Own property? What you may not know is…

Author: Sound Choices

May 10, 2018

 


The content in the below article is meant for Canadian investors only.


 

…You’re probably over-invested in Canada

In the last few years, Canadians have become more excited about real estate, with some saying “if I can get in, it’s the best investment I can make.” There’s no question that many have seen the value of their property increase.

The results?

1. An imbalance of real estate compared to overall net wealth:



Source: Stats Canada, Survey of Financial Security, 2016. Released in The Daily, Thursday, December 7, 2017.

2. Your financial well-being is already tied to the Canadian economy – and your local market.

Consider the situation of many Canadians who were impacted when the price of oil declined. It may have affected more than just the value of your investments in the financial markets.

Your HomeYour Career

 

3. Your investments may also demonstrate “home-country bias”

The Canadian market represents less than 4% of the world’s market capitalization, while the average Canadian holds more than 70% in Canadian investments…



Source: AGF Investment Operations, as at December 31, 2017. For illustrative purposes only. You cannot invest directly in an index.

 

What can you do to reduce your over-investment in Canada?

For many, selling your house or changing careers isn’t realistic – but you can adjust where you invest.  Talk to your financial advisor today about how investing globally can diversify your portfolio.

 


The contents of this Web site are provided for informational and educational purposes, and are not intended to provide specific individual advice including, without limitation, investment, financial, legal, accounting or tax. Please consult with your own professional advisor on your particular circumstances.

More articles like this.

Understand interest-rate risk

Investors usually look to fixed-income investments to provide a safe haven from equity market fluctuations. However, investors need to be aware of the risks associated with fixed-income investments.

Read More

The impact of an interest-rate rise on homeowners

How much will your mortgage payment go up?

Read More

Sustainability matters…

Find out how you can make an impact

Read More