Invited by a former ag retailer and farmer to conduct an investing workshop, I was once again surprised by how few had heard of the “Rule of 72.” While working through this simple formula someone asked, “Why don’t they teach this in school?”
Tag Archives RRSP
The ‘Rule of 72’: Why don’t they teach this in school?
Investing for Fun & Profit: A couple of important but simple math exercises for those new to investing
Why would a farmer be interested in stocks?
The goal is to make money and grow your asset base
Over the past five years, I hope to have convinced some to gather a nest egg in stocks, whether in a TFSA, RRSP or a taxable account. I am curious if you have started because of what I have written and how many are following the Titanium-Strength Portfolio (TSP). Please send a short email to […] Read more
A simple retirement plan
A couple’s farmland is set up for generational transfer
In north-central Manitoba, a couple we’ll call Herb, 66, and Margie, 64, are planning retirement in just a few months. They have 320 acres they own personally. They have owned the land for almost 30 years. It will qualify for the farmland capital gains exemption. When sold, therefore, the property will not bear capital gains […] Read more
New farm transfer strategy aids couple with shrinking retirement funds
Farm Financial Planner: Now they can provide for children and increase nest egg
A couple we’ll call Max and Susan rent 320 acres to their son, who we’ll call Ernie, in central Manitoba. They are retired. Their problem is how to provide for their two daughters who do not farm. Worse, the retirement nest egg they put together years ago has been eroded by inflation and low returns […] Read more
Investing and the omnipresent impact of the bell curve
Outstanding performance of the titanium portfolio on its first anniversary
Last year I described my “Titanium Strength Model Portfolio,” based on buying and holding strong stocks. Now it’s time to take a look at my results. How did the portfolio perform? How did it compare to market indices? What other nuggets can we glean that might aid our understanding of portfolio management? What does a […] Read more
Keep farming for a lower tax bill
Keeping the farm operating will hold taxes down and maintain the farm legacy
Farming has been good to a couple we’ll call Horace, 50, and Betsy, 40. Their 3,500-acre grain operation has been consistently profitable. Now they want to plan their retirement and succession, but it’s too early to tell if their daughter, Moira, 10, will be interested in continuing to farm. The couple plan to stay with […] Read more
Investing in financial markets
In Part 1 of this new series on financial management basis, Andrew Allentuck explains how to choose a manager for your money
Warren Buffett, the tycoon from Omaha who became America’s second richest billionaire after Bill Gates, quipped that investing is simple but not necessarily easy. The simplicity is understanding relatively few things very, very well. The job entails both researching each business he buys and having the guts to stick to rules he traces back to Ben […] Read more
Bachelor farmer seeks retirement plan
Farm Financial Planner: With no spouse and no children to take over the farm, this single farmer needs to decide when he can retire, then create his retirement and inheritance plan
Fred, as we’ll call him, has farmed in central Manitoba for four decades, often adding to farm income by working for his neighbours. Over time, he has sold off parcels of his operation — once 480 acres — and is now down to 160 acres. He uses his land for producing hay, custom grazing and […] Read more
Keep the farm going
For a multi-generational family farm, it’s continuity rather than profit that’s the guiding principle for succession
Jack and Martha, as we’ll call them, farm 1,760 acres in central Manitoba. At the ages of 67 and 62, they are thinking of handing over the reins of their operation to their son, Bob, who is 30 and already active in running the farm. Bob will be the fourth generation of his family to […] Read more
Cyber-Savvy Farmer
