The Brown Investor

What is cryptocurrency? In the most basic sense a cryptocurrency is an encrypted currency (generally decentralized but not always) that functions on a blockchain. This was executed first by Satoshi Nakamoto in 2008 after the financial crisis caused by the crash of the housing market. The creation of bitcoin and blockchain solved the double spending problem, which in turn paved the way for everything that has and will come....

https://browninvestor.wordpress.com/2021/03/19/getting-started-with-cryptocurrency-2/

Getting Started with Cryptocurrency What is cryptocurrency? In the most basic sense a cryptocurrency is an encrypted currency (generally decentralized but not always) that functions on a blockchain. This was executed first by Satoshi…

https://medium.com//investing-101-how-to-start-investing-as-a-beginner-cdd2c7bc99d9

Investing 101 — How to Start Investing as a Beginner I wish I had a playbook to follow when I began contributing over 10 years back. On the off chance that I did, I might have dodged botches…

This post is only for people looking for Halal/Sharia Compliant investment options in Canada.
I often get this question a lot - I live in the US/Canada and want to invest in the stock market to achieve my financial goals. However, the majority of the options available are against my religious belief. There is very limited options available out there that follows sharia compliance. In this guide, I will try my best to share with you what options are there and also, provide you a list of shariah-compliant stocks you could invest in. Hope this guide will be helpful to you

https://browninvestor.wordpress.com/2021/03/11/halal-sharia-compliant-investing-in-canada/

Photo by Lukas on Pexels.com I get this question a lot - I live in the US/Canada and want to invest in the stock market to achieve my financial goals. However, the majority of the options available are against my religious belief. In this guide, I will try my best to share with you on what options are there and also, provide you a list of shariah-compliant stocks you could invest in....

https://browninvestor.wordpress.com/2021/03/11/halal-sharia-compliant-investing-in-canada/

Halal/Sharia Compliant Investing in Canada Photo by Lukas on Pexels.com I get this question a lot – I live in the US/Canada and want to invest in the stock market to achieve my financial goals. However, the majority of the options ava…

That's why many people choose to invest their money. There are many things you can put money into. Here are just a few of those things.

Here few types of Investments

Stocks
Bonds
ETFs
Mutual funds
Cash equivalents
Real estate
REITs
Commodities

Now one question would be where to start - let me make it simple for you. The most common question :How can I Invest with Little Money?

Invest quarters at a time using a spare change app
Set up small, monthly transfers from your checking account
Use a low-cost investing service
Brew your own coffee, invest your Starbucks money
Immediately invest any tax returns
Invest any raises instead of altering your lifestyle
Ask relatives for investing money, rather than other gifts

Regardless of whether you've figured out how to save your first $1,000 or have chosen it's an ideal opportunity to begin investing a modest quantity of your compensation for retirement (or both!), you need to realize what occurs straightaway. Consider this article your learner's manual for contributing, where you'll pick up all you require to think about how to begin from RRSPs and TFSAs, stocks and ETFs, robo advisor and online financiers, and considerably more.

Who should I start with?

A robo advisor is a great option for new investors today as they allow you to build a diversified portfolio on index ETFs with every dollar you contribute to your account. You also don’t need to worry about rebalancing or figuring out which ETF to purchase, it’s all done for you automatically.

How much do I need to start Investing?

You don’t need to be a super rich to begin investing. Investors can open an investing account with a robo advisor with $0 so there’s no need to worry about a minimum account size. The key is to set up a regular contribution plan by direct debit to automatically transfer money to your account every week, or bi-weekly, or monthly. You can do this with as little as $25 at a time.

We recommend opening an account with Wealthsimple, one of the top robo advisors in Canada. Or if you feel ready to tackle a bit of investing on your own give Wealthsimple Trade a try. There are no account minimums so you can start trading for as little as $1. Better yet, Wealthsimple Trade charges no commission fees so it really is one of the most wallet-friendly ways to start investing.

Still have questions? Email us at [email protected]

First ask: should I invest? Getting started early is great, but don’t be premature. If you have debt (especially high-interest debt, like credit cards) you may want to pay that off first. It’s also generally a good idea to have a cash emergency fund before investing. Also consider your situation and if you can invest the money you have for a long period of time....

https://browninvestor.wordpress.com/2021/03/05/investing-for-beginners/

Investing for Beginners First ask: should I invest? Getting started early is great, but don’t be premature. If you have debt (especially high-interest debt, like credit cards) you may want to pay that off first. It’s also…

Should you invest in RRSP or TFSA? Both the TFSA and the RRSP are tax shelters, the main difference is in how they shelter taxation. RRSP is an income tax deferral system. When you put money into an RRSP you get a break on your taxes for that amount. Think of it this way: the government wants to encourage savings, so they give you the RRSP to save money on....

https://browninvestor.wordpress.com/2021/03/05/tfsa-vs-rrsp/

TFSA vs RRSP Should you invest in RRSP or TFSA? Both the TFSA and the RRSP are tax shelters, the main difference is in how they shelter taxation. RRSP is an income tax deferral system. When you put money into a…

Understanding the Bitcoin ETF’s and How you can invest? In my last post, I asked a question if any of you wanted a guide on the new launched BTC ETF – based on your response I have decided to write a detailed guide. Also, there’s a bonus at …

Must Read Books on Personal Finance and Wealth Building

The following books are frequently recommended to anyone looking for reading material as an introduction to concepts of personal finance and Wealth. The following books were all written by Canadian authors and treat of Canadian specific personal finance subjects. Included links are directed to Amazon.

The Wealthy Barber Returns by David Chilton. This book constitutes a good introduction to the basics of personal finance. It is not required to have read the previous book, The Wealthy Barber.

Millionaire Teacher by Andrew Hallam. This book is a good introduction to investing in passive index funds.

The Value of Simple by John Robertson. This book offers detailed and steps by step instructions on how to actually build a passive index fund portfolio.

Wealthy Like Rabbits: An Original and Occasionally Hilarious Introduction to the World of Personal Finance by Dr. Robert Brown

Millionaire Next door: by Dr. Thomas J. Stanley. The bestselling The Millionaire Next Door identifies seven common traits that show up again and again among those who have accumulated wealth.

Hope these books will be helpful to you to build more confidence on personal finance and investing.

Both the TFSA and the RRSP are tax shelters, the main difference is in how they shelter taxation.

RRSP is an income tax deferral system. When you put money into an RRSP you get a break on your taxes for that amount. Think of it this way: the government wants to encourage savings, so they give you the RRSP to save money on. And because you're saving money now and not spending it, they're okay with not taxing you on that money now. They'll tax you when you take it out. This can be a big advantage if you are a high income earner expecting to have a drop in wages (due to retirement, for example). Put money in RRSP when your average tax rate is high, get a big break. Take it out and "earn" the money when your earnings are low, you effectively get a bit of a break on how much tax those dollars would cost to earn otherwise.

The TFSA is simpler than that, you don't get a tax break for contributions, but you also don't get penalized for withdrawals. This can be a big deal if you invest $5k for example, and grow it through investments to $50k. Take that out of the tfsa and guess what, it's TAX free! It's a two-sided coin though- you also don't get to claim capital losses in the TFSA. TFSAs are still better for low to mid income earners because of the awesome flexibility. But if you earn a high income, or if you are very diligent with your money and you withdraw the money at the right time, RRSPs can be a better vehicle than TFSAs.

In my last post, I mentioned how low fees is really important to save on cost and earn more money. Therefore, I made a comparison of the best Canadian platform/brokerage available to invest in the market.

Questrade
Low Fees: Compared to popular brokerage platforms like TD Direct Investing and Scotia iTrade, you will consistently pay lower fees on Questrade with the stock trading at 1 cent per share ($4.95 min. and $9.95 max.).

-Free ETFs: You can buy ETFs for free.
No Annual Fee: You won’t be paying an annual fee.
Mobile Trading App: You can trade on the go using Questrade’s mobile app.

$50 Questrade Promo Code: You can get $50 in free trades when you sign up here. https://bit.ly/35kNdAW

The Wealthsimple Trade app allows Canadians to buy and sell thousands of stocks and exchange-traded funds on Canadian and U.S. exchanges without paying any commission fees. That's significant news given that most of Canada's online brokers typically charge anywhere from $4.95 to $9.95 every time you buy or sell a stock. Opening or closing your account, withdrawing funds, electronic statements, and inactive accounts have a $0 fee.

Readers of The Brown Investor who sign up for a Wealthsimple Trade account here receive a $10 cash bonus if they deposit and buy at least $100 worth of stocks within the first 45 days! https://my.wealthsimple.com/app/public/trade-referral-signup?code=48UVRA

Quick note: This article is written just for educational purposes, don’t consider it as financial advice. Always do your own research and consult a professional advisor if needed.

Feel free to message me if you have any question or queries, I would be more than happy to answer :)