- It was widely reported in the press that the Canada Revenue Agency is experiencing glitches with electronic tax filing for individuals. The agency has posted a list of facts that taxpayers should be aware of on its website.
- While there is much hue and cry over high ABM fees, there doesn’t seem to be much protest over the high monthly bills for cellphones in Canada. The Globe and Mail reports on a new study that the high fees are discouraging widespread adoption of cellphones. Instead of regulation, the government should ensure a competitive marketplace by opening up the sector to foreign competition.
- This week, the Bank of Canada decided to keep interest rates steady and the prime rate charged by the banks stays at 6%. The wording of the announcement suggests that the Bank is likely to maintain the holding pattern at its next meeting.
- We could endlessly argue if a mortgage paydown is better than a RRSP but RRSPs become a clear winner if your employer makes a matching contribution. A recent press release from Sun Life Financial points out the many advantages of group RRSPs and says more than 50% of employees fail to take advantage of them. It is not clear how many employees fail to take advantage of a matching contribution but it is foolish to give up free money.
- Warren Buffett is not alone in advising investors to stay clear of hedge funds. A new study shows that investors are better off with zero allocation to hedge funds. The main culprit: the high fee structure.
- Rob Carrick writes about five ways to invest in China. James Daw writes in The Star about getting exposure to India, though he omitted mentioning IIF and IFN, the closed-end funds that are traded in the NYSE. I am not sure why investors would really want to risk exposure to individual emerging markets. A fast growing economy should not be confused with a rising stock market.
- Canadian Dream featured a guest post by Margot Bai in which she urges Canadians to beware of the conflict of interest inherent in financial advice given by commission-based advisors.
