FINANCIAL MATTERS

The benefits of investing your money

Stock market returns have, over the last 20 years, been considerably higher than mortgage interest. Over this period, investing typically provided Canadians with greater returns than the money they’d have saved by paying off their mortgage faster.

By focusing on investing, you benefit from compounding over the long term. Compounding is when you start to earn returns on the returns you’ve already earned, such as interest, capital gains and dividends. By reinvesting these returns, your money can grow much faster.

Many companies offer retirement pension plans for their employees, whereby any contributions made are matched. This could effectively double the amount of money you save.

Investment also provide better liquidity It’s typically very easy to turn your investments into cash if you ever need to, which is not the case with your home.

The disadvantages of investing your money

Nothing is guaranteed with the markets, but putting extra money into your mortgage will definitely pay it off faster. Even though the stock market has, in recent decades, delivered returns that have been higher than mortgage interest rates over the long-term, this isn’t guaranteed going forward

For some people, investing in the stock market can feel stressful, even though, historically, it has always recouped its losses eventually.

Which is the best option for you?

This is a complex question, and the answer should consider these aspects of your personal circumstances:

• Your age and income.

• Your long-term investment goals.

• Your risk tolerance level.

• If debt makes you feel anxious.

• Your mortgage interest rate.

• Current opportunities in the stock market.

• The stage your business is in (for business owners).

Having a financial advisor is crucial when making this kind of decision. Your advisor should consider all the options within the framework of your overall financial plan. They’ll then advise you on the best and most taxefficient course of action for you.

If you’re wondering whether to pay off your mortgage faster or grow your retirement savings, reach out to me to set up a meeting to help you make the right decision.

Aries: March 21 - April 19 (Fire) –A general feeling of well-being and ease makes this a good time for socializing and relaxing, but you may have to watch a tendency toward excess when it comes to food, alcohol, and drugs. You may also experience changeable moods, and changing tastes can present difficulties if you have wandering eyes

Taurus: April 20 - May 20 (Earth) – This is a good time to tackle difficult tasks that have caused frustration or limitations in the past Creative intelligence and experimentation can lead to new ideas and breakthroughs. Previous impatience will quickly be replaced by excited anticipation and unexpected opportunities

Gemini: May 21 - June 20 (Air)You will feel more connected spiritually to your friends and family Your increased empathy and concern can have an uplifting effect on others, which could materialize as more involvement in groups of all kinds.

Cancer: June 21 – July 22 22 (Water) – This is a good time for being intimate in the privacy of your home, but you also have good people skills now You should enjoy good relations with groups of people, the public, and women in particular. You can connect to people at the subconscious, the emotional level, which is ideal for public presentations or selfpromotion

Leo: July 23 - August 22 (Fire) –You are willing to sacrifice shortterm gratification for the long-term good of a relationship Your selfdiscipline extends to your finances, so this is a good time to save money, pay down debt, and make sensible investments in real estate, bonds, art, or jewelry.

Virgo: August 23 - September 22 (Earth) – You will be driven to succeed with a strong sense of purpose and initiative You can achieve a lot of work in a short amount of time with the courage and fighting spirit to take on just about anything. You can be as direct and honest as you like in achieving your desires and enlisting the support of others

Libra: September 23 - October 22 (Air) - Your path to success can be helped by strong self-belief and more reliable intuition This is also a good time to start a new romance. Existing relationships will enjoy more spiritual closeness and bonding, and sexual relationships will be more tender and loving

Scorpio: October 23 - November 21 (Water) – Quick thinking and decisiveness allow you to make plans with confidence A persuasive communication style makes this an ideal time for debating, asking favors, and public speaking. Being more adventurous and taking risks should lead to positive results. Fortune favors the brave!

Sagittarius: November 22December 21 (Fire) – Trust your instincts to help turn your dreams into reality Vivid dreaming, occult and mystical work, astrology, and religion can all be used to increase selfunderstanding. You can feel more connected with other people and the entire universe. This is an ideal time to express your more caring, charitable, and idealistic side by serving others

Capricorn: December 22 - January 19 (Earth) – Creative negotiation skills mean that other people will tend to make compromises So this is a great time to ask for favors and to make presentations. Smooth and sexy words, along with extra charisma, also make this an excellent time for your social and love life

Aquarius: January 20 –February 18 (Air) – a general feeling of well-being and ease makes this a good time for socializing and relaxing, but you may have to watch a tendency toward excess when it comes to food, alcohol, and drugs You may also experience changeable moods, and changing tastes can present difficulties if you have wandering eyes

Pisces: February 19 - March 20 (Water) – A positive attitude and self-confidence also make this a good time to impress someone or convince them of something you are passionate about Intimate relations will certainly benefit from your sensual words and hands. So give your partner a massage or ask someone out on a date. Teamwork and traveling for work will be profitable.