Jack Lumsden, Financial Advisor, CFP®, MBA

What can investors expect in 2025? Will the U.S. bull market continue its run? Will the headwinds subside for Canada? And what are some key long-term opportunities for investors? Watch the video below for takeaways from our Global Insight 2025 Outlook report.

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Do your clients want to give back but are unsure where to start? Help them easily integrate giving into their financial plan, build a legacy, and benefit from tax savings with the Mackenzie Charitable Giving Program. https://ow.ly/CHO630sI4us

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What you need to know about the Bank of Canada’s latest rate cut. Josh Nye, Canadian Fixed Income Strategist, shares three key takeaways.

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Global corporates hold potential for capital appreciation and higher yield, to complement core bonds. Learn more about Mackenzie Global Corporate Fixed Income Fund: https://ow.ly/eKEH30sEcZS

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Fidelity has released their retirement report for 2024 and their findings are not surprising. Retirees and and Pre-retirees are generally less optimistic about the financial outlook for retirement and the main reason for this is the increases to the cost of living. Much less surprisingly is that retirees who do not have a financial plan are less optimistic than retirees who do have a written financial plan. Having a well designed investment portfolio that has been constructed to suit your time horizon and risk tolerance is important, however your portfolio is directionless if it is not paired with a customized financial plan. This would be equivalent of planning a road trip to a destination but not having a gps or map to guide you to that destination. If you are working with a full service investment advisory team, it should be paramount they offer a customized financial plan and the plan should be revisited and updated on annual basis. This keeps the client and the advisor accountable to ensure the stated goals in the plan are attainable and are on track.

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"We have an opportunity to be advisors who can quarterback our clients’ lives, I want them to feel they can come to me for any recommendation.” -SS The power of referrals and word-of-mouth can go a long way. Read the full article in The Globe and Mail, covered by Deanne Gage. Link in bio 🔗 • #WomenInWealth #FinancialWellness #MoneyTalk #WomenInFinance #InvestmentAdvisor #FinancialGoals #FinancialPlanning #FinancialAdvisor #EmpowerHerInvestments #InvestmentAdvice #FinancialFreedom #MoneyMindset #PersonalFinance #FinancialIndependence

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Alternative investment strategies differ from traditional investments, like stocks and bonds. Read more about how alternative investments can benefit your portfolio:

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Why consider an FHSA if you are planning on buying your first home? A First Home Savings Account (FHSA) is a special savings account to help people save money to buy their first home. ❇️ The money you put into an FHSA can reduce your taxable income, so you might pay less in taxes. ❇️ The money in the account grows without being taxed. ❇️ When you take the money out to buy your first home, you don’t have to pay taxes on it. ❇️ Has contribution limits ($8,000 per year; $40,000 lifetime maximum) ❇️ You can invest the money in your FHSA in things like stocks or bonds to help it grow faster. Feel free to share this post to help others learn about the benefits of using First Home Savings Accounts.

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🌟 Deciding When to Take Your CPP Benefits? Let's Discuss! 🌟 Many of our clients have been pondering a crucial question regarding their retirement planning: "Should I start taking my CPP benefits early?" It's a question with significant implications for your financial well-being in retirement, and the answer isn't one-size-fits-all. Taking CPP benefits before the age of 65 might be tempting for many, especially if retirement comes earlier than expected or if there are immediate financial needs. However, it's essential to remember that starting your benefits early means they will be reduced by a certain percentage for each month before you turn 65. On the flip side, delaying your CPP benefits beyond the age of 65 can result in an increase in your pension amount. It's a decision that requires a careful assessment of your current financial situation, your health, your retirement goals, and your expected longevity. Here are a few considerations to keep in mind: Your Financial Needs: Evaluate your current and future financial needs. Do you have other sources of retirement income? Your Health and Longevity: Consider your health and family history. Longer life expectancies may favor delaying your CPP benefits. Impact on Your Retirement Lifestyle: How will taking CPP early or delaying it affect your desired retirement lifestyle? Tax Implications: Understand the potential tax implications of starting your CPP benefits at different ages. It's a decision that deserves a thoughtful conversation and personalized advice. For a deeper dive into this topic, reach out to us for a consultation. Your retirement journey is unique, and so should be your CPP benefits strategy. Let's make sure your plan aligns with your life goals and financial objectives. 💼📈🏡 #TWG #thewealthbuildinggroup #yourmoney #RRSP #RetirementPlanning #CPPBenefits #FinancialWellness

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Consider the extraordinary power of "one more." Whether it's one more rep at the gym, one more mile in your run, or one more phone call that could spark a breakthrough, each action contributes to the compound effect—a principle familiar to finance folks, where small, consistent efforts accumulate over time to yield significant results. While many settle for "good enough," you have the unique ability to push beyond those limits. You're doing what others won’t, and that distinction sets you apart. The sweat, the strain, the effort—all of these elements not only enhance your physical strength but also build your mental resilience. Breakthroughs often lie in those extra efforts that might seem trivial at first. They accumulate and form a foundation for success that others may overlook. So, when you feel like giving up, challenge yourself with this question: "Can I do just one more?" That seemingly small additional effort may appear insignificant in the moment, but it has the potential to evolve into something much greater down the line. Embrace the journey and remember that every effort counts! The Power of "One More" – The Foundation of Nick Bare and Bare Performance Nutrition. (A brand that I love!) It changed my life. Reach out, OG. #goonemore #discipline #consistency #sales #mentalstrenght #mentalhealth #gym #run #running #motivation #motivational

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Investing early can pay off over the long term. An advisor can help you create a personalized financial plan that grows with you through every stage in life. Find out more: #ValueOfAdvice

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What are core ETFs and how can they fit into your portfolios? Read now:

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Global corporates hold potential for capital appreciation and higher yield, to complement core bonds. Learn more about Mackenzie Global Corporate Fixed Income Fund: https://ow.ly/gjJu30sEikE

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One of the most impactful things in a client meeting is stress testing a current or future withdrawal strategy. Before I bore you to death allow me to explain in plain language. This means running various scenarios of withdrawal amounts per year and on market returns. For example, a couple who is 65, retired and spending $80,000 a year needs to know relative to their portfolio if this withdrawal amount is sustainable. Assume they have a portfolio of $1,000,000 divided between RRSP's, TFSA's and taxable accounts. Lets also assume the portfolio they own is a mix of 60% stocks and 40% Bonds, is invested in low cost index funds, and is well diversified. In addition, they are getting their respective government pensions (QPP & OAS). Now they would want to know the following: -What if they spend $90,000/year instead? -What if for the next 5 years their regular spending will be $60,000/year but they want to add an extra $20,000/year of travelling? -They would like to help their children buy a home, can they afford to do so? -With the current mix of stocks and bonds, is their spending sustainable until old age (90-95YO). -Does the sequence of their withdrawals make sense (RRSP, TFS, Non-registered)? -What if their portfolio has many good/bad years, how does this affect the sustainability of the withdrawals? -What if they need extra care after they are 85YO? -What if they sell their primary residence and downsize/rent? etc. Remember a portfolio is just a means to an end. It is a tool meant to be used and effectively allow people to have the life they want. I often meet newly onboarded clients who have overly focused on the portfolio without actually thinking how this will be used. And this is exactly why running these scenarios is impactful. It makes people think and define what they have worked for or working towards. Money must have a purpose. #financialplanning #Money #Investing #withdrawalstrategies

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This is a hot topic lately as many people's mortgages are up for renewal this year and next. Below we explore how to decide what is right for you. The 1-year and 2-year rates are still quite high, and the difference between 3-5-years isn't all that significant, so the 3-year fixed rate is very popular (I renewed my mortgage a year a go and chose a 3-year). The historical spread between Canadian bank Prime Rate and the Bank of Canada (BoC) overnight rate is 2.20%, as shown in the first graph. It has been lower in the early 2010's, but that's the spread over the past 8-years. Therefore, the variable rate you pay will likely be 2.20% over the overnight rate, hopefully minus some basis points (i.e. Prime - 0.30% as in our second chart). RBC Economics expects the BoC rate to fall to 3% by the third quarter of 2025 then stabilize there for the rest of the year (that's as far as their forecast goes). In the second chart there is some rough math using the spread (2.20% less 0.30%, so an effective spread of 1.90% over the BoC overnight rate) and assuming a 3-year fixed rate of 5.09%. If the BoC holds rates at 3% indefinitely for the full 3-year term (beginning today), then you are better off going for the 3-year fixed rate term. If further cuts into the 2%'s (even just to 2.75% then holds) then the variable rate option looks to be marginally superior. Of course, we can't know what the BoC will do. I personally think that we are in a higher inflation, and therefore interest rate, regime than what we experienced in the 2010's. I do expect rates to come down from current levels but settle at a level higher than what we have grown used to. If you think that has merit, then a 3-year rate looks pretty attractive - even if the BoC does follow the forecast exactly and then settles in the 2%'s, your marginal savings is small, back end loaded, and you get some cash flow relief right now. You also don't have the risk that this is completely wrong and inflation reaccelerates, which looks like it could happen in the US. For me, I'd err on the side of safety for what looks like a marginal difference either way...but the choice is yours.

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We have over 30 investment options in our Group Savings Plans, but we've partnered with Fidelity Investments for our default fund in our Group RRSP. This is because we take the life savings of our clients' employees seriously, and we've found Fidelity to be ahead of the curve in how they design and manage plans. The article below featuring Ruthann Pritchard is an example!  https://lnkd.in/eaXE7DqH

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