Ogden Financial Planners Year End News Letter 2024

Our family has just taken time to commemorate our founding father and his passing just one year ago. Our company will be donating to charities this year in his memory. Thank you all for trusting in Brians legacy and your continued support in our firm and myself.

This year has been robust!

The commitment from investors to watch yields post inflation is rewarding. Keep in mind the social and political environment with which we participate globally has proven that when wars, rumors of wars and major electoral changes are present, the markets will reflect investor attitudes and economic stability and not be swayed by the social or political turmoil.

Your performance as investors and commitment to add into the valuable segregated accounts reflect average returns within the year of 7-12% net returns on investment. This is the first year since 2021 since these returns commenced and as history reflects, we should be in a consistent growth period for at least four more years. (Positively proclaimed).

Interest Rate Reductions have occurred thrice this year, and we should continue to see the Federal Banks provide continued reductions each year, at least the same as we did in 2024 (A decrease of about .25% each reduction. Or .50% per year). We had an additional reduction in Oct of a 50 basis point reductions which was a bonus for 2024.

Real Estate in Alberta is levelling off and this is positive for our province since we have just experienced our real estate boom which occurs every 6 years a yield at (25%) over the last 2-year run. Real Estate in BC continues to climb steady at 12% each year and Ontario at a similar run at 15% per year.

For Homeowners and their mortgages:

Lending renewal rates will still be higher than 3-5 years ago. But the decrease by the Federal Bank should reflect new rates just below 5% for a 5-year amortization period. This is nothing to be afraid of. The balance in our mortgage cost should always be considered to run at around 3-5%. Let us not forget the 1980s; The Federal Banks worked hard in correcting those times of 20% mortgage rates. 3-5 seems very normal.

Investors Considerations:

The positive impact of markets coming back and the growth we will have should now be as consistent over the years ahead. It has been a good ride for GIC and Cash Daily Interest safety. I would reinforce that since Dec of 2023 it is a start to move into the equity markets and balance out your portfolios to have low to medium risk equity holdings. The Dividends, Corporate earnings, and economy will yield higher than 6% returns. There are no Cash equivalents that can provide that in the horizon. Reallocate those DIA and GIC back into your portfolio. We are ready to help you do this.

I can assure you that every dollar invested as we move forward will be safe and weather other storms that may hit us…Keep investing.

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Continued on reverse…

Nov 2024 annual news letter.

TFSA contribution rooms are great. In January 2025 the principle of your contributions for anyone over the age of 34 will be $102,000.00 per person. And if you were consistent with your deposits this yields a tax haven on all the principle and growth you have acquired. The more you keep tax free from your death, and or as a tax-free income source, the less the government gets!! The more all your beneficiaries will receive.

Retirees and Pension:

Sometimes too much income causes higher taxation on your hard-earned retirement plan. There is a strategy to ensure that you keep your full OAS from the government ($8,565.90) coming to you. *Combine all your income from pension, RRIF accounts, CPP and OAS: if you are below ($90,997.00) you get to keep the full $8,565.90 without a payback to CRA the following year. If your income exceeds the above amount, then consider… REDUCE YOUR RRIF INCOME by the $8,565.90 and let the government pay you the full OAS which lets your RRIF portfolio keep your own money…for your future needs, deferred growth and transfer through spouses and beneficiary estates.

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Other Considerations: Legacy and Estate Planning.

Our experience assisting, coaching and providing proven planning to your Estate this year has levelled up. Our real-life stories are a living testament to the many individual needs constructing your estate plans and legacy transfers to spouses, grandchildren, dependent children and charitable donations. There are numerous strategies involved to ensure your beneficiaries protection. There are no other means of transferring your estate efficiently other than the investment accounts you have with Segregated Funds. I have been busy with these experiences throughout the year and the cleanliness of wealth transfers has never been easier and precise.

Insurance Solutions throughout life:

Life and Living Income Insurances can be constructed to provide income losses and debt reductions early in your lives and provide the means for your partner in retirement to replenish incomes spent from your investment assets and savings. These two strategies should be constructed while you are young and have no health qualification restrictions. Consider an insurance plan that lasts your entire lifetime that “never increases in cost as you age”.

2025 is NEW

New politicians will lead us into the short future ahead.

New technologies will make life, business and organization more efficient.

New opportunities to enhance our environment will assist in decreasing waste and improve our quality of life.

New growth provides better returns.

Any way I can continue to assist you is service, Meeting times are available, and I am excited for the upcoming reviews. Book your annual reviews now and I will see you soon.

Matthew Ogden (Successor, Financial Planner, Investment Manager, Insurance Advisor and Life Coach)