Of course, those with guaranteed, taxpayer-backed, determined welfare pension plans are likely to be in an enviable position. I often wonder why the usual media financial profiles of senior couples bother even when their subjects enjoy such pensions.
Sadly, most of us are not so lucky. Over the years, we may have pieced together a few small private sector pensions, but for the most part, the wealth we have is in RRSP/RRIFS, TFSA and unregistered savings, which has declined as financial markets grow. From what I saw in my new retirement club (I wrote in this field last summer), most people realize in what is called retirement risk zones they are their own pension managers, which means keeping a close eye on the market.
Dale Roberts, co-founder of retirement club Earth and Mail Column by Dr. Norman Rothery, CFA. Rothery, a well-known store of value, is in charge of stingyinvestor.com, suggests that the current Trump-inspired environment of tariffs and global trade wars has caused great anxiety for this group. In the link, Rotterly said, in the link, it sums up as “in today’s market, close to retirement investors,” Rotterly said, “the rush toward retirement “faces the combination of unusually noble stock and political uncertainty in the U.S. stock market, which puts the world in trouble.”
us Stocks trade at worrying levels
Rothery said: The U.S. stock market “trades at a price of several value factors”: The S&P 500 is “trading at a circularly adjusted price to a price close to 39 – peaking at 33 in 1929 and approaching the highest point of 44 in late 1999, based on monthly data, the index’s range is well known. Factors indicate that the U.S. market valuation is at record levels.”
Rothery concluded that “the U.S. stock market could produce unusually poor average real returns over the next decade or so.” Unfortunately, Now, the U.S. has a market capitalization of about 65% of the global stock market, according to the weight of the MSCI National World Index at the end of August. So if the U.S. market could occupy the rest of the world, at least temporarily. ”
This may affect recent retirees who have just begun to lower their portfolios due to “retirement risks.” This means that those who suffer early losses in retirement risk areas may ultimately pose a risk of savings. Rothery also mentioned the well-known 4% financial planner and author William Bengen: 55/40/5 Investors in the stock/bond/cash portfolio should be able to maintain retirement savings for 30 years as long as the annual “SAFEMAX” withdrawal does not exceed the adjusted inflation of no more than 4% per year. Mumbai just released a book called More abundant retirement: Supercharge 4% rule to spend more and enjoy more, This column may be reviewed next month.
able Defensive funds reduce risks?
At the retirement club, members anxiously ask questions in the website’s chat room to see if they should turn to cash and bonds, gold or other alternatives to U.S. stocks. To this end, Roberts (also runs his own CuttheCrapinSvesting blog) is reluctant to be defensive, but agrees to transfer to 70% fixed income/30% stock allocations may be effective for some nervous early retirees. Personally, he has cut US growth stock exposure and joined the defense exchange-traded fund (ETF) sector, such as consumer staples, health care and utilities. He also mentioned US stock ETF transactions traded in Canadian dollar: iShares Core MSCI US Quality Dividend ETF (XDU.T)
John de Goey, a Toronto-based wealth management consultant and certified financial planner, took the same cautious stance in his recent speech at Moneyshow in Toronto (September 12) and archived on YouTube. Titled “Bulfighting and Misleading Beliefs,” the speech extends the theme of de Goey’s usual advisor bullish and complacent investors, which is also illuminated in his 2023 book ox. De Goey advises many advisers to believe in their bullish information, which often hurts the performance of their portfolios.
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De Goey said in a conversation that the U.S. economy is becoming increasingly dangerous for investors. “A series of economic indicators are flashing red… although many Canadian investors are pouring into the U.S. market.” De Goy said that now, U.S. stocks account for two-thirds of the global stock market, and many Canadians are overweight U.S. stocks, referring to the elevated ratios cited by Roserry, who are cited as the same cloak ratio.
But “the real pain of expected tariffs in April is expected to be near with stocks running out.” De Goey said Trump’s 2025 tariffs were a case of “again Déjàvu” comparing it to the 1930 protectionist Smoot-Hawley tariffs and ushering in the Great Depression. He said the United States now has the most corrupt management in history and therefore “expects chaos.” But investors are being “come” by the financial industry. “There is clear evidence that mutual fund registrants are prone to grazing/collective stupidity… It seems that the industry is the culprit because who else can it be?” In short, he believes optimism is good for businesses in the financial industry.
Senior U.S. investor and writer Peter Grandich is also bearish on U.S. stocks. His 2011 autobiography is titled Confession of a former white Wall Street child. After three major financial panics in his 41-year career (1987, 2000 and 2008), he recently told clients that he believed “we are at the threshold of economic, social and political crises, which I believe can make the other three look like walks in a park.” His personal asset allocation includes only cash, T-Bills and three speculative primary resource inventory. “I certainly don’t suggest that others consider portfolios like this, but I do think that capital preservation must overwhelm the stance of capital appreciation. Because corporate bond yields are now so close to bond bond yields, I don’t want to have anything. I suspect this view is less than finding a needle in a black tower than finding a black fan, but I’ve never been like chicken that can be together now, but rather getting stuck. (In September, Grandich interviewed me on a podcast.)
but First of all, global “melt”?
Not everyone is so bearish. A newsletter I subscribe to will continue to “melt” the markets in multiple asset classes: stocks, cryptocurrencies, gold and silver. While they are likely to correct it around 2026, market strategist Graham Summers argued in late September that “global melting is accelerating now” and so “investors need to take advantage of this in a lasting process.”
Dale Roberts and retirement club members believe new and potential retirees can find shelter in traditional asset allocations, make some profits in overvalued U.S. stocks, and turn to affordable international and Canadian stocks. Asked if the popular global asset allocation ETFs can protect retirees from overvalued U.S. stocks, De Goey said such products could mitigate the blow “but now the U.S. represents almost two-thirds of the global stock market capitalization. So if all your stocks are single global ETFs or mutual funds as single global ETFs or mutual funds, there is a lot of responsibility and you’ll be estimating more and more over the market.
use Annuities and other defensive investments
Instead, investors can focus on defensive sector ETFs, which are like overweight niches such as consumer staples, utilities and healthcare. Low volatile ETFs from providers such as BMO ETF, Ishares and Harvest ETF tend to be overweight defense departments and undervalued stocks such as technology giants. However, de Goey underscores the working conditions of low-volatility ETFs in bear markets. “If the market is down 25% and investors can handle this, they may not need such an ETF.” Low volatile products are more defensive than weighted products on the market, but it all depends on how investors react and behave when they are in the South. ”
When asked whether RRSP/RRIF investors can buy protection from market volatility through annuity or partial annuity, he might say that he prefers products like the Purpose Life Fund, “mutual funds,” that “provides pension style diversification and is designed to replicate the balance payments for the rest of the life of a unit soldier.”
In preventing Trump’s trade war, De Goey agreed that retirees should be exposed to the gold and precious metals sectors. His clients have 10% gold and 8% resource inventory through products like the Mackenzie Core Resources ETF (TSX: More), which has increased 33% this year.
