Managed Money Reporter Newsletter — Issue 303, January/February 2018

Editors: Carl Spiess & Allan McGlade

Featured Articles

Volatility Returns

Carl Spiess

By Carl Spiess, CFP, CIM, FMA, FCSI, MBA

After a very steady two years, we are seeing a return to volatility in the markets. Stock market sell offs are not really unusual; the almost daily new record levels set in the US markets over the last few years were in fact unusual. Even with the losses late in January, it was still the best month since March 2016 for the S&P 500, rising 5.8% for the month. So as we see more losses into the beginning of February erasing the year to date gains, the volatility that has been absent for so long is certainly making headlines. In past years, some clients commented to me that stocks always seem expensive during RRSP season, but this year is looking different.

Here is a link to our firm's most recent market watch:

And commentary from our firm's portfolio advisory group:

Part of the volatility is caused by rising wages and prices, which is spurring concern about increased inflation which will lead to higher interest rates. We've already seen Scotia's Investment Savings Account rates rise to 1.25%, and 5 year GICs are yielding 2.88% – both significantly higher than a year ago.

Wealth Insights, Winter 2018

For thoughts from non-Scotia research and analysis that we also follow, here are some other commentaries worth reading for perspective:

Scotia Wealth Management's Winter 2018 Wealth Insights newsletter provides additional information on our firm's 2018 outlook, how to use insurance for long term planning and the benefits of registered accounts:


RRSP, TFSA and RESP Contribution Reminder

March 1, 2018 is the deadline for RRSP contributions. The Spiess McGlade Team has also already been helping many clients make their $5,500 TFSA contributions and $2,500 RESP contributions for 2018. Here is a handy reminder of the rules and dates for RRSPs:

and some good RRSP strategies:

For more information about TFSAs, please see:

or our TFSA page:

For even more detail on tax numbers to consider for 2017, please check out this investment industry article:

and this one from CRA:


2017 Performance and Fee Statements

If you are ever wondering "how am I doing?" your performance and fee statement has the answers. Scotia is pleased to have recently sent out our performance and fee statements. On that statement you can see a summary of fees paid last year and your (after fee) returns for the last 5 years. I am very pleased that these reports are now generated automatically, meaning my team has more time for investment research, individual client questions and "Enriched Thinking". Please let us know if you have any questions about your returns or the value of the services we provide.

One common question we receive about the fee statements regards comparisons with an index. The statements are generated using a money (dollar) weighted return, for index comparisons we can run time weighted returns which are usually fairly similar, but have important differences depending on cash flows in/out of your account. See our statement page for more information:


Online Access for Tax Slips

Comming soon - new digital access agreementThe pending upgrade to Scotia's online digital access agreement will include an option to change your online access for statements and tax information to paperless. I recommend selecting paperless and then visiting Scotia Online and printing off all the information you need at one time. This avoids the possibility of losing a form or receipt as they all tend to come at different times.

If you do still want to receive paper copies, please be sure to check your preferences in the Communications Centre after accepting the updated Digital Access Agreement.

The image below shows the various times that tax documents are due for e-delivery.

Communications Center - Get online access to tax documents

Here is the link to the 2017 Tax Reporting Guide:

Do let us know if you have any questions about tax reporting. You can email if you need help with online access or finding any tax slips.



MyCRA is a convenient way to access personal tax information right from your personal computer. Business owners may also register for the service and there's even a mobile app option for those on the go!

Once registered to use the service you may log-in just about any time to track the progress of your tax-return, review past tax return details, check RRSP/TFSA contribution room and more.

Instructions on how to register may be found using the link below. Be sure to have your personal information (listed on the website) in hand when you register:

The registration link will grant limited access right away, but you'll need to enter a CRA code (provided by mail) to gain full access, so plan ahead as important deadlines approach to ensure you have the information you're looking for when you need it.


Scotia Estate Assist

Estate Assist Video

Sadly, we've had to help a few too many clients recently with either their parents or their spouse's estate administration. It is always better to have thought through who will be administering an estate for the ones you love. While being an Executor is considered an honour, you're also entrusted to deal with many complex and time-consuming responsibilities. We have the expertise to help you fulfill them through our partners in Scotiatrust. And there can be fee savings when assets to be administered are consolidated at Scotia. Watch this video to learn more.

and here is the Spiess McGlade Team Estate Assist Brochure:


Doing better with advice

The Investment Funds Institute of Canada does an annual survey of Canadian investors. We were pleased to see that the number of Canadians who strongly credit their advisor with increasing their returns increased last year and is generally a very high number.

Proportion of investors who credit advisor with better returns on investment is up since 2016

For more details, see:

A similar survey found that most Canadians are satisfied with their advisors:

There was one item that was still a bit of a mystery to many Canadians, "What does my advisor invest in?" It shouldn't be a surprise that the members (and even children) of the Spiess McGlade team have the majority of our own investments in the exact same funds we recommend to clients. (We do also hold shares of Scotiabank of course through our firm's ESOP plan.) You can see the funds we use at:


Scotia in the Community – Gord Downie Legacy Room

Long Time Running movie

I was pleased to see that Scotiabank has set up a Legacy Room in our Toronto Head Office which aims to help with our nation's reconciliation efforts. I'd started reading more about Gord Downie's passion for doing more, after watching the amazing documentary "Long Time Running". It played at TIFF and then many Scotiabank Theatres and is now available on Crave TV. We are proud to be part of Gord's legacy and pleased to keep his interests moving forward.






Recommended Link of the Month

The Ontario Securities Commission has a good site to help investors. It is called "Get Smarter About Money" and has great tools and interesting information. I'd recommend trying the Money and State of Mind quiz where you can see how your responses stack up against other Canadian Investors.



Contact Us

T.  416.863.RRSP (7777)
F.  416.863.7479

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