with a financial advisor but want to take more control. How do […] Read more

Watching risk and interest rates

Watching risk and interest rates

Guarding Wealth: There’s a gulf opening between the borrowing costs and what you can get on a GIC

Interest rates are rising in the U.S. and Canada. That brings opportunity to those putting money into savings accounts and guaranteed income certificates, but also pressure on those who borrow. Global politics, trade negotiations and the sheer risk of investing are separating returns on investments from the cost of borrowing. Trend setting government bond interest […] Read more


money

The most important investment number

The “Rule of 72” is one of the most fundamental principles of investment

One of the most fundamental investment principles is the “Rule of 72.” Understanding this rule is key to understanding investment returns, the benefits of tax-advantaged accounts, and why starting with limited funds can still lead to great outcomes. The year 1972, for those of us old enough to remember, was a year that will forever […] Read more

Cropped image of handsome businessman in casual wear using a laptop and examining documents while working in the office

Seven summer financial bottlenecks

In biz-speak, a bottleneck is a point of congestion that causes delays or inefficiencies, leading to higher costs. It’s a perfect metaphor for farm finances at a time of year when the bottle we’d rather be thinking about might have something cold in it, with us sitting on a dock. Yet summer is a too-good-to-miss […] Read more