Stock Market Winnipeg Canada Personal Finance Investing Blog

Worried about this stock market dip? If so – you’re doing it wrong!

I cannot believe the amount of worried/panicked Tweets, Facebook posts & Articles I have seen the last couple of days (especially from people in the personal finance community).

Everybody breathe.  It’s going to be okay.

I’m going to break this down for you: Markets go up AND down.  Crazy right?

The last little while has been an exceptional run for the markets, and now it looks like a correction or perhaps even a big pull could happen.  THIS IS NORMAL.  It has happened before and it will happen again.  What should you do? NOTHING!  Stick to your plan.

Everyone knows the phrase “buy low, sell high” but so few people actually follow this advice.  Don’t get me wrong I GET IT – holding during a big drop can really test your nerves…but PLEASE FOR THE LOVE OF GOD – don’t fall for the sky is falling routine – you will be better off holding (or buying more during a big dip).  If you are close to retirement or  the phase of your life when you need to start withdrawing funds – chances are you have already adjusted your portfolio accordingly and have nothing to worry about – and if you haven’t then why are you reading this post – you clearly don’t listen to good advice:)

Don’t worry about timing the market for good buys.  Just remember:

TIME IN THE MARKET >>> TIMING THE MARKET 

Keep finding solid companies, with proven track records and don’t worry about the rest of the noise.  Of course you would be better off buying a solid company at its low point – but SPOILER ALERT you don’t know when that will be – and neither does anyone else.

If you routinely look at your portfolio and get excited or upset about hourly, daily or weekly fluctuations, you are doing it wrong.  Find companies you believe in, and will let you sleep well at night.  If you are making decisions based on daily stock price  fluctuations you are not an investor, you are a gambler.

Sorry for my little rant – but my news feeds are seriously filled with panic, and people asking insane questions about what they should do.  My answer:

Sit tight and don’t do anything you will regret it.  You have a plan (obviously since you are reading personal finance blogs) so stick with it and you will be fine. Now ignore the noise and enjoy the rest of your day!

 

 

 

 

 

 

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Personal Finance Blog Update dividends early retirement FIRE Jordan Maas

First monthly update of 2018 & 5 stocks I’m keeping an eye on.

Sweet Jebus…the first month of 2018 is already over & although it went by too fast – I am happy with what was accomplished!

Personal Highlights for January:

  • One of my goals for the year was to take the wife out to dinner at least 5 times, and I am happy to say we were able to get a baby sitter and went to a nice steakhouse earlier this month!
  • I was able to find the time to write 6 new blog posts as well as play with the theme/look of the site.  This will continue to be a work in progress.
  • Added a new section to the website called “My Bar” which although is(slightly off topic) a lot  of fun for me to write about & even more fun making and trying new drinks.
  • Started (finally) watching Last Man On Earth on Netflix and it is GREAT!
  • Had over 1000 visitors to the website in a month for the first time.Personal Finance Blog Winnipeg Canada Investing Dividends Jordan Maas

 

Financial Highlights for January:

I am happy to report that I have already followed through with one of my financial goals for the year – and one that I have wanted to do for some time.

  • Sold my high cost RBC mutual funds and moved them to my direct investing RSP.  Replaced with a lower cost Canadian equity fund & super low cost Global fund. As detailed in this post
  • Started gathering all my statements for tax time 🙂
  • Continued bi weekly payments into RRSPs & Spousal RSP.
  • Increased Spousal RSP amount by $100 bi weekly to try and get our accounts closer in size.
  • Set up an RESP for my kids
  • Got out of the Penny stock/speculation game completely(for good) and made 2 new stock purchases.  You can read more about that HERE.

 

Passive Income Update For January 2018.

TFSA’S:

Diversified Royalty: $9.07 (Dripped 2 new shares)

Canadian Western Bank: $0.24

Artis Reit: $49.86 (Dripped 3 shares)

Plaza Reit: $24.75 (Dripped 5 shares)

Algonquin Power: $110.35 (Dripped 8 shares)

Chorus Aviation: $10.80 (Dripped 1 share)

TFSA’s Total: $205.07

RRSP:

Canadian Equity Income Distribution: $213.99

Total Passive Income January 2018:  $419.06

*The transfer of funds from mutual fund to ETF/Direct investing hasn’t happened as of writing this – even though papers have been signed – so next month will represent the new funds.

Portfolio Update:

My portfolio grew by 1.67% month over month and once again hit an all time!  The early retirement portfolio now sits at $306,396.65.  Dividends grew by $14.95 vs last January (year over year growth of 3.69%).  I expect my dividend growth rate to increase quite a bit more this year once my funds are transferred from my Mutual Funds and into my direct investing account/redeployed.  I am also planning on trying to contribute more into my TFSA this year which should help increase dividends for the year.

I’ve decided to add a new section to the monthly updates, which will be my top 5 stocks I am looking to buy in the future/keeping an eye on:

Current Watch List:

Andrew Peller: ADW

Cascades: CAS

InterRent Reit: IIP

Northview Apartment Reit: NVU

Caledonia Mining: CAL

 

How was your month?

Whiskey Sour Cocktail Bar Recipe Jordan Maas Money Investing

When life gives you lemons…Make a Whiskey Sour (or two).

I finally took the leap and decided to start experimenting with egg whites in some of my cocktails.  I also had a bag of lemons I needed to use – so naturally my first thought was – what kind of cocktails can I make.

The obvious choice was a Whiskey Sour.  I’ve noticed in my city – it’s tough to find places that make a solid Whiskey Sour.  Some places are great – others not so much – but when done right- they are a delicious treat – with my favorite spirit – BOURBON.

Since this was my first attempt at using egg whites in a drink, I wanted to make sure I got it right – so I followed the recipe from the Death & Co Cocktail book. ( An Amazing book for anyone who enjoys cocktails & spirits).

The recipe calls for:

2 oz Buffalo Trace Bourbon

.75 oz Lemon Juice

.75 oz Simple Syrup

1 Egg White

The ingredients are all added to a cocktail shaker & dry shaken.  Then ice is added, and shaken again.

The first one I made  I strained into a rocks glass over ice(pictured above), the second one I made I double strained into a coupe. (picture below).

WhiskeySour2

Now that I am confident I can make a Whiskey Sour as good as most restaurants I’ve tried – I will refrain from ordering these while I am out.  My big concern now is that my budget for eggs & lemons may be going up substantially this year!

Cheers!

Investing Canada Personal Finance Blog ETF Mutual Fund Dividend

Well that was easy…How a 1 hour bank appointment will save me over $20,000

On Friday I had an appointment at the bank, it last just over an hour – and it will easily result in savings over over $20,000 over the next 10 years (or less).

How is this possible?  It’s actually a lot simpler than you would think.  All I did was follow through on one of my goals for this year.  I finally decided to transfer my high cost RBC mutual funds to my direct investing account.

At the time of transfer I had the following 2 funds:

RBC GLOBAL DIVIDEND GROWTH FUND

RBC CANADIAN EQUITY INCOME FUND

The RBC Global Dividend Growth Fund was my very first Mutual Fund I ever purchased.  I’ve owned this fund for over 10 years.  This fund has been pretty terrible for me (10 year return of 5.3%) AND has really high fees (2.14%).  Truth be told I’ve been unhappy with this fund for years, but just kept putting off doing something about it.  Now that I am taking things more seriously, and have this website to hold me accountable I finally did something about it.  I plan on replacing this fund with an International/Global ETF.  I am currently trying to decide which low cost fund to replace this with.  So far I am leaning towards one of the funds below- although I plan to do some more research this week:

VANGUARD FTSE GLOBAL ALL CAP EX CANADA INDEX ETF (0.27% MER)

ISHARES CORE MSCI ALL COUNTRY WORLD EX CANADA INDEX ETF (0.22% MER)

Even if I end up choosing the Vanguard fund with a slightly higher MER – I would be paying 1.87% less per year in fees than I currently am.  With my current portfolio amount this would result in yearly savings of  $1215.50.  This savings amount would continue to increase each year as my portfolio increases – but even if we assume I don’t contribute to this account ever again, and it returns 0% for the next 10 years, that means in 10 years I will have saved $12,155.00.  The crazy thing is that this ETF outperformed my high cost mutual fund by close to 4% over the last 3 years as well so not only will I be saving money in fees each year, I should be getting a better return as well.

Truth be told, even with the high MER (1.92%) – I’ve been really happy with the Canadian Equity Income Fund.  It has a 10 year annualized return of 10.4%, and currently pays me a monthly dividend of over $200.  I did a little bit of research and found out that RBC offers Series “D” funds for people who use direct investing.  This is the exact same fund – but with a lower MER.  I decided to transfer this fund to a series D fund rather than liquidate my position.  This will reduce the MER from 1.92 to 1.04.  This is a reduction of 0.88% per year. Based on my current shares this will save me: $572 this year (and even more every following year as my portfolio increases).  Even if I never put another cent into this fund – and it returned 0% for the next 10 years – this would result in savings of $5720 over the next 10 years.

While I was at the bank I also finally set up an RESP for my kids and increased my spousal RRSP contributions by $100 every 2 weeks.  I normally hate these appointments – but I’d say that was a pretty good use of an hour.

If anyone has any recommendations on any low cost global/international ETF’s I’d love to hear them so I can research them this week.  Thanks in advance!

Cocktails Bartender Recipe Bar Winnipeg canada Investing Bourbon

*Off Topic* My Bar

You may have noticed a new heading on this site this week titled “My Bar”.

I’ve decided to add a new section to the site chronicling my journey into learning more about spirits, liqueurs and cocktails.  As with the rest of the site- this section is basically for me to use as a reference, and a diary – however if anyone else is able to enjoy it all the better 🙂

I plan to use this new space to include recipes, reviews of different spirits, and to show some of the recent concoctions I’ve tried to create.  I’ve already thrown up a few of my my favorites and will be adding more as I create them at home.

Today’s newest addition: Manhattan

Manhattan

I decided to use Knob Creek 100% rye for this variation, as I haven’t had it in a while and wanted to see how it would blend in a Manhattan.  I also used Cinzano instead of the normal go to Martini branded Vermouth as I already had an open bottle.  Truth be told I recently bought a bottle of Dillons Sweet Vermouth which I have been really wanting to try – but decided against opening it until my current bottle of Cinzano was empty.

Ingredients:

2 oz Rye Whiskey (I used Knob Creek 100% rye small batch pictured above)

.75 oz Sweet Vermouth (I used Cinzano)

2 Dashes Angostura Bitters

Garnish with 2 Cherries

Directions: 

Add all ingredients to mixing glass filled with Ice, stir for 10-15 seconds.  Strain into martini/cocktail glass & garnish with a cherry or two.

Overall it was pretty tasty – and very boozy.  You will feel a buzz after a sip or two.  I’m not a huge fan of Cinzano- so I’d like to try this again once I replace my vermouth with Dillons or Martini again.

You can follow my cocktail journey with this recipe and more HERE