Financial Library

A Tough May

While my last newsletter talked about the record highs that we had in North American markets, that momentum didn't keep up in May. The ongoing trade dispute between China and the United States played a big part in this. We've seen stock markets around the world sell off on this uncertainty and more fears about a global slowdown. Closer to home, we've dealt with the price of Western Canadian Select falling dramatically in May. The price fell to under $40 USD by the end of the month.

Your Financial Dream Killer

Despite what many people think, the number one financial dream killer isn't portfolio losses, or financial emergencies, or unemployment, and not even natural disasters. The number one reason people fail to reach their financial goals is procrastination - putting off the inevitable until the cost of your dreams or goals become prohibitively expensive.

Buying and Selling the Business when an Owner Dies

Like many business owners, Rick and Warren thought it would be a simple process to continue the business when one of them died.

Nothing could be further from the truth.

Rick and Warren had a printing company and were equal partners. Warren died suddenly. Warren's shares passed to his widow, Sarah, who became Rick's new partner. She expected a regular paycheque to continue, even though she knew nothing about the printing business and could not contribute to the daily operations of the company.

Record Highs on the Market

Although Canada is still struggling with lower oil prices and a major political scandal in Ottawa, the Toronto Stock Exchange continued to move upwards in April.

It's been a fantastic start to the year for many markets around the world and the TSX hit a record high on April 24th. With Interest Rates likely on hold in Canada and the United States, we're also seeing a much better climate for Bonds.

It's certainly been a major reversal from the rough end we had to 2018. Your quarterly statements will reflect this dramatic upwards momentum.


Be Prepared For Emergencies & Opportunities

Randy worked for a small business. When the owner died suddenly, the business accounts were frozen and it took several weeks before they could be accessed to meet payroll. Randy had trouble meeting his financial obligations and had to find a new job.

Jane worked at a small company for many years. When the owner decided to retire, she offered to sell the business to Jane. As she didn't have the funds available, the business was sold to someone else. The new owner let Jane go shortly after taking over.