Featured in current edition December 2001

Financial Products & Services Jennifer Aitkens

I found a cheap vacation through a travel agent this fall, but if my time had been a bit more flexible, I could have saved even more money with a home exchange vacation. Home exchange networks allow individuals and families to swap homes so that both parties can enjoy inexpensive vacations. Participants pay a subscription fee to a central organizer who publishes lists of available home swaps. While the concept works well enough in the form of paper catalogues, home swap programs have taken off with the advent of the Internet, says Jack Graber of Vancouver-based HomeLink Canada. Graber is one of 20 regional representatives of HomeLink International, the world's largest home exchange network. His web site www.homelink.ca (604) 987-3262 - is the bilingual Canadian gateway to the Homelink International database. While casual visitors to the HomeLink web site can preview a selection of current listings, access to the complete database is limited to exchange members. Web-only membership (home listing and database access but no paper catalogues) is $95. Regular membership is $140 and includes three catalogues per year. Adding colour photos to your listing will cost extra: $35 for one, $60 for two. Graber is also the brains behind "exchange cancellation insurance". For $25, Homelink Canada will cover hotel costs of up to $3,000 from their insurance pool arrangement (insurance payouts depend on the amount contributed to the pool each year). It's rare that exchange partners have to cancel on each other, says Graber, but it's nice to not worry about your vacation falling through. If you're curious about the concept of house swapping, take the time to get more information. HomeLink Canada offers a free information package that includes one or two pages from a recent catalogue (be sure to specify your preferred destination), a company brochure and a list of satisfied customers who would be pleased to talk to you about their experiences with home exchanges. If you don't find what you're looking for on the Homelink Canada web site, check out the competition. You'll find Intervac Canada at www.intervac.ca/ (403) 284-3747 and Landfair Home Exchange Club at www.landfair.com/ (416) 431. Email <jennifer@warriscommunications.ca> December 2001 is now online in a pdf or html format and in our article archives.

Your Net Worth This Market is Not Hopeless Jon Kanitz

A portfolio manager friend of mine called me the other day to find out what was wrong. He had been unsuccessfully contacting prospective new clients, and he was getting nowhere. I explained to Brian that in a bull market some investors transfer their accounts to new investment advisors out of greed with the belief that another advisor will make them more profits. In a bear market, some investors transfer their accounts to new investment advisors out of fear with the belief that another advisor will make their portfolios safer, and not lose too much money. But this market is different, as I explained. Many investors are so unhappy, so pessimistic and so devoid of confidence that they have given up hope.  Click to read on...

Tax Strategies Investment Tax Shelters Prashant Patel

Some people hope that there may be a magical solution to reduce their tax "problem" in a year of particularly high income. For instance, an individual could have a high tax liability in a particular year due to any of the following circumstances: High salary or large bonus (with less than adequate withholding taxes taken); Employee stock option income; Large realized capital gains (net of capital losses); Large retiring allowance that cannot all be rolled over on a tax-deferred basis to an RSP; Excess pension amounts that cannot be rolled over on a tax-deferred basis into a Locked-in RSP (or LIRA) and paid to the employee in cash... Therefore, given that this income must be reported on the tax return, in order to reduce the tax payable associated with this income, the individual must "hunt" for other tax deductions or tax credits that they can legally claim on their tax return in order to reduce their taxes payable. Click to read on...

Case Studies Insured RRIF Solution Tony Gallippi

We’ve heard it time and time again that in the next 20 years over $1 trillion of assets will be transferred to the next generation of Canadians. We’ve also been advised that in order to ensure a smooth transition of these assets to our children or grandchildren, we must seriously consider the virtues of a thorough estate plan. Unfortunately, many of us like my client Marge Simpson (fictitious name) have neglected to address this area as we feel that it’s a concern only of a few rich. This wealthy minority whose portfolios consist of million dollar cottage estates, stocks, bonds and business shares will need to find creative ways to reduce the impact that taxation will have on their estates. Before we breathe a sigh of relief and conclude that we do not fit the above profile, we might want to think about that lovely nest egg we’ve been building for those golden years.   Click to read on...