Keyword: Investment Strategy

Adopting an appropriate investment strategy requires an investor to build a systematic plan of action to achieve his or her long term goals. The plan will determine the allocation of investable assets among stocks, bonds, cash and cash equivalents and alternative investments. The plan will consider such macro factors as economic trends, inflation and interest rates. Other factors are more personal–such as the investor’s age and risk tolerance as well as future needs for income and capital expenses. Tactics to achieve these individual strategic investment goals will inevitably involve a trade-off between risk and reward parameters. The expectation of higher returns will almost certainly involve the acceptance of some risk. Investors determined to follow their plan will commit it to writing. Then, when the going gets tough in stressful financial markets, the comfort of re-reading your strategic plan will remind you that you’re on the right path.

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Emotional vs strategic investing

‘Buy high, sell low, repeat until broke’ is an emotional investment strategy best left to lemmings. The MoneyLetter’s behavioural finance columnist Ken Norquay says feeling emotions is okay: reacting to   Read More

Emotional vs strategic investing

‘Buy high, sell low, repeat until broke’ is an emotional investment strategy best left to lemmings. The MoneyLetter’s behavioural finance columnist Ken Norquay says feeling emotions is okay: reacting to   Read More

Investing in residential real estate

Canada’s residential real estate market may be growing into a giant collapsible bubble. Portfolio manager and regular MoneyLetter columnist Keith Richards argues there are better ways to seek capital gains   Read More

Wait ’til next year

Whenever we’re disappointed by the elimination of our favourite baseball team, we console ourselves with the history of the hapless Brooklyn Dodgers who won the National League pennant in 1941,   Read More

Hot money and cold comfort

Follow the money into cyclical emerging markets or hunker down with some steady defensive stalwarts? The MoneyLetter’s regular investment strategy columnist John Stephenson recommends a combination of two emerging market   Read More

Yes Brexit, Please—We’re British

With apologies to the “No Sex, Please—We’re British” playwrights,  The MoneyLetter’s behavioural finance analyst Ken Norquay takes a look at why people make seemingly irrational decisions about investment strategy. His   Read More

Market outlook: gyrations

Economist Paul Samuelson quipped: “The stock market has forecast nine of the last five recessions.” So, advises Toronto-based portfolio manager John Stephenson, dial down the noise about continuing market gyrations   Read More

Investment strategy: Risk vs reward

It’s crucial to create—and stick with—an investment plan. Here’s how Keith Richards, portfolio manager at Barrie, Ontario-based ValueTrend Wealth Management approaches the investment strategy of risk/reward-based trading.
After reading an article   Read More