Trading Basics

We believe in providing you with the tools you need to make informed decisions. This includes tangible tools such as those found on our website but also intangibles, like a better investment education in order to build the proper foundation for superior decision making. The more informed you are, the better your investment decisions will be.

Stocks

Stock Basics

Wouldn't you love to be a business owner without ever having to show up at work? Imagine if you could sit back, watch your company grow, and collect the dividend checks as the money rolls …

Stock Selection Strategies

When it comes to personal finance and the accumulation of wealth, few subjects are more talked about than stocks. It's easy to understand why: the stock market is thrilling. But on this …

Fundamental Analysis

The massive amount of numbers in a company's financial statement can be bewildering and intimidating to many investors. On the other hand, if you know how to read them, the financial …

Ratio Analysis

Fundamental Analysis has a very broad scope. One aspect looks at the general (qualitative) factors of a company. The other side considers tangible and measurable factors (quantitative). …

Technical Analysis

There are two major types of analysis for predicting the performance of a company's stock - fundamental and technical. The latter looks for peaks, bottoms, trends, patterns, and other …

Basic Technical Analysis

Fundamental analysis is the search for securities that are undervalued relative to their assumed real value. I use the word "assumed" because it implies that we have studied companies in …

Moving Averages (EMA7, 27) A Month Later…

Last month I discussed a basic technical analysis technique: that of two exponential moving averages (EMA), one of which is calculated in the medium term and …

EMAs, Continuation and End

The stocks that had given a medium to long-term buying signal on February 2 performed well overall. Here is the summary table. Medium-Term Buy SignalsLong-Term Buy Signals Performed Very …

Exchange Traded Funds

Exchange Traded Funds (ETFs) offer investors the opportunity to diversify their investments while being able to trade just like stocks. ETFs trade on most major exchanges. In Canada, the …

Using Margin

Imagine this: You're sitting at the blackjack table and the dealer throws you an ace. You'd love to increase your bet, but you're a little short on cash. Luckily, your friend offers to …

Short Selling

Have you ever been absolutely sure that a stock was going to decline and wanted to profit from its regrettable demise? Wouldn't it be nice to see your portfolio increase in value during a …

Initial Public Offerings (IPOs)

The term "IPO" slipped into everyday speech during the tech bull market of the late 1990s. Back then, it seemed you couldn't go a day without hearing about a …

Mutual Funds

What is a Mutual Fund?

A mutual fund is a financial instrument that is becoming increasingly popular. Not surprisingly, since it provides access to markets that were previously reserved for seasoned investors. …
Read this article

How to Choose a Mutual Fund

The Canadian market has more than 4,000 mutual funds. You can find thousands of types of funds on the Canadian market: bond funds, equity funds, sector funds, specialty funds, regional …
Read this article

Management Styles

The main fund management styles and approaches are: Growth Growth managers emphasize current and future corporate earnings and are prepared to pay high prices for securities that have …
Read this article

Lump-Sum Investment or Periodic Purchases?

Most mutual fund companies give you the choice of either making a lump-sum investment OR periodic investments. Since unit prices fluctuate over time, both up …
Read this article

Mutual Fund Centre

Desjardins Online Brokerage's Mutual Fund Centre is a one-stop shop for all of your mutual fund research, analysis and tracking needs: Keep up to date with mutual fund performance and the …
Read this article

Options

Options

Nowadays, many investors' portfolios include investments such as mutual funds, stocks, and bonds. But the variety of securities you have at your disposal does not end there. A type of …
Read this article

What are Options?

An option is a contract giving the buyer the right, but not the obligation, to buy or sell an underlying asset at a specific price on or before a certain date. An option, just like a …
Read this article

Why Use Options?

There are two main reasons why an investor would use options: to speculate and to hedge. Speculation You can think of speculation as betting on the movement of a security. The advantage …
Read this article

An Example of How Options Work

Now that you know the basics of options, here is an example of how they work. We'll use a fictional firm called Cory's Tequila Company. Let's say that on May …
Read this article

Types of Options

Options have two main types of exercise styles: American options can be exercised at any time between the date of purchase and the expiration date. Our example about Cory's Tequila Co. is …
Read this article

How to Read an Options Table

Column 1: Strike Price - This is the stated price per share for which an underlying stock may be purchased (for a call) or sold (for a put) upon the exercise of the option contract. …
Read this article

Conclusion and Resources

We hope this tutorial has given you some insight into the world of options. Once again, we must emphasize that options are not for all investors. Options are sophisticated trading tools …
Read this article

Fixed Income

Bonds

The first thing that comes to most people's minds when they think of investing is the stock market. After all, stocks are exciting. The swings in the market are scrutinized in the …

The Money Market

Whenever a bear market comes along, investors realize (yet again!) that the stock market is a risky place for their savings. It's a fact we tend to forget while enjoying the returns of a …

Retirement Planning

Registered Retirement Savings Plan (RRSP)

A Registered Retirement Savings Plan (RRSP) is a savings strategy that helps you build capital for retirement. It offers you two tax advantages: your …
Read this article

Contribute Early, Contribute Your Maximum

Two people both contribute $45,000 to their RRSP. The first person begins contributing $1,500 a year at age 25 and continues to do so for 30 years. The other …
Read this article

Eligible Investments

The following investments are allowed in an RRSP: Bonds Strip Coupons Treasury Bills Term Deposits and Commercial Paper Stocks Call and Put Options Mutual Funds The following investments …
Read this article

Diversification

Whether you are working or retired, you should get the maximum return on your investments. A good way to do this is to diversify your investments. You will increase your portfolio return …
Read this article

Investment Methods

Many taxpayers wait until the end of the contribution period before investing in their RRSP. There are, however, many ways to invest. Regular Instalment RRSP: allows you to contribute …
Read this article

Pay Down the Mortgage or Contribute to Your RRSP?

In a perfect and highly disciplined world, paying off your mortgage before contributing to your RRSPs may be the best thing to do. If the return on RRSPs is …
Read this article

RRSPs & Taxation

RRSP deductions do more than save you income taxes First and foremost, RRSP deductions result in tax savings based on your marginal tax rate. Since this deduction reduces your net income …
Read this article

Taxes at Retirement

Contributing to a Registered Retirement Savings Plan (RRSP) is the first step in planning your retirement. At this stage of life, it's crucial to use the current tax rules and find out if …
Read this article

Converting Your RRSP

When and How to Convert Your RRSP By law, you are allowed to contribute to and keep your RRSP until December 31 of the year in which you turn 71. Then, you will have to convert it. You …
Read this article

RRIFs, LIFs and Taxation

Any income from a Registered Retirement Income Fund (RRIF) or from a Life Income Fund (LIF) is taxable and must be added to your annual income. In both cases, the law dictates the annual …
Read this article

When and How to Convert Your LIRA

By law, you may keep your LIRA until the end of the year in which you turn 71, then, you must convert it. You will then have two options: a Life Income Fund …
Read this article

Locked-In Retirement Accounts (LIRAs)

Locked-in Retirement Account (Quebec LIRA) A LIRA is a special registered retirement savings plan. The money in your LIRA is locked because they it be used …
Read this article

Registered Retirement Income Funds (RRIFs)

A RRIF is a tax shelter that looks like an RRSP with one important exception: instead of contributing to your plan each year you withdraw a retirement …
Read this article

Life Income Funds (LIFs)

Federal or Provincial Jurisdiction? To determine the jurisdiction applicable to pension funds, it is first necessary to determine whether the main business of the company was under …
Read this article

Annuities

A Retirement Income Option Under the law, you may keep your RRSP until the end of the year in which you turn 71; you must transfer your RRSP into retirement income before December 31 of …
Read this article

Estate Planning

If you plan your estate properly, you could save your heirs a lot of headaches. You might even decide to give things away during your lifetime. In the face of our mortality, we are all …
Read this article

FAQs

Is there an age limit for contributing to an RRSP? What is the final date I can contribute to an RRSP if I want to take advantage of a tax deduction for my tax return? How can I find out …
Read this article

Planning Tools

Your personal balance sheet Your budget How much will your RRSP be worth when you retire Your retirement budget Retirement quiz - Test your knowledge
Read this article

You’re the investor

Discover how simple it is to start investing online!
To support our newer investors, Desjardins Online Brokerage offers a series of simple and easy to use tools. In this video, Jason Stewart talks about his approach and his journey as a new investor.