Investing in stocks* and bonds*
A well-diversified portfolio will hold both and we can help design a portfolio which meets your unique circumstances.
Stocks—also referred to as equities—represent ownership in a company where you have an opportunity to participate in the success of the company in either the form of dividends or capital gains which are more tax efficient than interest for most Canadians.
Equities might be right for you if:
- You are looking for potentially higher returns.
- You have a long-term time horizon.
- You are comfortable with some volatility.
- You are concerned about taxes.
A bond is essentially a loan to the government or corporation. Bonds have a prescribed income stream and face value which is paid at maturity. Investment returns for bonds consist of interest income and capital gains (or losses) if sold before maturity. The most common bonds are issued by federal, provincial or municipal governments where the payment and principal upon maturity would be guaranteed by the government and for this reason are considered a safer investment. Bonds can also be issued by companies which may provide a higher yield, but are not as safe.
Bonds may be right for you if:
- You prefer lower volatility.
- You are looking for a steady income stream.
- You have a medium- to long-term time horizon.
Determining the right investments and asset allocation to meet your circumstances takes time, knowledge and experience. As a member, you have access to sophisticated advice from our accredited Gulf & Fraser Credential Securities Investment Advisors.
Our advisors have access to a full array of stocks*, bonds* and mutual funds*. They will work with you to identify your financial objectives and goals and develop a personalized Smart Money PlanTM. As part of the plan, your advisor will help identify the best asset allocation and securities* to meet your financial goals.