Pankow Financial Solutions Ltd.

04/09/2026

Does it sometimes feel there is no escaping the news?

The conflict in Iran, the impending expiry of the Canada, U.S., Mexico Free Trade Agreement, the war in Ukraine that is now in its fifth year or the complete unpredictability of what the United States administration will do next, we are living in unpredictable and worrying times.

Sometimes it seems like we can’t catch a break. The pandemic initially drove interest rates to unprecedented lows before rising inflation forced central banks to increase them. The cost of living has risen significantly over the past few years and those facing mortgage renewals are experiencing renewal rates more than double what they were before.

The war in Iran has had a major negative impact on global oil and liquified natural gas supplies, driving up the price of oil and all related products over the past month. The cost of crude oil is now up over 60% year-to-date (was up over 90% before ceasefire announced). We have seen the price of gasoline and all related products jump as well. Gasoline is up over 30% in the past month and the cost-of-living crisis that has made everything more expensive in recent years is poised to get even worse.

Although there is a possibility that the Iran conflict could be nearing an end, there is also a possibility of heightened hostilities that may lead to years of conflict. Even if it ended soon, the damage done to oil and liquified natural gas infrastructure in and around Iran may lead to ongoing fuel shortages that will likely keep the prices higher, leading to negative impacts on the global economy creating upward pressure on inflation.

And then we have the dynamic growth of Artificial Intelligence and the hope that it will make positive changes in our lives; while worrying it may do more damage than good.

I don’t say this to cause any more fear or alarm than we are already feeling, but it is important to provide context to how this has impacted the financial markets, and where we are at year-to-date.

As unsettling as all of this seems, we are not experiencing financial markets full of doom and gloom!

Although we have seen global financial markets decline since the U.S. and Israeli attack on Iran on February 28; a strong start to the year, especially in the Canadian and many European markets, have helped most portfolios weather the storm on a year-to-date basis.

Growth in the Canadian and most developed markets internationally have helped offset declines in U.S. Equities. However, financial markets have been very volatile with news of a truce between the U.S., Israel and Iran sending markets soaring.

Concerns globally about the risk of inflation emerging from the higher oil prices have also impacted bond markets. Rising rates are generally not good for most fixed-income funds. The truce announced April 7, was welcomed by bond markets, leading to a reduction in the recently elevated rates.

The volatility we are experiencing is not unprecedented, much of the reaction is now based on news that can be perceived as either positive or negative coming from President Trump. This creates dramatic daily, or even inter-day swings in the markets, but it is fundamentals that generally drive market growth, and even temporary declines, over the long run.

Economic growth and its impact on corporate profits, current and expected, play a much larger role in stock market results than today’s news. Inflation, economic growth, government fiscal policy and the monetary policy of central banks all play a role in interest rates and bond yields.

There is little doubt that we are living in unusual, unpredictable times, but the principals which we have used to construct and manage your investment portfolio remain relevant.

Diversification in your investment portfolio remains key, across both equity and bond markets. Employing growth, value, and growth at a reasonable value management styles with your equity holdings provides greater resistance to volatility and risk.

Holding a variety of bond and debt-related securities within your fixed income holdings, with a range of terms to maturity, helps diversify this component of your portfolio with the objective to reduce risk and enhance overall performance.

Try not to get too caught up with the daily news and its impact on the stock and bond markets. We design investment portfolios to reflect our clients’ objectives, timelines and tolerance for risk and volatility. At every moment of every trading day, a team of professional fund managers and analysts are doing their best to interpret all factors impacting the markets, and each security held within each of the funds we recommend.

If you are concerned about the economic climate and the impact it is having on your investment portfolio, I would be happy to meet with you in the coming weeks to review your current holdings, and discuss the factors that are currently affecting global markets, and our daily lives.

All the best,

Shawn

04/02/2026

Happy to be a sponsor and proud of the team! Smiths Falls is full of talented athletes!

04/01/2026

Hard to get any work done with these two visitors

03/24/2026

We all have professionals in our life that we turn to for help when needed.

If we are sick, we see our doctor. If our car breaks down, we take it to our mechanic. If we have a plumbing issue, we call a plumber. The list goes on and on.

However, many people don't know when, or why, they should be contacting a financial planner for assistance and advice.

In the world of financial advice, as stated so well by FP Canada, A financial planner helps individuals and businesses create comprehensive strategies to reach long-term financial goals, such as retirement, by managing income, investments, taxes, and risks. They assess a client's current financial position, identify needs, and offer advice on savings, insurance, and estate planning to improve financial well-being.

Additionally, key responsibilities of a Financial Planner include:
Goal Setting and Assessment: analyzing a client's assets, liabilities, and cash flow to set realistic financial goals.

Retirement & Investment Planning: creating strategies to build wealth, selecting appropriate investments, and planning for secure income in retirement.

Risk Management: identifying insurance needs to protect against unexpected events, such as disability or premature death.

Tax Efficiency: developing strategies to minimize tax liabilities on investments and income, and plans to maximize government benefits.

Estate Planning: assisting with plans for wealth transfer, beneficiaries, and legacy.

Ongoing Monitoring: reviewing and adjusting plans as personal circumstances, laws, or market conditions change.

To sum things up, a Financial Planner assesses where you are today financially, helps you understand your short and long-term goals, and develops the best strategies to get you there.

He or she takes on the responsibility of managing your investments and tracking your progress to ensure life-long financial security and other financial goals are secured.

As a Certified Financial Planner, I am here to help.

03/19/2026

Thanks to Corrina of and Sterling for the creation and hanging of this great sign for our new home! Love it!😍

03/16/2026

Excited to hang this original artwork by local artist Art by Chris Dickson. Absolutely stunning piece and will add a much needed pop of colour to our office! Thanks again Chris for creating this piece. Birch trees are a symbol of new beginnings, renewal and growth. Perfect for our new office!

03/02/2026

Thanks for stopping by 92.3 WOW FM!

https://www.facebook.com/share/p/18R8z9AWjH/

We had the pleasure of stopping by Pankow Financial’s Open House today to celebrate their beautiful new space! 👏

Congratulations to Shawn and Tracey on all the hard work that went into the renovation. It’s always inspiring to see local businesses continue to grow and invest in our community. Wishing you continued success in your new home at 13 Russel Street East!

02/25/2026

Before, During and After. Bye Wall.

02/25/2026

After. Using stick on wall paper behind toilets or around wall sinks, not recommended.

11/24/2025

Make sure to get your tickets for Ambre McLean Christmas Concert! They sell out fast and it is the perfect way to get into the spirit of the season! 🥰

10/15/2025

If you or a loved one is living with a disability, the Government of Canada is waiting to invest up to $90,000 into a Registered Disability Savings Plan (RDSP) for you or that loved one!

People living with disabilities commonly face greater challenges in life, including reduced long-term financial security. A Registered Disability Savings Plan (RDSP) is a unique financial instrument that can significantly enhance the future income of people living with disabilities.

The Canadian Government contributes to RDSPs in two ways, through the Canada Disability Savings Grant (CDSG) and Canada Disability Savings Bond (CDSB). For eligible Canadians aged 18-49, with an annual income under $37,847 the government will add $1,000 CDSB annually to a maximum of $20,000. It is also possible to get up to $10,000 in retroactive contributions.

The CDSB is also available for minor beneficiaries with the parental taxable income determining eligibility. For those with an income under $37,847, the child will receive contributions of $1,000 annually to the RDSP. For those with incomes between $37,847 and $57,375 a proportionate CDSB is paid.

For individuals or families with a taxable income under $114,751, a contribution of $500 annually will receive a CDSG of $1,500. The next $1,000 contributed will result in additional grant of $2,000. That means an annual investment of $1,500 coming from the beneficiary, family or friends will result in the addition of $3,500 CDSG. The maximum lifetime CDSG is $70,000.

A RDSP can be invested in a variety of investments. Understanding these are long-term investments, let’s look at an example of someone opening a plan for ten-year-old child who has recently deemed eligible for the DTC. Understanding the parent’s income is under $37,847, this beneficiary is eligible for the annual CDSB of $1,000. The parent is able to contribute $1,500 annually to maximize the CDSG. Collectively, that means the plan will receive $6,000 annually.

As this child’s doctor confirmed the condition impacting the child has been present from birth, he or she is eligible for up to ten years of retroactive CDSG and CDSB. Thanks to that caring and generous grandparent, they are able to maximize retroactive CDSG with a one time $15,000 contribution.

When you add the $15,000 contribution, the $35,000 CDSG and $10,000 CDSB, this child now has $60,000 invested for his or her future! The addition of an additional $1,500 annually for the next ten years adds another $35,000 CDSG as well as the $10,000 CDSB.

Assuming even a modest rate of growth of 6% annually, by age 20, this young adult now has approximately $186,000 in his or her RDSP. Withdrawals should be deferred for a minimum of ten years from the date the last CDSG or CDSB have been received to avoid a clawback of the government contributions. So, at age 30, this plan is now valued at over $330,000.

There are numerous rules around withdrawals, but to keep it simple, this person, now age 30, could start a Lifetime Disability Assistance Payment (LDAP) of approximately $500 monthly and/or Disability Assistance Payment (LAP) of up to $39,000/year.
Although this person may be reliant on Ontario Disability Support Program as their primary source of income, these withdrawals from their RDSP will not impact this support.

The longer someone waits to start withdrawals from their RDSP, the greater this additional cash flow will become.
Using the previous example, if this person deferred any withdrawals to age 50, the value of $330,000 at age 30 would grow to approximately $1,050,000 in 20 years! At that point, the beneficiary could draw a LDAP of approximately $32,000 annually.
RDSPs are incredible beneficial for people living with disabilities.

These plans are complex and professional financial advice is important to maximize the benefits. I can help.