How to Plan for a Potential Hike in the Capital Gains Inclusion Rate

How to Plan for a Potential Hike in the Capital Gains Inclusion RateWith the federal budget now set for March 22, 2017, investors with significant accrued capital gains in their securities portfolios are wondering whether a hike to the capital gains inclusion rate could be in the cards on budget day and, if so, is there anything they can do it about now. Of course, investors need only be concerned with capital gains taxes if they hold appreciated investments in non-registered accounts….

Read More >>

Changes to Capital Gains Tax will Likely Spark Panic Sales

Changes to Capital Gains Tax will Likely Spark Panic SalesWill they or won’t they? Rumours continue to swirl that the Liberals plan to raise taxes by cutting back on the break Canadians get from capital gains — even though they’ve never campaigned on the issue. That concern could lead to some panic selling of assets as people try to avoid a deadline for something that may never happen or might include a grandfather clause…

Read More >>

Why a Capital Gains Tax Hike Might be on the Federal Budget

Why a Capital Gains Tax Hike Might be on the Federal BudgetWith the federal deficit now estimated to come in at $18 billion (or more), there is nervous speculation that Finance Minister Bill Morneau may go beyond the specific tax changes already detailed in the Liberal pre-election platform and introduce new measures in his March 22 budget to raise much needed tax revenue. One such measure being discussed in the financial and tax community is whether the government might raise the…

Read More >>

How to Make Your Portfolio As Inefficient As Possible – Pay Down the Mortgage

How to Make Your Portfolio As Inefficient As Possible - Pay Down the MortgageThere’s been no shortage of fear-mongering about the Canadian housing market – whether that’s Deutsche Bank stating it is overvalued by 65 per cent, or U.S. hedge funds shorting the country’s banks and mortgage providers. Jerome Hass, a portfolio manager at Lightwater Partners Ltd., had similar views about the London, England, property market just under a decade ago, as well as Australian housing prices 15 to 20 years ago. “I…

Read More >>

Why A Market-Neutral Approach Works When Valuations Are High

Why A Market-Neutral Approach Works When Valuations Are HighIt’s often said that the global economic recovery is muddling along — that is, moving in the right direction, but at a pretty slow pace even though emergency levels of monetary stimulus are still in place. James Hodgins, chief investment officer of Toronto-based CHS Asset Management, thinks that’s kind of crazy. “There is no emergency right now,” he said, explaining that this environment is one reason why his firm launched…

Read More >>

Why Investors Want Cash Now Instead of Future Gains

Why Investors Want Cash Now Instead of Future GainsBarry Schwartz believes a company that is increasing its dividend or buying back shares is a far better investment than one more committed to raising capital expenditures. The chief investment officer at Baskin Financial Services Inc., a wealth management firm in Toronto, thinks it’s a no-brainer. “Have there ever been any studies showing that companies that increase capex over time outperform, because I haven’t seen one,” he said. “But I’ve…

Read More >>

5 Reasons to Love Dividends

5 Reasons to Love DividendsMany investors I spoke to at a three-day investment conference last week extolled the virtues of the dividend stocks they owned. These investors loved how dividend-paying companies seem to just to keep going up, and the dividend money just keeps rolling in. “It almost seems like a scam,” one investor told me. “I do nothing, and the company keeps paying me, quarter after quarter, year after year.” Well, it is…

Read More >>