This month we look at the following:

  1. Market recap
  2. Pivotal shift for TK Dale Wealth and how it deals with clients
  3. Wealth tip of the month

Market Recap:

The markets are allusive to many and remain a cloud of confusion. Markets largely sold off in May with the US S&P500 down 6.6% and the TSX down 3.3%. The US S&P500 is still higher year to date and I would expect it to be a better long term bet due to structural and fundamental factors.

Having said that, China, Germany and the US were all fairly weak economically with the data being released in May however Canada seemed to be a bright spot with housing and employment data coming in strong. Inflation remains muted at 1.5% which would not trigger a need to raise interest rates in Canada and the Bank of Canada held rates steady this month at 1.75%.

Retail sales and manufacturing were weak in the US, China and Germany: some of the worlds largest economies. I would expect this trend to continue with the increasing trade tariffs and the uncertainty that this provides companies as they wait longer to find out what will happen. This uncertainty and lack of action will be reflected in more muted growth and the concern is that it could tip the US and many parts of the world into a recession.

Therefore what to do? Where do you invest?

Let’s look at our fundamental principles of investing:

  • Think global
  • Think economically
  • Make fact based decisions

Thinking globally helps us to get rid of the home bias where many investors prefer to invest in the country that they live in. We instead look at the world as our investing universe and will only invest in Canada if we find a compelling reason.

Thinking economically makes us focus on the data that is being published rather than sentiment or technical analysis which looks at trends. After all, the trend is your friend… until its not.

Making fact based decisions from economic data, market data and corporate data help to shape our view and allow us to change it quickly and nimbly when the data changes. 

There is no need to hold on to investments that have no merit going forward.

TK Dale Wealth Pivots:

In the past when dealing with clients we have focused on the individual products that we’re offering and illustrating how we are superior to our competitors in so many ways.

This month we begin a shift in the way we communicate with our current clients and prospective clients. We begin to shift the initial conversation away from investment and focus on broader topics of wealth generation before diving deep into the product discussion.

We will begin with building TK Dale Wealth Maps which is a lay of the land. This will focus on getting more clear about everything that a family currently has and more clearly identify areas of the family wealth.

We will then build TK Dale Wealth Plans in which we focus on goals, actionable items, tactics and strategies. We will begin putting our clients through a process in which they begin to do a considerable amount of work in defining what their targets will look like and what they’re trying to achieve. We have done this for ourselves and have found that this is where the major changes come from and drive significant actions that have propelled us forward more than we could have hoped for. 

Once major moves are being made, taxes will become a bigger issue and we will be working through the TK Dale Wealth Advanced Tax Strategies which will help to optimize the wealth given these new problems that someone will be facing.

Finally, the fourth stage is to build the TK Dale Wealth Estate Planner. This will focus on leaving a legacy and optimizing one’s estate through various strategies.

These four Wealth documents will assist you as you go through the TKD phases of life: Target, Keep and Destiny phases.

The Target phase is about setting goals and achieving them.

The Keep phase is about utilizing the wealth you’ve generated in order to fund your targets.

The Destiny phase is about making sure that the loved ones you leave behind are well taken care for and to factor in any philanthropic desires you may have.

Stay tuned for more details.

Wealth Tip:

The wealth tip of the month is our new wealth principles that we’ve developed after numerous conversations with our clients over the years.

Without clearly defined principles and guidelines to operate on, it makes getting to the destination incredibly harder. A lack of principles will cause people to not fully understand what they’re working with today, setup poorly defined and executed targets and cause a lot of stress and confusion for themselves and the family unit. Under these principles we make considerable progress where clients have a set framework to move forward with confidence. They are:

  1. Clarity is key
  2. Specificity over generality
  3. Fact based decisions
  4. Offense vs defense

In each phase of the TK Dale Wealth Builders we become elite at crafting the Wealth Map, Wealth Plan, Advanced Tax Strategies and Estate Planner by embracing these principles.

We make sure that we have absolute clarity around where we are today and what the client truly wants. We are very specific in mapping out their current situation and require clear communication from our clients. We make fact based decisions and get rid of the emotional ties that hold us back from ultimately getting what we want in life. We act proactively in order to go after what the client wants and start to make moves instead of sitting back and accepting the bare minimum. We work with budgeting, mindset, tactics and strategies.

When someone isn’t in touch with themselves, they make poor decisions and often end up with regret, guilt and shame. They have poor communication with their loved ones and don’t pay attention to their bodies. Believe it or not these things are all related. Don’t believe me? Think back to a time when you had a big fight with your spouse before leaving for work and tell me how focused on work you were that day. If you were focused then you’re a robot.

By being in touch with yourself you end up happy and confident in yourself, have good communication with their spouse and think about how they treat their bodies.

The wealth tip of the month is to gain more clarity. We challenge you to be more mindful of yourself. We challenge you to meditate for 5 minutes every day for 7 days. Then 10 minutes every day the following week. No more than 10 minutes.

Set an alarm so that you can relax during those time frames and don’t have to worry about going over.

Google “box breathing” on a 5 count, try using a positive mantra like “I am happy, healthy and wealthy” or just try being quiet and listen to your breathing.

There is no right or wrong way to do this and the point is to spend 10 minutes with yourself daily.

Last step: write down any thoughts that you have during the meditation in your phone’s notepad and review it at the end of each week.

The founder, Trevor Dale, makes meditation and journalling a daily practice finds that it helps to make big decisions with absolute clarity and certainty which speeds up the decision process and clears the mind for the next step in record time.

Let us know what you think by sending and email to:

Until next time.