Welcome to the Globe and Mail Personal Finance Reader. I’m Rob Carrick, personal finance columnist at The Globe, and each week I compile a list of articles, blog postings, videos and websites that represent the best of what the online world has to offer on money-related subjects.
October is a month that has seen some disastrous stock market declines, although on average it’s not the worst month of the year for stocks. There was some trepidation about October this year, given how far and fast the markets have soared in the past seven months, but all seemed placid until lately. What’s ahead for the markets? It’s a question bugging me as an investor as much as a columnist because I still have some cash to use up.
This week’s Reader is all about the search for information to help investors develop an informed opinion on the markets. We've got the views of high-powered names like Jeremy Grantham and George Soros, and some wise words from money managers about weighing risk at a time when major stock indexes are roughly 50 per cent higher than they were in early March.
There’s also some sobering comments on the housing market, and some welcome news about falling rates on home-equity lines of credit. Finally, there’s a heads-up on a new website listing deals for people who buy things online. Just in time for your holiday shopping.
Found something on the Internet that your fellow investors might enjoy? Talk to me at rcarrick@globeandmail.com
From The Globe and Mail and Globe Investor
Building Blocks
Writing a will may not be romantic, but it’s a task newlyweds can’t ignore if they want to protect each other in the event of a tragedy. Click here for a story on the need for estate planning and here for a video on the same topic.
Tax Matters
Share with your spouse and erase a cash drain. Three basic steps to transfer your capital losses from Tim Cestnick
Home Cents
Chaya Cooperberg gives us ten lines to use when breaking up with a financial adviser
Let's Talk Investing
In this video, personal finance writer Gail Bebee tells us what pitfalls to avoid in order to be a more effective investor
Retail Spending
A new survey suggests Canadians do not plan to cut down their spending this holiday season. Join us Monday for an online discussion on planning and budgeting for Christmas.
Must Reads From Around the Web
Beware of Falling Stocks
He called the crash. He called the rally. Now, Jeremy Grantham says the S&P 500 is as much as 25 per cent overvalued and vulnerable to a painful pullback that could happen next year.
George Soros, the legendary hedge fund manager, has a similar view to Grantham. Read down to the end of this blog post and you’ll find a link to a regulatory filing detailing Mr. Soros’s holdings as of June 30.
It’s been a down-and-up year for the stock markets, which means investors could in some cases be looking at fat double-digit returns in 2009. This article posted on the website of money managers Silver Heights Capital Management reminds investors to keep risk in mind and to recall the damage caused by last year’s wrenching market plunge.
Anyone close to retirement should read this excellent article by the investment firm Tacita Capital on how the success of your retirement investing plan depends hugely on where the stock markets are when you leave the workforce.
The bullish view on the markets is underpinned to a large extent by the belief that China’s economic growth will trickle down. If you’re interested in investing directly in China, check out this look at four relevant exchange-traded funds.
