Financial Planning Advice

rm206 · #1 03-08-2014, 11:07 AM

Lately Ive been looking for a financial advisor but have had very little luck. Because of my age it seems like no one Ive talked to takes me seriously or my portfolio isn't large enough for them to bother with. Ive done some self directed investing and had some success but I feel like I don't quite have enough knowledge to make a confident decision or how best to set up a portfolio that works for me. I guess I'm just looking for information as far as books that are out there to better understand this stuff or if anyone knows a good financial advisor. Right now Im just unsure of where to go from here and again because of my age I know I have a great opportunity to set myself up for a good retirement and I don't want to waste it.

TBark · #2 03-08-2014, 11:28 AM

My guy is out of BMO Sherwood Park, costs me 1.95%.
Made me 14% in 2013, and 11% the year before.

TBark

bdub · #3 03-08-2014, 01:20 PM

Look at some of the Vanguard efts. Management fees are very low and you get great diversification. You could split your stuff up into equal parts Canadian, US and Europe, Asia and Far East and have a really decent portfolio even if it is on the small side. Paying high management fees (north of 1.5%) just sucks the returns out of your investments unless your advisor is beating the market by at least what he is charging you, and almost none of them do beat the market consistently. Most are nothing more than mutual fund salespeople or crap stock pump and dumpers. Just my 2 cents.

biggyJ · #4 03-08-2014, 02:27 PM

If you have a relatively small portfolio and are not that confident I would recommend the ING streetwise index funds.

Very easy to use and a low MER of 1.07.

Here is a link:

http://canadiancouchpotato.com/wp-co...d-Solution.pdf

Also take a look at the Canadian couch potato models of ETF and index based mutual funds.

TDeseries is really recommended, and super low MER of 0.44 which is just slightly above what you would pay for ETF's.

http://canadiancouchpotato.com/model-portfolios/

Cheers

raab · #5 03-08-2014, 03:07 PM

Quote:

Originally Posted by rm206

Lately Ive been looking for a financial advisor but have had very little luck. Because of my age it seems like no one Ive talked to takes me seriously or my portfolio isn't large enough for them to bother with. Ive done some self directed investing and had some success but I feel like I don't quite have enough knowledge to make a confident decision or how best to set up a portfolio that works for me. I guess I'm just looking for information as far as books that are out there to better understand this stuff or if anyone knows a good financial advisor. Right now Im just unsure of where to go from here and again because of my age I know I have a great opportunity to set myself up for a good retirement and I don't want to waste it.

What kind of advice would you like. Do you just want stock/portfolio advice or would you like a total plan to deal with things like house/debt/retirement/savings etc...

elkhunter11 · #6 03-08-2014, 03:20 PM

In the past, I have used the services of supposed investment "professionals", but they didn't do as good as I did investing on my own. I made 22% on my investments in 2013, and in two months of 2014, I am up about 6.5%. The so called experts, tell me that I should be in very low risk investments at my age, and if I listened to them, my annual returns would have been in the single digits, for the past few years.

If you are young, max out your TFSA, and RRSP, and you should be set, when you are ready to retire.

Okotokian · #7 03-08-2014, 03:36 PM

Financial planning advice is a great idea, but most of the guys posting here aren't talking about a financial advisor, they are talking about investment salesmen. They want your money.They will invest it and take piece of it. At one point you will wat to use these guys, but I think it a good idea to do some planning before even that step.

I have a financial advisor. I pay him for his advice, not just about investments, but about budgets, tax planning, etc. with the end result (hopefully) that I will be well prepared for retirement. He recommends general types of investment strategies but doesn't suggest particular stocks, etc. or even fund companies because he doesn't sell them. I don't invest with him, he makes no extra money out of trying to steer me a certain way. I just cut him a cheque and he produces a very thorough report which is updated periodically throughout the year. Might want to think about that first.

bdub · #8 03-08-2014, 04:12 PM

Quote:

Originally Posted by rm206

Lately Ive been looking for a financial advisor but have had very little luck. Because of my age it seems like no one Ive talked to takes me seriously or my portfolio isn't large enough for them to bother with. Ive done some self directed investing and had some success but I feel like I don't quite have enough knowledge to make a confident decision or how best to set up a portfolio that works for me. I guess I'm just looking for information as far as books that are out there to better understand this stuff or if anyone knows a good financial advisor. Right now Im just unsure of where to go from here and again because of my age I know I have a great opportunity to set myself up for a good retirement and I don't want to waste it.

Here are a few good ones that I have in my library. The Intelligent Investor by Benjamin Graham, Security Analysis by Graham, Dodd, Cottle, Security Analysis and Portfolio Management by Donald Fisher and Ronald Jordan. These three are pretty dry but full of great info. KPMG publishes great books on tax planning for Canadians yearly. A lighter read that might shape your thoughts and help you develop your own strategy are Ken Fishers The Only Three Questions That Count. There are also tons of others books, some good some not so good, out there. We also have great programming on TV for Canadians in BNN. Good on you for wanting to educate yourself on taking care of your finances.

Cement Bench · #9 03-08-2014, 05:17 PM

how old are you, married with kids,

RRSP maxed out each year, TFSA maxed out at 31000, and about how much do you have each year (if over 10 grand), I will spend a half hour with you and fax you 3 pages of ETF funds from bank of montreal I am to get from a semianar of the guy on BNN,

I just do not want ot spend the time if you are not already have rrsp, tfsa and paying off your house, other threads have the same or better info for you

YOU CAN DO IT ON YOUR OWN,

bank of nova scotia if you put 15g with them you get a free 1000 cost seminar over 3 days with larry berman, good deal,

wait for the sell in may and go away strategy this year,

later retired on a Cement Bench

skidderman · #10 03-08-2014, 05:35 PM

I hope you have more luck than me. I've had several so called advisors from different banks and not happy with any of them. Current one I've had for five years. All he does is talk, never listens. I've found that when I do the research and do what I think is right I have better success on my own. If you are looking for a pro advisor one thing I've learned is that most banks pay a salary vs commission. I am and will in the future stick with major banks and only with someone that doesn't promise the moon. The one largest factor you need to decide on is how much risk you are willing to accept.

ali#1 · #11 03-08-2014, 05:38 PM

I put my money under the bed and pay off debt ASAP.

Cement Bench · #12 03-08-2014, 05:57 PM

chat taken offline, one can click on a link above and get most of the questions answered,

Cement Bench

79ford · #13 03-09-2014, 06:41 PM

low risk seems to work good... step one seems to be not putting yourself in a place to loose money. I have been getting a decent deal out of prefered shares and bonds from corporations that will likely be around a long time. Probably not the safest thing but the account seems to only fluctuate a few % while I clip 5% yield. I need 3% year to meet my retirement goal so it works.

think boring... there isnt much choice in canada so just buy big cap laggards. Institutions arent very inventive. If everyone likes suncor and imperial while cenovus is out of favour buy cenuvus. When suncor and imperial get waaaay up and people get bored of it they will go to canadian natural or cenovus.

Thats an example but from my watching over the last six years its just a rotation of money in the 25+ billion market cap companies that goes on in canada. Betcha encana will be the next 'cool' thing for everyone to get back on after kicking it around.

Coulee · #14 03-10-2014, 07:48 PM

Before you do anything read the, "Wealthy Barber." Then make some plans.

a little redneck · #15 03-10-2014, 08:27 PM

If you want good advice, surround yourself with successful business people, learn from them, and hire good lawyers and accountants to give you other advice then make informed decisions. Avoid the Naysayers that have all kinds of advice but have never done it!

Take some business classes (Intro finance course, portfolio management course) and investment classes (canadian securities course, certified financial planning courses). Read books by Warren Buffet, Peter Lynch, and The Millionaire Next Door by Thomas Stanley (you'll learn what real wealth is and what wealthy people are doing that makes and keeps them wealthy).

Investments such as stocks, bonds, or mutual funds are only one a piece of the pie, and most advisors have an axe to grind at your expense.

Read some books by Don Campbell on Real Estate. This guy knows what he is doing, and, he is not just trying to sell seminars and books like many self proclaimed 'Experts'.

If you have a contact (family or friend with $$) that has a good advisor, ask them for the name of their advisor. The advisor may just help you out because of the connection.

Unless you have a 7 figure portfolio you'll be ignored by most brokers and will get the left-overs. If you're investing with a financial advisor and have less than $100,000 in investments you'll get little financial planning advice unless you're investing $20,000/yr or more each and every year.

Good Luck, time is on your side!

midgetwaiter · #16 03-10-2014, 09:40 PM

Quote:

Originally Posted by TBark

My guy is out of BMO Sherwood Park, costs me 1.95%.
Made me 14% in 2013, and 11% the year before.

TBark

S&P 500 was up 29.6% in 2013, Nasdaq was almost 40%

Index funds usually have a MER less than .5%

You are getting hosed.

Selkirk · #17 03-10-2014, 11:34 PM

Quote:

Originally Posted by Okotokian

Financial planning advice is a great idea, but most of the guys posting here aren't talking about a financial advisor, they are talking about investment salesmen. They want your money.They will invest it and take piece of it. At one point you will wat to use these guys, but I think it a good idea to do some planning before even that step.

I have a financial advisor. I pay him for his advice, not just about investments, but about budgets, tax planning, etc. with the end result (hopefully) that I will be well prepared for retirement. He recommends general types of investment strategies but doesn't suggest particular stocks, etc. or even fund companies because he doesn't sell them. I don't invest with him, he makes no extra money out of trying to steer me a certain way. I just cut him a cheque and he produces a very thorough report which is updated periodically throughout the year. Might want to think about that first.

That ^^^

Quote:

Originally Posted by midgetwaiter

S&P 500 was up 29.6% in 2013, Nasdaq was almost 40%

Index funds usually have a MER less than .5%

You are getting hosed.

And that ^^^

Mac