Are you curious about how and why my investment dividend strategy works?

If so, I’m going to share some of its technical details and what magic underpins its success.

But first, a brief history of me, Richard…

I started my career in 1995 as a mutual fund salesperson, but I did not feel I offered real value to clients until I earned my chartered financial planner designation in 1998. With my CFP, I was able to help clients with their retirement calculations, insurance needs, estate plan, tax planning and other financial planning issues.

But my ability to offer valuable investment advice didn’t begin until later.

After a brief stint recommending mutual funds, I began to look for alternatives. I conducted months of research, after which I concluded that companies that pay and grow their dividend delivered a higher return and lower risk than companies that did not pay a dividend or those that cut their dividend.

Armed with this insight, I hired a company called Computerized Portfolio Management Services (today part of Morningstar Inc.) to independently test my conclusions.

I was not surprised when they confirmed my findings and agreed that dividend growers historically outperform companies that do not pay a dividend or that cut their dividends.

The Secret Sauce

Of course, the next question was, how do I find dividend growers?

Again, CPMS went to work and, after months of research, found nine fundamental factors common to all successful dividend growers.

CPMS suggested we screen and rank all the S&P/TSX companies against the following nine factors and preferences:

The Ranking System

Each stock would receive a score of A to D depending on how well or poorly it scored against each factor. Then, the cumulative score would be tallied.

For example –

If Company XYZ had a price to trailing earnings per share (EPS) of 35 and the median was 20, XYZ would receive a score of D on this factor. The scoring would continue for the remaining eight factors until the company received a grade that averaged the score of all nine factors.

All stocks were then ranked based on their cumulative score.

For example –

If Company ABC ranked first out of 300 companies, that meant it met all nine factors the best. If Company XYZ ranked number 300, it didn’t meet the nine factors well: 299 companies passed the screening with higher scores.

The Buy Strategy

With the stocks ranked from 1 to 300 based on their cumulative scores, the next step was to establish a buy strategy.

Further research indicated that stocks in the top 15% of S&P/TSX would be purchased (from rank #1 to rank #45).

Each day, CPMS would re-rank the universe, and additional testing revealed that a stock could be allowed to drift in the ranking as long as it stayed in the top one-third of the universe (from rank #1 to #90) without impacting the long-term return of the model.

The Sell Strategy

Additional testing showed that a stock should be sold when its ranking moved to the bottom two-thirds of the universe (from #91 to #300).

How many stocks should a strategy hold?

This is the remaining question to answer.

Again, I turned to CPMS and, after running numerous back tests, they determined that 20 stocks provided the highest return with the least amount of risk.

Data revealed that increasing the number of stocks decreased the risk but also decreased the expected return disproportionately, while fewer than 20 stocks accomplished the opposite.

What’s the model’s investment return?

CPMS back-tested the above rules for stocks in the S&P/TSX 300 from December 31, 1990 to January 31, 2021, a period covering 30 years.

The performance of the model is exactly as predicted in my initial research: dividend growth stocks outperformed the S&P/TSX 300 (which is a basket of dividend-paying and non-paying stocks).

According to the report generated by CPMS (as of January 31, 2021), the model has an annual average return from inception of 13.7% vs. the S&P/TSX’s benchmark at 8.4%.

Richard Dri Canadian Dividend Model

Let’s remember, over the short term, that the model doesn’t always outperform.

For example –

Over the last five years, the model’s average return is slightly below the benchmark (5.8% vs. 6.1%). But over the last 10 years, the model outperforms the index significantly (11.8% vs. 5.8%).

According to the back-testing, the model’s historical investment return beat the index 60% of the time.

Putting it all together

My strategy predetermines three variables:

• The fundamental factors used for screening and ranking
• The buy and sell criteria
• The number of stocks to hold

I have deliberately established the rules before buying stocks, and I have deliberately removed all emotion from the investment process.

Finally, the investment process was back-tested and proved to perform well over the long term. Proving the Dri Dividend Model a great investment strategy for long-term portfolio growth.

---

So there it is—a glimpse of the magic that drives the Dri dividend investment strategy.

Of course, it’s not magic at all.

There are no tricks or illusions, only hard data and evidence-based calculations. But the long-term growth it offers is definitely thrilling.

If you are a DIY investor, I suggest that you write down your own investment strategy and don’t forget to back test it to see how it would have performed if applied historically.

If you would like help with the back-testing, please give us a call and we’ll test the strategy together.

If you don’t have an investment strategy, I suggest you call our office for an appointment and we can determine what dividend growth strategy fits your investment profile.

---

Never Retire Profile

Perseverance Rover

What’s not to like about Dolly Parton? Whether your taste in music or entertainment overlaps with Parton’s creative output over the 50+ years of her career or not, there’s no doubt she has made a significant impact in many areas over her lifetime. Born 75 years ago and raised in a one-room cabin in Tennessee along with her 11 siblings, Parton began singing on local radio as a child and moved to Nashville the day after she graduated from high school. In addition to her decades-long career in music and film, Parton owns several businesses in Tennessee and is known for her philanthropy. For example, her literacy program mails one book per month to every enrolled child (currently about 850,000) from birth through to entering Kindergarten. And, in addition to supporting many healthcare initiatives, she most recently donated $1M toward COVID-19 vaccine research at Vanderbilt University, partially funding the new Moderna vaccine.

---

The process of finding a wealth advisor can be overwhelming. It is our job to make that process simpler and easier. Dri Financial Group’s proprietary ​Wealth Navigator Process​ is designed with you in mind. It’s structured framework helps you make an informed decision and feel confident in our team and management practices before we get started.

We offer you a range of services from creating bespoke financial plans and providing investment advice to helping you take advantage of our investment models. If you would like more information on the ​Wealth Navigator Process​ ​or our team, call me any time at 416.355.6370 or email me at​ ​richard.dri@scotiawealth.com​.
—
Beyond helping you manage your finances, we take pride in motivating, educating and helping you expand your financial literacy. We are here to answer any questions you have and to help you feel in control of your financial destiny.

If you are ready to dive deeper into your financial literacy journey, we have a wide range of free tools and educational resources available.

• Subscribe to our ​Never Retire Newsletter
• Contact us to ​order a complimentary e-book
• Check-out our latest ​Wealth Navigator P​odcast
• Follow me on ​LinkedIn

source https://richarddri.ca/what-is-the-dri-dividend-investment-strategy/

Neal Winokur, CPA, and author of The Grumpy Accountant, is my guest on the podcast today. Since starting his CPA practice in 2013, Neal has grown increasingly disillusioned with Canada’s Tax Code and feels a moral obligation to speak out against it while also proposing a much more simplified version that will benefit all Canadians. He discusses these views and so much more during our conversation here today.

He begins by sharing just what it is about the tax code that bothers him so much, the changes he would like to see, and his thoughts regarding the implementation of a flat tax on spending. He also offers his ideas for simplifying tax returns for business owners, identifies the reasons why Canada has not moved to a GST or VAT approach along with his response to these reasons, and details a few of the many money-saving ideas that can be found in his book. Neal also explains how he saves, invests, and protects his money, explores Richard’s perspective on these strategies
with him, and relates the story of the low point in his career and how he climbed out of it. As the episode draws to a close, Neal offers advice for today’s accounting students, shares his ideal
vision for himself in 5 years, and provides his thought-provoking definition of financial independence.

Simplifying Canada’s Tax Code with The Grumpy Accountant, Neal Winokur

Download the full transcript here

Highlights:

• We could have a system where your tax bill is like any other bill, but it seems like our politicians have no interest in really moving to a much simpler system.
• Neal believes we should give business owners an option to file based on their revenue, not claiming any expenses, but then pay a lower rate of tax.
• Some of Neal’s tips are to minimize or have the proper amount of money deducted from your T4 income, and set up your CRA account.
• Once you have the CPA designation there are so many different areas of accounting that you could work in.
• For Neal, financial independence means you could afford to earn a lower salary in a job that you really like, as opposed to being forced to work in a job you really don’t like.

Quotes:

“What really makes me grumpy is the fact that my job exists at all.”

“I think we could study the system itself, at least for simplicity vs. complexity and try to at least simplify things for as many people as we can.”

“You will have a greater pool of money at the end, if you can grow your portfolio on a tax deferred basis for many, many, many years.”

“I don’t care about daily fluctuations in price, I don’t sell and I don’t day trade, I don’t buy and sell a lot, hardly ever.”

“I think it’s so important that kids, really starting at a young age, they could even start as early as grade one, grade two, we start teaching kids about money and budgets and saving money and interest and taxes and all of these and bank accounts and credit cards.”

Follow us on social:

Facebook
Twitter
LinkedIn

Listen to more podcasts by Richard Dri:

Connecting Local Producers to Consumers with truLOCAL’s Marc Lafleur

Investing and Entrepreneurship with Dooma Wendschuh

Serial Entrepreneurism and Financial Feminism with Kelley Kuipers

source https://richarddri.ca/simplifying-canadas-tax-code-with-the-grumpy-accountant-neal-winokur/

Today, I am joined by Marc Lafleur, CEO and Co-Founder at truLOCAL, a consumer platform that helps people access locally-sourced meat products that are 100% grass fed and pasture raised. By connecting local meat producers with meat eating consumers through an ecommerce system, truLOCAL helps farmers increase revenues while ensuring consumers receive sustainable meats delivered right to their door. Started in 2016, truLOCAL has grown quickly, currently employing a workforce of 55 men and women that has proven key to its enormous success.

During our conversation, Marc discusses his company and how it works, its financing, including an appearance on the Dragon’s Den television program, his company’s marketing strategy, and its recent acquisition by EMERGE. He also shares his lowest point with truLOCAL and how it was overcome, his definition of financial independence, and then Marc concludes by offering his long term vision for the future.

Connecting Local Producers to Consumers with truLOCAL’s Marc Lafleur

Download the full transcript here

Highlights:

• truLOCAL provides a way to connect people to local producers and suppliers, and to get
  them value added meat products.
• truLOCAL went through three different rounds of funding including an appearance on Dragons’ Den.
• Marc’s role in the company has changed over the years from doing everything that needed to be done, to now being invited to speak to others about his successful process.
• Marc’s most surprising realization was the impact that his team had upon the company’s success.
• His definition of financial independence is when you know you have a skill set that you’ve refined over the years such that, at any point in time, you feel that you can earn enough money that you need to achieve whatever goal you want to achieve.

Quotes:

“When we talk about value added, we talk about things like 100% grass-fed, we talk about things like pasture-raised, we talk about things like RWA.”

“The Dragons, the way that they add value, is through their resources and their connections. You still have to have that hustle and that grind.”

“Your marketing spend is a function of your lifetime value, so what a customer is worth to you, compared to the cost to acquire that customer.”

“But literally in that year one, it was every single day. There was some sort of major fire that needed to get put out.”

“I can’t really live in a world where I can’t build my own businesses and build my own future.”

Follow us on social:

Facebook
Twitter
LinkedIn

Listen to more podcasts by Richard Dri:

Investing and Entrepreneurship with Dooma Wendschuh

Jeff Adamson Co-Founder of SkipTheDishes on Disrupting the Financial Sector

Serial Entrepreneurism and Financial Feminism with Kelley Kuipers

source https://richarddri.ca/connecting-local-producers-to-consumers-with-trulocals-marc-lafleur/

It was another record close for the Dow on Tuesday after markets were closed Monday in both Canada and the U.S. The Dow climbed 64 points, while the S&P and Nasdaq recorded minor losses. In Canada, the TSX was up 32 points, yet another record high, boosted by the energy sector and cannabis equities.

Markets were slightly off during Wednesdays trading as the Nasdaq and TSX both slipped on the technology sector weakness, while the Dow added 90 points, and the S&P was flat. Despite some inflation concerns, gold prices fell 1.5% to drop for a fourth consecutive session.

Falling technology shares dragged down markets once again Thursday, along with a downbeat U.S. jobs report showing that new jobless claims rose last week to more than 860,000. Although the U.S. labour market continues to struggle, U.S. retail sales jumped 5.3% in January from the previous month.

In Canada, the jobs picture was also dour, as Canada lost more than 230,000 jobs in January, the largest loss since last May. By Thursday’s close, there were red numbers all around. The Dow was off by 120 points, with the S&P and Nasdaq dropping 17 and 100, respectively. In Canada, the TSX surrendered 100 points.

Finally, U.S. bond yields continue to rise, hitting 1.31% this week – levels not seen since before the pandemic began.

Read more

source https://richarddri.ca/technology-shares-weigh-on-markets-in-shortened-trading-week/

At​ ​Dri Financial Group​, we emphasize the value of a diversified, long-term and evidence-based investment strategy. We do not follow fads, fashions, or media sensation.

I have recently watched, with deep concern, a handful of stocks(​GameStop,​ A​MC​, ​Blackberry​) appreciating despite no meaningful change to their fundamentals. Usually, a stock spikes after making a major positive announcement.

For example, many of our clients own ​TFI International Inc​. (a national trucking company) at a cost base of approximately $40. Recently, the company announced the purchase of UPS’s trucking business at a cost of approximately $800M.

Yes, the price was astronomical. But the acquisition doubled the size of the company and ensured the continuation of UPS‘s business. TFI stock jumped by more than 30% and, as of early February, trades at approximately $90.

That’s how stock spikes should work: positive announcements lead to stock appreciation. Lately, however, some stocks have not behaved in this fashion.

Instead, investors “bet” on GameStop by assuming they could quickly buy and resell the stock to someone else at a higher price. This is called the “​greater fool theory,​” because it assumes a buyer willing to pay a higher price always exists.

We know from experience this is not a profitable strategy and is doomed to separate investors from their money. Yet we have received emails, texts and phone calls from clients asking why we didn’t buy GameStop before it spiked, or if they should become more aggressive with their investment strategy. Some have even considered moving their funds to the stocks with all the action.

You know my response to these inquiries: “Stick to your investment strategy and don’t speculate.”

In March 2020, I had numerous discussions with clients explaining that the best course of action during the stock market lows is to stay invested and not give into fear.

Now, about 12 months later, I’m recommending that clients stick to their asset allocation and not give into greed…A very interesting turn of events.

The human emotions of fear and greed will always drive the market in the short run. But over the long term, a laser-focused financial plan customized to your personal circumstances is still the best way to achieve your wealth goals.

As many of you know, I don’t make predictions about the stock market or individual stocks, but I am very confident in saying that our investment principles will help you reach your financial planning goals.

Let’s review the basic investing principles you should think about when you’re getting emotionally pulled to make a change to your portfolio.

1. Goals

“If you fail to plan, you plan to fail.” This is never truer than when applied to financial planning.

For those looking to achieve financial independence, I usually start with this question: ​What does financial independence look like for you?
Surprisingly, many people are not clear and aren’t sure if or when they will ever achieve it. Here is my definition of financial independence, in case it motivates you to establish your own.

For me, financial independence occurs when my investment portfolio generates enough passive income to cover all my lifestyle expenses. I have achieved this goal by saving between 15-20% of my earnings for approximately 25 years. Financial freedom allows me the time to work on becoming a better father, friend, brother, and son.

As a chartered Financial Planner, I suggest you have customized plans/goals for the following:

a) Retirement
b) Estate
c) Education
d) Tax minimization
e) Investment
f) Risk minimization
g) Any other personal goals (e.g., buying a cottage or paying for children’s weddings)

2. Balance

In my recent blog about ​risk tolerance​, I encouraged you to identify your personal risk tolerance and to establish an asset allocation based on this assessment.

Investors remain invested during market corrections if their asset allocation is appropriate for their risk profile, thus increasing their chance of achieving their financial planning goals.

If the asset allocation is not aligned with the investor’s risk tolerance, they may try timing the market, which can lead to big losses. Once the asset allocation is selected, we suggest investors implement an active micro and macro rebalancing approach. This is because asset allocation drifts over time as one asset class outperforms the others.

For example, if the desired asset allocation is 60% equities and 40% fixed income, a strong equity market may skew it to, say, 70% equities and 30% fixed income. When this happens, we suggest selling 10% of the equity position and transferring the funds into the fixed income side, thus implementing a buy low and sell high investment strategy.

As well, over time some individual stocks will outperform others and become a bigger portion of the portfolio. When this happens, we suggest trimming down the overweighted position and transferring the funds to the stocks that are underweighted, again implementing a buy low, sell high strategy.

3. Rules based investment strategies

The Dri Financial Group ​team​ ​bases our investment strategies on research, not on emotion or media headlines.

With the assistance of ​CPMS​, we review hundreds of fundamental factors (such as dividend yield, quarterly earnings surprises, nine month price change, etc.) for thousands of

Canadian and US companies.

The research helps us identify the common factors found in all top-performing stocks.

For example, if the research showed that top-performing stocks of the last 30 years have annual dividend increases and a P/E ratio at or below the market’s P/E ratio, then we run a screen for all current stocks with those two factors.

This approach is called a “rules based” strategy, because we set the rules for all the buys, and the rules sell before anything is bought. Notice how this strategy is not swayed by the noise of the market or the media or our brother-in-law.

Many have asked, “Richard, how can you be so confident that the strategy will work?” My answer is always the same. “I have back tested the strategy, it worked well against its benchmarks, and I see no reason for it not to work in the future.”

Will the models occasionally underperform its benchmarks? Absolutely! But over the last 35 years of back testing, it has outperformed its benchmarks, and I expect this to continue.

4. Discipline

During the last 12 months, investors have been challenged with a significant market decline followed by a remarkable recovery.

Even the most seasoned investors have been shocked by the speed of events and have questioned their plans and objectives.

When you have created goals/plans based on your personal situation, selected a balanced asset allocation reflecting your risk profile, and used a rules based investment strategy to select individual stocks, have confidence in your work and the discipline not to abandon the plan when market events challenge your thinking, train your mind to place current events in perspective and maintain long-term discipline.

---

Don’t find yourself struggling to tune out the noise, tempted to chase yesterday’s winners, or being swayed by the loudest media voice…

If you have any questions, please,​ give me a call​! Let’s work through my four investment principles together and put speculating aside.

---

Never Retire Profile

Dolly Parton

What’s not to like about Dolly Parton? Whether your taste in music or entertainment overlaps with Parton’s creative output over the 50+ years of her career or not, there’s no doubt she has made a significant impact in many areas over her lifetime. Born 75 years ago and raised in a one-room cabin in Tennessee along with her 11 siblings, Parton began singing on local radio as a child and moved to Nashville the day after she graduated from high school. In addition to her decades-long career in music and film, Parton owns several businesses in Tennessee and is known for her philanthropy. For example, her literacy program mails one book per month to every enrolled child (currently about 850,000) from birth through to entering Kindergarten. And, in addition to supporting many healthcare initiatives, she most recently donated $1M toward COVID-19 vaccine research at Vanderbilt University, partially funding the new Moderna vaccine.

---

The process of finding a wealth advisor can be overwhelming. It is our job to make that process simpler and easier. Dri Financial Group’s proprietary ​Wealth Navigator Process​ is designed with you in mind. It’s structured framework helps you make an informed decision and feel confident in our team and management practices before we get started.

We offer you a range of services from creating bespoke financial plans and providing investment advice to helping you take advantage of our investment models. If you would like more information on the ​Wealth Navigator Process​ ​or our team, call me any time at 416.355.6370 or email me at​ ​richard.dri@scotiawealth.com​.
—
Beyond helping you manage your finances, we take pride in motivating, educating and helping you expand your financial literacy. We are here to answer any questions you have and to help you feel in control of your financial destiny.

If you are ready to dive deeper into your financial literacy journey, we have a wide range of free tools and educational resources available.

• Subscribe to our ​Never Retire Newsletter
• Contact us to ​order a complimentary e-book
• Check-out our latest ​Wealth Navigator P​odcast
• Follow me on ​LinkedIn

source https://richarddri.ca/a-wealth-advisors-take-on-gamestop-amc-and-blackberry/

It’s RRSP season. Here are the answers to all of your questions.

Canada has five seasons: Winter, Spring, Summer, Fall and RRSP. We are now in full RRSP season. Get out your 2019 tax returns and start thinking about an RRSP contribution.

Quick tip: If you don’t want to read this entire blog, just take this away:

THE RRSP CONTRIBUTION DEADLINE FOR THE 2020 TAX YEAR IS MARCH 1s​t​—AND THE MAXIMUM CONTRIBUTION LIMIT IS $27,230.

Now, if you do keep reading, I promise you will learn a lot more about RRSPs. To make it as easy as possible, I have organized this blog in a Q&A format. You’re asking the questions and I’m answering them.

Here’s what a financial advisor would like you to know about your RRSP:

1. I don’t have time to do the math. Where do I find my RRSP limit?

You can quickly figure out your personal RRSP limit online or over the phone.

RRSP limits can be found on your 2019 Notice of Assessment, online at the Canadian Revenue Agency using ​My Account​ ​for Individuals, or from the tax information ​phone service​ ​(1-800-267-6999).

2. Why should I contribute to an RRSP?

The simple answer is that the contribution is a tax deduction, and the money grows on a tax-deferred basis.

Here’s an example:

Assuming a taxable income of $152,000 and an RRSP contribution of $27,230, the tax savings is $11,771 (for an Ontario resident).

Click here​ and calculate your own tax savings.

And while the $27,230 is invested in your RRSP, tax on any growth is deferred until the funds are withdrawn, which could be years down the road.

3. I have not spent very much during the last 12 months. Can I contribute more than my 2020 limit?

Maybe.​..

If you do not contribute the maximum allowable to your RRSP in any year, you may carry the unused portion forward indefinitely.

For example, if your limit in 2019 was $20,000 and you managed to contribute $15,000, then you are allowed to carry forward to 2020 (or beyond) the unused limit of $5,000.

4. I don’t have the money to contribute. Can I borrow?

Absolutely. And interest rates are exceptionally low today.

For example, let’s assume you borrow $10,000 for an RRSP contribution with these conditions:

• an interest rate of 2.45%
• an investment growth rate of 6%
• a two-year payment plan
• a 35% marginal tax rate
• 25 years before retirement
• the refund is applied to the loan

Under these assumptions, the cost of the loan is $139.30 and the $10,000 loan would be worth $42,919. Click here​ ​and run your own calculations.

5. Hey, shouldn’t I contribute to my TFSA first?

It depends.

If you think you’ll need the money in the short run, then I suggest investing in a TFSA. But if you plan to leave the funds until retirement (and beyond), and your taxable income is greater than $50,000, then the RRSP is generally best.

The RRSP provides an upfront tax deduction, and the funds grow tax deferred until withdrawn. The TFSA provides no upfront tax deduction but allows the funds to grow tax free.

So the answer depends on the time frame of the investment and your marginal tax rate.

6. Should I pay down the mortgage or contribute to an RRSP?

The answer depends on your risk tolerance.

I’ll use an example to answer this question. Let’s assume the mortgage rate is 3% .

Every time you make an extra mortgage payment, you reduce the amount owed on the principle. If the interest rate is 3%, paying it off is like getting a guaranteed 3% return. If you feel you can get a better return in the stock market, then buy stocks. But if you’re not sure, take the guaranteed return and pay off the mortgage.

7. I’m 71. Can I still contribute?

Yes.

If you have contribution room, you can contribute to your RRSP ​until December 31 of the year you turn 71​ (and to your spousal RRSP until December 31 of the year your spouse or common-law partner turns 71 ).

8. Can you show me the math for calculating my RRSP limit?

Sure.

Here’s how the CRA calculates your 2020 RRSP contribution limit:

• 18% of earned income for the 2019 tax year, up to the $27,230 maximum
• Minus the “pension adjustment” amount, for employees in a registered pension plan (RPP) or deferred profit-sharing plan (DPSP) in 2019
• Minus any “past service pension adjustment,” for participants in an RPP or DPSP in 2019
• Plus any “past service pension adjustment” reversals in 2019
• Plus any unused deduction room carried forward from 2018

So, if you earned $151,280 or more in 2019, your contribution limit in 2020 is the maximum contribution limit of $27,230 (before any pension adjustment).

9. What’s earned income?

Earned income is the money from salaries, wages, tips, and any self-employment income.

It also includes net rental income, spousal support, royalties, research grants, and income from unemployment benefit plan payments.

10. What’s a pension adjustment (PA)?

If the employer offers a registered pension plan or a deferred plan, the amount contributed to these plans is subtracted from the RRSP limit.

This avoids doubling up pension contributions by contributing at work through a RPP and/or DPSP and then also individually through an RRSP.

The PA is found on your 2019 T4 slip.

11. What’s a past service pension adjustment (PSPA)?

A PSPA is an event that causes an employee’s post-1989 RPP benefits to increase (e.g., the employee is credited with additional service or the benefit formula is retroactively increased).

By subtracting this amount, the overall limit of a retirement savings plan is maintained at 18% of earned income.

The PSPA is also found on your 2019 T4 slip.

12. What’s a pension adjustment reversal (PAR)?

A PAR is used when an employee departs a DPSP or an RPP as an employee.

For example, if the employee leaves the plan before the employer’s contributions are vested.

PARs increase RRSP limits and reflect that portion of retirement savings that were reinstated.

PARs can also be found on the 2019 TA slip.

13. What’s my unused deduction room carried forward limit?

Fortunately, if you don’t have the funds to make your maximum contribution (or feel that you will be in a higher tax bracket in a future year), the used amount can be carried forward indefinitely.

---

I hope I addressed all your possible questions.

If you’re not sure if you should contribute, let us prepare a retirement projection and determine if your retirement goals are realistic and on target.

---

Never Retire Profile

Tom Brady

Sure, Tom Brady isn’t past the usual retirement age you and I might consider. But at 43-years-old, Brady is one of the oldest players in NFL history. And he’s still playing at an exceptional level. And he’s the first player in NFL history to win seven Super Bowls. Brady arrived in Tampa Bay to play with his new squad after a so-so final season with New England and much speculation as to whether he would retire—and brought Rob Gronkowski out of retirement to join him. The rest is literally history. Brady led the Buccaneers to the Super Bowl and then defeated Kansas City 31-9. After the win, the Patriots gracefully tweeted, “Congratulations to the greatest of all time.” What’s next for the champ? The way this season ended, it’s unlikely he’ll put his feet up. Why retire when you love what you do and still have the talent and drive to do it?

---

The process of finding a wealth advisor can be overwhelming. It is our job to make that process simpler and easier. Dri Financial Group’s proprietary ​Wealth Navigator Process​ is designed with you in mind. It’s structured framework helps you make an informed decision and feel confident in our team and management practices before we get started.

We offer you a range of services from creating bespoke financial plans and providing investment advice to helping you take advantage of our investment models. If you would like more information on the ​Wealth Navigator Process​ ​or our team, call me any time at 416.355.6370 or email me at​ ​richard.dri@scotiawealth.com​.
—
Beyond helping you manage your finances, we take pride in motivating, educating and helping you expand your financial literacy. We are here to answer any questions you have and to help you feel in control of your financial destiny.

If you are ready to dive deeper into your financial literacy journey, we have a wide range of free tools and educational resources available.

• Subscribe to our ​Never Retire Newsletter
• Contact us to ​order a complimentary e-book
• Check-out our latest ​Wealth Navigator P​odcast
• Follow me on ​LinkedIn

source https://richarddri.ca/a-toronto-wealth-advisor-answers-your-rrsp-questions/

After a strong bounce-back week, N.A. equity markets continued climbing Monday, with U.S. and Canadian stocks hitting record highs again. The S&P 500 and the Dow posted their sixth consecutive winning session, while the TSX closed up 194 points, boosted by the energy, materials and technology sectors. It was an even better day for small caps, which outgained their larger peers.

While hopes for a sizable U.S. stimulus package have helped investor sentiment, markets have also been lifted by upbeat earnings. Of the nearly 300 companies on the S&P 500 that had reported by early Monday, more than 80% had beaten analysts’ expectations for Q4, according to FactSet. While it was a quiet Tuesday in the U.S., with all three major indexes essentially flat, the TSX posted another strong session, adding 78 points.

Read more…

source https://richarddri.ca/u-s-markets-hit-pause-button-after-strong-monday-tsx-winning-streak-ends/

Stocks closed lower Monday as investors took some profits after last week’s rally and looked nervously ahead to the unfolding impeachment drama and fears of violence during President-elect Joe Biden’s inauguration next week in Washington. Adding to investor unease was last Friday’s jobs report, which showed that the U.S. labour-market recovery took a step back in December, with seven months of job growth ending. By Monday’s close, the Dow dropped 89 points, while the S&P and Nasdaq shed 25 and 165, respectively. In Canada, the TSX declined 107 points, weighed down by the materials sector, which lost nearly 2% on gold price weakness.

N.A. equity indexes edged slightly higher Tuesday as major tech shares regained ground lost on Monday. In U.S. bond news, 10-year Treasury yields climbed for the seventh straight session, up to 1.136%. Expectations of higher government spending and more bond sales have sparked a mild selloff in U.S. government issues.

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source https://richarddri.ca/markets-fairly-steady-despite-trump-impeachment-worries-over-inauguration-violence/

Shelley Kuipers, Co-Founder and C0-CEO of The 51, joins me for today’s episode. Shelley represents the truest form of the serial entrepreneur as she envisions new ideas, starts businesses based on them, foregoes salary, works without a safety net while assuming all the financial risks, and repeats this process over and over again. She has been involved with numerous businesses over the year, and her current venture, The 51, is a platform dedicated to increasing female impact upon the economy by connecting women with capital to women with business ideas.

In our conversation, Shelley shares the meaning behind ‘The 51’ and the concept of financial feminism, as well as The 51’s objective, marketing approach, community, investments, and investment committee. She also reviews The 51’s venture capital fund, sheds some light on her family office and how it compares to The 51, and shares her experiences with failure and coming back over the years. Shelley concludes the episode by recounting the lessons she has learned, her plans for the future, and her extremely valuable entrepreneurial advice.

Serial Entrepreneurism and Financial Feminism

Download the full transcript here

Highlights:

• Financial feminism is a movement to drive equality for women in money
• At The 51, they try to break down the work that they’re doing into consumable experiences, consumable content, highly community-driven, and try to put role models at the center of it
• Shelley’s family office began with a high risk investment, has grown over the years, and is made up of early stage investing
• Shelley envisions The 51 has becoming a dominant player in financial services in servicing women in the next five years
• She sees the time we’re in now as an extraordinary opportunity for innovation and for women to really get involved in what’s going on and fully participate in Canada’s economy

Quotes:

“We self-identify as community members at The 51 as financial feminists.”

“It’s largely been creating a brand that’s very attractive, very accessible, and is creating an experience for participation.”

“We’re also patient investors and want to be super strategic about the companies that we’re investing in and how we’re deploying this capital.”

“We give back to the community. We invest a ton in entrepreneurs and coaching and mentoring and championing.”

“I think utilizing our network and really getting reinforcement that the entrepreneur has aligned values with our value system I think is really important and it’s something that we do.”

“Curiosity drives confidence.”

“I think Canada could look very different if women were fully participating.”

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Investing and Entrepreneurship with Dooma Wendschuh

Jeff Adamson Co-Founder of SkipTheDishes on Disrupting the Financial Sector

Dental Business Management with Mark Gaylard

source https://richarddri.ca/serial-entrepreneurism-and-financial-feminism/

Dooma Wendschuh is the co-founder and shareholder of Province Brands of Canada, a Canadian company located in Grimsby, Ontario, who has developed a proprietary technology that can take virtually any plant material and produce fermentable sugars, which in turn can be used to make beverages including premium beers. The best part of the process is that the cost to make this beer is equal to approximately the same cost as it would to take and make regular beer, so Dooma has a beer that is better for the planet and for the consumer, a win-win situation.

In today’s episode, Dooma discusses how he raised $23 million so far, how he pitches the company to potential investors, and the company’s plan to grow in the U.S. and in Canada. He also shares his investment strategy, provides his criteria for selecting successful private companies, and explains why he sold all his publicly-traded stocks several months before the U.S. election, as well as his biggest mistake or disappointment. Dooma brings the episode to a close by explaining the two skills that an entrepreneur must learn to balance in order to be successful, his definition of financial independence, and the reason why so many investors have fallen into the trap of chasing the goals of others rather than their own personal goals.

Investing and Entrepreneurship with Dooma Wendschuh

Download the full transcript here

Highlights:

• • Province Brands of Canada’s technology allows brewers the opportunity to rely on locally sourced premium ingredients to make phenomenal beverages.
  • They raised $4 million in funding when they started and have now raised $23 million.
  • Dooma has four pools or buckets of money that he invests in different locations, and he has different objectives for each of them.
  • When investing in companies, he needs to know the industry is fundamentally sound and that the entrepreneur running it will pivot if necessary and find a way to make it successful.
  • For Dooma, the secret to success is to weigh the delicate balance between never giving up and knowing when to pivot.

Quotes:

“It’s light. It’s refreshing. It has an amazing flavor, and it can have many different amazing flavors.”

“Once you have a solution, and you have a proof of concept and technology and something that the investors can taste and try, it becomes a whole lot easier to raise that money, but it is a real challenge.”

“For the most part, I’ve had a lot of success by just investing in the person and in the industry.”

“That’s all that business is, is just a series of crucial moments where you have to make decisions.”

“The money is a tool, and the objective is happiness.”

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Listen to more podcasts by Richard Dri:

Jeff Adamson Co-Founder of SkipTheDishes on Disrupting the Financial Sector

Investment Policy Statements – Why are they important?

Financial Planning and the COVID-19 Pandemic: A Conversation with David Victor

source https://richarddri.ca/investing-and-entrepreneurship-with-dooma-wendschuh/