Here are two simple retirement investing strategies that can help you maximize your investments in RRSPs.

High-risk retirement investing

Planning your retirement investing and picking stocks for your RRSPs can be difficult. It can be tempting to pick higher risk (and potentially higher return) stocks for your RRSPs. However, we believe these investments are generally unsuitable for this type of retirement investing, …read more »

FORT CHICAGO ENERGY TRUST $8.68 (Toronto symbol FCE.UN; Shares outstanding: 134.1 million; Market cap: $1.2 billion; SI Rating: Extra Risk) owns 50% of the Alliance Pipeline, which runs 3,000 kilometres from Fort St. John, B.C., to Chicago. Enbridge Inc. owns the other 50% interest. The two partners also own 85.4% of the Aux Sable natural gas liquids plant. As well, …read more »

FORT CHICAGO ENERGY TRUST $10.82 (Toronto symbol FCE.UN; SI Rating: Extra Risk) owns 50% of the Alliance Pipeline, a 36-inch diameter natural gas pipeline. It extends 3,000 kilometres from Fort St. John in B.C. to Chicago, Illinois. Enbridge Inc. owns the other 50% interest. The other assets held by the two partners are 85.4% of the Aux Sable natural gas …read more »

A question investors often ask at this time of year is “What role should bonds play in my RRSP?”

If you’re going to hold bonds, an RRSP is a good place for them.  That’s because bond interest lacks any tax advantages, unlike dividends from Canadian companies, which carry the dividend tax credit. Bonds usually have fixed maturity dates as well, so …read more »

You can now take out $2,000 a year from a RRIF without paying federal income taxes if you’re over 65, up from $1,000 previously.

This will let you save around $305 a year in tax, up from $153.

To take full advantage of the credit, you can transfer approximately $9,100 to a RRIF at age 65 (which assumes a growth …read more »

If you’re turning 69, you’ll need to wind up your RRSPs. There are three main options: You can cash in the RRSPs and withdraw the funds in a lump sum (although you’ll be taxed on the entire amount in that year as ordinary income). You can purchase an annuity. Or, you can convert your RRSPs into RRIFs.

Years ago, many investors …read more »