Go to the Globe and Mail homepage

Jump to main navigationJump to main content

The Beatles, 1964. The image is featured in a new exhibit at the National Potrait Gallery in London.
The Beatles, 1964. The image is featured in a new exhibit at the National Potrait Gallery in London.

Investor Education

Investing tips that are music to your ears Add to ...

Ten tips for investing from the Chartered Financial Analysts Institute, culled from the annals of rock and roll.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/m-qlORj0n2M&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/m-qlORj0n2M&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


10. "Hotel California," The Eagles (1977)

More Related to this Story

"We are programmed to receive. You can check out any time you like, But you can never leave."

Carefully review your liquidity. If a fund requires manager approval for redemption, you should understand that in a difficult environment, the manager may decline your request. Speak with your advisor about the balance between earning extra income and maintaining necessary liquidity.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/lWAl5V-SiKQ&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/lWAl5V-SiKQ&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


9. "Taxman," The Beatles (1966)

"(If you drive a car, car) I'll tax the street (If you try to sit, sit) I'll tax your seat

Consider the effect of taxes on withdrawals. It may make sense to draw from your after-tax accounts rather than tax-deferred accounts. Note that one tax issue you can control is when to buy or sell assets.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/-42ZFa2nuxs&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/-42ZFa2nuxs&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


8. "Lady Madonna," The Beatles (1968)

"Lady Madonna, children at your feet, Wonder how you manage to make ends meet. Who finds the money when you pay the rent? Did you think that money was heaven sent?"

Plan, plan, and then plan again. Committing yourself to a realistic investment plan requires understanding your resources and obligations as well as the essential attributes of your future desired lifestyle.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/ugxFcmZXDyc&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/ugxFcmZXDyc&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


7. "Stairway to Heaven," Led Zeppelin (1970)

"There's a lady who's sure All that glitters is gold And she's buying a stairway to heaven."

Don't be dazzled by fancy new investment products. If you cannot understand the description in the prospectus, consider not making the investment.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/aJprEyXMrIk&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/aJprEyXMrIk&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


6. "Takin' Care of Business," Bachman Turner Overdrive (1973)

"If it were easy as fishin', You could be a musician, If you could make sounds loud or mellow Get a second-hand guitar Chances are you'll go far If you get in with the right bunch of fellows"

Get help. Investing successfully is hard. For that reason, many investors engage an investment advisor to show them a prudent path. You should feel comfortable discussing all your financial concerns with your advisor.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/JpNoniDH6IY&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/JpNoniDH6IY&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


5. "Sympathy for the Devil," Rolling Stones (1968)

"But what's puzzling you Is the nature of my game, um mean it, get down

(woo woo, woo woo)"

How do you know if your advisor has a clean record? Through its Member Firm/Registrant Info Service, the Investment Industry Regulatory Organization of Canada (IIROC) offers investors the opportunity to access the public information available on its Member firms and their registered employees.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/qyv3PJs-KBw&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/qyv3PJs-KBw&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


4. "When I'm Sixty-Four," The Beatles (1967)

"Will you still need me Will you still feed me When I'm 64."

Be suspicious of promises and projections, especially over longer modeling periods. You should plan on being able to meet your goals even if some projected income fails to materialize.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/cH9IgJZCx4c&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/cH9IgJZCx4c&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


3. "My Generation," The Who (1965)

"I hope I die before I get old (talkin' 'bout my generation)"

Longevity risk (i.e., outliving your money) is a serious issue. For example, the second-to-die life expectancy of a husband or wife, even where one individual is in poor health, can greatly exceed the longevity estimates for the husband or wife when considered individually.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/7WT_yi5KpuI&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/7WT_yi5KpuI&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


2. "Dream On," Aerosmith (1973)

"Everybody's got their dues in life to pay"

Watch expenses. Research suggests that investors should focus on products with low fees. Index funds tend to outperform actively managed funds.



<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/qirbj-zcW44&hl=en_US&fs=1&"></param><param name="allowFullScreen" value="true"></param><param name="allowscriptaccess" value="always"></param><embed src="http://www.youtube.com/v/qirbj-zcW44&hl=en_US&fs=1&" type="application/x-shockwave-flash" allowscriptaccess="always" allowfullscreen="true" width="425" height="344"></embed></object>


1. "Teach Your Children," Crosby, Stills, Nash & Young (1970)

"You who are on the road Must have a code that you can live by"

Consider retaining a financial advisor who is dedicated to your interests.

 

In the know

Most popular videos »

Highlights

More from The Globe and Mail

Most popular