FEATURE GUEST for December - Crystal Taylor of Holden + Taylor Advisory Group

Savings Options for Canadian Investors

Understanding these are essential to your investing success.

Over the years I’ve heard many people refer to savings and investments in a variety of ways. A common theme is a lack of general understanding about where or how money is invested. Here is an example of a real-life conversation that happens all too often:

Advisor: “Where are you currently investing your money?”

Client/Prospect: “In RRSP’s (TFSA…)…”

Advisor: “Great, what are your RRSP’s (TFSA…) invested in?”

Client/Prospect: “RRSP’s (TFSA…)…”

If you understand the struggle, stay with us. If you don’t, you are not alone. The Canadian Financial industry has done an abysmal job at educating consumers. This is a financial stewardship epidemic, and it is only getting worse with additional platforms, currencies, and media messaging that can damage your long-term success. Only looking at one aspect of your investments, not your overall financial picture, often leads to missed opportunities or surprises.

Here is a quick look at 2 opposite styles of investing in Canada:

DIY Investing:

Some examples are Wealth Simple, Quest Trade, and direct trading accounts through your bank. These are accounts that you open, gaining access to a platform and you select where to invest. The risks and choices are completely on YOU. The appeal is that you often pay lower fees, but the downside is that you may make costly decisions about what to purchase or when to purchase/sell. Emotions and natural behaviors may impede your success with this style of investing. You may also get busy and forget to pay careful attention. We often discover that people have neglected to name or update beneficiaries, forgotten to update their level of risk, and even forgotten about money sitting in cash doing nothing.

Working with a Trusted Advisor:

An Advisor works with you to establish the best method of investing. Factors considered are often the result of in-depth conversation and exploration of your goal for the funds, when you might use funds, your current and projected tax situation, your comfort with volatility, your type of work, your general lifestyle, your investment savvy, your willingness to monitor the account, your estate plan…and more. A lot of work will go into determining what is best for your money. Often you will be presented with 2 – 3 options for where and how to invest. You will have the ability to make an informed, confident, collaborative, and clear decision about where and how you are investing. You may (not always) pay a little more in fees for this value. Understanding those fees and how you benefit overall will be a part of this process.

To understand more about saving and investing please take advantage of a free no obligation 30 minute discussion with me using this link.

Crystal Taylor

Holden + Taylor Advisory Group

431 - 58 Avenue SE

Calgary, AB T2H 0P5

www.holdentaylorfinancial.ca

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IG: @holdentaylorfinancial Twitter: @holden_yyc