Insights: Back-to-school, cash vs bonds, life stages + 132 Hawaiian islands

Good reads:

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·???????? Why People Don’t Save Enough For Retirement

·???????? Thinking of Moving out of the Country (U.S.)? You May Not Like the Tax Consequences.

·???????? Bare trusts exempted from 2024 filing requirement

·???????? You might live to be 100 years old. But will you be able to afford it?

·???????? Ranked: Countries That Have the Most Skyscrapers in 2024

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Best quote of the week:

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“I have never let my schooling interfere with my education.” – Mark Twain

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ChartMasters:

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As we near Labour Day, we will soon find out if "Sell in May and Go Away" panned out or not. In my latest Asset TV ChartMasters segment, I look at why this seasonality trend hasn't been particularly accurate over recent years and why it's important to not time the markets.

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Best visuals of the week:

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We’ve got another Bank of Canada rate announcement coming up, so, many investors have been wondering how it’ll impact their cash holdings.

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Generally, when interest rates go down, that means the interest rate earned on cash holdings also goes down.? However, when it comes to bonds, there is an inverse relationship between interest rates and the price of bonds.? So, as interest rates come down, the price of bonds tends to go up.

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As a result, you usually see investors rotate more money back into bonds when interest rates fall.? Below is a great chart from RBC Global Asset Management that shows why this tends to be a good thing to do:

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Best soundbite of the week

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Many people travel in the fall, when the weather is still decent and tourist numbers have died down a bit.? In a digital world, some question whether there is any point in bringing hard cash on their travels.? The short answer is yes…in case you’re caught in a pinch.? Here is some great advice from The Globe and Mail :

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My thinking is that roughly $200 in Canadian dollars or the foreign currency equivalent is a good starting amount of cash to carry for situations where paying with plastic isn’t an option. You can always get more from ATMs, but that usually involves fees. Ideally, cost-efficient prepaid and credit cards will carry most of the weight when you pay for things while away.

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You’re Invited: Life Stages and Events – Where Insurance is a Strategic Wealth Solution

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Join us for an insightful webinar where our expert panel will guide you through key strategies to protect and grow your wealth at different life stages and events.

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Consider:

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• A couple with a young family.
• Individuals and couples who have saved, invested and made smart decisions throughout their lifetime, how do they maximize sharing their legacies with their intended beneficiaries?
• Incorporated business owners and professionals, with the change in income tax rates, how corporate owned insurance can help minimize and assist in transferring the wealth value in a tax efficient manner.

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Every day we work with Canadians who are interested in learning how insurance is a solution of choice when considering their wealth at every life stage and event.

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Date: September 18, 2024

Time: 10am PT / 1pm ET

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Contact me directly for a registration link.

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In the media:

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I had a great interview with Jenna Dagenhart and Asset TV Canada about saving for your kids’ schooling. With back-to-school season upon us, I delve into some of the benefits of Registered Education Savings Plans, investment ideas for RESPs, and more. Watch the full interview here :

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Beyond the markets:

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As many of you know, I was away the last two weeks competing in the world sprint championships for outrigger canoe. It was held in Hilo on the Big Island of Hawaii.

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My team had some great races and we ended up with an 8th place, which is not too shabby when you consider it’s 8th in the world (out of 48 teams).? This was our first year together as a team, so we did much better than expected. We’re pretty excited about it because it means we have lots of potential to build on for future years.

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When we weren’t racing, we got to tour around the island a bit. This was my second time there and Hawaii never fails to live up to its reputation.

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Here are some interesting facts about Hawaii:

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·???????? Hawaii is the world’s largest island chain and it’s the most remote landmass on the planet.

·???????? While there are seven inhabited islands, there are another 125 for a total of 132 Hawaiian islands. These cover a span of nearly 1500 miles across the Pacific.

·???????? The beaches come in five different colours: white-sand, black, red, pink, and even green. Much of this colour variation has to do with the volcanic nature of the islands.?

·???????? Hawaii has over 3,000 species of native plants and animals. There are no native land predators.

·???????? Hawaii was a globally recognized kingdom until 1898.

·???????? There are only 12 letters in the Hawaiian alphabet. The only ones used are A, E, H, I, K, L, M, N, O, P, U, and W.

·???????? There are no indigenous snakes in Hawaii. There are sea snakes, which are highly poisonous but non-aggressive and shy.

·???????? Mauna Kea is the tallest mountain in the world (and it snows at the top). While it is not the tallest above sea level, it is the tallest from floor to summit, measuring in at 33,500 feet. This makes it close to a mile taller than Mount Everest!

·???????? The Big Island increases in size by around 40 acres every year because of regular eruptions from Kilauea.

·???????? Its changing elevations and ecosystem give it the claim of having 10 out of the 14 named climate zones.

·???????? NASA used the hardened lava rock surrounding Mauna Loa on the Big Island as a training location for astronauts headed to the moon on the Apollo Missions. There have been more recent instances of NASA use for potential Mars training as well.

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Source: BigIsand.org

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Thanks for reading, and I wish everyone a wonderful long weekend!

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Cheers,

Kim

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Kim Inglis, BCom, CIM, PFP, FCSI, RIAC

Senior Portfolio Manager

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T: 416.777.6417 (Toronto)

T: 604.654.1160 (Vancouver)

T: 250.979.1803 (Kelowna)

TF: 1.877.363.1024

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www.inglisprivateinvestmentcounsel.com

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