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TriDelta Insight
December 2015
Dear reader,

We wanted to wish all of our clients a very Happy Holiday Season.  May it bring joy, special times with friends and family, and some time to reflect on the year past.

This issue we touch on investment markets, some great advice on Eldercare, ‘fun’ with taxes, a special welcome to TriDelta’s newest team member and a book and movie review from Claire.

Enjoy and be well,

TriDelta Financial

Investment Thoughts – mid-December 2015
Some years are about enjoying the growth and not getting left behind.

Other years are slow and steady.

Still other years are about protecting capital.

For Canadians, 2015 was mostly about protecting capital, and for the most part
TriDelta did a good job of this. For many clients, they will end the year outperforming the Toronto Stock Index by about 10%. This was not a year where you could really avoid some ugly investments. When you see a ‘safe’ name like Enbridge lose 7% in a day – on no specific corporate news – you know that the seas are rocky.

In some ways, 2015 was more about currency than investing. If you were 100% invested in Canada, there were few ways to have a good year. We have always had a North American bias over a Canadian bias, and roughly 50% of our stock portfolios have been invested outside of Canada this year.

As we write this, we have decided to move even further into the U.S., and will be moving to roughly 60% of stock portfolios outside of Canada. We believe that the Canadian currency still has room to weaken and that Energy and Materials will hold back Canadian growth in ways that won’t meaningfully hold back the U.S. market.

Having said that, we believe that 2016 will be a better year Globally. As one of my colleagues stated, when I can get 1% on cash, or get a 5% dividend to hold a Bank stock or Utility stock, the market has never made a better case to get off the sidelines. Of course, in the short term, if markets fall, cash seems like the better option, but when the gap on income is a tax preferred 4%, the mid to long term direction is pretty clear.

As for interest rates, even if they go up in the United States, they won’t go up much. In Canada, they are likely headed lower. The ‘threat’ of meaningfully higher interest rates is just not real at this juncture, and may not be real for many years to come.

In 2016, we believe that stock markets will provide a year like the first two sentences above, and not like the third one. Next month, we will be sending you our more detailed 2015 review and 2016 forecast.

Helping to Care for Aging Parents
When it comes to helping aging parents, many feel they are ill-prepared for this part of life. As children, we looked up to our parents to care for us, protect us, and eventually help launch us. Many of us go on to marry, have our own families and set up the same pattern of caring for our children. We are not expecting that our parents will age and possibly that we will be the ones to provide care as they once did for us. CRIG
Some people say that the roles “reverse” ; that as your parents once parented you, you are now “parenting” your parent. This conception however is not entirely accurate. The reason being, is that while our parents may be losing some of their independence, whether mentally or physically, they are still and always will be our parent. Even though they may have “lost” some of their abilities to do certain things, or may have increasing challenges, they are still the driver of their decisions as long as their capacity for that is intact.
Continue reading...
How a couple with a net worth of $10 million and annual income of $215,000 can pay $0 in income tax
We are all hearing the calls to tax the rich. The assumption being, if you are rich, you will pay a lot of tax, but is that always true?

Here is an example of a couple with a net-worth of $10 million who are set up to pay exactly $0 in tax in 2015.

Here is how they would do it.

Tom and Mary are a recently retired, 65-year-old couple, living in Vancouver. British Columbia isn’t the only part of Canada where a $0 income tax bill is possible, though — the dream is alive in Alberta, Saskatchewan and the Territories, too. In Ontario, they would have no tax, but would pay $1,500 for the health premium, which is essentially a tax.

Continue reading...
Welcome to Eva Pomponi
We would like to welcome Eva Pomponi to the TriDelta team. Eva is a Portfolio Manager working out of our Toronto office. She comes to TriDelta with over 20 years of financial services experience in Banking, Private Banking and Investment Management, and adds her Entrepreneurial family background to the mix.

To learn more about Eva, please see her full Bio here.

Eva Pomponi
Special Video for the Holidays
At 18 million hits and counting, we thought you might appreciate the joys of Triplet Babies Laughing. If you don’t like it, that’s OK, but be sure not to tell anyone that.

Claire's Book Review
All the light we cannot see
By Anthony Doer

A tour de force adventure

I recently finished reading the outstanding novel All The Light You Cannot See and from my enjoyment of every page I was able to easily understand why the author, Anthony Doer, was most deserving of the 2015 Pulitzer Prize for Fiction for this work.

The novel takes place towards the end of World War II and separately follows the lives
of two children, a blind French girl, Marie-Laure and orphaned German boy, Werner. With Germany trying to desperately avoid defeat Werner is spotted by the authorities for his extraordinary talents and is conscripted into the army at a very early age. Marie-Laure meanwhile lives in Paris with her devoted locksmith father who instils in his daughter an appreciation of nature and how to enjoy the world beyond her limitations. Due to the impended occupation of Paris, Marie-Laure and her father are forced to leave and head to the seaside town of Saint Melo where resistance fighters are doing all they can to aid the allies and it is in this town where the story eventually comes to an exciting climax. There are many interesting sub plots to the story and great characters emerge throughout the novel.

Doer has clearly undertaken some thorough research to bring this novel to print and combined with his easy-to-read writing style, it all makes for a fascinating and entertaining read.

By Claire Corrie , Director, Client Service.
Claire's Movie Review
What We Did On Our Holiday

Staring David Tennant, Billy Connolly and Rosamund Pike

Released 2014 - Available on Netflix and Apple TV

As any parent knows, going on a holiday with your kids can be most enjoyable but also stressful. For that reason I could easily sympathize with Doug played by David Tennant (Doctor Who fame) and Abi played by Rosamund Pike in the opening scene where they are trying to get their kids packed and bundled into the car.

And then, when you add to that the fact that the couple are having serious marital problems, you can sense this is going to be an eventful trip. And even though all members of the family are aware of the marital strife they agree to put on a happy face.

What We Did On Our Holiday is a delightful comedy, sometimes a little on the dark side, but brilliantly scripted with terrific actors. Although it has a stellar and formidable cast I often found that the kids were given the funniest lines and steal the show - the saying that includes the words “out of the mouth of babes” comes to mind.

The event they are going to is Doug’s father, Gordie McLeod’s 75th birthday. Gordie, who is played by my favourite comedian, Billy Connolly, is seriously ill and would rather spend his last days doing what he loves most, fishing and sitting on his favourite baron beach. more than attending a party organized on his behalf.

The relationship between Gordie and his grandchildren is very touching. In the humorous interactions between them we can see that the grandchildren are far more interested in what Gordie has to say and far more interested in fulfilling his wishes than his own children.

The climax to the movie brings both tears and laughter as the grandchildren get themselves into a bit of a tangle to do what they feel is right for Gordie.

The scenes in Scotland want to make you pack your bags and go take a look in person and the story makes your want to hug your kids and realise the importance of not getting caught up in the trivial things in life, as compared to most things, they are not really that important.

By Claire Corrie , Director, Client Service.
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For more information about TriDelta Financial and our services please visit us online at
TriDelta Financial - Toronto
Tel: 416-733-3292 ext. 221
2 Sheppard Avenue East, Suite 205
Toronto Ontario M2N 5Y7

TriDelta Financial - Oakville
Tel: 905-901-3429
146 Lakeshore Rd. East, Suite 200
Oakville, Ontario L6J 1H4