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8 Types Of Investment You Should Know If You Are A New Resident Of Canada

Hey guys, My name is Rehana and I am going to talk about the types of investments for those who have come to live in Canada for the first time or if you have recently settled in Canada.

These also apply for everybody from international students to Canadians, so who are living in Canada. Yeah there are so many ways you can invest your money. First thing is it's very important to invest your money, no matter how much money you are making .

Even if you are making minimum wage or if you are making $10,000 like nobody in this world who became a millionaire by just keeping their money in a savings account or you know just in their bank accounts, so everybody in this world who became a millionaire, they have been investing money that's how they became millionaires.

8-types-of-investment-you-should-know

At this time, I am going to tell you about 10 types of investments, which are as follows -

1.

The first investment and this is literally the basic investment and even an international student can do this, daddy's opening a tax-free savings account. So every bank provides you to open up tax-free savings account with them.

For example, I opened my tax-free savings account with CIBC. So I was given 2.75 percent interest rate for six months that was a promotional offer and later the pandemic situation happens and every bank has to reduce their interest rate. Generally, it should be at least 1% so what happens is when you open a tax-free savings account you inverse like thousand dollars. let's say you put your thousand dollars there you get annual interest rate of 1%.

let's say you opened a checking account in a bank like they won't pay you any interest. If, I left whatever money you made from a TFSA account ,you don't have to pay any taxes on that. So every year Canadian government allows every individual who is 18 plus to deposit a certain amount of money into the tax freeze in second.

So this year, it is $6,000 so that $6,000 let's say you are eligible to contribute to a TFSA account, if you haven't contributed this year, it will carry forward towards next year. There is a lot of information available online about the HSA.

You will understand a lot, because it will take so much time for me to explain about this particular topic that's briefly about TFS.

2.

The second way you can invest your money is by opening an RSP, around RSP stands for registered retirement savings plan every amount you contribute on to your RSP savings account. You can withdraw do during your home purchase or during your retirement phase. But let's say you are withdrawing your amount during your retirement phase, that time you have to pay a tax on that ,So that is how our RSP box.

3.

The third way of investing your money is putting into stock market. Stock market is so volatile and you never know what's gonna happen, so what I've known from my experience is do not try to make money for short-term purposes. I suggest you to go for long term maybe looks like next two years or five years.

Even if it's possible ten years try to invest in stock markets.

4.

Number four is cryptocurrency. You will find many apps in online, by which you can trade in cryptocurrency. Yeah, if you are interested into crypto, I don't have any information to talk about crypto. It's your personal choice, if you want to get into currency.

5.

Number five is high in the savings account, right now obviously nobody is providing any interest on savings accounts. Because of the pandemic situation, all the bank's had to cut rates. Two different types of apps well simple invest is for high interest savings account, but right now it's just not a point nine percent. It is better than so many other savings accounts.

6.

Number six is mutual funds, I haven't started investing into mutual funds yet but, I will definitely do that in future when I have more money than what I have right now. But you can go through mutual funds, I do not have any idea about them, I'm not gonna talk about them because I do not have any experience, so you can check articles online related to Mutual Funds.


7.

Number seven is Bonds Investing, into Bonds is again very useful. let's say you have invested into a bond for ten years bonds are available for minimum ten years. Sometimes minimum five years, what they do is when you buy that bond they give you a fixed interest rate .

Whenever there is a recession everybody cuts their interest rates, but those who invested in bonds are really safe because you are getting your return on investment.

8.

Number eight is Real Estate, I definitely love to invest my money into Real Estate, like when I grow older, I would love to do that my father has been investing a lot of money into real estate.

So real estate is real beneficial, If you know how to do it not everybody makes money out of real estate. But in North America. I would say Real Estate is such a great option to invest and make money. So yeah, Real Estate is another very good English money.

I personally use the app called Yahoo Finance to follow the stock markets and yeah it gives a lot of information. I hope that this information has cleared your doubts about investment.

So these were the 8 types of investment that you can do, taking care in the investment

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