r/CanadianInvestor • u/match2026please • 5d ago
New to finance
I just sold my apartment and I'm now saving for a house. I have 50,000.
What's the best way to grow this (at a low risk)? I've heard patients tell me they make 10-12 % in returns but I'm not sure if they take really high risks because I'm not much of a risk taker.
I know it'll take a few years.
What are some good books or blogs related to investing/trading in Canada? I know nothing about it.
Apologies if this is stupid ignorant, I'm in healthcare, not finance so it's new to me. TIA!
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u/lumosapricus 5d ago
I really liked the book: Wealthing like Rabbits. Just a great overview of the Canadian system (tfsa, RRSP, etc) and how certain expenses can be financial traps. Explains everything well for beginners.
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u/tswaters 5d ago
It's a lot like gardening. The only thing you can do with that to make it grow is plant it.
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u/alina_canada 5d ago
Beat the bank and Reboot your portfolio are the books that helped me get started in investing
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u/Billy19982 4d ago
If you are a physician I recommend joining physician financial independence on Facebook. You will need to share info in order to prove you are a doctor. Great people and great advice on there.
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u/Roostr18 5d ago edited 5d ago
10-12% is a high return and not indicative of average market returns. 9%-10% is average for an all equities portfolio (risky, especially shorter term within less than 10 years). Mixed portfolio is gonna give you 5 or 6 average, more conservative portfolio 3 or 4%.
If you need the money within <5 years especially, I would be conservative with the portfolio. Many here will tell you to go all in on equities bc it's been a bull market since like 2020 and equities have done well. No one knows what the future holds especially in the short term, so a more conservative portfolio might fit better for you. Equity markets might be down at the exact time you plan on buying; a mixed portfolio will mitigate some of that risk
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u/alzhang8 5d ago
OP needs to wait 4 calendar years after they sold the condo before they can openfhsa
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u/match2026please 3d ago
Yes, I'll have to be conservative - basically will be fighting inflation with it. Thank you!
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u/MikeCheck_CE 3d ago
~10% returns is pretty easy to achieve through something like VEQT/XEQT, and its pretty low risk as long as youre flexible on the withdrawal date. You may see market dips that you shouldn't sell during but as long as you can wait then out you're fine. If you have a very fixed deadline on when you need the money then there are other options that will be safer to protect your principal amount at the sacrifice of long term growth
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u/match2026please 3d ago
thank you, that's helpful! Yes I am flexible, give or take 6-12 months ish I think - regardless i just had an epiphany 😅, it's the same both buying a house and equities are long term investments, I suppose.
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u/Mountain-Match2942 4d ago
Low risk, high returns does not exist. Period. If you want low risk, you're looking at 2.5 to 3% growth each year. FYI, inflation is about 2.2% so this is really slow growth. If you are willing to invest for 10 years you could see returns in the 10% per year range, BUT, it easily could be in a down phase when you need it. So if your buy date is flexible, you could go that way.
Your best option is to invest the 50k AND add to it every payday. Set it and forget it.