Friday, June 27, 2014

Short Takes: Bogle Speaks, Despicable Heirs, and more

Here are my posts for this week:

RRIF Withdrawal Rates do not have to Rule Your Life

RRIF Minimum Withdrawals are Designed for a 6% Real Return

Here are some short takes and some weekend reading:

Charles Rotblut interviews John Bogle (founder of Vanguard) about index funds, ETFs, and more. Bogle has a great way of explaining important investing concepts very clearly.

The Blunt Bean Counter makes some interesting observations about the different types of people who are expecting an inheritance. They range from decent people to the despicable.

Life Insurance Canada says that it’s hard to deal with insurance companies that sell directly online without an insurance broker. We can be justified in being suspicious of the opinion of a broker who doesn’t like companies that don’t use brokers, but the experiences described seem genuine.

Million Dollar Journey has the story of 29-year old Sean Cooper who has amassed a net worth of $500,000. Many would find his measures extreme, but even a small slice of Sean’s methods would help the finances of most young people.

Big Cajun Man thinks the government-supplied thermostats that allow the government to turn off your air conditioning during peak electricity usage times are a good thing. I think it’s a great idea for everyone other than me to get such a thermostat.

My Own Advisor updates his progress toward his financial goals. He achieved the goal of maxing out his and his wife’s TFSAs by moving assets from a non-registered account. While this may be a smart move, it sounds a little like a cheat because it’s not really new savings. I guess it comes down to whether the intent of the goal was to control spending enough to grow TFSA savings or if the goal was simply to fill the TFSAs.


  1. I agree with your sentiments, but YOU should get one as well, so I don't have to. Enjoy the extended long weekend.

  2. Hi Michael,
    Have you ever written an entry on the best way to borrow money to invest in index funds? I'd like to leverage up for to 150-200% with the new Vanguard all world except Canada that is coming out soon and leave it for 15 years but am not sure the best way to do it. Thanks, Larry

    1. @Anonymous: I've written about leverage before, but mostly about its dangers. Because I think your plan is dangerous for most people, I'm not the best person to discuss the best way to go about it.

  3. You got me :) Yes, not new savings but after the small capital gains hit, I guess in time it will mean savings in the form of tax-free income and growth. Ultimately the goal is to control spending, we did more spending that usual in the winter and spring of 2014.

    I have an ambitious 5-figure savings goal for next year but that's still a long ways away and we'll need to make some sacrifices for that.

    Have a great weekend Michael.