Advice from our experts

Winning strategies

In all circumstances and particularly in times of market turbulence, it's important not to let emotions guide your actions. Your advisor or financial planner is best placed to guide you and answer your questions. Here are a few tips to help you make sound decisions.

• Know your investor profile
  Your investor profile should guide all your decisions when managing your investment portfolio. Knowing what kind of investor you are and sticking to the plan you've selected is at the root of your strategy to get the most potential out of your profile.

• Have a long-term investment horizon
  Having a long-term investment horizon allows you to withstand short-term ups and downs in your portfolio. With an investment horizon of 5 years or more, you can better deal with market fluctuations.

• Have realistic expectations
  The yield on your investments is always the result of a compromise between your risk tolerance and expected return potential as determined by your investor profile. Hence the importance being comfortable with the investments you hold in your portfolio.

• Diversify your portfolio to reduce volatility
  Portfolio diversification is a way to minimize volatility. By having a portfolio composed of a variety of asset classes in keeping with your investor profile, you can make decisions based on rationale rather than emotions.

• Maintain your investment strategy
  Short-term market volatility is no reason to abandon your long-term objectives. Panic selling your investment is selling them at bargain prices. Those who choose to sell their investments after a drop in the markets and are no longer invested in the markets when they go up reduce their investment returns.

• Build your investments with automatic deposits
  The best way to make the most of market variations is by investing by instalments. By spreading your purchase out over time, you benefit from market fluctuations and a better average purchase cost.

• Contribute to your RRSP
  You'll save for retirement and get a tax break that could allow you, for one, to repay your loans more quickly.

• Take advantage of investment opportunities
  Market upheavals do not just have drawbacks. They can also provide investment opportunities. It's important to be on the lookout for bargains that may become available.

• Seek out quality investments rather than returns
  When you invest in keeping with your investor profile, stay in line with your strategy and don't let yourself get tempted by investments that advertise past high returns. Past performance is not a guarantee of future returns.

• Get the support of professional managers
  Your investment portfolio benefits from customized solutions developed by a team of carefully selected experts to help you meet your objectives.

• Meet with your advisor or financial planner on a regular basis
  Meeting with your advisor or financial planner annually, or more frequently if needed, gives you an opportunity to discuss your short- and long-term projects and concerns, and review your investment strategy if required. These meetings are important both in times of stability and those of market upheaval.