Canadian Capitalist

A Canadian Personal Finance Weblog

Entries from January 2006

This and That

January 31st, 2006 · 7 Comments

Since it is RRSP season, it is a good bet that we will be bombarded by surveys of all kinds. This one by Royal Bank finds that the average foreign content in Canadian RRSPs is 14% and 79% of us have no intention of increasing our foreign investments.
Here is yet another story on the importance [...]

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Tags: Miscellaneous

RRSP Tip # 3: Know the Rules

January 30th, 2006 · No Comments

New this RRSP season: No foreign content restrictions. The 30% cap on foreign content was eliminated in the 2005 Federal Budget.
Also new this season: Investment-grade gold and silver bullion coins, bars and certificates are now “qualified investments” for a RRSP.
A RRSP help you defer your income tax. Earnings inside it accumulate tax-free. Withdrawals are taxed [...]

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Tags: RRSP

Carnival of Investing # 7

January 29th, 2006 · 14 Comments

Welcome to the 7th edition of the Carnival of Investing dedicated to posts that cover stocks, bonds, real estate or anything related to investing. Last week’s edition was hosted by Blueprint for Financial Prosperity.
Without further ado, here are the highlights:
Instability as Investing Tool: Frugal Wisdom From Wenchypoo’s Warehouse says investors can take advantage of political [...]

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Tags: Carnivals

RRSP Tip # 2: Take your Time

January 26th, 2006 · No Comments

As the deadline (March 1, 2006) for RRSP contributions approaches, many people just walk into their local bank and buy one of the “hot” mutual funds (probably a resource fund or an income fund this year). The result is a mishmash of funds accumulated over the years, many of which are not so “hot” anymore. [...]

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Tags: RRSP

RRSP Tip # 1: Avoid Venture Capital Funds

January 25th, 2006 · No Comments

The RRSP season is in full swing and Canadians are being bombarded with advertising pitches for various investment products. The other day, I heard a radio commercial for investing in Venture Capital Funds. Labour Sponsored Investment Funds (LSIF), as these funds are called, invest in small private companies by providing start-up or mezzanine financing. Investing [...]

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Tags: RRSP

Bank of Canada Rate Hike

January 24th, 2006 · 2 Comments

The Bank of Canada hiked its target rate by 25 basis points to 3.5% and hinted at “some modest further increase in the policy interest rate”. Major banks have promptly increased the prime lending rate to 5.25%. The bank has increased interest rates by 1% in just the past five months.
Long-term interest rates are [...]

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Tags: Canadian Interest

Festival of Frugality # 7

January 23rd, 2006 · 18 Comments

Welcome to the 7th edition of the Festival of Frugality dedicated to posts that show how to make every dollar go a little bit further. Last week’s edition was hosted by Clutter2Cash.
Without further ado, here are the highlights:
Extended Warranties: Investing Intelligently relates a personal story about being asked to buy an extended warranty on an [...]

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Tags: Carnivals

Carnival of Debt Reduction # 19

January 23rd, 2006 · 17 Comments

Welcome to the 19th edition of the Carnival of Debt Reduction, dedicated to posts that inspire or help us to get rid of debt. Last week’s edition was hosted by Frugal For Life.
Without further ado, here are the highlights:
Pay Down That Debt With Your Tax Refund: Investing Intelligently shows how to reduce your debt [...]

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Tags: Carnivals

What is your Burn Rate?

January 20th, 2006 · No Comments

burn rate n: the rate at which a company (esp. start-up) uses its cash to survive, the money spent each month above incoming cash flow. [Source: Webster's English Dictionary]
Burn rate is a term commonly used in technology start-ups and research-based biotech companies, whose products would take years (if at all) to hit the market. It [...]

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Tags: Spending

This and That

January 19th, 2006 · No Comments

Rob Carrick, personal finance columnist for The Globe and Mail, contemplates what a likely change in government means for his pocketbook and finds that he is not very much impressed with the Tory tax platform.
A researcher at Ohio State University reveals that married individuals are likely to be twice as wealthy as their single [...]

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Tags: Miscellaneous