Dr. Van Tharp is known for breaking down the trading process into three categories that affect traders. He categorizes them by importance as follows: Trading strategy (10%) Money management (30%) Psychology (60%) According to Dr. Tharp, the psychological outlook and an individual’s way of thinking towards trading is the most important factor for success. The fact that the actual trading strategy is ranked the least important by Dr. Tharp, suggests that regardless of how … [Read more...] about The Role Of Psychology In Trading
“VIX Index has been considered by many to be the world's premier barometer of investor sentiment and market volatility”- Chicago Board Options Exchange (CBOE) You may have heard people and news articles mention the VIX index. It is a somewhat complicated index to understand at first, but when you get into it, you start to realize what a unique index it is and all the things it can indicate in the market. This article is going to focus on understanding what the VIX is, how it is used in … [Read more...] about VIX index : What Is It And How Is It Used?
In today's harsh economy, saving money has become the number one priority for many people. Every penny you save now could literally save you down the road. This is why we ask some of our viewers, are you paying monthly fees on your bank account? If so, why?Many conventional banks charge anywhere from 9 to 20 dollars per month, that's right, per month to use their services. You are either stuck paying 3 to 5 dollars per month for a bank account that has grossly limited features, or you are … [Read more...] about Conventional Vs Internet Banking – Could You Be Saving More?
Real estate investing in Canada is an interesting topic, and especially in times of incredibly low interest rates, either someone is making money renting out their property increasing the amount of equity they own, or complaining about foreign investors.The complaining part is especially true for those in the Vancouver (GVA) or in Toronto (GTA), but amid the conversation on the prices and affordability, there is a lack of knowledge on what people can afford, and the mechanisms on which home … [Read more...] about Real Estate Investing In Canada – A Lucrative Path
By now most Canadians will be familiar with the basics of the Canada Pension Plan, otherwise knows as CPP. They know that it gets deducted form their paycheques, it has to do with something about retirement, and some money coming into your pocket. What we want to talk about here is the finer details of the CPP to give a holistic and in depth understanding so that you can plan your retirement with the right tools.The CPP provides a partial replacement of earnings in the case of retirement, … [Read more...] about Canada Pension Plan – What Should I Expect?
Whether your a young aspiring investor or an experienced veteran, a question that often comes to mind is "how much do I need to retire?". The fact is, this question is not just a simple number for everyone. It requires careful planning and calculating. As passing time is something we all have to face, retirement is a well known concept in our society. At some point you will need to sustain yourself in your old age, and the key to doing this properly is planning your future in a structured and … [Read more...] about How Much Do I Need To Retire? – The Age Old Question
Why the average investor can never beat the market, but why some investors still might One of the biggest arguments in investing is whether an investor can beat the market. There’s the issue of market efficiency, which in effect says that the market as a whole (and by the way, a market is made up of its participants) know more than you, and therefore, prices already reflect fundamental value. But we don’t need to get into this particular, highly academic issue for the purpose of this … [Read more...] about Beat The Market- Why An Average Investor Never Will
“I advise you to go on living solely to enrage those who are paying your annuities. It is the only pleasure I have left.” - VoltaireRRSP income splitting is a highly effective income tax and retirement saving strategy that you can employ to better maximize you and your partner’s RRSP contributions and withdrawals. Sometimes a spousal RRSP is set up to better split income during retirement,meaning improved tax treatment for each at retirement with the added bonus of improved current tax rates … [Read more...] about Income Splitting – An Effective Tax Saving Strategy
The cost of purchasing and maintaining ownership in a mutual fund is an important consideration; one that an investor must weigh carefully before choosing which mutual fund option they will invest in. There are different kinds of mutual fund fees, and we will go over them in our two part series starting with some transaction fees and sales charges. Mutual fund basics A mutual fund is basically a collection of stocks and/or bonds managed by a mutual fund manager. Each person … [Read more...] about Mutual Fund Fees And Costs
Index funds are a hot commodity these days (no pun intended), but there remains some confusion around what exactly an index fund is, and how it differs from an ETF (exchange traded fund). The confusion is heightened when people first learn about leveraged or commodity ETFs. If you’re going to invest in index funds, we think it would be a good step (maybe not step one, but somewhere at the beginning of your learning) to understand exactly an index fund is. So, What Is An … [Read more...] about ETF vs Index Fund – The Differences