Many people in their 30s or even 40s have lived and worked their entire adult lives in a world of persistently very low interest rates. While a 40-year-old American was (barely) alive during Paul Volcker’s often double-digit interest rates during [...]
While social media can be a negative force and always threatens to be a huge time-waster, it does have the virtue of bringing material to hand that we might otherwise miss. One of the best writers in the economics and finance sector right now is Ben Carlson CFA of Ritholtz Wealth Management. His blog, “A Wealth of Common Sense” contains not only common sense, but some real wisdom, and always good writing. Here is an essay that our Portfolio Management Committee recently reviewed together. We agree without almost everything he has to say. It is well worth your time.
There has been some misunderstanding about the Baskin Fixed Income Pool, and the returns or losses that clients have experienced. We accept responsibility for bad communication on this issue. Fund accounting is tricky, and in this case, has been made harder to explain by two factors. We have, in the past, reinvested income paid by the Pool, issuing additional units to our clients rather than paying them cash; and the bond market experienced a record decline in value in 2022.
Legendary investor Warren Buffett famously said that his favorite holding period is forever. Our aim at Baskin Wealth Management is to replicate this by owning great businesses managed by skilled & honest CEOs, and then sit back and let these [...]
By Ernest Wong|2023-06-20T15:30:33-04:00Jun 20th, 2023|
Last November, shares of Restaurant Brands International, the parent company of Tim Hortons, Burger King, and Popeyes, shot up on the announcement that Patrick Doyle would be the incoming Executive Chairman. The market’s enthusiasm is well founded: Doyle is best known for leading the turnaround of Domino’s Pizza as CEO from 2010 to 2018 with Domino’s Pizza being the #1 performing stock in the S&P 500 during that time.
By Ernest Wong|2023-05-25T13:39:53-04:00May 25th, 2023|
Last December, Brookfield Corporation (BN) listed its asset management business into an independent company called Brookfield Asset Management (BAM), in essence separating Brookfield’s capital (Brookfield Corporation) from the third-party capital managed by Brookfield. The naming can be confusing, so in this blog, BN will refer to Brookfield Corporation, while BAM refers to Brookfield Asset Management.
In this month’s newsletter David writes about how the Canadian government's got a reminder for us – hey, you're getting old! They let him know this by telling him to start taking money out of his RRSP, which is now a RRIF, and begin paying the taxes that go along with it. They say death and taxes are inevitable, which is at least half true, but good planning can sure take the edge off taxes. Just don't wait too long.
In our year-end newsletter, David reflects on the unpredictability of financial markets, highlighting the surprising success of the stock and bond markets in 2023 despite widespread predictions of a recession. He emphasizes the importance of acknowledging uncertainties and suggests that understanding what is known and unknown is crucial for successful long-term investing. David expresses confidence in active management over passive strategies and discusses the uncertainties surrounding stock market movements and interest rates. He underscores the focus on high-quality stocks, the recognition of value over time, and the significance of behavioral biases in investment decisions.
Alphabet Soup As 2023 draws to a close, we have added another new acronym to the ever-growing alphabet soup of government financial and tax planning programs. Here’s a quick update on what’s new (and old): FHSA. The First Home [...]
The past year has seen the addition of a new registered plan aiming to help first-time home buyers, as well as increased annual contribution limits for both the Tax Free Savings Account and the Registered Retirement Savings Plan driven by inflation. In light of these changes, this article will provide an update of the various registered savings plans available in Canada.
By Esida Selfo|2022-08-31T12:15:52-04:00Jul 26th, 2022|
Everyone worries about money. Daniel Kahneman, a behavioural economist and winner of the Nobel in economic science once said “Money does not buy you happiness, but lack of money certainly buys you misery”. Money worries are the greatest source of stress, more than work, personal health and relationships.
Designating a beneficiary on your registered accounts is one of the most important decisions in estate planning. By designating a beneficiary, you inform the financial institution of your plans for your estate after your death. While it is a simple act requiring little in the way of paperwork, it can do a great deal of heavy lifting in establishing your wishes for your estate and ensuring your assets are distributed according to your wishes when you die.
With Barry back from vacation, he and Ernest get right back into discussing stocks and the markets. First, the guys discuss Nvidia and AI and sticking to you what you know as an investor. Next, they talk about three companies that are getting the long-term shareholders they deserve, CoStar Group, CCL Industries and Restaurant Brands. Finally, the feature discussion is on Topicus. Spun out from Constellation Software in 2021, Topicus is a serial acquirer of software companies based in Europe. They discuss the reason for the spin-out, Topicus’ strategy, why it is listed on the TSX Venture exchange and why it trades at a higher valuation than Constellation Software.
With Barry away this week, Ernest talks with Baskin Wealth Management's founder and Chairman, David Baskin about the story of Baskin and how wealth management has evolved. This episode is full of stories and wisdom from David's extensive experience in the industry.
Jam packed episode this week! First, Ernest discusses what he does during earnings season. Next, he and Barry discuss why stocks react the way they do after reporting quarterly earnings and they then breakdown some recent reports from Alphabet, Ferrari and Microsoft. Finally, their feature discussion is about the medical device giant, Stryker, where they discuss its moat and the outlook for business.