This portfolio page will be getting an update roughly every month dependent on changes to our holdings and market swings.
As you look through the holdings you will notice that there are two distinct holding types here:
1) Canadian dividend growth stocks
2) Low cost commission free ETF’s
The goal with these accounts is simple, we want to be able to live our best life using nothing but our investment income. In order to accomplish this there are a couple very simple ideologies we follow:
1) The first is that we believe in order to preserve our nest egg as best we can, we need to take advantage of the Canadian Tax benefits associated with investing in Canadian dividend payers. In case you’re unaware, Canadian dividends in specific are paid out after the company has been taxed on these earnings and, therefore; the end receiver of said dividend will have to pay very little (in a lot of cases 0%) taxes on the dividends received. If you’re like me I had to read, and re-read what I was seeing online before I actually became convinced this was a real thing!
2) The second is that we believe you must be diversified both between sectors in the market but also by country, and we would love to have at least a 10% position in global equities. Now due to the fact that it is hard to remain on top of all markets world wide, we will be casting a wide net and using low cost ETF’s to gain exposure to Europe as well as Emerging Markets.
All numbers in the tables below are accurate as of April. 15, 2019
2) The second ideology is that you must be diversified across your portfolio to prevent any catastrophic events later on in life. I can’t imagine being past my Findependence day only to see my portfolio crumble and be forced back into the work force because I was too heavily invested in either too risky of investments or the classic “all eggs in one basket”.
We believe through investing in Canadian dividend growers, and low cost commission free ETF’s we can build a well diversified, low cost and highly tax efficient financial freedom fund that will help us reach our goals of an early retirement and the ultimate goal of financial independence.