Friday, January 6, 2012

Short Takes: Explaining Investing Costs, Portfolio Rebalancing, and more

Preet Banerjee answers some questions from a financial advisor not happy with his Globe and Mail column, Would you give up 44 per cent of your investment over 25 years.

Larry MacDonald asks several experienced investors how they handle portfolio rebalancing.

Larry Swedroe shows that when it comes to investing, what you don’t understand can be very expensive.

Canadian Couch Potato explains how ETF units come into and out of existence and how this process keeps them trading at the value of the underlying assets.

Potato analyzes his performance as an active investor and explains his struggle to decide whether to be an active or passive investor.

The Blunt Bean Counter explains 5 popular CRA audit targets.

Big Cajun Man writes about the magic dancing monkeys that may be standing (dancing?) between him and his son’s Canada Learning Bond.

Canadian Capitalist summarizes the 2011 returns for various asset classes.

Gail Vaz-Oxlade explains that the best way to change your behaviour is to focus on what you really, really want rather than focusing on what you should stop doing. I see the power of this with one friend of mine who has set a target date to retire into a life of daily golf. He is laser-focused on his goal and this makes it easier for him to save a high percentage of his income. Without this goal it would he harder to avoid expensive temptations.

Million Dollar Journey and Money Smarts announce their results in a 2011 stock-picking contest. The average result of the 9 participants was a loss of 14.57%. My pick of the Canadian and US stock indexes would have been well above average.  Adding my real money portfolio as a participant in the contest would have left me fourth place out of 10.

3 comments:

  1. The Blunt Bean CounterJanuary 6, 2012 at 7:36 AM

    Thanks for the link Michael. That water in your new header looks mighty appealing today.

    ReplyDelete
  2. Thanks for the inclusion have a pleasurable weekend.

    ReplyDelete