There is a lot of anxiety out there.  It is very real.

A lot of jitters.  Feelings of powerlessness.  Mostly about interest rates, inflation and the markets going up and down, but mostly down.

Are interest rates going to level out – or skyrocket?  What about inflation?  Last year at this time, the Bank of Canada was projecting inflation just shy of 3% for 2021…and it ended up being closer to 5%.  At this moment, the global banking system is scrambling, trying to figure out how to get inflation under control.  And what is going to happen in the markets?

It is my personal opinion that we are heading toward recession in 2023.

Here’s why I nonetheless have an attitude of gratitude:  because I am going to weather the storm.  Because I am invested in a different array of asset classes that behave fundamentally different under circumstances like the current ones.

Ever felt like your finances were out of your control?  At one point or another, we all have.  It’s a terrible feeling – and one that you never have to feel again.  

Here’s how:  Be truly diversified.

Diversification (the D-word) gets thrown around a lot – most of the time to describe portfolios that are not truly diversified!  

Many people think they are diversified if they have an appropriate mixture of equities and bonds.  Other people think they are diversified if they have equity and bond exposure to international markets.  

None of those folks, in my view, are truly diversified.

Depending on a client profile, diversification could mean having an appropriate mix of these things:

•  publicly traded securities (PTS)

•  private capital 

•  cash value life insurance (CVLI)

Of that list, two items are the most often overlooked.  Care to guess which ones?

If you guessed private capital and cash value life insurance, give yourself a pat on the back, because you are absolutely right.

RIGHT NOW, THERE ARE TWO BIG OPPORTUNITIES

To get into cash value life insurance, and to get into the private capital markets.

Right now, do you own cash value life insurance?  Yes?  Well, further congratulations are due, because amid all the volatility in the public markets, you have not lost a single penny on your life insurance. Not one. The product is performing exactly the way it is supposed to:  it is guaranteed never to go down – only up.  Quite simply, there is no investment vehicle more stable.

The private markets don’t have the same guarantees as stated above, yet they may behave differently, in an uncertain market like we have today. As with cash value life insurance, we have had a very strong first Q of the year, and want to thank you for your trust in this space.

Want to talk about it?  Let’s have a call – the sooner the better!

Ian Ardill, B.A., M.T.S.

Private Wealth Advisor
CEO, Ardill Group 

Direct: 1 905 717 5698

Office: 1 905 907 7000

ian@ardillgroup.com 

The post You never have to feel that way again. first appeared on Ardill Group.

You’re going to love this video. 

Since its inception in 2008, the average rate of return for Pavilion funds is 161% after tax.*

That is not a typo.

I believe that for high income earners – anyone paying north of 40% income tax – a Pavilion fund is something that has to be looked at very closely. Not just for the tax savings, but also for the investment return profile. 

These funds have been used by very wealthy Canadians for many years. Today, Pavilion provides the opportunities for investors such as yourself to enjoy these same benefits.

Want to learn more?  Click to watch the video of my new interview with Pavilion’s Dan Pembleton, on my show, Money Match!

*161% is based on Pavilion’s own Performance update as of March 31st, 2022. The assumptions are as follows:

•  Investor marginal tax rate is 50%
•  Total cumulative tax write-off: 100%
•  Investment Tax Credit: $1.32 per $10 invested
•  Potential performance fee above $11.20 has not been taken into consideration for funds that are still open

The post Ecosystem Update: Pavilion first appeared on Ardill Group.

You’re going to love this video too!

I love Invico and their Diversified Income Fund.  

There’s the D-word again. But fear not: this is a fund that offers diversification, and, to boot, is offered by a company with a diverse team – led by Co-Founders Alison Taylor and Jason Brooks.

While Alison was unable to join the call, Jason was excited to share that part of what makes Invico so different is how the firm is 60% female staff. This is something we just don’t see rooted in corporate business strategies, but certainly need to see a lot more of! 

When asked what makes Invico stand out from all the rest, Jason responded with confidence: “we’re battle-tested.”

We are thrilled to be working with the Invico team, and I am so grateful to have them featured in this special new edition of Money Match. 

Just click to watch.

The post Ecosystem Update: Invico first appeared on Ardill Group.

Quality Risk Manager

In almost 15 years at this company, given the very personal nature of the work we do for our clients, I have been brought to tears more than once.  Mostly they have been tears of joy. One of those occasions was earlier this month, when I read this email.  It makes me very proud to work with Ardill Group – to know we can have this kind of affect on our clients. 

—

“Hello Ian!

I wanted to thank you so much for meeting with Ben and me yesterday. It is always lovely to see you and you provided us with a lot of joy and comfort. Ben said, ‘I feel a lot better after meeting with Ian.’ Ian, you have brought my best friend comfort during a time when it hasn’t always been the brightest of lights and that means so much.

The time you have taken in preparing and meeting with us – it has just been such a gift. We appreciate your intelligence, compassion, kindness, enthusiasm and zest for all things financial. 

I hope that you have a wonderful day!”

Julie

The post Something very nice first appeared on Ardill Group.

You don’t need me to tell you that we’re in unsettling times.

Let me share my strategy that seems to work in most economic conditions.

In a broad way, Ian explains to his clients that financial plans are like a three-legged stool:

•  Publicly traded Securities

•  Private capital investments 

•  Whole life insurance

I’m going to describe the third leg: my whole life insurance and how it is working for me. 

1) Whole life insurance is more than just the third leg of a stool – it acts more like my personal bank. Why does it work so well, you may ask? Let me outline some of my favourite features:

2) The equity or cash value in my whole life insurance will never go down in value, it will only compound into the future. Think about that for a minute. In uncertain times, it’s nice to know that you can count on your equity in whole life. This benefit allows me to sleep at night. Why is this benefit unique? Just show me any other financial instrument that is guaranteed never to go down in value!

3) Compound interest: one of the eight wonders of the world, as Albert Einstein said. I like this because my money is working for me 24 hours a day with no management time from me. Why is this benefit unique? Just show me any other financial instrument that will compound your entire life, without interruption!

4) If you manage it properly, the compound interest is tax-deferred or tax-free. Why is this benefit unique? Just show me any other financial instrument that will compound tax-free without strings attached like RRSP or tax-free savings accounts.

Whole life insurance allows you to become your own banker. Let me explain this last one in a little more depth. Say I have accumulated a sum of cash or equity inside my whole life policies – of course, that money is working for me by compounding for the rest of my life tax-free. When I have need for a large financial transaction, for example a need to invest new money, I leverage my cash value. Note that I do not withdraw the cash value, because that would interrupt compounding; instead, I leverage the policy accessing cash through a secured loan and use that money for my investments. Yes, this causes an interest charge which is tax deductible. 

Another example: say I want to buy an expensive car. Well, I can leverage my cash value to buy the car and then pay the money back, rather than using the bank down the street where they make money from the transaction. By taking the bank out of the equation, I profit from the transaction and not the bank. 

There are many creative examples on how to utilize the equity in my cash for life insurance in a smart and efficient way. As I’ve heard it said before: when you have money, you have options. 

So why is benefit #4 unique? Just show me any other financial instrument that will allow you to leverage without any questions, at any time.*

In closing, you may be thinking: I thought life insurance was a death benefit, not a living benefit. Well, this is true: life insurance plays a key role in estate planning. But, you may end up living a long time before you need the death benefit, so in the interim I am explaining the living benefits that are not as commonly known. These living benefits make up a key part of your financial plan.

If you have not looked at whole life seriously or you have taken a look and have not taken action, I am strongly encouraging you to reconsider the strategy. Time is not on your side. 

Take advantage of Ardill Group’s experience. It is important that your life insurance is designed correctly because you will have it all of your life.  There are over 52 considerations to be made in designing a life insurance policy, so make sure you get the right advice. Ian and I can share our insights with you, and knowing what I know now, this will have you in even better shape financially. So take a look at the strategy, because it works. 

My only regrets are not starting this program sooner and max funding the strategy. Note that the max funding does not reduce opportunities or flexibility, it only strengthens your financial wellbeing.

You can find naysayers about whole life insurance on the internet, but I can tell you these people just don’t get it. It would be interesting to compare their more traditional financial strategy with my three-legged stool. I’d bet they’re not sleeping nearly as well as I am at night during these difficult times.

Thank you for reading, and let me know if you have questions for me.

Best regards,

John Ardill

Founder and Mentor

Ardill Group

Direct: 1 416 400 5882
Office: 1 905 907 7000

john@ardillgroup.com

*Using borrowed money to finance the purchase of securities involves greater risk than a purchase using cash resources only. If you borrow money to purchase securities, it’s your responsibility to repay the loan and pay interest as required by its terms remains the same even if the value of the securities purchased declines.

The post You carry it with you for life first appeared on Ardill Group.