Explorez tous les épisodes du podcast Unconventional Wisdom

What is the meaning of life? What truly makes it worth living?

How can having a meaningful life help you become financially independent?

It comes down to responsibility. Choosing what you want to be responsible for gives your life structure, direction and purpose. It’s also the same mindset that can help you become financially independent.

In my latest podcast episode you’ll learn:

• What is the meaning of life?

• What makes life worth living?

• How do many people avoid taking responsibility for their life?

• How can having a meaningful life help you become financially independent?

• How can you become wealthy?

If you’ve ever wondered how to align your deeper “why” with your financial success, this post is for you.

 

Being worried about a market crash right after retiring is a major fear for many people both before and after taking the plunge. I often hear these anxieties:

“I’m scared to retire even though I have enough money in every projection. What happens if there is a market crash right after I retire?”

“We just retired, but are hesitant to spend money in case we have a market crash.”

You’re not alone—thousands of people have had the same worry. But does the data actually support this fear?

In my latest podcast episode you’ll learn:

• Do we need to worry about a market crash right after retiring?

• Should we have the same worry in future years?

• Can I really be financially independent for life?

• How can I confidently take the plunge and retire when the market might crash?

• What should you do when the market crashes during retirement?

• Should I go back to work?

• What has happened in history with market crashes during retirement?

• What types of investments most reliably provide a solid income for a 30-year retirement?

• How can you let go of the fear?

 

♦Go Big or Go Slow: Why 10x Wealth Is Easier Than 2x♦

This title may be hard to believe, but it is a common theme in coaching for small business entrepreneurs. 

The concept is from the popular book "10x Is Easier Than 2x: How World-Class Entrepreneurs Achieve More by Doing Less" by Dan Sullivan and Dr. Benjamin Hardy.

Most of us think about incremental improvements in our lives, not dramatic life-changing improvements. That would require a completely different way of thinking.

The 10X concept works for entrepreneurs. You can also use the 10X concept to dramatically improve your finances.

In my latest podcast episode you’ll learn:

• Why does this concept work for world class entrepreneurs?

• Stories of how and why it worked.

• Why can becoming 10 times wealthier be easier than 2 times?

• How can this idea be used for your finances?

• What specific concepts can give you 10X wealth?

• How can you figure out what 10X concepts might be right for you?

This is a unique post that is a completely new way of thinking. It includes some insight into my mind and my life.

Owning a home is unaffordable for many people today. Here is some good news! If you rent, you can grow your wealth as fast or faster using the same 2 ideas that benefit homeowners.

Tenants have several major advantages over homeowners for wealth building.

Many homeowners think their home is their best investment. But that is unfortunate.

It is easy to find better investments with dramatically higher long-term returns.

Despite the lower returns, homeowners on average are wealthier for 2 non-investment reasons. 

Tenants can use the same 2 ideas to grow as much or more wealth.

In my podcast episode you’ll learn:

• How do homes compare to other growth investments for rate of return?

• Why is it unfortunate for people if their home is their largest investment?

• Why do they call home equity "dead equity"?

• What are the 2 non-investment reasons homeowners tend to be wealthier?

• Why do homes start being a great investment but then stop?

• What are the advantages tenants have over homeowners for wealth building?

• How can you make renting your secret to smart wealth building?

• What are 3 effective strategies to grow wealth faster without owning a home?

Many people feel they are missing out because they cannot afford to buy a home or choose not to buy a home. They may think that owning a home is the cornerstone to building wealth and eventually being financially independent.

 

Wait. Don’t people say, “Your home is your best investment?

For many people, their home may be their only major investment. For them, that old conventional wisdom might be true. But that is unfortunate.

It is easy to find better investments with dramatically higher long-term returns.

Despite the lower returns, homeowners on average are wealthier for 2 non-investment reasons.

In my latest podcast episode you’ll learn:

• How do homes compare to other growth investments for rate of return?

• Why is it unfortunate if your home is your largest investment?

• What are the 2 non-investment reasons homeowners tend to be wealthier?

• Why does your home start being a great investment but then stop?

• Can your home be your retirement plan?

• Is home equity the key to wealth or is it “dead equity”?

• How can you make your home a good investment?

• What are the 2 best strategies to make your home a great investment?

 

Are you ever confused by all the different titles that financial planners and advisors use? 

What types of advice and services do they offer? 

Which one offers what you are looking for?

When you have real worries or questions about your money, “who you gonna call?” Who is the super-hero of advice?

In my podcast episode you’ll learn:

• When you want real advice, what are the most valuable types of advice to help you?

• What are the main titles planners & advisors use?

• What services and advice does each typically offer?

• Which type is the best to create a professional Financial Plan and confidence in your future?

• Which type offers on-going Full Service to be your financial guru and help you in all areas of your finances?

• Which types are unbiased, fee transparent, and have a fiduciary duty to you?

• Which types can help you with a wide range of investments and the best ones for you?

• Which ones are “Old Bay Street” and which are “New Bay Street?

• What would you look for to find your financial planner super-hero?

Quick disclaimer: Terms like financial planner and financial advisor are broad and often used interchangeably. What I’m sharing reflects common patterns I’ve seen, not a blanket description of every professional using these titles. There are lots of exceptions!

 

Most seniors start their CPP and OAS when they retire or at age 65, without evaluating the options. But many would benefit from delaying CPP until age 70.

Here’s how to figure out what’s best for you.

CPP and OAS offer cool opportunities to increase after-tax income, because seniors often have flexibility in choosing taxable vs. non-taxable income, and OAS comes with several “clawbacks” beyond regular tax.

To spot these opportunities, you need to think creatively about pensions, tax, and investments. 

After 65, the biggest factors in deciding whether to delay CPP are whether you’ll need to withdraw more from your investments, and whether you’re a growth investor, as this decision looks very different for growth-focused portfolios.

In my latest podcast episode you’ll learn:

• Why should you ignore “CPP breakeven” calculations?

• Why are life expectancy stats understated?

• What is the best way to estimate your life expectancy?

• What happens if you are still working?

• How does your tax bracket each year affect your CPP & OAS & GIS?

• How can you qualify for the maximum GIS?

• How does your CPP & OAS fit into your overall retirement income?

• Who should take CPP & OAS early and contribute it to RRSP?

• How do CPP & OAS affect the estate you leave for your kids?

• Who should delay their CPP to age 65? Real life examples.

 

The most common CPP question I am asked is: “Is it smart to take my CPP early?”

The answer to this question is different for investors than non-investors, especially growth-focused investors like most of our clients.

In my latest podcast episode you’ll learn:

• Why should you ignore “CPP breakeven” calculations?

• Why are life expectancy stats understated?

• What is the best way to estimate your life expectancy?

• What happens if you are still working?

• How does your tax bracket each year affect your CPP?

• How does your CPP fit into your overall retirement income?

• Who should take CPP early and contribute it to RRSP?

• How does CPP affect the estate you leave for your kids?

• Who should delay their CPP to age 65? Real life examples.

This is an updated post based on 2025 CPP amounts and expectations, and my latest insights.

 

What do you call a financial planner that does not plan finances?

I know that sounds funny. But it is an important topic to understand.

Most people assume that when they hire a financial planner, they're getting a personalized roadmap for their financial life. Yet surprisingly, that’s often not the case, and it can have a huge impact on your future.

In my latest podcast episode you’ll learn:

• Why don’t most financial planners plan finances?

• What does Ed’s team see with the public?

• What is a financial plan?

• What difference does a Financial Plan make in your life?

 

You want to retire soon. 

What is the best way to set up your retirement income to give you the maximum cash flow that will reliably last the rest of your life?

Many financial planners use the “4% Rule”, which says that you can, for example, withdraw $40,000/year rising by inflation for life from a $1 million portfolio. Is that safe?

I studied 146 years of investment history. The conclusions are surprising:

1. Most of the advice seniors are given is not supported by history.

2. I found what really works to give you the maximum reliable retirement income – both how to set up your portfolio and manage your income.

In my podcast episode you’ll learn:

• What is the typical advice given to seniors and does it work?

• What does Ed’s study of 146 years of history show about the 4% Rule?

• Which asset allocations provide the most reliable retirement income?

• What is the main risk to your retirement for any asset allocation?

• Is it safer to hold some cash to use during market downturns?

• What are the reasons that the actual results of history are surprising?

• How can you manage “sequence of returns risk”?

• What is the impact of inflation?

• How does your risk tolerance affect your retirement income?

• What is Ed’s rule of thumb for a safe withdrawal rate?

• Are there advanced methods to manage a higher retirement income with 100% success?

 

How can you tell whether financial advice you receive is real financial advice or financial quackery?

Much of what happens in the financial industry is financial quackery, but because the common methods are familiar to most of us, they appear normal. 

You can’t really see how inadequate and funny many financial procedures are until you compare them to other fields.

“Quackery” is a fun word that normally refers to medicine. It is a type of health fraud that promotes products and services that have questionable and unproven scientific bases.

In my latest podcast episode you’ll learn:

• What is financial quackery?

• Why is it a major problem for Canadians?

• How can it ruin your retirement plan?

• What is “risk” in financial planning?

• How can you make informed decisions about your risk tolerance AND your goal?

If you’ve ever been handed a generic investment recommendation after a fifteen-minute chat and a “risk tolerance questionnaire,” you may have met a financial quack. 

Just like in medicine, real advice requires a proper diagnosis—and skipping that step can be costly.

🦆 Discover how to spot the quackery, protect your retirement, and make decisions that actually align with your life goals.

 

 

This is a personal post and my first post with a request.

My wife, life partner and business partner, Ann Hetram, passed away unexpectedly from cancer 2 months ago. 

She received excellent care at Princess Margaret Hospital, which is the best cancer hospital in Canada.

In her honour, I am co-captain of a team in the Journey to Conquer Cancer walk to support research at Princess Margaret Hospital. 

My team is the Harbour Square Team for my condo building. The walk is on Sunday, June 15 at 9 AM. It starts at the University of Toronto, Varsity Stadium, 299 Bloor Street West, Toronto.

Donations support breakthrough research, supporting over 1,600 researchers and scientists working on innovative projects, such as early detection methods, personalized cancer treatments, and immunotherapy advancements.

Ann’s cancer was classified as an “unknown tumor”. She received a personalized cancer treatment including immunotherapy. I’m hopeful that with your support, research will advance to help others facing rare cancers like hers.

Whether you walk with us, join virtually, or donate — every step and every dollar counts.

Thank you,

Ed

 

How can your life really be different if you focus on maximum wealth-building principles?

It’s not about the money. It’s about your life.

This story is an extreme version of the life of an ordinary person managing his money exceptionally.

The concepts are in my last post, “Rempel Maximum – 5 Steps to Becoming a Multi-Millionaire”.

We often hear that building wealth is just about numbers. But here’s the truth: the numbers are just the tools. What really matters is what those numbers do for your life.

In this article, you’ll see the stark contrast between two ordinary guys—Joe and Rich—who made radically different financial choices. 

One followed conventional advice. The other followed a plan most Canadians don’t even know exists.

In my latest podcast episode you’ll learn:

• Why conservative investing may quietly sabotage your retirement, and what you can do instead.

• How aggressive (but smart) leverage can massively increase your net worth.

• The truth about long-term stock returns compared to balanced portfolios.

• How the Smith Manoeuvre can create wealth without using your cash flow.

• What “last decade risk” is, and how to avoid it derailing your retirement.

• The power of tax-efficient investing and how to compound your tax refunds.

• How building wealth gives you more than luxury — it gives you freedom, confidence, and impact.

• Why hardly anyone should actually follow these principles to the maximum.

• What living an “exceptional life” actually looks like when you manage your money exceptionally.

 

Remember the show “Who wants to be a millionaire?” 

Are you the kind of person that wants to build some serious wealth?

Live an exceptional life? Be financially free?

I don’t mean just a comfortable amount. I mean a lot – like being a multi-millionaire.

The truth is, average people can become very wealthy just by managing their money for maximum growth.

I’m not talking about a “get rich quick scheme”. I’m talking about a solid, reliable way to become wealthy over time.

The Rempel Maximum is the most aggressive of the 8 Smith Manoeuvre strategies.

In my latest podcast episode you’ll learn:

• What is the Rempel Maximum?

• What is your motivation?

• Where does this idea come from?

• What are the 5 steps to building maximum wealth?

• What are the 5 power principles it is based on?

• What are the risks?

• What tax & investment strategies can be part of the Rempel Maximum?

• Some examples of the Rempel Maximum concept vs. conventional wisdom.

 

The Smith Manoeuvre is an efficient strategy to use equity in your home to invest for your future without using your cash flow. It converts your mortgage over time into a tax deductible investment credit line.

Most Canadians are searching for a feeling of financial security, but all the bills & life expenses mean they never build up enough of a nest egg to be secure. The Smith Manoeuvre is a strategy that can help you build your nest egg and help you achieve the retirement you want without using your cash flow.

We have become known as experts in the Smith Manoeuvre, having helped hundreds of Canadian families implement it. It is one of the most effective wealth-building strategies when done by the right people in the right way over the long term.

In my latest podcast episode you’ll learn:

• What is the Smith Manoeuvre?

• What are the benefits?

• What are the risks?

• How do you manage the risks?

• How do you implement it?

• How do you avoid having to use your cash flow?

• How long should you ideally do the Smith Manoeuvre?

• Are there really 8 Smith Manoeuvre strategies?

• Is it legal?

• What is the best way to invest with the Smith Manoeuvre?

• How can I learn more and find out whether the Smith Manoeuvre is right for me?

 

Are you one of those investors for whom things just seem to always work out well? 

Getting superior long term returns seems to take little effort. Whatever strategy you use seems to eventually work. You don’t spend much time or effort, yet most of the time you are feeling quite confident about your investments.

Or are you the type of investor who always seems to struggle? 

It seems everything you buy goes down right after you buy. When you finally sell, they take off. And the investments you hold long term mostly underperform.

We have often encountered both these types of investors. Struggling investors are far more common. They usually have trouble believing that many investors outperform with little effort. Those that find investing effortless just shake their heads at the frantic activity of struggling investors. This applies to both professional and amateur investors.

Why is investing so easy for some and for others it is always a struggle?

In my podcast episode you’ll learn:

• The real reason some investors succeed with ease while others constantly struggle — and it’s not about picking the right stock.

• The 3 core beliefs that define successful investors: Faith, Patience, and Discipline — and how each one dramatically impacts your long-term returns.

• Why faith in the market and humanity is more important than trying to outguess short-term movements.

• The staggering cost of impatience: how chasing performance can quietly erase up to 75% of your lifetime returns.

• Why fewer transactions = better results, and how overtrading (especially by DIY investors) sabotages success.

• The #1 mistake most investors make — and how having a long-term financial plan keeps you grounded and growing.

 

When can I retire with the lifestyle I want?

That’s the #1 priority for our clients—based on my experience creating thousands of financial plans over the last 25+ years.

They want financial freedom.

It’s what we all really want. But you need a retirement plan to get there. It won’t happen on its own.

Creating your retirement plan is fun. It’s not about the money. It’s all about your life.

Your retirement plan is the GPS for your life. It makes you wealthier, because it gets you to your goal the quickest and most effective way.

In my latest podcast episode you’ll learn:

• What types of financial questions do people most ask about?

• Is it worth the effort to create your retirement plan?

• What insights from experience have I learned about financial freedom?

• Can your house be your retirement plan?

• What is the good news and bad news about retirement planning?

• How does your retirement plan make you wealthier?

• What are the steps to creating your Retirement Plan?

• How can you think through the retirement lifestyle you will want?

• How does interactive retirement planning help you make your plan personal?

• How should you invest effectively to become financially free?

 

Have you ever wondered how much your donation really helps the poor? Or how much it really helps find cures?

Which charities help the poor the most for each dollar donated?

You can now donate to the most cost-effective charities in the world with Ed & Ann’s charitable foundation “Best Things First”.

In my latest podcast episode you’ll learn:

• How did Ed & Ann get started looking for cost-effective charities?

• Why is a cost-effective charity important?

• How did they learn about GiveWell?

• Why did Ed & Ann create a foundation?

• How can you support the world’s top charities?

Enjoy!

Ed

 

I am heartbroken. My wife, life partner & business partner Ann Hetram passed away unexpectedly on Sunday, March 30.

Ann was truly one of a kind — wise, intuitive, endlessly generous, and the heart of everything we built together. 

We shared our life, our work, our friends, and our dreams. We were together 35 years, and many years together 24/7, and I wouldn't have wanted it any other way.

I’ve created this tribute — a YouTube video, podcast episode, and blog post to honour Ann’s incredible life. 

• Our life together and what she means to me.

• Her unique qualities.

• Some of the excessively generous acts she has done. I call them “Ann’s Acts of Kindness”.

If you have a story about Ann, your relationship with her, or you have an example of Ann’s Acts of Kindness, I want to hear these stories. They are my most treasured thoughts about Ann.

If you want to share them at her Celebration of Life, please tell me so we can put you on the list. You could also just tell me at the reception, or email me the story so I have it forever.

We will have a Celebration of Life reception in Ann’s honour on Thursday, April 17. The actual gathering to share stories about Ann is at 3 PM, followed by an informal reception until 8 PM. Bring your stories with Ann. It’s casual dress.

Here’s a link to my special post about Ann: https://edrempel.com/celebrating-the-life-of-ann-hetram/

With love, 

Ed

 

Which is true?

1.The stock market is a gamble. Decent investment, but it may or may not make money for you.

2.The stock market is a reliable long-term investment. It should be the core of your long-term investments.

To invest effectively for your future, it is vital to be confident in your investments. Here is the historical data to give you a clear picture of what long-term investors can expect.

By the end, you’ll have a clearer answer to the big question: Is the stock market the best way to build wealth over time?

This is an updated post with new insights.

Here’s what I’ll cover:

• How does the investment industry see risk?

• How do financial planners see risk?

• What is the highest return asset class?

• Why does the stock market rise?

• What is the most reliable asset class after inflation?

• How large and how long are stock market declines?

• How long is “long-term”?

• What exactly is risk tolerance?

• How should long-term investors invest?

 

Last year, I did a video on How to Donate Effectively, where we explored the idea that one of the ultimate status symbols is creating your own charitable foundation—and how to make a real impact with your giving.

In my latest video I interview John Bromley, the Founder and CEO of Charitable Impact, the platform we personally use to make giving easier and more effective. 

John has dedicated his career to helping Canadians maximize their impact through strategic giving. 

His company has proudly facilitated over $1.5 billion in donations, empowering tens of thousands of people to tap into their generosity, pursue their vision for change, and develop meaningful giving habits.

Beyond his work in philanthropy, John is a two-time TEDx speaker, a recipient of Business in Vancouver’s 40 Under 40 award, a soccer coach, and a doting father of two.

In this podcast episode you’ll discover:

• Why Charitable Impact was created.

• How Charitable Impact works for donors.

• Why open a personal charitable foundation?

• Donor-advised funds vs. private foundations.

• Should you involve your family in charitable giving?

• What happens to your foundation after you pass away?

• Does Charitable Impact help you find the right charity?

• Why donate?

• What is a proactive donor?

• Should you have a donation plan?

• Can others contribute to your foundation?

• The future of charitable giving.

• Biggest challenges & focus areas for charitable giving.

• What larger donors need to know.

• How to choose the right cause for your values.

 

Every year, tax rules change.

For 2025 there are six main tax changes that you’ll want to know about.

And there’s good news: two major uncertainties are finally gone!

1. No more reporting requirements for "bare trusts"—saving many Canadians unnecessary paperwork and fees.

2. The proposed capital gains tax hike? Likely off the table.

In my latest podcast episode you’ll learn

• What are the 2 big uncertainties that are gone now?

• What are the 6 main tax changes for 2025?

• What is the new picture for saving for your first home?

Enjoy!

Ed

 

I often talk with people who realize—almost by surprise—that they’ve become wealthy. 

They never really thought of themselves as wealthy, but after years of saving and investing effectively, it hits them: I’m actually wealthy. 

And let me tell you—being wealthy feels different

In my latest podcast episode, I talk about:

• How do you become wealthy slowly?

• How do you know if you are financially independent?

• How do you know if you are “wealthy”?

• How does the mind shift feel?

• What mind shifts usually happen?

• What are typical mind shifts about how you spend your money?

• What are typical mind shifts about weekends & free time?

• What are typical mind shifts about vacations?

• What are typical mind shifts about friends & family?

• What negative feelings sometimes happen?

• Does the mind shift start when you realize you’ll be wealthy in retirement?

• Rethinking your values as a wealthy person.

• What is your legacy? How do you want to be remembered?

 

Bloggers and advisors constantly warn about the “Sequence of Returns Risk”—the fear that retiring right before or during a market crash will drain your savings too quickly. 

This fear often leads retirees to make poor investment choices, resulting in:

🚨 Inferior portfolios

📉 Lower returns

❌ A less reliable retirement

But how real is this risk? And do the conventional solutions—like investing in bonds or following the 4% Rule—actually work?

Is it true that “sequence of returns risk” has been debunked for long-term equity investors?

In my latest podcast episode you’ll learn

• What is “Sequence of Returns Risk”?

• What solutions are typically recommended?

• What is the actual risk of running out of money with a bad sequence of returns?

• Why don’t the typical solutions work?

• How long did it take to recover from the biggest crashes?

• How can you get the maximum reliable retirement income?

• What should you do if your risk tolerance is lower?

• What is “Your Personal Rule” for you to use instead of the “4% Rule”?

• What solution to “Sequence of Returns Risk” actually works?

• What dynamic spending rules are suggested by actuaries & advisors?

• What is Ed’s dynamic spending rule?

• How is it customized for you?

 

Recently, I posted a video “New Study Supports 100% Equity Investing for Life” that went semi-viral with 14,000 YouTube views & 1,000 podcast downloads. 

There is an interesting active debate mainly on YouTube, and a bit on my blog with a lot of comments and questions. Let’s look at them and join the debate.

The evidence from the study to invest 100% in equities for life is certainly unconventional, so the comments revealed interesting insights.

This is an important topic. I have many posts on my blog over almost 20 years about how much better your Financial Plan and retirement income are with a high equity allocation. 

I have posts about other studies, including my own. I believe people with a high enough risk tolerance who will stay invested through market crashes should invest 100% in equities. This is unconventional wisdom – but studies show it works!

In my latest podcast episode and blog post you'll discover:

• What did the study actually say?

• What did most of the comments agree on?

• Does the study support 100% equities right through retirement?

• Won’t many people panic and sell?

• How does the recommendation of 67% international look for US vs. non-US investors?

• Do international stocks provide good diversification?

• Would this work in some time periods but not others?

• Would it work for narrower equity indexes, such as the NASDAQ?

• Is this study new? 

• Isn’t the risk of running out of money in retirement similar for 100%, 80% & 60% equities?

• Isn’t it better to keep some cash?

Why do so many Canadians struggle to achieve financial freedom, even with a solid financial plan? 

Why do they retire with less than they hoped for, despite diligently saving and investing? 

The answer often boils down to two things: suboptimal investments and a misguided focus on risk.

In my latest podcast episode, we’ll uncover why good investment performance is essential for your financial success and show you how to take control of your portfolio. 

We’ll also address common misconceptions about risk in the investment industry and uncover the secrets to thinking like a successful investor.

You’ll learn:

• Why is good performance important for your life?

• What rate of return do you need to become financially independent?

• What are the 4 performance drags that reduce investment returns?

• What is the Asset Allocation Loss Ratio (AALR)?

• Why is it easy to outperform financial advisors?

• What is wrong with the investment industry definition of “risk”?

• Why is it easy to outperform robo-advisors?

• Why is it easy to outperform index investors?

• How can you learn to think properly about investing?

• What are the secrets to outperforming?

 

With its quirky name, the Smith Manoeuvre might sound unconventional, but it’s a strategy that truly works—when done by the right people, in the right way, over the long term.

From crafting over 1,000 professional Financial Plans, I’ve seen firsthand how the Smith Manoeuvre can transform your finances, helping Canadians use their home equity to invest for their future without impacting their cash flow. 

When included as part of a comprehensive financial plan, this strategy can empower you to achieve the life you’ve always envisioned.

But optimizing the Smith Manoeuvre requires more than just the basics—it’s about mastering the practical details and understanding how to maximize its benefits.

In my latest podcast episode you’ll learn:

• What is the right reason to do the Smith Manoeuvre?

• How do you know if you are the right person for the Smith Manoeuvre?

• What is the right mortgage?

• How can you keep it 100% tax deductible?

• Which of the 8 Smith Manoeuvre strategies is right for you?

• Why is it critical that the Smith Manoeuvre is a long-term strategy?

• What is the right mindset to minimize the risk & maximize the benefits?

 

For years, conventional wisdom has preached the benefits of diversifying between stocks & bonds and gradually shifting to safer investments as we age. 

But what if these widely accepted strategies are fundamentally flawed? 

A newly published, high-quality study is flipping the script on traditional investment advice, making a compelling case for a 100% equity strategy throughout life.

This research, backed by robust data from 39 developed countries and spanning long-term investment horizons, challenges two key conventional wisdoms:

1. That savers should diversify between stocks and bonds.

2. That young people should invest more heavily in stocks than when they are older.

Instead, the study reveals that an all-equity portfolio—with a notable tilt toward international stocks—outperforms traditional stock-bond strategies in building wealth, ensuring reliable retirement income, and preserving capital.

In my latest podcast episode you'll discover:

• Is this new study a high-quality study?

• What does the study prove?

• What is the effective way to diversify?

• In what 2 ways is diversifying with international stocks better than with bonds?

• Why should investors keep the same allocation to stocks as they get older?

• Is the all-equity strategy safe?

• Should we actually invest 67% into international stocks?

• What studies already on my blog agree with this study?

 

I talk with people all the time who have an ETF or mutual fund that pays a fixed monthly amount. In most cases, they misunderstand it.

Most think they are receiving regular income—but chances are, it’s usually a brain fart.

Many investors misunderstand how these monthly pay investments work. 

From covered call ETFs and dividend funds to monthly income funds, mortgage funds, T8/T6 mutual funds, and REITs, the mechanics can be confusing—and the implications even more so.

In my latest podcast episode you’ll learn:

• Why are monthly pay ETFs and funds a brain fart?

• How do fixed monthly pay ETFs or funds work?

• Why is a monthly distribution not part of your rate of return?

• What is the difference between a distribution and a dividend?

• Why is a monthly distribution not new money?

• Why does a monthly distribution = Selling shares?

• Why does a reinvested distribution = No distribution?

• Why do covered call funds usually have lower returns but higher tax?

• Why are monthly pay ETFs/funds a problem for retirement income?

• Why are monthly pay ETFs/funds a problem for leverage investors?

• How can we get out of the Brain Fart?

• How can you perfect monthly pay funds?

• What are self-made dividends?

• Why are self-made dividends a perfect fit for your life?

 

Ever wondered how you can get the money out of your RRSP with a minimum of tax?

RRSP/RRIF Meltdown Strategies can allow you to withdraw from your RRSP or RRIF and have very little income show on your tax return.

However, there are some tricky complications, and these strategies are not for everyone.

In my latest podcast episode you’ll learn:

• How does the RRSP/RRIF meltdown strategy help you withdraw from your RRSP with minimum tax?

• Why should it be called the RRIF Meltdown Strategy, not the RRSP Meltdown Strategy?

• Why are self-made dividends the secret to an effective RRIF Meltdown Strategy?

• What are the 4 tricky complications?

• Why does the traditional RRIF Meltdown not melt your RRIF down?

• What is the problem with starting it before you retire?

• What is the problem with starting it when you retire?

• What are the 3 main RRIF Meltdown Strategies?

• What are the 6 steps to implementing the RRSP/RRIF Meltdown Strategy effectively?

 

In a recent podcast episode, I talked about who the poor & wealthy are and how did they get there. 

Today, I’m diving deeper into one crucial aspect: how the wealthy became wealthy. 

Can their strategies work for you?

Over the years, I’ve seen the full financial picture of thousands of Canadians and read countless studies on wealth building. 

While my clients are generally higher-income, growth-focused individuals who work with a financial plan, I’ve also spoken to countless others—through this blog, in person, and within my network of wealthy individuals. 

These insights have given me a clear understanding of who achieves financial success and the steps they took to get there.

In my latest podcast episode you’ll learn:

• How much do you need to be “wealthy”?

• What types of people have high net worth?

• What is a “productive growth asset”?

• Do you have to borrow to invest to become wealthy?

• What does the Lifecycle Investing study tell us about growing wealth?

• How can you copy their methods and become wealthy?

 

I often get asked about Lifecycle Investing and how to implement it. 

If you're under 40 and saving to achieve financial independence, this might be the most powerful strategy you’ll ever learn.

Lifecycle Investing has proven itself consistently over the last 150 years, increasing portfolios at retirement by an average of 63%. 

It has worked 100% of the time, and its success lies in addressing one of your biggest financial risks: “Last Decade Risk.”

However, it’s not for everyone. 

This strategy often involves borrowing to invest and maintaining a high equity allocation during certain phases of your life. 

Think of it as a concept rather than something to execute literally. Understanding it can completely transform how you manage your money.

Get your Financial Plan first. 

Lifecycle Investing involves thinking through the best way for you to do it over the next few decades. Creating your Financial Plan is an interactive process to help you think through all your various life options.

To understand Lifecycle Investing, first you need to understand what is wrong with the conventional method of “bit-by-bit” saving. An example is the best way to understand it.

In my latest podcast episode you’ll learn:

• What is Lifecycle Investing?

• Why has it increased portfolios 100% of the time over the last 150 years by an average of 63%?

• What is “Last Decade Risk”?

• How does a bad decade just before retirement impact your savings?

• What’s wrong with conventional “bit-by-bit” saving?

• Why do returns before age 45 have so little impact on your life?

• How does Lifecycle Investing finance your retirement like a mortgage finances your home?

• What does it mean to diversify across time?

• What’s an example of Lifecycle Investing compared to traditional saving?

• How do you adapt your asset allocation for Lifecycle Investing?

• How can you implement it?

• How can it work for those who want maximum growth?

• Why is a financial plan crucial before starting Lifecycle Investing?

As a financial planner, I’ve had a unique view into the full financial picture of thousands of Canadians and have read countless studies. 

My experience spans clients of varying financial backgrounds, as well as countless conversations with readers of my blog, friends, and acquaintances. 

Although our clients may not represent the entire population—they tend to have higher incomes, are growth-focused, and always work with a clear plan—my broad exposure has helped me form a solid understanding of what wealth really is and the common ways people achieve it.

In my latest podcast episode I’ll cover some key questions that get to the heart of wealth.

You’ll learn:

• How much do you need to be “wealthy”?

• What do media stories get wrong about the wealthy and the poor?

• Why are people with high incomes different from people with high net worth?

• Is a high income important to become wealthy?

• Do most wealthy people inherit their wealth, or do they grow it themselves?

• What types of people have high net worth?

• What does the Lifecycle Investing study tell us about growing wealth?

• How can you become wealthy?

 

The online Canadian Financial Summit is coming up the week of October 25-27.

It’s the #1 personal finance event of the year.

As a reader of the Unconventional Wisdom blog, here are your FREE passes for a limited time.

With these FREE passes, you can watch all the talks for 48 hours.

I’ll be one of the speakers again this year with three talks (see below), and I’ll be joined by over 35 other Canadian personal finance and investing experts such as Rob Carrick from the Globe & Mail and Ellen Roseman former Toronto Star columnist.

Where else will you find all these experts in one place?

With your FREE pass, each morning, all the talks for the day will be available to you for 2 days. If you want to access them forever, you can purchase an All Access Pass for $99.

My three talks are:

Friday, October 25:

7 Best Ideas to Optimize the Smith Manoeuvre The Smith Manoeuvre allows you to convert interest on your mortgage to tax-deductible over time and save for your retirement without using your cash flow, but not many people know about it. Ed Rempel is a fee-for-service financial planner and tax accountant with the best ideas on how to optimize the Smith Manoeuvre.

Saturday, October 26:

How to Easily Outperform Financial Advisors, Robo-Advisors & Index Investors Many Canadians use financial advisors, robo advisors or invest on their own with index funds. However, there might be an easy way to outperform them all. Ed Rempel is a fee-for-service financial planner and tax accountant with how this is possible.

Sunday, October 27:

Retiring Right Before, or during, a recession – Debunking Sequence of Returns Risk

Many older Canadians fear retiring right before a recession. Ed Rempel, a fee-for-service financial planner and tax accountant who will discuss how you can create a reliable and maximum retirement income for yourself for your golden years.

Some more info about the talks:

• Watch my 3 talks any time in a 2-day period for FREE.

• It’s 100% online so you can stream all the talks right from your computer/tablet/phone.

• You don’t need to go anywhere or buy anything.

• You can forward this to any of your friends to give them a FREE ticket.

See you at the Summit! 

Here is a LINK to get your passes.

Ed

Tax brackets for parents and seniors are way different than you think. 

This might be a real eye opener for some people because I think a lot of people that do some basic tax planning are doing it all wrong.

In my latest podcast episode I'm going to give you a tax planning made easy using tax brackets. 

I'm going to show you how, some basics of tax brackets, and briefly how tax planning is done, so you can get the concept. 

Then we're going to talk about why tax brackets for parents and seniors are way different than you think - and how this completely changes tax planning.

You’ll learn:

• Tax planning made easy using tax brackets. 

• Why are tax brackets for parents way different?

• Why is the CCB Clawback a game changer for your tax planning? 

• What are the actual effective tax brackets for parents? 

• Why do parents benefit more from RRSP contributions than single people? 

• Why are tax brackets for seniors way different? 

• What are the three main clawbacks on seniors? 

• What are the actual effective tax brackets for seniors?

• How can you plan for your retirement income to be taxed at only 20%? 

• When is a TFSA and RRSP better for you?

• How does a financial plan become the GPS for your life? 

 

When planning for retirement, many Canadians rely on a government pension like OMERS (Ontario Municipal Employees Retirement System) as their foundation. 

Do you need savings in addition to your government pension to maintain the lifestyle you want?

A buddy called me from his car and said, “I’m driving. Will I get to my destination on time?” I asked, “Where are you going and where are you now?”

It’s the same with the question of whether retiring with just your pension is enough. Well it depends on your lifestyle, your goals, and whether you want the freedom to enjoy big-ticket items, like vacations or regular nice dinners.

The answer depends on your vision of retirement.

If your goal is to replace 70-80% of your working income, you’ll need to fill the gap between your pension and that target with personal investments like RRSPs, TFSAs, or non-registered savings.

In my latest podcast episode, you’ll see examples of people with different investment setups to help you discover what’s right for you.

You’ll learn:

• What is the formula to know how much your government pension will be?

• What is the rule of thumb for your pension with 30 years service?

• How much do you need to retire with the lifestyle you want?

• 10 examples of a retirement plan with a full pension.

• Do you need to invest more conservatively after you retire?

• How does a Financial Plan become the GPS for your life?

 

In the vast landscape of personal finance, dividend investing has carved out a significant niche. 

Whether you're browsing through countless blogs or hearing investment advisors champion its benefits, it’s clear that dividend investing is a popular choice, especially with the FIRE (Financial Independence, Retire Early) community.

However, a closer look reveals that almost all the advantages claimed for dividend investing are not actually true.

In this YouTube video with Barry Choi, we’ll fact-check the advantages of dividend investing, explain how it is a brain fart, and introduce an alternative that is better in every way: Self-Made Dividends.

You’ll learn:

• Why is dividend investing so popular today?
• What are the advantages of dividend investing?
• Why is tax on dividends a weird formula?
• Fact Check: Are the advantages of dividends true?
• What are the problems with dividend investing?
• How can you perfect dividend investing?
• What are self-made dividends?
• How are self-made dividends taxed?
• Head-to- head: Self-made dividends vs. ordinary dividends.
• Life of self-made dividend investor vs. ordinary dividend investor.
• Why are self-made dividends better than ordinary dividends in every way?
• Why are self-made dividends a perfect fit for your life?

The Smith Manoeuvre is an efficient strategy to use your home equity to invest for your future without using your cash flow, while converting your mortgage into a tax-deductible debt. 

If you do the Smith Manoeuvre, understanding the new OSFI mortgage rules is crucial.

In this podcast episode with Barry Choi, I break down what the changes mean and how they impact your strategy.

You’ll learn:

• What is the Smith Manoeuvre?
• What are the new OSFI mortgage rules?
• How will they affect the Smith Manoeuvre?
• What is the formula in the rules?
• Examples of the effect.
• Effect on monthly investment.
• Best & worst-case examples.
• How do you manage the process?
• How to minimize or eliminate the effect.
• Effect on Smith Manoeuvre vs. TFSA decision?

 

With the Canadian Financial Summit coming up at the end of October, I wanted to share over the next few weeks content that Summit attendees had access to last year.

When you register you get access to talks like these, plus a myriad of other speakers who are some of Canada’s top financial experts. 

I’ll be promoting the Summit and giving away free tickets too!

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When it comes to retirement, it’s crucial to get the big picture right before diving into the details. 

Setting up your retirement income involves more than just ticking boxes; it requires a strategic approach to ensure you’re financially secure throughout your retirement years. 

In this podcast episode, Barry Choi interviewed me about designing your retirement income effectively.

You’ll learn:

• What are the 4 steps to design your retirement income?
• What’s Important about Money to You?
• How do you know when you have reached “Financial Independence”?
• What is “Your Number”?
• What are the key concepts to understand retirement income?
• How much can you reliably withdraw from your investments for life?
• What are the 3 retirement income design strategies? How do you decide which is best for you?
• How do you design your retirement income? How much from which source?
• Overview or when to start pensions, RRIF, CPP, OAS & other investments.
• Should you defer or commute your pension?
• Should you worry about high tax on your estate?

Most people struggle with money. 

It might feel like you’re the only one who doesn't have it all figured out, but trust me, you're not alone. 

Over the last two months, I've had countless conversations with individuals just like you who are grappling with various financial concerns. 

In my latest podcast episode, I share 25 common worries and questions that I have been asked just in the last couple months, plus you’ll learn the four things a financial plan can do for you. 

 

Here are three key insights that I believe are essential for navigating the rest of the year and beyond. 

These insights are grounded in the principles that have guided our successful financial planning and investment strategies.

The three key areas: Some timeless truths that guide our financial planning, a few observations on the markets so far this year, and an update on what we’re doing in our practice to keep you on track toward your financial goals.

In my latest podcast episode you’ll learn:

• Timeless truths for financial success
• General principles of our investment strategy
• Market commentary for the first half of 2024
• Current observations and insights
• Updates on our practice

Many people are saving for their kids’ future education costs in an RESP.

For some parents, it is a higher priority and they want to be able to maximize the benefits of an RESP - not just contribute the standard $2,500/year for each child.

In my latest podcast episode I talk about the five hacks to maximize your child’s RESP.

You’ll learn:

• How much might a 4-year degree cost in 18 years?

• Is it good for your child to pay for their education?

• What asset allocation is best to maximize your child’s RESP?

• What are the RESP contribution rules?

• How do most parents contribute to their child’s RESP?

• What are the top 5 hacks to maximize your child’s RESP?

• What are the issues with using an In Trust For (ITF) account?

• Should you use a Family RESP or individual RESP?

The Smith Manoeuvre has long been a popular strategy for Canadian homeowners seeking to convert their mortgage debt into tax-deductible investment debt. 

However, recent tax and regulatory changes have impacted the efficacy of the Smith Manoeuvre, and further changes from the Liberal government could pose additional challenges.

In my latest video I give an analysis of the current landscape and potential future threats to this investment strategy.

You’ll learn about:

• The recent changes impacting the Smith Manoeuvre, including OSFI rules and higher capital gains inclusion rates.
• What potential Liberal policy changes could limit interest rate deductions or increase investment taxes.
• A historical context of the 19 Liberal tax increases and their effects on investors.
• Motivations behind the Liberal government's continuous tax increases, including political strategy and economic philosophy.
• Legal protections and practical reasons why a direct attack on the Smith Manoeuvre is unlikely.
• How much of the long-term benefit of the Smith Manoeuvre is tax savings and how much is investment-related?
• The resilience of the Smith Manoeuvre as an effective retirement strategy even in the face of regulatory and tax changes.

 

Have you ever wondered how long you might live? 

Understanding life expectancy is crucial for planning a secure and fulfilling future. 

In my latest podcast episode I explore the dramatic changes in life expectancy over the past century, why it's expected to continue increasing, and how this impacts your retirement planning. 

You'll learn:

• Has life expectancy actually doubled since 1900?
• How fast life expectancy is increasing.
• Why life expectancy is expected to increase.
• How long you can expect to live from today.
• How long you should expect to be retired.
• What age should you plan for to be confident you will never run out of money.
• Why is it important to invest for growth AFTER you retire.
• What you need for an awesome retirement.

 

Deciding between a Tax-Free Savings Account (TFSA) and a Registered Retirement Savings Plan (RRSP) can be one of the most challenging financial decisions you'll face. 

Each has its benefits, and the right choice depends on your unique financial situation. 

In this post, I'll guide you through understanding the factors that determine whether a TFSA or RRSP is better for you and how a financial plan can provide you with the precise answer.

In my latest video I talk about: 

• The secret to minimizing your lifetime tax.
• Understanding how tax brackets differ before and after retirement.
• Specific examples when a TFSA is better and when an RRSP is better.
• When non-registered investments might be better than an RRSP.
• Common errors in tax planning, like focusing on current-year tax savings instead of lifetime tax savings.
• The impact of government income program clawbacks on your tax bracket in retirement.
• The importance of knowing your future taxable income to make informed decisions.
• Strategies for planning your retirement income to stay in lower tax brackets.
• The benefits of combining TFSAs, RRSPs, and non-registered investments for tax-efficient retirement planning.
• The role of a financial plan in optimizing your RRSP and TFSA contributions and withdrawals.

 

How long should you expect to be retired?

You want your money to last the rest of your life. How long will you live?

What quality of life will you have? What will your lifestyle cost you when you are older?

What if you could:

1. Live longer (long lifespan).
2. Be healthy longer (long healthspan).
3. Have financial freedom longer (long wealthspan).

In my latest podcast episode I talk about:

• Why it's smart to plan for a longer life.
• New thinking in medicine to help you live long & be healthy..
• New thinking in personal finance to keep you financially free for life.
• What is wrong with mainstream medicine & personal finance.
• Create your own "Centenarian Decathlon".
• Why "First, do harm" is wrong for doctors. What did Hippocrates actually say?
• How to create plans for a long lifespan, healthspan, and wealthspan.

I recently worked with Kornel Szrejber, host of Canada’s #1 financial podcast “Build Wealth Canada”, on his family’s financial plan, so he could feel confident about his retirement.

Kornel retired in his 30s, but he was starting to feel anxious because he wanted to make sure he wasn’t overspending.

This podcast interview is a Q&A between the two of us where we talk about Kornel’s situation, as well as other situations people may go through when they are saving for retirement.

We talk about what makes a good financial plan, tax planning, and understanding how to foresee how much you can spend on things you love in your life like vacations and entertainment.

After watching this interview you’ll realize that when you know the lifestyle you want to live, you can live the life you want in your retirement.

Here are some points we touched upon:

• Why it’s so critical to track and itemize your household expenses (so you aren’t stressed about your retirement).
• How to know how sustainable your lifestyle is when living off your portfolio.
• In which order should Kornel withdraw from his accounts for a tax-efficient retirement?
• Why a personalized financial plan is key to having a successful retirement.
• What is lifestyle creep?
• Why you should view expenses as discretionary and non-discretionary.
• Why investing is only 20% of the financial plan.
• The 2 overall tax strategy choices to minimize tax in your retirement.
• How should you plan if you earn income for a few years in your retirement.
• Do you retire with more peace of mind with Active or Passive investment strategies?
• Tax planning for a higher Canada Child Benefit.
• How the CCB can put you in a high tax bracket with income as low as $17,500/year.
• How many hours does it take to do a financial plan?
• Planning for long-term financial success.

Enjoy!

Ed

 

You know the basics about the Smith Manoeuvre. 

It’s one of the most effective wealth building strategies if done by the right people in the right way over the long term.

My latest podcast episode can be found on Sean Cooper’s “Burn YourMortgage” podcast on YouTube and his website www.BurnYourMortgage.ca, and you can listen here too.

You’ll learn:

• Why should you consider the Smith Manoeuvre?
• How to know if the Smith Manoeuvre is right for you.
• Managing the risks. Avoiding the common errors.
• Tax tracking & Capitalizing.
• Dealing with CRA.
• How the Smith Manoeuvre can fit into your retirement plan.
• What happens if you move?
• What happens once your mortgage is paid off?
• What happens after you retire?
• Options – The 7 Smith Manoeuvre strategies.
• Effective investing with the Smith Manoeuvre
• Implementing the Smith Manoeuvre.
  

You may have heard that we just had a new budget here in Canada, and increased the taxes on capital gains. 

Canadians with a rental property, cottage or investments and their tax advisors are scrambling to figure out what to do before the deadline of June 25, 2024.

Here are the questions we’ll cover in this latest podcast episode:

What is the new higher capital gains tax?

• Who is affected?
• Why is it mainly a real estate tax?
• How to avoid or minimize the higher capital gains tax.
• Is investing inside your corporation still worthwhile?
• Will the higher exemption for small business help?
• Are rental properties or cottages still profitable?
• Why are only 50% or 67% of capital gains taxed, instead of all gains?
• 3 nasty aspects of the new tax.
• Why do they say only 0.13% of Canadians are affected?
• Will this hurt our economy?

 

You may be thinking – what difference can I make in the world?

As a financial planner I talk a lot about money, however, it’s not really about the money itself, but what it does for your life – how to live well, retire comfortably, and give back.

In my latest podcast episode, I give you some ideas to help you choose causes that matter to you, as well as talking about financial & tax planning for donating effectively.

Listen to find out:

• How do most people donate?
• What is a Donation Plan & how does it benefit you?
• How to donate tax-efficiently.
• Donation tax credit by Province.
• Advanced donation tax strategies.
• What is a “Donor-Advised Fund”? 
• How do you decide where to donate?
• How do billionaires donate?
• What are the most effective charities or causes?
• How do we increase the prosperity of all humans?