Q1 Volatility


This concludes the first quarter of 2022. If there has been any notable theme in the last three months, it has been volatility. Volatility caused by inflation and policy expectations. Volatility caused by war and elevated geopolitical strife. Volatility caused by commodity shocks and supply shortages. And by virtue of the connected nature of these variables, volatility creating a virtuous cycle and further exacerbating economic strains.

As we enter a new month and quarter, forecasts indicate these issues are likely to remain prevalent, making continued volatility a reasonable assumption. On a long-term time frame, patches like this are to be expected and inevitably pass. That said, with the mention of words like “stagflation” and “recession” increasing in frequency, our focus turns to both Macro and Micro level indicators to best plot our tactical adjustments, while keeping a steady hand on the tiller for our longer-term strategic course forward.

Much like spring fuels our optimism of warmer/brighter days ahead, we remain optimistic that today’s challenges will be tomorrow’s distant memories. As is said, “No matter how long the winter, spring is sure to follow”.


Tax Reminders & Cautionary Notes

With the 2022 tax season in full swing, here's a friendly reminder from the team:
  1. Richardson Wealth clients can access tax documentation through the Tax Centre tab located on the client portal at my.RichardsonWealth.com. As an extra convenience, account access can also be granted to your accountant to view your documents and tax slips. If you would help enabling this access through your online profile settings you can give us a call.
  2. Tax season is not something many of us look forward to, but there is a group that does - scammers. There are plenty of ways for unscrupulous characters to try to defraud victims of their hard-earned money, including phone calls, emails, text messages, and social media. As these schemes become increasingly sophisticated, we urge all clients to be vigilant when asked for any personal information under the guise of a tax-related query or otherwise (as illustrated in this recent ICBC rebate related text/email scheme). The CRA has provided the following links for further reading (here and here) to help you better understand fraud and how to avoid it.

Reverse mortgages: How wealthy Canadians can use this unexpected source of retirement cash flow

Ensuring multiple income streams is a crucial part of retirement planning. If you don’t have regular retirement income, or a pension or if you’d like to tap into the equity in your home to access cash now, a reverse mortgage could be a good option.
No longer a ‘loan of last resort’, reverse mortgages can be a valuable strategy for wealthy Canadians who may have much of their net worth tied up in investments, real estate or a corporation, and are looking for tax-free cash flow to fund a variety of needs, including:

  • Gifting in life
  • Purchasing an investment property
  • Aging in place
  • Covering unexpected expenses

This article outlines what a reverse mortgage is, who qualifies, pros and cons, and how you may be able to use one to your advantage.

Please reach out to us with questions. We can help you understand whether a reverse mortgage may make sense for your personal situation.

Award Season "Slaps"

On any given day, our team discussions can often digress to conversations around media we're streaming, podcasts we're listening to, or things we are currently reading. In the last week those discussions have been more movie-centric with the 2022 Academy Awards taking place. While most viewers want to know who will win best actor or actress, we think one of the most underrated awards is for best visual effects - also known as VFX. Visual effects artist use computer aided technologies to create photorealistic content so seamlessly woven into a film or television production that their impact is only apparent when they are stripped back. Wired has created a video (below) that does exactly this. VFX artist Kevin Baillie takes a deep look at this year's nominees for best visual effects - stripping out the work to demonstrate the sheer scope and quality of each production.


Click Here For Video