Determine if you want to pay sales commissions. If you are investing for the long-term, choose a fund or fund manager that shares your view. You may understand the value of time, but having patience to ride through down markets is a quality that will keep you from bailing out of a good investment at the first decline in price. This can mean owning several stocks if you invest in the stock market, or owning different types of mutual funds to reduce the risk of being concentrated in a single investment style or asset class. Look beyond investments in your home economy.
Chances are that other countries and other stock markets have more growth potential.
Experience shows that investing in a mutual fund that understands other markets well may provide higher returns and lower volatility than investing only in Canada. Go back periodically and take another look at the plan to make sure it fits your current perspective. All rights reserved. Available to Canadian residents only. Click here for other important legal information.