Top products from r/CanadianInvestor
We found 24 product mentions on r/CanadianInvestor. We ranked the 16 resulting products by number of redditors who mentioned them. Here are the top 20.
1. The Intelligent Investor: The Definitive Book on Value Investing. A Book of Practical Counsel (Revised Edition)
Sentiment score: 1
Number of reviews: 2
This classic text is annotated to update Graham's timeless wisdom for today's market conditions...The greatest investment advisor of the twentieth century, Benjamin Graham, taught and inspired people worldwide.Graham's philosophy of "value investing" -- which shields investors from substantial error...
2. Millionaire Teacher: The Nine Rules of Wealth You Should Have Learned in School
Sentiment score: 1
Number of reviews: 2
3. Your Complete Guide to Factor-Based Investing: The Way Smart Money Invests Today
Sentiment score: 2
Number of reviews: 2
4. The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns (Little Books. Big Profits)
Sentiment score: 2
Number of reviews: 2
5. The 6-Pack Portfolio: How to Beat the Canadian Stock Market
Sentiment score: 0
Number of reviews: 2
6. The Complete Guide to Option Selling: How Selling Options Can Lead to Stellar Returns in Bull and Bear Markets, 3rd Edition
Sentiment score: -1
Number of reviews: 1
McGraw-Hill
8. Real Estate Investing in Canada: Creating Wealth with the ACRE System
Sentiment score: 1
Number of reviews: 1
9. Value: The Four Cornerstones of Corporate Finance
Sentiment score: -1
Number of reviews: 1
Wiley
10. The Five Rules for Successful Stock Investing: Morningstar's Guide to Building Wealth and Winning in the Market
Sentiment score: 1
Number of reviews: 1
John Wiley & Sons
11. A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing (Twelfth Edition)
Sentiment score: 1
Number of reviews: 1
12. Think Twice: Harnessing the Power of Counterintuition
Sentiment score: 1
Number of reviews: 1
13. MONEY Master the Game: 7 Simple Steps to Financial Freedom
Sentiment score: 1
Number of reviews: 1
financialgoalsmoneyhedge fundincome
14. The Secret to Real Estate Wealth: Canada’s Leading Experts Reveal Their Secrets for Building and Protecting Real Estate Wealth
Sentiment score: 1
Number of reviews: 1
First of all, ignore the downvotes. Everyone has to start somewhere, and 17 is about as good as it gets.
I agree with u/brandonIsAFreeElf that the best investment you can make at your age is personal development. Video game addiction is a real thing, and if it's affecting your mental health, take care of yourself first. Investing is great life skill, but money won't solve every problem. I also agree with his point about focusing on future earning potential. The more money you have to invest, the more money you can make investing.
Unfortunately, the other users are correct that $500 is too little to get started (see edit below). That will be chewed up with trading fees and charges for being under minimum account balances. I think the recommendation for parking it in a high interest savings account is a solid one. If you aren't working, try to land a part time job to build that capital up (to maybe $5-10K?). This is old man stuff, but you'll appreciate the effort that went into it and you'll be more afraid of losing it. Risk management is a critical skill in investing. While building up that capital, learn as much as you can. Maybe open a paper trading account just to practice implementing some of your ideas.
I can offer some broader insights that I wish a mentor had told me when I was starting:
Hope that helps! Feel free to PM me if you have any questions, or I can answer them here.
Edit: I noticed another post here recommending a Wealthsimple Trade account. I was unaware of this option, so I take back my comments about $500 not being enough to invest! However, I do still recommend taking a step back and learning some fundamentals before throwing your money into the markets.
Is it worth the effort to invest in factors? The answer is "probaby yes" if your end goal is to increase your average returns over a 20-30 year time period and are willing to introduce a small amount of additional complexity. I highly recommend Berkin & Swedroe's "Your Complete Guide to Factor Investing" if you want to evaluate the evidence for a factor-based approach.
Based on your question, Ben Felix's paper "Factor Investing With ETFs" is where I would start if you haven't checked it out already. It provides a good, quick summary of the benefits of factor investing and a Couch Potato-style model portfolio with couple of added factor ETFs. The downside is that these funds are US-based, which means you have to convert to US dollars through your brokerage (they usually charge a 2% fee) or do a fancier maneuver called "Norbert's Gambit". I personally found it worthwhile to learn how to do Norbert's Gambit because once you do it once, you can do it as often as you'd like in the future.... and you'll save yourself lots in fees, too!
If you don't want to convert currencies, then Vanguard's Canadian-listed factor funds like VMO or VVL might work for you. Blackrock also has multifactor ETFs like XFC, XFS, and XFI that may work. Personally, I prefer US-listed ETFs like the ones listed in Ben's paper because they have a longer history and are cheaper to hold.
Hi,
I love books and here are some:
1- A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing
2- The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns
3- MONEY Master the Game: 7 Simple Steps to Financial Freedom
Good luck
Start with Millionaire Teacher. Then read The Single Best Investment. Then to understand the business behind the stock, read The Intelligent Investor. This will provide a good start on what to look for individual business. The more you think business like, the better investor you become.
> What are the other allocations aside from CCP that are often recommended?
For passive investing, the CPM Model ETF Portfolios. For something more active, probably factor investing. Larry Swedroe has written a great book on this, which you can find on the Library Genesis. The main problem with this approach though is a lack of Canadian ETFs which capture the factor premiums effectively, so you have to do your own research here.
> Also here is WS allocations. What do you think of the assets below? Should I copy it at Questrade?
Seems solid to me. Captures all the main asset classes - US, Canada, International Developed, Emerging Markets, and Fixed-Income. Don't see the point of 5.5% in cash though. Also, this will be harder to rebalance on Questrade (I assume WS does the rebalancing for you?) as you pay a fee of at least $4.95 for selling ETFs. To help with that, consider going with 5 ETFs - one for each of Canadian aggregate bond index, Canadian equities, US equities, International developed equities, and emerging market equities.
Another option would be to use WS Trade, as they charge no commission for buying/selling stocks/ETFs. But if you want to hold US-listed ETFs, they do charge a currency exchange fee, which you can avoid on Questrade using something called "Norbert's Gambit". Holding US-listed ETFs is best in an RRSP though (which WS Trade currently does not let you open), as you avoid the 15% withholding tax on dividends imposed by the US government. But I still think WS Trade is the best option for TFSA accounts.
While the title is corny, this book will help you analyze a company's financials and can help you understand things like "moats" and etc.
https://www.amazon.ca/Five-Rules-Successful-Stock-Investing/dp/0471686174
It's an easy read too, and as I've just begun to set aside cash for individual stock picks it has helped me avoid a couple I thought were fine, and helped me snag a few solid companies "on sale."
Yes, I have several rental properties. You make money in RE by mortgage pay down, property appreciation and monthly cash flow. If you want to invest in RE in Canada, I would strongly recommend this book.
I think you should allocate most of your time to study the companies you are interested in.
A nice read about this is Capital Compounders (2nd Edition) by Robin R. Speziale's and it's focussed on Canadian investors. In the book, Robin outlines his own routine in details (page 167). Reading BNN (and Stockchase for BNN Market Picks) and CNBC, read Fintwit on Twitter, login to Brokerage account and scan portfolio for movers, check for holdings earnings, monitor watch list, review new company listings, initiate a stock screener, check predefined scans and alerts, etc.
You can get Robin's book free when you signup for Stockchase Premium 😉
Thanks! I'll definitely took a look at the book.
Have you ever looked at this book?
You should read The Millionaire Teacher! This is the best and most straight-forward book I have read on DIY investing. Grab this book, open up a Questrade account (no fees on buying ETFs) and start your journey! Check out CCP for ETF suggestions for your portfolio. Remember KISS - Keep It Simple Stupid!
Checkout The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns https://www.amazon.ca/dp/1119404509/ref=cm_sw_r_cp_apa_i_nT6OCbTN24GQM
You should read the book Millionaire Teacher
Read this..
https://www.amazon.ca/6-Pack-Portfolio-Canadian-Stock-Market/dp/1983979880/ref=sr_1_fkmrnull_4?crid=8JDRF668QLPA&keywords=how+to+beat+the+canadian+stock+market&qid=1555767539&s=gateway&sprefix=how+to+beat+the+cana%2Caps%2C219&sr=8-4-fkmrnull
Start here with this book. https://www.amazon.com/Intelligent-Investor-Definitive-Investing-Essentials/dp/0060555661
Check this book out:
https://www.amazon.ca/6-Pack-Portfolio-Canadian-Stock-Market/dp/1983979880/ref=sxts_sxwds-bia-wc1_0?keywords=canadian+6+pack&pd_rd_i=1983979880&pd_rd_r=2ae36043-3cc2-4b5e-8351-a6a5fc5cbce6&pd_rd_w=hcfWs&pd_rd_wg=XF3ev&pf_rd_p=f21c7dda-bfa4-44c9-bd1c-d5e8d504b7f8&pf_rd_r=2SCEV80FQRP9Q1AW7NM1&psc=1&qid=1567714808&s=gateway
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> Writing naked options is so risky, who would let him manage their money if they knew the risks? There is no way his returns were good enough to outweigh the risk.
I don't disagree with you, but this guy literally wrote the book on selling options. I believe his returns were insane for many many years.
"It's beyond me how anything I've said implies that is my thinking."
"A P/E ratio does imply return as you said, but has no relationship to growth." Maybe I'm misunderstanding you but it sounded like you use P/E as a proxy to earnings yield without thinking about what a "fair multiple" is.
https://www.scribd.com/doc/79983013/UBS-Valuation-Multiples-Primer#from_embed
"You may want to check their financials - they're currently at 39.8% and i has steadily risen over the last 3 years"
I understand that, and what I was saying was that if you just run the numbers using their "price increases" and approximate average sale price per SKU, you'd see that the delta on gross margins over the past few years can't possibly be due to them increasing prices on the same SKUs because the delta is too low.
"What I heard was the SSSG was 2.5% not the 5% the street was anticipating"
Yes, and the entire point I was trying to make is that you need to understand what the stock price is implying, which is a big mistake that a lot of investors make (retail or institutional). Maybe I haven't communicated this well, but if you read this book (linked below), you'd see exactly what I meant.
https://www.amazon.ca/Value-Four-Cornerstones-Corporate-Finance/dp/0470424605
"Time will tell who is right."
Just keep in mind that using the stock price to verify your decision making process is essentially not separating type I vs type II error. The stock can work without the thesis being right.
I'll leave it at this; you decide how to take it.