‘I Am a conservative investor, but I Am open to Property’

An 81-year-old self-described conservative investor says his concern is protecting his chief. His preference would be to invest in guaranteed investment certificates, but prices are low. Because of this, he is open to property.

I believe this could be a mistake, and so does Bev Moir, senior wealth advisor at ScotiaMcleod at Toronto. Ms. Moir recently responded to by the 81-year-old investor at a forum on a site for advisers. “I would not recommend property … because it is illiquid, and prices may be in the high end of this cycle,” Ms.Moir wrote. Well said.

It is a worrying sign when 81-year-old conservative investors are open to investing in real estate. It means there is a feeling that property investing is easy cash. This has been the case for some people over the last ten decades, but it’ll be much tougher to earn money in real estate in the decades ahead. Interest rates are expected to rise, which will have a negative influence on the housing industry. Additionally, governments could step in to cool the market if prices spike. Overall, real estate isn’t a place for an 81-year-old’s savings.

Ms. Moir sensibly suggests a three-year ladder of GICs — equivalent investments in terms of one, two and three decades. When a GIC matures, it has invested for another 3 decades. More competitive options are possible, but Ms. Moir stated she would have to assess this individual’s net worth, risk tolerance and time horizon.

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Rob’s personal finance reading list…

When to get personal about cash
In the past five decades or so, I’ve observed a much larger emphasis on the value of people finding out about the financial habits and attitudes of the spouse before marriage. Here is on when in a relationship to begin talking about various important money matters.

Three dumb things he has done with cash
A blogger reports on what he believes to be three . At least as interesting is that the error he states he did not create — buying a house that has been the limit of what he could manage.

Are you aware of those credit card perks?
A rundown of some pretty cool credit-card characteristics that you — lounge access at airports, access to a concierge, safety priority in the airport and much more.

A timeshare reality test
Traveling blogger Barry Choi takes a dim view of in this post. Forget any thoughts about them being an investment.

Today’s featured fiscal tool
Frustrated by site outages at your bank or other businesses you deal with? Head over to see how severe the issue is and compare notes with other customers.

Ask Rob
The question: “What do you think of online money trackers such as Mint.com? Are they a security threat?”

The response: “Mint is a free program that monitors your spending. You provide your login and password for your internet bank account, and Mint provides a weekly summary of where your money went. I believe it’s a helpful tool for folks that wish to know how and where they invest. In terms of security, providing your username and password to a third party would void the safety guarantee provided by banks against losses due to fraud. However, I’ve not heard of one example of Mint’s information being shown to be exposed. I have a Mint accoun”

Do you have a question for me? . Sorry I can not answer every one personally. Questions and answers are edited for length.

What I’ve been writing about
– How e-transfers are paper cheques
– Can the government save the middle-class in Toronto and Vancouver?
– Some of the best options for

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