Build Wealth Canada Podcast Lessons on Mastering Money in Canada - Featuring Fred Masters
16 snips
Aug 1, 2023 AI Snips
Chapters
Transcript
Episode notes
Use A Core-And-Explore Strategy
- Use a 'core and explore' split: keep most (eg. ~80%) indexed and allocate a small portion to stock picks.
- Hold yourselves accountable and review results quarterly; revert to indexing if you underperform.
Match Vehicle To Your Comfort Level
- Pick the investing vehicle that matches your comfort and skill: robo-advisors for beginners, asset-allocation ETFs for most, DIY ETFs for confident investors.
- Combine these with TFSA/RRSP/RESP to maximize tax efficiency.
Classroom Indexing Experiment
- Fred ran a classroom experiment with two virtual portfolios: one actively traded and one indexed.
- Students found active trading stressful and preferred indexing after seeing the outcomes.