Managing a holding company (“holdco”) successfully includes keeping accurate records and performing administrative tasks. Missing some details might mean your holdco fails to comply with tax laws. But also, failure to administer your holdco properly could mean you waste time in the future cleaning up messes or wasting time searching for information. This post describes how to manage a holding...
Investors end up with capital inside holding companies for a variety of reasons including inheritance, tax & estate planning, and after the sale of an operating business. A holding company (“holdco”) is simply a corporation that earns passive income. Passive income is income earned from investments such as dividends from stocks, interest from loans & bonds, rent from real estate,...
Life becomes different after you come into a big pile of cash. Whether you’ve just sold your business, received an inheritance, or won the lottery. Suddenly being rich also brings problems. This post will describe some ways to approach life after you cash in.
How might Real Estate fit into diversified investment portfolios? And how might Real Estate Investment Trusts (“REITs”) be a good way to passively invest in real estate? This post will explore what REITs are and how investors might use them.
When someone dies owning private company shares, there is a risk of double or even triple taxation. A deceased individual’s estate owning private corporation’s shares may be taxed because of the deemed disposition at death of those shares (capital gains tax).There may be tax payable by the corporation when it sells assets to fund distributions to the deceased person’s estate (capital...
Many wealthy and retired investors have their primary investment objective as income generation. So, this post identifies 10 Canadian blue-chip investments with high yields that might be suitable for your portfolio. The holdings listed below are “blue-chip” since most are members of the S&P/TSX 60 Index and all are established companies with long track records. The companies in the list...
Canadians might be surprised to learn they may be exposed to US estate taxes. This post describes the risks to Canadian investors and how they might protect themselves.
A robo advisor is an investing advisory and rebalancing service where recommendations and trade execution are delivered programmatically. This post compares the costs and benefits of using a robo advisor compared to a human investment advisor. It also lists the top robo advisors in the US and Canada.
Following political pressure for Canadian charities to spend more of their capital, the federal government announced in their 2022 budget that the Disbursement Quota (“DQ”) for registered charities will be raised to 5%. This post describes the latest changes to the disbursement quota and how they may affect your private foundation.
Unsurprisingly, the Canada Revenue Agency (CRA) demands taxes be paid in Canadian dollars. This is simple enough when you earn income in Canada, since you were likely paid in Canadian dollars anyway. Your Canadian based investments are also likely quoted in Canadian dollars, which makes reporting your investment income based in Canada simple as well. But, what happens when you make...
